Ather Energy posts highest ever revenue of ₹995.7 crore in Q3 FY26

For the quarter ended December 2025 (Q3 FY26), Ather reported total income of ₹995.7 crore, up 53% year-on-year, driven by strong volume growth and a rising contribution from non-vehicle revenue streams. Revenue from software subscriptions, charging services, accessories, spares, and service increased to 14% of total revenue.

During the quarter, Ather captured a national market share of 18.8%. Its EBITDA margin improved by approximately 1,600 basis points (bps) year-on-year to (-3%), reflecting strong operating leverage, disciplined cost management, and continued investments in research and development (R&D).

The company attributed its performance to geographic expansion, a deeper product portfolio, and growing non-vehicle revenue, led by software offerings.

Key Financial Highlights

Margins expanded significantly during the quarter. Adjusted Gross Margin (AGM) rose 111% year-on-year to ₹251.3 crore. AGM excluding incentives improved to 23%, up approximately 1,100 bps year-on-year, supported by value engineering initiatives and sustained premium positioning, reinforcing healthier unit economics and structurally stronger margins.

EBITDA margin narrowed substantially to (-3%), aided by improved unit economics, operating leverage from higher volumes, and disciplined cost control. EBITDA loss reduced to ₹29.9 crore, while the quarterly loss narrowed 45% compared to Q2 FY26, underscoring steady progress toward sustainable profitability. The improvement reflects structural efficiencies built over the past year, positioning the company to better navigate near-term margin volatility.

Market Share Momentum

Ather strengthened its position in India’s electric two-wheeler market, achieving a pan-India market share of 18.8% in Q3 FY26. The festive season provided a significant boost, with the company recording its highest-ever monthly registrations of 30,900 units, translating into a 20% market share for the month.

South India remained Ather’s strongest region, where it retained leadership with a 24.4% market share, supported by deep penetration, strong brand recall, and a well-established retail network. Middle India continued its rapid growth trajectory, with market share nearly doubling to 17.4% from 8.8% in Q3 FY25, driven by strong performance across Gujarat, Madhya Pradesh, Maharashtra, and Odisha. In the Rest of India, market share rose to 12.6%, reflecting steady expansion across northern and emerging markets.

Operational Expansion and Ecosystem Growth

Ather expanded its retail footprint during the quarter, adding 76 new Experience Centres (ECs) to take its total network to 600 nationwide. South India accounts for 261 ECs, Middle India 202, and the Rest of India 137, supporting sustained regional growth.

The company also continued strengthening its ecosystem-led model. Adoption of AtherStack Pro remained high, with 91% of customers opting for the software suite, alongside increased engagement with safety, convenience, and navigation features. The Ather Grid charging network expanded to 4,357 fast-charging points and neighbourhood chargers across India, Nepal, and Sri Lanka.

Commenting on the results, Tarun Mehta, Executive Director and CEO, Ather Energy, said the company delivered its best quarterly revenue and EBITDA performance to date, driven by festive demand, healthy volume growth, and improving market share.

“Over the past few quarters, we have remained focused on strengthening unit economics, margins, and operating leverage. That effort is now clearly reflected in our improving EBITDA. The strength of our ecosystem is particularly encouraging, with high AtherStack attach rates and deepening customer engagement. We believe the business is structurally positioned for sustainable, long-term growth,” he said.