Ola Electric slips out of top 5 EV manufacturers
What's the story
Ola Electric, once a dominant player in India's electric two-wheeler market, has slipped out of the top five in terms of monthly sales volumes. The company was overtaken by Greaves Electric Mobility in February. According to data from Vahan, Ola Electric sold just 3,968 vehicles during the month, giving it a market share of only 3.7%. This is a far cry from the company's performance two years ago when it sold 34,063 scooters in February alone.
Market shift
Greaves Electric Mobility overtakes Ola Electric
Greaves Electric Mobility, which sells electric scooters under the Ampere brand, surpassed Ola Electric with sales of 4,725 units in February. This gave it a market share of 4.3%. Notably, Greaves was one of the companies flagged for violating Faster Adoption and Manufacturing of Hybrid and Electric Vehicles (FAME-II) subsidy norms by the Government of India. Other companies similarly flagged include Hero Electric, Okinawa Autotech among others.
Market dominance
Legacy manufacturers dominate the EV segment
Legacy manufacturers are consolidating their hold on the EV segment. TVS Motor Company retained its leadership position with a 29.4% market share, followed by Bajaj Auto at 23.5%. Ather Energy, Ola Electric's closest rival in the pure-play electric segment, sold 20,585 scooters during the month, capturing a whopping 19.1% of the market share. Hero MotoCorp also reported sales rising to 12,512 units, holding an 11.2% market share in February.
Operational strain
Ola Electric's retail rationalization
Ola Electric's sales decline comes amid a major rationalization of its physical retail footprint. The company has cut its store network to 700 outlets as part of a "structural reset." On February 20, ET reported that Ola Electric plans to further pare its physical store count to around 550 by March-end amid mounting operational challenges. Investor sentiment has also weakened with shares of Ola Electric opening at an all-time low of ₹21.2 on BSE on Monday.
Financial outlook
Diversification beyond electric scooters
Ola Electric reported a net loss of ₹487 crore for the quarter ending December 31, 2025. Operating revenue also fell 55% year-on-year (YoY) to ₹470 crore. The company is now looking to diversify beyond electric scooters. Earlier this year, it entered the non-automotive energy storage segment with 'Shakti,' a residential battery energy storage system manufactured at its gigafactory in Krishnagiri, Tamil Nadu.