Ather Energy, a prominent name in the Indian electric vehicle (EV) industry, recently disclosed significant financial losses for the fiscal year 2022-23. The company reported a staggering loss of Rs. 865 crore, marking a substantial increase of over 2.5 times compared to the previous fiscal year. Shockingly, this translates to a loss of Rs. 63,000 on each Ather 450 X electric scooter sold in India.
Despite being known for its innovative high-end electric scooters, Ather Energy faced a challenging year, as revealed in its recent regulatory filing. The company’s operating loss for FY23 amounted to Rs. 865 crore, a substantial surge from the Rs. 344.1 crore loss reported in FY22.
Delving into the company’s financial statements, it becomes evident that Ather’s total expenses more than tripled, soaring from Rs. 757.9 crore in FY22 to an astonishing Rs. 2,670.6 crore in FY23. However, amidst significant losses, Ather Energy experienced a notable increase in revenue from operations, growing fourfold to reach Rs. 1,784 crore for the fiscal year ending March 2023.
Additionally, Ather Energy’s EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) margin improved to -38.3%. In simpler terms, the company spent Rs. 1.5 for every Rs. 1 earned from operations during the fiscal year 2023.
Ather Energy remains determined to overcome these challenges. Earlier this year, the EV firm successfully raised Rs. 900 crore through a rights issue, with contributions from existing shareholders Hero MotoCorp and global investment firm GIC. These funds are earmarked for launching new products, expanding the charging infrastructure, and strengthening the retail network.
Presently, Ather Energy has established a significant presence with over 200 retail touchpoints across more than 100 cities in India. They have also introduced a public fast-charging network exclusively designed for electric two-wheelers, comprising over 1,500 Ather Grids.
In recent Ather Energy developments, the company introduced the all-new Ather 450S scooter alongside updated versions of their flagship Ather 450X models. The Ather 450S, priced at Rs 1.30 lakh (ex-showroom), is aimed at catering to a broader audience and increasing market share in the electric scooter segment.
Furthermore, the company launched revamped iterations of the popular Ather 450X, now available as Core and Pro variants, priced at Rs 1.37 lakh and Rs 1.52 lakh (ex-showroom), respectively.
The new Ather 450S features a belt-drive motor with a peak power output of 7.24 bhp and a torque of 22 Nm. It offers a top speed of 90 kmph in Sport mode, with slightly reduced speeds in Eco and Ride modes. The scooter is equipped with a 2.9 kWh lithium-ion battery and provides an ARAI-certified range of 115 km on a single charge, with a real-world range of approximately 90 km.
