Electric two-wheeler manufacturer Ather Energy has reported that its manufacturing facilities are operating at over 90% utilisation as demand for electric vehicles continues to rise.
In a post on X on June 12, Ather Energy Co-founder and CEO Tarun Mehta said the company had crossed 90% capacity utilisation and may need to explore ways to increase output further in the coming weeks to meet demand.
The comments come as electric vehicle registrations have recorded strong growth across India. According to vehicle registration data, more than 1.7 lakh electric vehicles were registered in a single month, reflecting increased consumer adoption.
Ather Records Strong Volume Growth
Ather Energy sold approximately 2.62 lakh electric two-wheelers during FY26, representing a 69% increase compared with the previous financial year.
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The company remains among the leading electric two-wheeler manufacturers in India by market share, alongside major industry players such as TVS Motor Company and Bajaj Auto.
A significant portion of Ather's FY26 sales was recorded during the January-March quarter, a period when global crude oil prices remained elevated amid geopolitical developments in West Asia.
Shift From Demand Creation to Capacity Expansion
The increase in factory utilisation reflects a change in Ather's operational priorities. While earlier efforts were focused on expanding EV adoption and customer acquisition, the company is now working to align manufacturing capacity with growing demand.
Ather has also expanded its product portfolio and distribution network over the past year, contributing to higher sales volumes and improved scale of operations.
Factory 3.0 Expected to Support Future Growth
To support future production requirements, Ather is developing its new manufacturing facility, referred to as Factory 3.0, in Chhatrapati Sambhajinagar, Maharashtra.
The facility is expected to provide additional manufacturing capacity as the company prepares for further growth in electric two-wheeler demand across the country.
Elctrik Speaks
Ather's latest capacity utilisation figures highlight how India's electric two-wheeler market is entering a new phase where production readiness is becoming as important as demand generation. As EV adoption expands, manufacturers may increasingly focus on capacity planning, supply-chain management, and operational efficiency to meet growing customer demand while maintaining delivery timelines.