World · India Bureau
Ather Energy stock surges 18% on return to profitability in Q2
Electric two-wheeler manufacturer Ather Energy posted its first quarterly profit in recent memory, swinging to a net gain of ₹1.26 crore in the second quarter of FY27. The turnaround from a ₹154.07 crore loss in the same period last year lifted investor sentiment and drove the company's share price higher.
LSN India ·
Ather Energy's transition to profitability marked a significant milestone for the Bengaluru-based electric mobility firm, which has been working to narrow losses amid intensifying competition in India's two-wheeler segment. The company's Q2 FY27 results demonstrated improved operational efficiency and cost management, reversing a substantial loss position recorded twelve months earlier.
The swing from red to black came alongside robust revenue expansion, signaling that the company's business model is gaining traction in an increasingly competitive market. The profitability milestone comes as Ather Energy continues to expand its product portfolio and strengthen its charging infrastructure network across major Indian cities.
Market reaction to the results was swift, with the company's stock price climbing 18 percent on the back of the earnings announcement. The rally reflects investor optimism about the company's trajectory as it scales operations and approaches sustainable profitability levels.
Industry observers have pointed to accelerating demand for electric two-wheelers in India as a tailwind for manufacturers achieving operational efficiency. Ather Energy's return to profitability underscores the potential for electric vehicle makers to succeed in India's mass-market transportation sector, though the competitive landscape remains challenging.