Ola Electric cuts losses as revenue drops sharply

Ola Electric reported a consolidated net loss of 5 billion rupees (US$51.7 million) for the quarter ended March 2026.

Lower expenses offset a 56.6% drop in revenue to 2.7 billion rupees (US$27.4 million).

For FY26, its net loss narrowed to 18.3 billion rupees (US$189 million), while revenue fell to 22.5 billion rupees (US$233 million).

The company said weaker-than-expected sales growth and operating losses continued to weigh on results.

It is raising fresh equity through a qualified institutional placement to support liquidity, capital spending, and working capital.

CEO Bhavish Aggarwal said Ola Electric is working to rebuild its national market share to 15% to 20% over the next six months.

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Implications, context, and why it matters.

Ola Electric cut its full-year unit sales forecast by more than 40% to about 221,000 vehicles after a steep drop in revenue and weaker demand 1.
The company wants to lift its national market share to 15% to 20% within six months after losing the top spot in India’s electric two-wheeler market to Bajaj Auto and TVS Motor. Government data put Ola’s share at about 39% in July 2024 1, 2.
Pressure grew after India halved subsidies for electric vehicle purchases, which led Ola Electric to book a one-time expense of 230 million rupees (US$2.38 million) in the April to June 2024 quarter 2.

As vehicle revenue eases, Ola Electric is shifting its focus to the energy business, said Bhavish Aggarwal, CEO 1.
Aggarwal said the company’s home battery system uses its in-house 4680 cells, a cylindrical battery format used in electric vehicles and energy storage, and could bring in 1 billion rupees (US$10.3 million) in revenue from the fourth quarter 1.
Ola plans to put profitable growth ahead of a market share chase as competition gets tougher, said Aggarwal, CEO 1.