Ather vs Ola Electric: Q2 FY26 Showdown! Who's Winning the EV Race? Profits, Losses & Future Bets Revealed!

India's leading electric scooter manufacturers, Ather Energy and Ola Electric, presented contrasting financial results for the second quarter of fiscal year 2026 (Q2 FY26). Ather Energy demonstrated robust topline growth, with its revenue surging by 54% year-on-year to Rs 898 crore. In contrast, Ola Electric experienced a significant revenue decline of 43%, bringing its sales to Rs 690 crore. Despite revenue challenges, Ola Electric reported a milestone achievement: its first profitable quarter at the auto business level, securing a positive EBITDA margin of 0.3%. This was largely due to aggressive cost-cutting measures and a higher proportion of premium model sales. Ather Energy, meanwhile, continues to focus on operational efficiency, achieving a strong 22% gross margin and a substantial 1,100 basis points (bps) year-on-year improvement in its EBITDA margin, though it still posted a net loss of Rs 154 crore, which was smaller than Ola's Rs 418 crore net loss. Both companies are strategically investing in future expansion; Ola Electric is increasing its Gigafactory capacity and developing in-house cell technology, while Ather is establishing a new manufacturing plant in Maharashtra. Impact: This news is highly significant for the Indian stock market, particularly the rapidly growing electric vehicle sector. The contrasting performances and strategies of Ather and Ola Electric provide crucial insights for investors looking to understand market dynamics, competitive landscapes, and the path to profitability in the EV industry. Their financial health and expansion plans directly influence investor sentiment and potential future market valuations for related companies. Rating: 7/10. Terms: EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization): A measure of a company's operational performance before accounting for interest, taxes, depreciation, and amortization expenses. Gross Margin: The profit a company makes after deducting the costs associated with making and selling its products. bps (basis points): A unit of measure equal to 1/100th of a percentage point (0.01%).