Bhavish Aggarwal's electric mobility company, Ola Electric, reported a net loss of ₹870 crore in the January-March quarter of FY2024-25, more than double the ₹417 crore loss in the same period last year. Consequently, the company's total loss for FY25 stood at ₹2,276 crore, significantly higher than the ₹1,586 crore loss in FY24.

Ola Electric's revenue decreased by 62% in Q4 FY25 to ₹611 crore from ₹1,598 crore in the year-ago period, while the company's full-year revenue fell by 10% to ₹4,645 crore in FY25 compared to ₹5,126 crore in FY24.

The Bengaluru-based Ola Electric announced its financial results for the year ended March 31, 2025, today. The company’s revenue for FY25 fell by 9.38% to ₹4,645 crore, against ₹5,126 crore for the year ended March 31, 2024.

Notably, Ola Electric's rival, Ather Energy, a recently listed EV player, surpassed Ola Electric in quarterly revenue, recording an operating revenue of ₹676 crore in Q4 FY25.

Ola Electric said it expects to achieve auto segment EBITDA profitability in FY26. However, its EBITDA loss for Q4 FY25 increased to ₹512 crore compared to ₹154 crore in the same period last year. "Through Project Vistaar and Project Lakshya, the company has been able to structurally reduce its auto segment EBITDA break-even point to under 25,000 units per month," Ola Electric said.

Despite heavy losses, Ola Electric maintained its market leadership position in two-wheeler EV space, with 3,59,221 units delivered in FY25 against 3,29,549 units delivered in FY24, driven by its improved Gen 3 S1 scooter portfolio, capturing a market share of 30%, according to VAHAN data.

Ola Electric mentioned that with a focus on cost reduction and profitability through Project Lakshya, it had earlier set the target operating cost structure for the auto segment at ₹110 crore. It is currently trending at ₹121 crore in April 2025 and could potentially achieve the target of ₹110 crore by June 2025.

Ola Electric claims that with over 4,000 touchpoints, it became India’s largest EV distribution network in FY25, with over 50% of stores located in Tier 3 and rural markets.

Ola Electric stated that it remains on track for profitability. "The rollout of Gen 3 in Q4 FY25 was a key driver of the company’s Gross Margin improvement. Q1 FY26 Gross Margins showed an improvement of 10 percentage points over Q4 FY25, which will be further helped by the scale-up of the Gen 3 platform."

Notably, this performance does not include PLI (Production Linked Incentive) on Gen 3, which is expected to accrue in Q2 FY26, compared to 100% of the product portfolio accruing PLI in Q3 FY25. The company anticipates its gross margins to improve to around 35% in Q2 FY26 with PLI.

Ola stated that it is ramping up production at the Ola Gigafactory, with improving yields of its Bharat Cell, which is undergoing testing across performance, lifecycle, and safety parameters. "FY26 will be focused on scaling revenue and operating leverage as the company marches towards sustainable profitability."

The Ola Electric Mobility share closed 0.60% higher at ₹53.24 on the BSE today.

The Ola Electric Mobility board recently approved raising funds via debt instruments. The Bhavish Aggarwal-led firm approved a proposal to raise ₹1,700 crore through the issuance of non-convertible debentures (NCDs) or other debt securities. However, the company did not disclose the objective of the fundraising.