Electric scooter maker Ather Energy said on Monday that its quarterly net loss has narrowed by 2.7% to ₹178 crore, helped by robust demand for its portfolio of electric scooters. Bengaluru-based Ather Energy’s revenue for the quarter ended June 30 nearly doubled—jumping 78.7% to ₹644.6 crore.

The company, which began selling electric scooters in 2018, said its total expenses for the reporting quarter rose by 54.4% to ₹851.1 crore, with a 62% increase in the cost incurred for the materials consumed. The company also said that it spent ₹89 crore on R&D in the first quarter.

Hero MotoCorp-backed Ather Energy is also witnessing healthy demand for its Ritza electric scooter. It sold about 46,000 units in the quarter, which was nearly double that of the same quarter last year. Still, it dipped 3% sequentially, signalling that it continues to face stiff competition from the likes of Ola Electric and legacy two-wheeler manufacturers like TVS Motor and Bajaj Auto.

Ather Energy identifies South India as its mainstay—with the region being key to the company’s growth in the coming quarters. Its market share is rising to 22.8% in the first quarter of FY26. It also added 95 stores in the quarter, and it currently has 446 stores operational. The company has revealed earlier that it plans on doubling its retail network to 700 centres across the country by the end of FY26, with a target of a three-fold increase in its store count in North India.

In May, Ather Energy became the first mainboard company to go public in FY26, albeit to make a subdued debut. The shares of the electric two-wheeler manufacturer got listed at ₹326.05 on the BSE with a market capitalisation of ₹12,144 crore, a premium of 1.57% over the initial public offering price of ₹321. On the NSE, it began trading at ₹328, up 2.18% over the issue price.

In July this year, Ather Energy signed an MoU with the Department of Promotion of Industry and Internal Trade to advance India’s clean mobility ambitions and strengthen the electric vehicle (EV) manufacturing ecosystem. The collaboration is part of the Startup Policy Forum’s ‘Build in Bharat’ initiative, aimed at supporting innovation-led, hardware-focused startups in the country.

Under the partnership, DPIIT and Ather Energy will work jointly on supporting startups in the EV value chain through infrastructure access, mentorship, innovation challenges, and skilling programs. The effort focuses on promoting deep-tech and hardware entrepreneurship aligned with India’s broader industrial and climate goals.