Home Other Ola Electric revenue fall 55% to ₹470 cr in Q3

Ola Electric revenue fall 55% to ₹470 cr in Q3

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In a period described by management as a “structural reset,” Ola Electric Mobility Ltd reported a sharp 55% year-on-year (YoY) decline in revenue for the third quarter ended December 31, 2025. According to financial results released on February 13, 2026, consolidated revenue from operations fell to ₹470 crore, down from ₹1,045 crore in the same quarter last year.

The company attributed the slump to a deliberate decision to “fix the fundamentals” of its service execution and cost structure rather than chasing short-term sales volume.

Q3 FY26 Financial & Operational Snapshot

The quarter was marked by a significant drop in vehicle deliveries, which impacted the top line, though the company managed to improve its gross margins through vertical integration.

MetricQ3 FY25Q3 FY26Change (YoY)
Revenue from Operations₹1,045 Cr₹470 Cr↓ 55.0%
Net Loss₹564 Cr₹487 CrNarrowed 13.7%
Scooter Deliveries84,029 Units32,680 Units↓ 61.1%
Consolidated Gross Margin18.6%34.3%↑ 1,570 bps

Key Financial Notes:

  • Loss Widening (QoQ): While the net loss narrowed compared to last year, it widened sequentially from the ₹418 crore loss reported in Q2 FY26.
  • Cost Cutting: Total operating expenses dropped 34% YoY to ₹432 crore as the company reduced its retail footprint from 4,000 stores to approximately 700 stores.
  • EBITDA Breakeven: CEO Bhavish Aggarwal stated the company has lowered its EBITDA breakeven point to approximately 15,000 units per month.

The Pivot: Cells and Energy Storage

With vehicle sales under pressure, Ola Electric is increasingly highlighting its progress in battery technology and stationary energy storage.

  • 4680 Bharat Cells: Cell production doubled quarter-on-quarter to 72,418 units. The company has begun the commercial deployment of these in-house cells in customer vehicles and is now opening them up for third-party sales.
  • Ola Shakti: The company officially entered the Battery Energy Storage System (BESS) market this quarter, targeting residential and commercial portable power solutions.
  • Gigafactory Timeline: The installed capacity at the Ola Gigafactory is currently 2.5 GWh, with plans to scale to 6 GWh by March 2026.

Addressing the Service Crisis

Acknowledging that service execution issues had severely eroded brand trust, the company reported progress on its “Hyperservice” initiative:

  1. Backlog Reduction: The service backlog has been halved, with peak wait times dropping from 14 days to 7–8 days.
  2. Same-Day Resolution: Approximately 80% of service requests are now reportedly being completed on the same day.
  3. AI Diagnostics: The company has deployed AI-led automation to speed up diagnostics and job card processing for technicians.

Market Reaction: A New All-Time Low

Following the earnings announcement, Ola Electric’s shares touched a record low of ₹30.41 on the BSE on February 13, 2026, before closing at ₹30.90. The stock has now declined more than 50% from its August 2024 listing price of ₹76.

“Q3 marks a structural reset. We chose to fix the fundamentals—restoring service, resetting our cost structure, and deepening vertical integration. The result is a leaner operating model with materially lower breakeven.” — Bhavish Aggarwal, CMD, Ola Electric.

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