Ola Electric’s net loss for the period stood at ₹870 crore, which was wider than the loss of ₹416 crore during the same quarter last year. The figure is also higher than the ₹564 crore loss it had reported in the December quarter.
Revenue for the quarter declined by 62% from last year to ₹611 crore. Ola had reported revenue of ₹1,045 crore during the December period.
Ola Electric’s Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) stood at a loss of ₹695 crore, from a loss of ₹312 crore in the year-ago quarter.
Credit rating agency ICRA has downgraded Ola Electric’s rating to BBB+ from A2, while maintaining a negative outlook.
Rationale for the downgrade
– Slower-than-expected scale-up in electric two-wheeler (e2W) sales volumes.
– The decline in volumes is likely to result in a prolonged period of cash burn.
– The company may be required to raise additional capital over the next 12 to 24 months to support operations and expansion.
– Competitive pressures in the e2W segment have intensified significantly in recent months.
– Net loss is expected to widen to ₹1,900–2,000 crore in FY25, compared to ₹1,600 crore in FY24.
– While short-term profitability remains under pressure, margins are expected to improve from FY2026 onwards.
Shares of Ola Electric Mobility settled 0.55% higher on Thursday at ₹53.20. The stock is down 30% from its IPO price of ₹76.
First Published: May 29, 2025 12:42 PM IST
