Ather Energy Capacity Set to Reach 920,000 Units
Ather Energy is expanding manufacturing capacity as it seeks to address strong demand for electric scooters in India. The company’s upcoming facility at Aurangabad Industrial City, or AURIC, in Chhatrapati Sambhaji Nagar, Maharashtra, is central to that plan. Its first phase is expected to add 500,000 units of annual capacity. Combined with the existing Hosur plant capacity of 420,000 units, Ather’s total annual installed capacity is expected to reach 920,000 units. The facility is scheduled to begin operations towards the end of 2026.
Know Ather Energy inside out
Results, valuation, peers and who's buying, in one view.
AURIC Facility Is the Next Capacity Addition
Ather has identified the Maharashtra plant as its next major production expansion. The AURIC facility has been planned in two phases, each with annual capacity of 500,000 units. That gives the site a potential total capacity of 1 million units a year when both phases are completed. The first phase is expected to be commissioned in the third quarter of FY27. Management has also said the first phase is expected to go live around December 2026. The exact ramp-up period will matter because full capacity is not expected immediately after commissioning.
Total Capacity Rises From 420,000 Units
Ather currently manufactures electric scooters at its Hosur facility, which has annual production capacity of 420,000 units. The addition of the first AURIC phase will raise the company’s installed capacity to 920,000 units annually. This is a more than twofold increase from the current level. The second phase, if completed as planned, would add another 500,000 units. That would take Ather’s total installed annual manufacturing capacity to 1.42 million electric two-wheelers.
Commissioning Timeline and Ramp-Up
Chief Business Officer Ravneet S Phokela said the Maharashtra plant’s first phase would go live around December 2026. He added that it would generally take four to six months for the unit to reach full capacity. This means commissioning and full utilisation are separate stages in the expansion process. Ather has said assembly-line installation at the site has been completed. The paint shop was under trial, while warehouse and utility work was nearing completion ahead of commercial operations. These steps indicate that the facility is moving through final preparation work.
Capacity Expansion at a Glance
Demand-Supply Gap Drives Expansion Focus
The expansion comes as Ather has described a high-demand and low-supply environment. The company said that, with adequate production, it could have sold an additional 13,000 to 15,000 scooters a month. Chief Executive Officer Tarun Mehta said the 920,000-unit annual capacity level would equal roughly 77,000 units a month. He also said this could be tight if current demand trends continue. The company is therefore considering whether the second AURIC phase should be accelerated. No final timing for an accelerated Phase 2 rollout was stated.
EL Platform Production Plans
The AURIC expansion is linked to Ather’s product roadmap around its EL platform. The company is preparing to launch its first production scooter on the platform in August 2026, with high-volume production trials already underway. Initially, manufacturing is expected to be split between Hosur and AURIC. Ather has said combined capacity for the new platform is expected to reach 60,000 units per month across the two plants. The EL platform is intended to support multiple future scooter models.
Fundraising Supports Investment Plans
Ather shareholders approved a ₹1,200 crore preferential issue in August 2026. Together with a recently completed ₹1,300 crore qualified institutional placement, this took the company’s total fundraise to about ₹2,500 crore. The company said the capital would support manufacturing capacity, product and technology capabilities, and the balance sheet. Management has described the broader aim as accelerating capacity investment at Ather and its suppliers while fast-tracking product launches. The cited board resolution did not provide a specific split between research and development, manufacturing expansion, and working capital.
Domestic Market Remains the Immediate Priority
Ather also plans a broader export push, with overseas markets expected to make a meaningful contribution to revenue over the next five to seven years. Phokela said the company would continue opening markets during that period. However, the domestic market remains the immediate priority because of the present demand-supply position. Ather has established a presence in South India and expanded across western and central India. It plans to extend its operating model across the rest of India during FY27.
What the Expansion Means for Ather
The first AURIC phase is significant because it increases Ather’s annual installed capacity from 420,000 to 920,000 units. It provides additional manufacturing headroom for current scooter demand and planned EL-platform products. The plant’s operational start and subsequent ramp-up will be important milestones for the company’s supply position. Ather has also retained the option to advance Phase 2 if demand continues to exceed available production. For now, the confirmed next step is the commissioning of AURIC Phase 1 towards the end of 2026.