Ather Energy suffers a loss of INR 865 cr in FY23, up by 250% from last year
Ather Energy, an electric vehicle (EV) startup funded by Hero MotoCorp, saw a more than 2.5-fold increase in losses over the fiscal year 2022–23.
According to its annual financial records submitted to the Registrar of Companies, the EV startup reported a loss of INR 864.5 crore in FY23 compared to INR 344.1 crore in FY22 (RoC).
Despite having excellent sales, Ather’s overall expenses more than tripled to INR 2,670.6 crore from INR 757.9 crore in FY22.
even though the company’s operating revenue increased by 4.3 times in the fiscal year ending in March 2023 to reach INR 1,784 crore.
According to reports, the company’s EBITDA margin increased to -38.3% in FY23, while operating expenses decreased to INR 1.5 for every INR 1 in operating income.
The electric car company obtained INR 900 crore earlier last month from current shareholders Hero MotoCorp and major international investment bank GIC through a rights issue.
According to Ather, it intends to utilize the money to expand its retail network and charging infrastructure as well as to introduce new products.
“Last few years have demonstrated just how quick the EV transition in India can be and how it will be led by 2 wheelers. This round will allow us to expand our product portfolio while expanding our footprint,” said Tarun Mehta, CEO and Co-founder, Ather Energy.
Ather Energy currently has more than 200 retail touchpoints spread over more than 100 cities, as well as a public fast-charging network with more than 1,500 Ather Grids for electric two-wheelers.
In order to target a wider portion of the two-wheeler industry, Ather recently expanded its product lineup with 2.9 kWh and 3.7 kWh battery options in the flagship 450X as well as an entry level model, the 450S.
Mehta and Swapnil Jain, graduates of IIT Madras, founded Ather in 2013. Hero MotoCorp, GIC, NIIF, Sachin Bansal, and Tiger Global are the company’s backers.