🧠 Food for thought

Implications, context, and why it matters.

Engineering and software sales are helping Ather recover

• Ather cut net loss by 57% after earlier work on costs and margins began to pay off.
• In the first quarter of fiscal 2026, gross margin reached 23% 1.
• The gain came from value engineering, favourable commodity prices, pricing, and brand strength, not from commodity management alone 1.
• Revenue is also broadening, with accessories and software making up 12% of total revenue in Q1 fiscal 2026 1.

Ather’s results hint at how the EV market is changing

• Ather is the second electric two-wheeler company to list after Ola Electric Mobility, another listed Indian electric scooter maker, so investors are tracking its numbers closely 2.
• Across the electric vehicle market, the focus is moving from growth alone to steadier gross margins and a clearer route to profit 3.
• Sales beyond vehicles can bring in higher-margin income and soften swings in scooter demand.
• Risk still remains. Ather has warned that China’s export curbs on heavy rare earth magnets, which are specialised materials used in electric motors, could disrupt supplies in the short term 1.