Electric scooter maker Ather Energy reported a sharply narrower first-quarter loss on Monday as strong demand for its Rizta scooters helped cushion the impact of higher costs.
The Rizta scooter maker posted a net loss of Rs 508.7 million ($5.34 million) in the quarter ended June 30, compared with a loss of Rs 1.78 billion a year earlier. Revenue surged about 90% to Rs 12.17 billion while expenses rose 54%.
Vehicle sales jumped 81% the quarter to 83,173 units.
Conflict in West Asia disrupted crude oil supplies, driving up plastics and polymers costs, the company said.
The narrower loss was driven by strong demand for the family-focused Rizta scooters, which broadened its customer base beyond its traditional performance-focused models.
EBITDA margin improved to 0.8% from negative 15.7% a year ago in the June quarter.
Ather continued expanding its retail and charging infrastructure in tier II and III cities, helping boost sales volumes and improve operating leverage, the company said.
Ather has been facing pricing and market-share pressure from rivals Ola Electric, TVS Motor and Bajaj Auto, amid an aggressive price war.