Bengaluru, May 29, 2025: The financial performance of Ola Electric is experiencing significant turbulence for Q4FY25.
Ola Electric reported that its net loss nearly doubled to ₹870 crore from ₹416 crore in the same quarter of the previous year in its financial results for the last quarter of the fiscal year 2025.
The companys revenue dropped 62% to ₹611 crore in Q4 FY25 from ₹1,598 crore in the same quarter of the previous year.
Ola recorded a net loss of ₹2,276 crores for the fiscal year that ended on March 31, 2025, which is much greater than the ₹1,584 crores for the previous year.
Ola’s total expenses for FY25 also ballooned to ₹6,253 crores, with the cost of materials consumed accounting for ₹3,600 crores. Expenses for employee benefits came to ₹463 crores, while other costs came to ₹2,082 crores. The finance costs of the company went up from 186 crores to 366 crores in the previous year.
In terms of income, the company reported total revenue of ₹4,645 crore for the fiscal year 2025, which ended on March 31, 2025. This is a decrease from ₹5,126 crore for the fiscal year 2024.
In Q4 FY25, Ola Electric’s EBITDA margin dropped to -101.4% from -16.4% in Q4 FY24. Furthermore, deliveries were almost cut in half, reaching 51,375 units.
Ola Electric said it expects deliveries to increase to 65,000 units by the end of the ongoing first quarter of FY26. This will mark a rise from the 51,375 deliveries reported in the previous quarter (Q4 FY25). The firm expects its consolidated EBITDA margin to improve significantly to -25% in Q1 FY26 from -101.4% in Q4 FY25.
“We expect gross margins in the first quarter of FY26 (Q1 FY26) to improve by an additional 10 per cent over the fourth quarter of FY25 (Q4 FY25),” said Bhavish Aggarwal, chairman and CEO of Ola Electric Mobility, during a conference call with analysts.
According to the company, the advantages of the government’s Production Linked Incentive programme will help its gross margins increase to about 35% in Q2 of FY26.
Regarding the company’s product line, management informed analysts that Ola’s S1 portfolio continues to be one of the most expansive EV scooter lineups, with nearly 1 million units sold. The Ola S1 franchise now includes 14 products across Gen 2 and Gen 3. With the introduction of Gen 3, we have achieved 20% higher peak power, 20% more range, and an 11% cost reduction compared to our industry-leading Gen 2 platform. With some technological advancements, Gen 3 also establishes new benchmarks for the industry,” the company stated.
In response to enquiries regarding its plans, the company stated that it has already begun delivering the Roadster X series in May 2025, thereby establishing Ola Electric as the sole major OEM to provide an EV motorcycle product and reaching a sizable, underserved market.
The company has stated that as it moves towards long-term profitability, its primary focus will be on increasing revenue and operating leverage. “Ola Electric is well positioned to drive the next phase of EV adoption in India across both scooters and motorcycles with a robust product roadmap, vertical integration and R&D focus, and strong distribution and service infrastructure,” company officials stated.
