Ather Energy IPO: How it stacks up against listed players in the industry

Ather aims to raise up to Rs 2,981 crore through the IPO, including a fresh issue of Rs 2,626 crore and an offer-for-sale of 1.1 crore shares.

As Ather Energy gears up for its much-anticipated IPO, investors will be weighing more than just the offer price. At first glance, the electric two-wheeler maker's story is one of potential. But a closer look reveals a company still finding its footing among legacy giants.

Ather aims to raise up to Rs 2,981 crore through the IPO, including a fresh issue of Rs 2,626 crore and an offer-for-sale of 1.1 crore shares. The price band has been set at Rs 304 to Rs 321 per share, valuing the company at nearly Rs 11,956 crore at the upper end. Funds will go toward a new EV factory in Maharashtra and reducing debt. Ather Energ will debut on BSE and NSE on May 6, 2025.

Here's a look at how Ather Energy fares compared with other incumbents.

Revenue & Net Profit

Ather reported revenue from operations of Rs 1,753.8 crore in FY24. This puts it behind Ola Electric's (Rs 5,009.8 crore) among new-age players but far behind traditional two-wheeler giants—Bajaj Auto (Rs 44,870 crore), TVS Motor (Rs 39,144 crore), Hero MotoCorp (Rs 37,788.6 crore), and Eicher Motors (Rs 16,535.8 crore), the red herring prospectus shows.

In FY24, Ather experienced a loss before taxes of Rs 1059.7 crore, which is considerably greater than the Rs 864.5 crore loss recorded in FY23 and the Rs 344.1 crore loss from FY22. Additionally, the company faced flat revenue growth in FY24, reporting revenues of Rs 1753.8 crore, a decrease from Rs 1780.9 crore in FY23.

Market Share

Ather has held a 10.6 percent share of the electric two-wheeler market in FY24, up from 7.9 percent in FY22. However, Ola has moved quickly to dominate the space with a 35.1 percent share. TVS and Bajaj both climbed to 11.4 percent, while Hero MotoCorp slipped to 5.7 percent. Meanwhile, once-leading names like Hero Electric and Ampere have seen their shares collapse.

Balance Sheet

Ather’s net asset value per share is Rs 24, well below Bajaj Auto (Rs 935), Hero (Rs 884), and even Ola Electric (Rs 6). Return on net worth is deeply negative at (194) percent, underscoring capital inefficiency. Listed rivals are comfortably in the black—TVS at 26 percent, Bajaj at 29 percent, and Eicher at 22 percent. The company posted a loss of Rs 47 per share. In contrast, Bajaj Auto earned Rs 273 per share, Hero Rs 187, and Eicher Rs 146. Ola’s losses were narrower at Rs 4 per share.

Distribution Network

Ather had 280 experience centres and 238 service stations as of December 2024, mostly run by retail partners. While the network is growing, it still trails Ola’s 4,000-plus touchpoints, TVS’s 900 outlets across 400+ cities, and Bajaj’s extensive dealership network built over decades.

India retained its position as the world’s largest market for motorised two-wheelers in calendar year 2023, with domestic sales touching 18.4 million units in FY24. In the nine months ended December 31, 2024, sales stood at 15.3 million units—marking an 11 percent year-on-year rise and setting a strong base for continued growth in FY25. Looking ahead, the market is expected to grow at a compound annual rate of around 7 percent, reaching 29–30 million units by FY31.

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