Ola Electric's Q4 losses double to ₹870cr as revenue plummets
What's the story
Ola Electric, a leading player in the electric two-wheeler market, has reported a massive spike in its losses for the fourth quarter of FY25.
The company's net loss for the January-March period stood at ₹870 crore, more than double from ₹416 crore during the same period last year.
This comes amid intense competition in the electric two-wheeler segment and regulatory uncertainty over subsidies.
Financial downturn
Ola Electric's revenue declines significantly
Along with the rising losses, Ola Electric also witnessed a major drop in its revenue for the January-March quarter.
The company's operating revenue stood at ₹611 crore, a massive 62% decline from ₹1,598 crore during the same period last year.
This is one of the steepest quarterly revenue declines since Ola Electric began commercial two-wheeler deliveries in late 2021.
Deliveries fell sharply to 51,375 units from 1.15 lakh units in Q4FY24.
Margin improvement
Ola Electric's gross margin improves slightly
Despite the financial challenges, Ola Electric did see a slight improvement in its gross margin.
The company's gross margin improved marginally to 19.2%. This was attributed to better monetization and an increasing share of Gen-3 platform vehicles in its portfolio.
These new vehicles offer 20% more power and range at an 11% lower cost than the previous generation Gen-2 scooters.