Ola Electric’s losses more than doubled in the January-March quarter to Rs 870 crore, driven by a sharp revenue decline, mounting operational challenges, and intensifying competition from legacy automakers. The figure far exceeded Bloomberg’s consensus estimate of Rs 407.80 crore net loss.
Revenue from operations dropped 56.4% year-on-year to Rs 726 crore, well below the Rs 915 crore expected by Bloomberg. The fall in topline performance was attributed to a slowdown in vehicle registrations, disruptions in scaling its direct-to-customer sales and service network, and pressure from traditional OEMs that have accelerated their electric vehicle offerings. Regulatory scrutiny over sales reporting further weighed on quarterly performance.
Vehicle deliveries nearly halved in the quarter, down to 51,375 units from 115,000 units in Q4FY24. Still, the company claimed to have retained market leadership for FY25, with full-year deliveries rising to 359,000 units, up from 329,000 a year earlier.
Founder Bhavish Aggarwal said momentum is expected to return with the rollout of the electric motorcycle Roadster. He added that Ola has completed or is in the process of securing trade certifications and is in discussions with authorities to address queries related to its February sales data. “We received around 25,000 orders in February, of which 3,000 were canceled. About 2,000 were for the Roadster. Deliveries of the other models had been delayed but are now underway,” he said.
Ola Electric expects the auto business to turn Ebitda positive by June-July, banking on a recovery in Q1 FY26 and benefits under the production linked incentive (PLI) scheme.
Although the company has begun producing its in-house Bharat 4680 battery cells, commercial deployment has been pushed beyond Q1 FY26. “We’ve successfully tested our products with the 4680 cell. Integration is ready, but the rollout will now happen in select variants next quarter,” Aggarwal said.
Capital expenditure for FY26 is expected to be modest, between Rs 100–200 crore, with capacity to support volumes of up to 25,000 units. For its cell manufacturing business, Ola has earmarked Rs 1,600 crore, of which Rs1,100 crore will be raised through existing debt lines and the remaining Rs 400 crore from equity.
