Ather Energy has commissioned its second manufacturing facility in Hosur to cater to the rising demand for its 450X and 450 Plus electric scooters. With the new EV factory, the company aims to manufacture 4,00,000 units annually, which is a significant jump from its current capacity of 1,20,000 units. Ather Energy had set up its first manufacturing facility at Hosur earlier this year. In October, Ather Energy registered its best-ever monthly sales numbers, reporting 12-fold growth over the last year and achieving a revenue run rate of $100 million. Ather Energy says that it has been registering 20% month-on-month sales growth since November 2020.
Watch Video | How Ather electric scooters are made:
The company has also recorded a 3X increase in walk-ins, web inquiries, and test rides from April-October 2021 and a 4X growth in vehicle booking in the period. Ather Energy had committed to invest Rs 650 crores in the next five years to enhance operational efficiency and production capacity to meet the exponential surge in demand. Apart from EV manufacturing, the new facility will also focus on lithium-ion battery manufacturing. Ather Energy plans to strengthen its retail operations by expanding to new markets and the company is aiming to expand to around 150 Experience Centers in 100 cities by March 2023.
Speaking on the development, Tarun Mehta, Co-Founder & CEO, Ather Energy said that the brand’s experience centers are scaling up rapidly, and the retail footprint is set to grow by six times in the coming quarters. So, within just 10 months of opening the current facility, Ather finds itself already operating at full capacity. He adds that the company is commissioning the second plant to be ready for 2022 and with this capacity expansion, Ather is well on its way to becoming the country’s largest EV producer by next year.