Indian EV startup Ather reports 29% revenue growth in Q4 FY25

Ather Energy saw a 29% rise in Q4 FY25 operating revenue, reaching 676.1 crore rupees (US$79.7 million), up from 523.4 crore rupees (US$61.8 million) the previous year.

This growth was driven by a 35% increase in electric scooter sales, reaching 47,400 units, largely fueled by the demand for the new Rizta model.

For the full FY25, Ather’s operating revenue stood at 2,255 crore rupees (US$266,244), compared to 1,753 crore rupees (US$207,000) in FY24.

Q4 expenses rose by 12.6% to 922.2 crore rupees (US$109 million) due to higher material costs, while employee benefit expenses dropped by 29.2% to 109.1 crore rupees (US$12.8 million).

Ather Energy went public on May 6, 2025, with shares debuting at 328 rupees (US$3.87) on the NSE and 326.05 rupees (US$3.85) on the BSE.

🔗 Source: Economic Times

🧠 Food for thought

1️⃣ India’s EV journey: From startup funding to public markets

Ather Energy’s path represents the rapid maturation of India’s electric vehicle ecosystem over the past decade.

Founded in 2013 as an ambitious startup, Ather secured significant early backing from major investors including Sachin Bansal, who led a $51 million funding round in 2019, contributing $32 million personally 1.

The company’s recent IPO marks a milestone in India’s EV sector development, as electric two-wheeler manufacturers transition from venture-backed enterprises to publicly-traded companies expected to demonstrate viable paths to profitability.

This evolution coincides with extraordinary market growth projections, with India’s electric two-wheeler segment expected to expand from 960,000 units in 2024 to over 11 million units by 2033, representing a 28.5% CAGR 2.

Ather’s IPO pricing strategy (₹304-321 per share) and subsequent market performance reflects the industry’s transition phase, balancing growth potential against profitability timelines in a market driven by both consumer adoption and policy support 3.

2️⃣ Product diversification as a competitive necessity in India’s EV market

Ather’s expansion from a single product line to seven products across two categories demonstrates how EV manufacturers must evolve beyond technological innovation to address diverse consumer needs.