Ola Electric Q1 result: Loss widens to ₹428 crore, revenue drops 50%

Ola Electric Q1 FY26 result: The EV maker expects to deliver up to 375,000 vehicles in FY26, with projected revenues of ₹4,200-4,700 cr

Ola Electric Mobility's consolidated loss widened to ₹428 crore in the first quarter (Q1) of the financial year 2025-26 (FY26), up 23 per cent from ₹347 crore reported during the same period last year. On a quarterly basis, however, the loss nearly halved from ₹870 crore reported during the January-March quarter.  

Consolidated revenue from operations also dropped nearly 50 per cent to ₹828 crore year-on-year (Y-o-Y) from ₹1,644 crore. Sequentially, revenue grew 35.5 per cent from ₹611 crore. 

Ola Electric Q1: Ebitda turns positive in June

The company's auto segment turned earnings before interest, taxes, depreciation, and amortisation (Ebitda) positive in June, driven by improved gross margins and cost efficiencies from its vertical integration strategy, the company said in an exchange filing on Monday. Gross margins in the auto business rose to 25.6 per cent in Q1 FY26, up from 13.8 per cent in the previous quarter.

 

 

Ola Electric’s Ebitda loss for the auto segment narrowed significantly to -11.6 per cent in Q1, compared to -90.6 per cent in Q4FY25. Consolidated Ebitda improved to -28.6 per cent. The company also reported a marked improvement in free cash flow, which stood at -₹107 crore in Q1 versus -₹455 crore in the previous quarter.

 

The cost optimisation programme ‘Project Lakshya’ helped reduce monthly auto operating expenditure to ₹105 crore from ₹178 crore. Consolidated opex fell to ₹150 crore per month, with the company targeting a further reduction to ₹130 crore over the course of FY26.

 

Full-year auto Ebitda is expected to exceed 5 per cent.

 

Vehicles delivered in Q1

Ola Electric delivered 68,192 vehicles during the quarter, marking a 32.7 per cent rise over the previous quarter. 

 

The EV maker further expects to deliver between 325,000 to 375,000 vehicles in FY26, with projected revenues of ₹4,200–4,700 crore. The management anticipates gross margins to reach 35–40 per cent in the coming quarters as benefits under the production-linked incentive (PLI) scheme begin to accrue from Q2. 

 

The newly introduced Gen 3 scooters accounted for 80 per cent of total sales in Q1 FY26, and the software platform MoveOS+ saw adoption surge to nearly 50 per cent from just 2 per cent in Q4FY25.

  Shares of Ola Electric were trading at ₹41.68, up nearly 5 per cent on the BSE at 11:15 am. 

Ola Electric Q1 highlights

Revenue from operations: ₹828 crore, down 49.6 per cent

 

Net loss (attributable to owners): ₹428 crore, up 23 per cent

 

Earnings per share (EPS): 0.97 (basic and diluted)