Ola Electric Q1 Results: Loss widens to ₹428 crore; revenue plunges 50% YoY

Ola Electric Q1 Results: The electric two-wheeler manufacturer Ola Electric on Monday, July 14, posted a wider consolidated net loss for the first quarter of the financial year 2025-26 (Q1 FY26) to ₹428 crore. The Bhavish Aggarwal-led company had posted a net loss of ₹347 crore in the same period a year ago.

However, on a quarter-on-quarter (QoQ) basis, the loss narrowed from ₹870 crore posted at the end of the March quarter of FY25.

The consolidated revenue from operations plunged 49.6% year-on-year (YoY) to ₹828 crore during the June quarter, as its sales took a beating from heavy competition. Ola Electric had reported a revenue of ₹1,644 crore in the same period last fiscal year. The performance, however, improved sequentially. The company had posted a revenue of ₹611 crore in the March 2025 quarter.

The sales declined massively during the period under review, hurt by stiff competition from other players like Bajaj Auto, TVS Motor and Ather Energy. The company delivered 68,192 units in the June quarter of FY26, as against 1,25,198 units in the same period last year.

On the operating level, the EBITDA loss for Ola Electric in Q1 FY26 stood at ₹237 crore, higher than ₹205 crore posted in Q1 FY25. The margins came in at -28.6% compared with -12.5%.

The gross margin, meanwhile, improved to 25.8% from 18.4% on a YoY basis.

"This is our best GM performance ever, driven by Gen 3 BOM reduction as a result of our focus on vertical integration and in-house tech, and this trend will continue over the next few quarters. Our FY26 exit target is to have our GM in the range of 35-40% with PLI benefits, which will be around ₹40,000 - ₹45,000 per vehicle," Ola said in a letter to shareholders.

Ahead of the announcement of the first quarter earnings for the period ended June 2025, Ola Electric share price plumbed a fresh low of ₹39.58. However, the stock soon rebounded but hovered close to the record lows.

Commenting on the Ola Electric stock, Anshul Jain, Head of Research at Lakshmishree Investments, said the EV stock, after breaking below its previous all-time low of 45, is now hovering near the 40 mark and continues to show clear signs of weakness on the charts.

"The current price structure and lack of buying conviction suggest more downside risk, with a test of the 34 level looking increasingly likely if weakness persists. For any meaningful reversal or sustainable bounce to emerge, the stock must manage a decisive close back above 45 on a weekly basis, which seems unlikely in the present scenario. Until then, investors should stay cautious and avoid fresh longs," he advised.

As of 10.55 am, Ola Electric share price was at ₹40.01, up 0.48% on the BSE.

Disclaimer: This story is for educational purposes only. The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.

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