Skip to content
Parakho

Ather Energy LtdQ1 FY27 earnings call

· All quarters

Summary generated by AI from the official transcript Ather Energy Ltd filed with BSE on 07 Aug 2026. Every statement cites a verbatim quote from that document — open any citation to read it. This is a record of what management said, not a recommendation. How we check these summaries

The short read

Ather Energy reported wholesale volume growth of 81% year-on-year to 83,000 units in Q1 FY27, alongside its first-ever positive EBITDA quarter at a margin of about 0.8%. Management attributed strong demand to macro tailwinds including policy support and rising fuel prices, while noting commodity cost inflation reduced gross margins by 5.6% during the quarter. The company also discussed capacity expansion plans via its Aurangabad (AURIC) facility and the upcoming launch of its EL scooter platform.

1 statement from this call is not shown because its supporting quote could not be reproduced within our quoting limits. Nothing shown here is affected: every statement on this page carries its verified quote.

Numbers mentioned

Wholesale volume: 83,000 units (Q1 FY27)

p. 4
our wholesale volume grew 81%, from 46,000 units in Q1 FY 2026 to 83,000 units in Q1 FY 2027

Tarun Mehta, page 4 of the filed PDF · View the filing

Registration growth: 102% (Q1 FY27)

p. 4
Year-on-year wholesale growth was 81%, but year-on-year registration growth was even sharper at 102%

Tarun Mehta, page 4 of the filed PDF · View the filing

Adjusted gross margin: 22.4% (Q1 FY27)

p. 6
Net it out, we have landed up at 22.4% AGM for Q1 2027

Tarun Mehta, page 6 of the filed PDF · View the filing

EBITDA margin: 0.8% (Q1 FY27)

p. 7
Our EBITDA came in at a Rs. 9 crore margin for Q1 2027, which is roughly about 0.8%

Tarun Mehta, page 7 of the filed PDF · View the filing

Average sales price: Rs. 1.61 lakh (Q1 FY27)

p. 6
The average sales price of Ather has now hit Rs. 1.61 lakh across the country, up from about Rs. 1.5 lakh as of last quarter

Tarun Mehta, page 6 of the filed PDF · View the filing

AtherStack Pro attach rate: 94% (Q1 FY27)

p. 6
We saw 94% AtherStack Pro attach rates in Q1 2027

Tarun Mehta, page 6 of the filed PDF · View the filing

Commodity index increase: 46% (last 5 quarters)

p. 6
The commodity index in the last 5 quarters has gone up by 46% for us

Tarun Mehta, page 6 of the filed PDF · View the filing

Gross margin drop from commodity inflation: 5.6% (Q1 FY27)

p. 6
which led to a 5.6% drop in gross margins

Tarun Mehta, page 6 of the filed PDF · View the filing

QIP fundraise: Rs. 1,300 crore

p. 5
recently, we finished closure of our Rs. 1,300 crore QIP a few weeks ago with very strong participation from funds, both from India and abroad

Tarun Mehta, page 5 of the filed PDF · View the filing

Preference issue fundraise: Rs. 1,200 crores

p. 5
We are also in the midst of seeking shareholder approval and closing a fundraise of another Rs. 1,200 crores via preference issue, leading to a total fundraise of Rs. 2,500 crores

Tarun Mehta, page 5 of the filed PDF · View the filing

Dealer stock days: 3 days (Q1 FY27)

p. 5
Our dealer stocks are down from 14 days to 3 three days, as of Q1 FY 2027

Tarun Mehta, page 5 of the filed PDF · View the filing

Preorders: 1.5 lakh (Q1 FY27)

p. 4
Ather preorders, these are paid preorders that are captured across the country, they were up 158%, hitting a first-ever seen 1.5 lakh preorders in Q1 FY 2027

Tarun Mehta, page 4 of the filed PDF · View the filing

Inquiries: more than 7 lakh (Q1 FY27)

p. 4
In Q1 FY 2027, we received more than 7 lakh inquiries for our products

Tarun Mehta, page 4 of the filed PDF · View the filing

What management said it would do

A record of statements made on the call, in the words management used. Parakho does not forecast, endorse or assess them, and their presence here is not a view on whether they will happen.

Total production capacity — 9.2 lakh units · later this calendar year

stated firmly by Tarun Mehta

p. 5
Go-live of AURIC will take our total capacity up from 4.2 lakh units to 9.2 lakh units later this calendar year

Tarun Mehta, page 5 of the filed PDF · View the filing

AURIC Phase-2 capacity addition — total capacity up to 14.2 lakh units

stated conditionally by Tarun Mehta

p. 5
With AURIC Phase-2, we can incrementally add another 5 lakh annual capacity, taking our total capacity up to 14.2 lakh units in the coming time

Tarun Mehta, page 5 of the filed PDF · View the filing

Commodity cost headwind — another 100-200 bps · coming months

stated conditionally by Tarun Mehta

p. 8
If nothing else changes, maybe there is still 100-200 bps of further hit left

Tarun Mehta, page 8 of the filed PDF · View the filing

AURIC Phase-1 full ramp-up — 42,000 units a month · March / possibly early FY28

stated as an aspiration by Tarun Mehta

p. 9
Amyn, I would like to hit in March, but honestly, difficult to predict the exact month. Could spill over into the first few months of FY 2028

Tarun Mehta, page 9 of the filed PDF · View the filing

EL scooter manufacturing capacity — about 60,000 units per month

stated firmly by Tarun Mehta

p. 7
We are looking at scaling up our manufacturing capacity for the EL scooter to about 60,000 units per month between Aurangabad and Hosur together

Tarun Mehta, page 7 of the filed PDF · View the filing

Factory 3.0 (AURIC) go-live — Q3 FY27

stated firmly by Tarun Mehta

p. 8
The big upside here is awaited with Factory 3.0 going live in Q3 FY 2027

Tarun Mehta, page 8 of the filed PDF · View the filing

AURIC Phase-2 timeline — a quarter or two

stated conditionally by Tarun Mehta

p. 11
If all looks well, maybe in a quarter or two max, we will have more firmer timelines and guidance to share

Tarun Mehta, page 11 of the filed PDF · View the filing

EL AtherStack Pro attach rate — at least 75%

stated conditionally by Tarun Mehta

p. 16
I would cautiously guide at least 75% attach rates with EL also, but I would hope for even higher

Tarun Mehta, page 16 of the filed PDF · View the filing

Q2 margin impact from commodities — Q2 FY27

stated conditionally by Tarun Mehta

p. 12
we should not see a material degradation from RM any further

Tarun Mehta, page 12 of the filed PDF · View the filing

Q&A highlights

Management's answers to analyst questions, in Parakho's words rather than a transcript. Each row names who answered and carries the verbatim quote it was drawn from.

Management expects a smaller further hit of roughly 100-200 bps, with some absorption expected from EL cost reductions.

Answered by Tarun Mehta

Asked by Amyn Pirani: Will commodity headwinds continue at a similar 5-6% pace or stabilize/decline?

p. 8
I am also not expecting like a 5%-6% further drop from here

Tarun Mehta, page 8 of the filed PDF · View the filing

Management said the cost discipline reflects a cautious approach across the company rather than a one-time event, though costs will rise as AURIC comes online.

Answered by Tarun Mehta

Asked by Amyn Pirani: Is the current cost control a new baseline or exceptional to this quarter?

p. 8
By DNA, we have generally run a tight ship, and we have been always fairly cautious

Tarun Mehta, page 8 of the filed PDF · View the filing

Management said price hikes have not fully covered commodity inflation but expects the effect to be largely offset in Q2 as pricing benefits flow through for a full quarter.

Answered by Tarun Mehta

Asked by Kapil Singh: Have price hikes and PM E-DRIVE subsidy covered the cost increases for Q2 and beyond?

p. 9
Has the price increases covered the inflation that we have seen in commodities? No, I won’t say they’re fully covered

Tarun Mehta, page 9 of the filed PDF · View the filing

Management said the recent fundraise was partly sized to allow fast-tracking Phase-2 and did not rule out a material acceleration.

Answered by Tarun Mehta

Asked by Kapil Singh: Could AURIC Phase-2 be brought forward given current demand momentum?

p. 10
I would not rule out a phase two fast tracking, quite a material fast tracking

Tarun Mehta, page 10 of the filed PDF · View the filing

Management explained Hosur capacity can flex between EL and Rizta/450X but cannot be simply added together due to line constraints.

Answered by Tarun Mehta

Asked by Gunjan Prithyani: How should investors think about capacity allocation between EL and existing Rizta/450X production at Hosur?

p. 11
EL, with phase one of AURIC, EL can have a net total capacity of 42 plus 18, that is 60,000

Tarun Mehta, page 11 of the filed PDF · View the filing

Management said policy signals across states and centrally remain consistent in supporting EV adoption, citing Haryana as another example.

Answered by Tarun Mehta

Asked by Gunjan Prithyani: What is the outlook for state-level EV policy support beyond Delhi?

p. 12
We are also seeing other states, like Haryana now, following a similar trajectory or at least showing more support

Tarun Mehta, page 12 of the filed PDF · View the filing

Management said trial production will start in the festive period with a four-to-five month ramp to 42,000 units per month.

Answered by Tarun Mehta

Asked by Mukesh Saraf: How will AURIC Phase-1 production ramp up after launch?

p. 13
I would say the overall ramp-up from zero to 42,000 a month is somewhere in the vicinity of four to five months

Tarun Mehta, page 13 of the filed PDF · View the filing

Management pointed to AtherStack Pro as the largest contributor currently, with accessories and service revenue seen as future growth areas.

Answered by Tarun Mehta

Asked by Yash Agrawal: What are the growth drivers and margin profile for non-vehicle revenue?

p. 14
For established two-wheeler businesses, service revenues can be as high as 10%-12% of their overall revenues. For us, that’s more in the vicinity of a couple percentage points, 2%-3%

Tarun Mehta, page 14 of the filed PDF · View the filing

Management said the company is focused on EL for now and any motorcycle launch is likely more than a year away.

Answered by Tarun Mehta

Asked by Yash Agrawal: Does Ather plan to enter the electric motorcycle segment soon?

p. 15
This is, I would say, more than a year away for sure. Probably two years plus.

Tarun Mehta, page 15 of the filed PDF · View the filing

Management said the EL launch will likely have a stronger initial bias toward rest of India and middle India before expanding nationally.

Answered by Tarun Mehta

Asked by Nikhil Kale: Will the EL launch be geographically focused initially?

p. 16
The order might be a little different this time, more rest of India, then middle India, and then South India

Tarun Mehta, page 16 of the filed PDF · View the filing

Risks flagged

Rising commodity costs impacting margins

p. 6
We saw an escalation in commodity costs across the board.

Tarun Mehta, page 6 of the filed PDF · View the filing

Potential further commodity cost escalation ahead

p. 6
We do believe that there is still some more risk in the coming months of it escalating a bit more

Tarun Mehta, page 6 of the filed PDF · View the filing

Labor and geopolitical disruptions affecting production

p. 4
We were navigating the labor crisis, the West Asia war-induced crisis at the start of the quarter, which is why April volumes were still soft.

Tarun Mehta, page 4 of the filed PDF · View the filing

Uncertainty over PM E-DRIVE subsidy continuation

p. 9
As of now, we don’t have one. We are awaiting clarity on it, but signs are strong is all I can say.

Tarun Mehta, page 9 of the filed PDF · View the filing

EL scooter launch may depress overall ASP

p. 11
As EL launches later this month, and as it scales up in production, it will likely depress our ASPs a little bit.

Tarun Mehta, page 11 of the filed PDF · View the filing

Generated by claude-sonnet-5. Source: the transcript as filed with BSE. We link to the exchange's copy; we do not host transcripts. Parakho is a data and screening tool, not an investment adviser — nothing here is a recommendation to buy, sell or hold.