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Ather Vs Ola
The Indian electric two-wheeler market is growing fast, and Q2 FY26 results show Ather Energy ahead of Ola Electric.
Bengaluru-based Ather Energy reported revenue of ₹899 crore, up 54% year-on-year, while net losses dropped to ₹154 crore.
In comparison, Ola Electric’s revenue fell nearly 43%, highlighting a performance gap despite its large-scale investments in production and gigafactory operations.
This shows how Ather Energy is making strong inroads in India’s EV scooter market.
About Ather Energy
Ather Energy was founded in 2013 by IIT Madras graduates Tarun Mehta and Swapnil Jain. The company makes high-performance electric scooters for Indian roads.
Early funding was difficult, but Flipkart founders Sachin and Binny Bansal invested in 2014. The company has raised about $630 million in 17 rounds, including ₹600 crore ($71 million) from NIIF in 2023, bringing its valuation to $1.3 billion.
Ather Energy is expanding production, increasing research, and preparing for a potential IPO while opening more experience centers across India.
About Ola Electric
Ola Electric started in 2017 by Bhavish Aggarwal and Ankit Bhati as part of Ola Cabs.
It has raised over $1.5 billion from investors like SoftBank, Tiger Global, and Temasek. The company focuses on affordable scooters and plans to expand its retail and service network to 10,000 outlets by 2025.
In 2024, Ola Electric went public, raising ₹5,500 crore to grow production and invest in battery technology, including 4680 cells and rare-earth-free motors for long-term cost efficiency.
Ather Energy Beats Ola Electric in Q2 FY26
Ather Energy’s Q2 FY26 revenue reached ₹899 crore, up 54% year-on-year, while net loss dropped to ₹154 crore.
Deliveries grew to around 65,600 scooters, and its retail footprint expanded to over 520 centers. Focus on premium scooters with connected features and charging support helped improve sales and reduce losses.
Ola Electric reported revenue around ₹660–690 crore and losses of roughly ₹418 crore. Analysts say Ather’s focus on high-margin scooters is paying off, while Ola is still building scale and infrastructure.
“The quarter reflected steady growth in market share and continued progress on our path to profitability,” said Ather CEO Tarun Mehta.
Analysts added, “Ather continues to show strong sales growth and rising consumer trust despite the negative bottom line.”
Ather vs Ola: Which EV Company Is Doing Better in 2025
Here is a clear comparison of both companies based on the latest data:
Metric | Ather Energy | Ola Electric |
Q2 FY26 Revenue | ₹899 crore (+54% YoY) | ₹690 crore (-43% YoY) |
Q2 FY26 Net Loss | ₹154 crore (loss, narrowed) | ₹418 crore (loss, narrowed year-over-year) |
Units Sold (Q2 FY26) | 65,595 electric scooters | 52,666 electric scooters |
Gross Margin | 22%, improving margin | 30.7%, auto segment profitable for first time |
EBITDA Margin | Negative 10%, improving | Positive 0.3% in auto segment |
Market Share (Electric 2W) | 17.4% | Large market presence with strong retail expansion |
Active User Focus | Premium, technology-savvy customers | Mass-market, affordable pricing targeting new adopters |
Business Strategy | R&D focus, in-house design, smart scooter features and software | Volume expansion, aggressive retail/service network, affordability |
Expansion Strategy | Expanding service centers, charging infrastructure | 10,000+ retail outlets planned by 2025 |
Profitability Roadmap | Focus on operational efficiency; narrowing losses | Recently profitable auto segment; cost cutting ongoing |
Brand Positioning | Premium EV brand with technology edge | Mass adoption brand leveraging Ola platform |
India’s Electric Scooter Market Growth
The Indian electric two-wheeler market is growing quickly. Sales in the first ten months of 2025 crossed 1.1 million units, up 8% year-on-year after a five-fold increase since 2021. Government incentives under FAME-II offer subsidies up to ₹15,000 per kWh of battery and full road tax exemption in many states.
Battery technology is improving with higher energy density, faster charging, and lower costs. Prices are expected to drop further in the next five years.
Supply chain issues remain due to semiconductor shortages and imported rare-earth materials. Ola’s gigafactory will produce lithium-ion cells locally to reduce these risks.
Ather is expanding lower-priced models, investing in research, and improving production efficiency with Factory 3.0. Ola Electric’s 115-acre gigafactory uses advanced battery technology and rare-earth-free motors, which may lower costs over time but puts short-term pressure on margins.
Also Read: Telangana CM proposes naming streets after Meta, Google, TCS, instead of political leaders
Key Takeaways for India’s Electric Two-Wheeler Market
Q2 FY26 shows clear differences in strategy. Ather Energy is seeing growth and strong margins from premium scooters, while Ola Electric invests in mass production and infrastructure for long-term gains.
Both companies face competition, changing battery technology, and supply chain challenges. Production, profitability, service, and charging access will determine which company leads India’s EV market.