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Ola Electric reported a narrower consolidated net loss for the first quarter of FY27, even as revenue declined sharply from a year ago, reflecting the company’s ongoing transition following a major operational reset undertaken in FY26.
The electric two-wheeler maker posted a consolidated net loss of Rs 336 crore in quarter ended June, compared with a loss of Rs 428 crore in the corresponding quarter last year. Revenue from operations fell 45% year-on-year to Rs 455 crore from Rs 828 crore, while Ebitda loss narrowed to Rs 165 crore from Rs 237 crore a year earlier. Other income also declined to Rs 29 crore from Rs 68 crore.
Despite the year-on-year decline, Ola Electric highlighted a strong sequential recovery in its automotive business, describing first quarter of this fiscal as the first full quarter after its operational restructuring efforts.
In its shareholder letter, the company said registrations surged 97% quarter-on-quarter, significantly outpacing the broader electric two-wheeler market’s 17% growth during the period. Ola’s market share improved to 8.4% in quarter ended June from 5.1% in the preceding quarter, while automotive revenue rose 72% sequentially.
The company said the growth was achieved on a leaner operating base following extensive cost optimisation initiatives implemented in FY26. Consolidated operating expenses declined 22% quarter-on-quarter to Rs 333 crore, and management reiterated its goal of bringing the steady-state operating cost base closer to Rs 300 crore per quarter.
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Ola Electric maintained an automotive gross margin of 30.5% despite what it described as a challenging commodity environment. The company said the margin performance underscores the strength of its product economics and positions it among the industry’s leading electric two-wheeler manufacturers in terms of gross profitability.
Operationally, the company witnessed a sharp rise in volumes. Orders nearly doubled to about 44,000 units from 22,522 units in the previous quarter, while deliveries climbed to approximately 39,200 units from 20,256 units. The increase in volumes helped automotive revenue reach Rs 455 crore, with gross profit improving to Rs 139 crore.
Management attributed the improvement to stronger execution, growing adoption of artificial intelligence across sales, registration and fulfilment processes, and a streamlined operating structure designed to improve scalability and efficiency.
Meanwhile, Ola’s battery cell manufacturing business continued to advance. The company said its Gigafactory is expected to become operational with 6 GWh capacity by September. It is also expanding the integration of its in-house battery cells across its vehicle portfolio, with its 4680 NMC Bharat Cell already deployed in performance models and its 46100 LFP cell receiving BIS certification for future mass-market applications.
Looking ahead, Ola Electric said its focus remains on expanding market share, improving productivity through technology and leveraging scale to move closer to operating profitability while capitalising on the growing adoption of electric mobility in India.
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