Shares of electric two-wheeler maker Ola Electric Mobility fell nearly 10% on Friday, May 30, a day before the company released its financial results for the fourth quarter of FY2024-25.
The stock fell 9.72% to ₹48.06 on the National Stock Exchange (NSE). At 11:02 am, it was down 5.4% at ₹50.35 per unit.
Ola Electric reported a consolidated net loss of ₹870 crore in the fourth quarter of FY2025 as against a net loss of ₹416 crore in the same quarter a year ago. The company said it is targeting profitability in the current financial year.
Revenue from operations declined 61.76% to Rs 611 crore in the latest March quarter as against Rs 1,598 crore in the same period previous fiscal, the company said in a regulatory filing.
For FY25, the net loss widened to Rs 2,276 crore from Rs 1,584 crore in the previous fiscal. Revenue declined to Rs 4,514 crore compared to Rs 5,010 crore in FY24. Ola Electric targets profitability in FY26 The Bhavish Aggarwal-led firm said it expects to turn profitable in FY26.
“The focus in FY26 will be on driving revenue and operating leverage as the company continues to drive sustainable profitability,” Ola Electric said. It said its gross margin grew by 38% in FY25 The company delivered 3,59,221 units in FY24-25 as against 3,29,549 units in FY24, thereby achieving 30% market share (as per VAHAN data).
Through project expansion (for network transformation) and project targets (for cost reduction and profitability), the automobile company said it has been able to structurally reduce its auto segment EBITDA break-even point to less than 25,000 units per month.
“The lower break-even threshold, revenue growth driven by industry growth, increase in S1 market share and introduction of motorcycles enable the company to target auto segment EBITDA profitability by FY26,” it said. “April and May 2025 have seen early signs of structural improvements that are translating into business momentum.
This includes higher gross margins and lower operating expenses excluding PLI, higher monetisation through add-ons, Generation 3 sales now being more than 2x that of Generation 2, and strong demand for our roadster motorcycles. The company expects this strong performance to continue for the rest of the year and achieve auto segment EBITDA profitability in FY26.”
