“Q3FY26 marks a structural reset for Ola Electric. As EV penetration growth has slowed and our service execution has required strengthening, we chose to realign our retail footprint, cost structure, and operating model to a sustainable steady state by fixing the fundamentals and not optimising for short-term volume. The result is a structurally lower volume breakeven business with significantly improved operating leverage,” the company said in a release.
Adjusted operating EBITDA losses reduced to Rs 323 crore in the third quarter from Rs 494 crore a year ago.
Revenues from the automotive segment fell sharply to Rs 467 crore from Rs 1,045 crore in the last year period. The cell segment recorded revenues of around Rs 9 crore.
The big miss was on the deliveries front, where total units sold during the quarter slumped to around 32,680 from 84,029 in the previous year quarter.
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The company has invested Rs 5,300 crore across manufacturing infrastructure, battery innovation, and R&D platforms. “This scale of this investment towards EVs is unmatched among Indian OEMs and is a very strong structural advantage over competitors,” Ola said.
The company further said the heavy capex phase is largely behind, with the Gigafactory final phase completion by March 26. “Our current manufacturing footprint supports 1 million vehicles and 6 GWh of cell capacity. The focus is now on growing into this revenue potential of Rs 15,000-20,000 crore over next few years,” it added.Also read: Rs 6 lakh crore wipeout in 8 days! Is AI rewriting the rules for $250 billion Indian IT industry?
Ola has acknowledged that service execution gaps impacted brand trust for prospective customers. “These were service infrastructure and execution issues and not product quality issues. Customer trust and preference for our product remains strong, as indicated by an independent third-party survey showing 90% overall product satisfaction and high repurchase intent.”
On Friday, Ola Electric shares closed 0.1% lower at Rs 30.92 on NSE.
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