Summary:
Ather Energy shares rallied 21.3% over two sessions after the electric two-wheeler maker reported its first consolidated quarterly profit in Q2FY27. Revenue rose 62.9% year-on-year, while vehicle sales increased 42%, putting sustained profitability and manufacturing expansion in focus.
Ather Energy Ltd surged sharply on reporting maiden quarterly profit in Q2FY27. Shares of the electric two-wheeler maker jumped over 6% on October 27, 2026, taking its two-day rise to 21.3%. However, there was some profit booking in early trade on Wednesday, October 28, in the stock after the recent rally.
Ather Energy Share Price: Why Did Ather Energy Stock Surge?
Shares of Ather Energy surged 14.13% on October 26 to end at ₹1,575 after its September quarter results were announced. The rally continued on October 27, with the stock rising another 6.29% to ₹1,674 after touching an intraday high of ₹1,702.
The buying interest followed a turnaround in profitability, strong vehicle sales and improved operating margins.
The momentum, however, faded on October 28. At around 9:56 am, shares of Ather Energy were trading at ₹1,643, down 1.85% from its previous close, showing profit booking after the two-day rally.
But the stock was still trading much higher than its closing price of ₹1,380 on October 23.
Ather Energy Turns Profitable in Q2FY27 Results
Ather Energy reported consolidated revenue from operations of ₹1,464.24 crore in Q2FY27, up 62.9% YoY from ₹898.88 crore in Q2FY26. Revenue was also up 20.3% QoQ.
The company posted its first consolidated quarterly net profit of ₹1.26 crore against a loss of ₹154.07 crore in the corresponding quarter of last year and a loss of ₹51.09 crore in Q1FY27.
| Details | Q2FY27 | Q2FY26 |
| Revenue | ₹1,464.24 crore | ₹898.88 crore |
| Net profit/(loss) | ₹1.26 crore | -₹154.07 crore |
| Vehicles sold | 93,211 | ~65,600 |
| EBITDA margin* | 4.9% | -9.6% |
Vehicle sales rose 42% year-on-year to 93,211 units. The company reported EBITDA of ₹74.17 crore against a loss of ₹90.76 crore in the year-ago period.
The improvement was driven by greater volumes, improved operating leverage and a good product mix, although commodity costs remained high.
Growing Manufacturing and the EV Market
Along with the quarterly results, Ather Energy also announced a capital expenditure of ₹122 crore to increase manufacturing capacity.
The company's Hosur facility in Tamil Nadu will expand annual production capacity to 4.95 lakh units from the present 4.20 lakh units by December 2026.
The planned capacity of its upcoming Factory 3.0 in Chhatrapati Sambhajinagar, Maharashtra, will go up from 5 lakh to 6.50 lakh units annually.
The combined expansions are expected to raise annual production capacity to 11.40 lakh units by Q2FY28.
Ather also launched its Konarc electric scooter, expanding its product portfolio across various customer segments. In Q2FY27, the company captured a 15.1% share of the electric two-wheeler market.
What Next for Ather Energy Share Price
The rally is indicative of the company’s transition from quarterly losses to profitability, fuelled by increasing sales of its electric scooters.
But the profit margins are still low compared to sales. Higher prices for aluminium, copper, lithium and other components may put pressure on margins going forward, while new production capacity will need to be supported by continued customer demand.
The next phase of growth for Ather Energy will be driven by vehicle dispatches, ramp-up in manufacturing, cost control and market acceptance of its newer products.
Q2FY27 results mark a key financial milestone, but sustained profitability over the next few quarters will be critical to determine whether the business can continue its recent operational improvement.
