Ather Energy Brought Nearly Rs 400 Crore Loss For Hero MotoCorp In FY24

IPO-bound Ather Energy Ltd. continues to be a drag on investor Hero MotoCorp Ltd.’s financials but that hasn’t stopped India’s largest two-wheeler maker from making larger bets on the EV startup.

In the fiscal ended March 31, 2024, Ather Energy’s loss attributable to Hero MotoCorp stood at 389.77 crore on a consolidated basis, as against Rs 192.5 crore in the year-ago period, according to the latest annual report released by Splendor maker.

Ather Energy is an associate company of Hero MotoCorp, holding more than 40% stake in the electric scooter maker. Together, they operate India’s largest EV charging network with more than 2,000 fast-charging stations across 200 cities.

In FY24, the New Delhi-based automaker invested nearly Rs 700 crore to increase its stake in Ather Energy to 43.94% (40.89% on fully diluted basis) from 36.54% (33.11% on a fully diluted basis) in FY23. In September 2023, Hero MotoCorp pumped in Rs 550 crore as part of a larger Rs 900-crore rights issue, which also saw the participation of Singapore’s GIC Pte Ltd. In December 2023, a further Rs 140 crore was invested for 3% more stake.