3 weeks ago
Ola Electric Sees Service Revenue Tripling to ₹500 Crore
Ola Electric makes electric scooters.
The company wants to make more money from servicing its scooters, not just from selling them.
Right now, it expects about ₹130 crore from services in FY26.
It hopes that service money will grow to between ₹400 and ₹500 crore by FY28.
Ola already has more than one million customers riding its scooters.
The company also plans to use two different kinds of batteries.
One kind, called NMC, is for powerful, performance-style scooters.
Another kind, called LFP, is cheaper and will go into mass-market scooters.
The LFP battery has been certified by the Bureau of Indian Standards.
Using cheaper batteries may make electric scooters more affordable for more people.
Ola Electric targets service revenue growth from around ₹130 crore in FY26 to ₹400-500 crore by FY28, roughly tripling the figure.
The EV maker expects an approximately 65% gross-margin profile on service revenue.
Ola Electric has an installed base of more than 1 million customers.
The company is pursuing a dual battery chemistry strategy: NMC cells (4680 Bharat Cell) for performance models and LFP cells (46100, BIS-certified) for mass-market scooters.
LFP batteries will be progressively integrated into electric scooters with battery packs below 4 kWh to improve affordability.
- Who
- Ola Electric, the Indian electric vehicle maker
- What
- Announced plans to triple service revenue to ₹400-500 crore by FY28 and deploy a dual battery chemistry strategy using NMC and LFP cells
- Where
- Not explicitly stated in the article; Bureau of Indian Standards certification implies India
- When
- By fiscal year 2028 (FY28), with service revenue of around ₹130 crore targeted for FY26
- Why
- To deepen customer monetisation, increase customer lifetime value, create a high-margin recurring revenue stream, and improve affordability in the mass-market segment
Key facts
- Company
- Ola Electric
- Service Revenue (FY26)
- Around ₹130 crore
- Service Revenue Target (FY28)
- ₹400-500 crore
- Expected Service Gross Margin
- Approximately 65%
- Installed Customer Base
- More than 1 million
- Performance Battery
- 4680 NMC Bharat Cell
- Mass-Market Battery
- 46100 LFP cell (BIS certified)
- LFP Integration
- Scooters with battery packs below 4 kWh
Quotes
Ola Electric
electric vehicle manufacturer
“This can deepen customer monetisation, increase customer lifetime value and create an additional high‑margin earnings stream that contributes meaningfully to EBITDA as the installed base grows,”
businesstoday.in
“Service can evolve from primarily a customer‑support function into a meaningful recurring and high‑margin revenue stream beyond the initial vehicle sale,”
businesstoday.in
Sources
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