CommercialBHP

Euler Motors Aims ₹400 Cr in FY26 & EBITDA Breakeven by 2029

Euler HiLoad EV three-wheeler cargo vehicle

In the dynamic world of electric commercial vehicles, Euler Motors is charting an ambitious growth trajectory. The Delhi-based EV startup aims to double its revenue in FY26, from ₹192 crore in FY25 to around ₹400 crore, while also targeting EBITDA breakeven by 2029. Outlook Business+3Business Standard+3The Financial Express+3

This blog delves into Euler’s strategy, product portfolio, market dynamics, and the challenges it must overcome to hit these targets.

Euler Motors at a Glance

In FY25, Euler Motors achieved ~₹192 crore in revenue and sold approximately 3,200 vehicles. Autocar Pro+1 The company currently has operations in about 55–60 cities, with ambitions to grow to 100 cities by end of the financial year. Business Standard+2Outlook Business+2

Backed by Hero MotoCorp, which holds a ~34% stake, Euler is financially stronger than many peers in the EV space. Autocar Pro+2Outlook Business+2

The FY26 Revenue Target: Doubling to ₹400 Crore

Why ₹400 Crore?

Euler’s target is effectively a 100% year-on-year growth over FY25. CEO Saurav Kumar noted that their FY25 revenues were ~₹192 crore, and they aim to push that to ₹400 crore in FY26. The Financial Express+3Business Standard+3Autocar Pro+3

Key Drivers of Growth

  1. Euler has raised capital in Series D (~₹638 crore led by Hero & BII) and has raised ~₹1,420 crore in total to date. Autocar Pro+2Outlook Business+2 That gives it room for expansion, product development, and absorbing early losses to chase growth.
  2. New Product Launches & Affordable EVs
    The launch of the Turbo EV 1000 (1-tonne mini-truck) will help penetrate a segment that traditionally sees high ICE sales. The Financial Express+3Outlook Business+3Business Standard+3 Euler claims to have narrowed the price gap with ICE vehicles through localization and R&D, e.g. pricing the Turbo EV 1000 near the cost of comparable diesel-run CVs. Outlook Business+2Business Standard+2
  3. Geographic Expansion & Dealer Network Scaling
    Euler plans to increase its presence from 55–60 cities to 100 cities by year end, thereby deepening reach and market penetration. Business Standard+2Autocar Pro+2 More city presence often translates into more orders and faster delivery timelines.
  4. Volume Scale & Operational Efficiency
    With increasing scale, unit costs (procurement, logistics, R&D amortization) can improve. Euler’s capacity expansion, improved supply chain, and economies of scale will help margin expansion as well.
  5. Rising EV Adoption in Commercial Vehicles
    The sub-3.5 tonne commercial vehicle segment sells over 5 lakh units annually in India, with ~40% (~2 lakh units) from mini-truck/sub-1 tonne space. The Financial Express+2Outlook Business+2 While EV penetration in 4-wheeler CVs is low (~1.5%), the opportunity is substantial. The Financial Express+2Outlook Business+2
  6. Backing and Funding
    Euler has raised capital in Series D (~₹638 crore led by Hero & BII) and has raised ~₹1,420 crore in total to date. Autocar Pro+2Outlook Business+2 That gives it room for expansion, product development, and absorbing early losses to chase growth.

Risks to Revenue Growth

  • Supply chain shortages (e.g. rare earth magnets, semiconductors)
  • Competition from legacy OEMs & other EV startups
  • Execution risk in scaling operations, logistics, and after-sales network
  • Customer acceptance and financing challenges for fleet buyers

EBITDA Breakeven by 2029: What It Means & Feasibility

Defining EBITDA Breakeven

EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) breakeven means that core operating profits cover fixed and variable costs (before accounting for depreciation, interest, tax). In simpler terms, the business becomes cash-operationally self-sustaining.

Euler expects to hit this milestone in about 3 to 3.5 years, i.e. by 2029. Autocar Pro+2Outlook Business+2 The company claims it is already “profitable on product without subsidy,” and is now focusing on achieving profitability at the contribution (operating) level. Outlook Business+1

Key Pillars to Achieve EBITDA Breakeven

  1. Margin Improvement Through Scale
    As sales volumes increase, fixed costs dilute, procurement bargaining power improves, and manufacturing overheads get spread over more units.
  2. Localization & Component In-house Manufacturing
    Euler already builds battery packs, BMS, electronics, telematics, etc. Business Standard+2Outlook Business+2 Deeper localization reduces reliance on imports and volatile forex.
  3. Product Mix Optimization
    Higher-margin variants and value-added services (charging infrastructure, software, fleet services) can uplift overall profitability.
  4. Operational Efficiency & Cost Control
    Lean operations, optimized logistics, supply chain resilience, and efficient dealer & after-sales network help curtail cost overruns.
  5. Growing After-Sales & Services Revenue
    Maintenance contracts, battery swaps, telematics data services etc. could contribute recurring revenue with good margins.
  6. Funding Buffer & Strategic Investment
    To absorb any lag or delays, sufficient capital reserves and prudent investment pacing will be critical.

Challenges on the Path to EBITDA Breakeven

  • Upfront fixed costs (R&D, facility, network buildout) are heavy
  • Any market slowdown or regulatory headwinds may delay adoption
  • Price pressure from competition or subsidy cuts
  • Managing depreciation, capital expenditure, and interest burden

Given the roadmap and backing, achieving EBITDA breakeven by 2029 is ambitious but not unattainable—provided execution stays on track.

SWOT Analysis for Euler Motors

StrengthsWeaknesses
Strong backing (Hero MotoCorp)Early-stage losses and high fixed costs
Diverse product portfolio (3W, 4W, mini-truck)Low current EV penetration in target segment
Technology & component control (battery, BMS, telematics)Dependence on critical imports (magnets, cells)
Growth ambition & capital supportExecution risk in scaling fast
OpportunitiesThreats
Massive addressable market in commercial EVsEntry of established OEMs aggressively
Government incentives & EV policy tailwindsSupply chain disruptions (raw materials)
Fleet electrification push (logistics, last mile)Price wars, subsidy changes
Exports once domestic penetration achievedEconomic slowdown affecting fleet buyers

Conclusion

Euler Motors is making a bold bet: doubling revenue in FY26 to ₹400 crore and achieving EBITDA breakeven by 2029. To turn this vision into reality, it must execute well across product launches (especially the Turbo EV 1000), scale its geographic presence, improve margins via localization, and manage costs tightly.

The EV commercial vehicle sector in India has vast potential, especially in under-penetrated segments. Euler’s backing, ambition, and technology focus give it a strong footing—yet the journey will demand consistency, strong execution, and adaptability.

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