Zoho-backed Ultraviolette reports Rs 32 Cr revenue and Rs 116 Cr loss in FY25

Electric mobility firm Ultraviolette Automotive grew its operating scale by 115 percent in the fiscal year ending March 2025. However, its losses also rose 88 percent and crossed the INR 115 crore threshold during the same period due to a more than 2X surge in the cost of parts, batteries, and other inputs.

The company’s revenue from operations grew to INR 32.3 crore in FY25 from INR 15 crore in FY24, according to its annual financial statements sourced from the Registrar of Companies (RoC).

Founded in 2015 by Narayan Subramaniam and Niraj Rajmohan, Ultraviolette designs performance-oriented, aspirational EV two-wheelers. Revenue from the sale of these two-wheeler vehicles was the sole source of revenue for the company.

The cost of materials was not the primary expenditure for the two-wheeler manufacturer. Instead, employee benefit expenses emerged as the largest cost driver, making up 31 percent of the total expenses. This cost rose 28 percent to INR 59 crore in FY25. The company also spent INR 7.6 crore in research and development and INR 7 crore in IT expenses in the same period.

Cost of material, however, jumped 2.2X to INR 33 crore in FY25 from INR 15 crore in FY24, while advertising spiked 4.8X to INR 29 crore in FY25. The company’s depreciation stood at INR 27.5 crore. Overall, total expenses rose 77 percent to INR 189 crore in FY25 from INR 107 crore in the previous year.

With expenses far outpacing revenue growth, Ultraviolette’s net loss increased 88 percent to INR 116 crore in FY25 from INR 61.6 crore in FY24. Its ROCE and EBITDA margin widened to -40.88 percent and -396.75 percent, respectively.

On a unit basis, the firm spent INR 5.85 to earn a rupee in FY25, an improvement from INR 7.13 spent per rupee of revenue in the previous year. Ultraviolette closed the fiscal year with INR 46 crore in cash and bank balances and current assets worth INR 170 crore.

According to TheKredible, Ultraviolette has raised a total of USD 100 million in funding to date, having TVS Motor Company and Mudhal Partners as its lead investors. The company’s co-founders, Narayan Subramaniam and Niraj Rajmohan, together own 29 percent of the company.

The thing about aspirational vehicles is, they are not aspirational for the premium pricing. These are strong brands that count on imagery, testimonials and strong personalities to build that aspiration among users. In today’s day and time, some luck with a viral social media campaign will also help. Sometimes, even that isn’t enough as the Indian buyer at all levels remains conscious of after-sales service and other factors such as resale as well. 

Ultraviolette doesn’t seem to have done any of that, and it’s still deeply in the red. While its backers obviously know that, the firm needs to make that final risk of investing in a theme, person or association to crack open the market for its pricey bikes. If the investors are convinced about this ability and the product, they need to back it with the funding needed to get there fast.

India EV Industry

India is making strides in EV, with the growth largely contributed by electric two wheelers (e2w) and electric three wheelers (e3w) segments, driven by strong interest among Indian consumers in new energy vehicles (NEVs), with 83 percent of respondents indicating their readiness to choose NEVs exclusively for future purchases by the end of this decade. 

More players are coming forth with their clean mobility solutions for the Indian market. For instance, Vedanta Limited announced that it has invested over INR 12,500 crore to boost metal production for India’s electric vehicle industry. On August 4, 2025, Vietnam’s EV maker VinFast opened its first overseas plant in Thoothukudi, Tamil Nadu. Suzuki Motor also announced a USD 8 billion investment in India over five years and began production of its first EV in Gujarat. 

So far, issues like the lack of EV charging points and range anxiety have challenged EV growth in India. However, the recent years have seen a rapid improvement on these fronts. 

India’s public EV charging network has expanded rapidly at a CAGR of about 72 percent between FY22 and FY25, increasing from around 5,151 chargers in CY22 to 11,903 in CY23, doubling to 25,202 by the end of FY24, and reaching 29,277 as of July FY25 - a five-fold increase over the period.

By Arrangement with Entrackr