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India's electric scooter space is buzzing. And Ather Energy, one of the early movers, just rolled out its Q4 results. There's good news — and a bit of reality check.
The company has managed to cut its losses by nearly 17 per cent in the Q4 FY25 quarter, while also posting a solid 29 per cent jump in revenue. But it's still not out of the red. And as it gears up post-IPO, the road ahead looks competitive — and demanding.
What Ather Energy does
Bengaluru-based Ather Energy designs and manufactures smart electric scooters. Known for its 450X and the recently launched family scooter 'Rizta', the company has built a reputation for high-performance EVs with a tech edge.
Founded by IIT-Madras grads Tarun Mehta and Swapnil Jain in 2013, Ather operates a 400,000-unit capacity facility in Hosur and has over 175 experience centres across the country.
What's happening now
Let's break down the numbers from the March quarter (Q4 FY25):
| Metric | Q4 FY25 | Q4 FY24 | YoY change |
|---|---|---|---|
| Revenue | Rs 676 crore | Rs 525 crore | +29 per cent |
| Net loss | Rs 234.4 crore | Rs 283.3 crore | -17 per cent |
| EBITDA loss | Rs 172.5 crore | Rs 238.5 crore | -28 per cent |
| Full-year revenue (FY25) | Rs 2,255 crore | Rs 1,761 crore | +28 per cent |
| Full-year loss (FY25) | Rs 812.3 crore | Rs 1,056 crore | -23 per cent |
The key driver? Rizta — Ather's new family-focused scooter — has seen strong traction since launch, helping the company boost volumes and scale.
The IPO and early market response
Ather debuted on the bourses on May 6. The Rs 2,981 crore IPO was subscribed 1.43 times, with strong institutional interest. The stock listed at Rs 328 — just above its Rs 321 issue price — but lost steam and closed below that on Day 1.
In a crowded EV field with Ola Electric, TVS and Bajaj revving up, investors may be waiting to see clear signs of profitability before placing bigger bets.
What should investors make of it?
Ather's improving revenue and narrowing losses show it's heading in the right direction. But the company is still loss-making, burning cash, and operating in a price-sensitive, subsidy-driven market.
What could change the game? Margin improvement, scale, and differentiated product innovation. The newly launched Rizta is a step, but not the destination.
Long-term investors may find Ather's tech DNA and early mover advantage attractive. But unless it hits profitability or shows a sharper path to it, the stock might remain range-bound.
Think of Ather as a promising racer in a long-distance EV marathon. It has the stamina and style, but the next few laps will test whether it can lead the pack or just keep pace.
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Disclaimer: This story was created with the assistance of artificial intelligence and is intended for informational purposes only. Please take it with a pinch of salt and do your own research or consult a financial advisor before making investment decisions.
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