Founder Stack

Bounce has restarted its scooter rental business with electric two-wheelers manufactured by the company, moving further toward a recurring-revenue model focused on gig and delivery workers. The Bengaluru-based electric mobility startup is now close to deploying 14,000 scooters on rentals and is expected to reach 20,000 soon, according to people aware of the company’s operations. The rental business is generating an annualised revenue run rate of around $15 million, they added. The progress comes as Bounce reported Rs 44.05 crore in consolidated operating revenue in FY26. Rental services emerged as its largest revenue stream, contributing Rs 35.78 crore, or around 81% of operating revenue, according to its financial statements reviewed byEntrackr. The company also reported Rs 9.59 crore in consolidated EBITDA during the fiscal year. While the reported EBITDA included some non-cash items, people familiar with the business said Bounce has since reached profitability at the group level. The company recorded a PAT margin of around 19% in July, they added. Bounce had earlier focused on selling electric scooters directly to consumers. It has now restarted rentals using its own electric vehicles, with Bounce Daily targeting gig and delivery workers who need two-wheelers for work without the upfront cost of buying one. The rental model gives Bounce a recurring revenue stream while allowing it to use its manufacturing capabilities more directly. Unlike operators that depend on third-party OEMs, Bounce controls the vehicle design, manufacturing, and maintenance cycle, according to people familiar with the company. This full-stack approach is also central to the company’s economics. Bounce’s own scooters are purpose-built for gig workers, while in-house manufacturing reduces dependence on external OEMs for parts and spares and can help minimise vehicle downtime. The shift is visible in the company’s FY26 cost structure. As scooter sales reduced, material costs fell significantly, while rental income became the dominant contributor to operating revenue. Bounce’s total expenses stood at around Rs 76 crore during the year. The reported EBITDA, however, needs some context. Bounce recorded Rs 23.32 crore in other income mainly from the write-back of GST input credit, a non-cash item. It also reported around Rs 11.4 crore in non-cash expenses, including Rs 7 crore related to the FAME subsidy and Rs 4.4 crore related to advances, inventory and receivables. After adjusting for these items and ESOP costs, the company’s adjusted EBITDA stood at a loss of Rs 1.83 crore in FY26. Its consolidated net loss was Rs 5.48 crore, while cash flow from operating activities remained negative at Rs 6.23 crore. The latest operating numbers suggest that the rental business has since moved ahead of the FY26 reported base. With close to 14,000 scooters already deployed and a path toward 20,000, the key question is whether Bounce can sustain fleet utilisation and margins as it scales.