Archive · 6 Nov 2025
Ola Electric's Q2 FY26 Revenue Declines 43%, Net Loss Narrows
Ola Electric, a company that makes electric vehicles, shared how much money it made and lost in the months of July, August, and September.
They lost less money than last year, which is good news.
However, the total money they earned from selling their products went down a lot.
The good part is that the part of their business that makes and sells vehicles became profitable for the first time ever, meaning it earned more than it spent.
They also launched a new energy storage system for homes and saw their electric motorcycle sales grow.
Despite these positive steps, the overall income decrease is a concern.
Ola Electric's revenue declined by 43.16% year-on-year to Rs 690 crore in Q2 FY26.
The consolidated net loss narrowed to Rs 418 crore in Q2 FY26, down from Rs 495 crore in Q2 FY25.
The company's auto segment achieved profitability for the first time, with gross margins reaching 30.7% and positive EBITDA.
Ola Electric launched Ola Shakti, a residential Battery Energy Storage System (BESS), and saw sequential sales growth for its Ola Roadster motorcycle.
The company has commissioned its Ola Gigafactory with an initial capacity of 2.5 GWh, aiming for 5.9 GWh by March 2026.
- Who
- Ola Electric Mobility Ltd
- What
- Reported Q2 FY26 financial results showing a narrowed net loss and a significant revenue decline, alongside profitability in its auto segment.
- When
- Second quarter of FY26 (July–September)
- Where
- India
- Why
- Revenue decline attributed to broader market factors, while net loss narrowed due to improved auto segment performance and cost management. New product launches and business initiatives aim for future growth.
Positive Developments
Areas of Concern
Financial Performance
Positive Developments
Ola Electric reported a narrowed consolidated net loss of Rs 418 crore in Q2 FY26, an improvement from Rs 495 crore in Q2 FY25. The auto segment became profitable with gross margins expanding to 30.7% and achieving positive EBITDA (0.3%) for the first time.
Areas of Concern
The company experienced a significant 43.16% year-on-year decline in revenue from operations, falling to Rs 690 crore in Q2 FY26 from Rs 1,214 crore in Q2 FY25. The overall auto segment recorded negative cash flow from operations of Rs 40 crore due to inventory build-up, despite a reported cash generation of Rs 15 crore.
Product and Business Launches
Positive Developments
The company launched Ola Shakti, India's first residential Battery Energy Storage System (BESS), built with in-house developed cells. The Ola Roadster electric motorcycle saw sequential sales growth, with daily sales peaking at 450 units during the festive period, now contributing around 15% to total sales. Ola also launched HyperService for expanded access to genuine parts.
Areas of Concern
While sales of the Ola Roadster increased sequentially, the overall revenue slump indicates broader challenges in the company's core operations despite new product introductions and services.
- Consolidated Net Loss (Q2 FY26)
- Rs 418 crore
- Net Loss Change (YoY)
- Narrowed from Rs 495 crore in Q2 FY25
- Revenue from Operations (Q2 FY26)
- Rs 690 crore
- Revenue Change (YoY)
- -43.16%
- Auto Segment Gross Margin (Q2 FY26)
- 30.7%
- Auto Segment EBITDA (Q2 FY26)
- 0.3% (First-ever profit)
- BESS Business Projected Revenue (FY27)
- Rs 1,000 crore - Rs 1,200 crore annually
- Ola Roadster Sales Contribution
- ~15% of total sales
Sources
Solara Active Pharma Sciences Q2 Results: Firm reports ₹10 crore loss amid operational challenges
Sun Pharma Q2 Results: Net profit rises 2.5% to ₹3,118 crore, revenue growth at 9% YoY; US sales decline 4.1%
Sun Pharma Q2FY26 results: Profit up 2.56%, India sales up 11%
Blue Star Q2 Results: Firm posts just 3% growth in profit to ₹99 crore amid low room AC demand
Sun Pharma Q2 FY26 Profit Beats Estimates as India Sales Surge 11%, U.S. Innovative Drugs Outperform
Sun Pharma Q2 net profit up 3% at Rs 3,118 cr
Sun Pharma Q2FY26 net profit rises 2.5% to Rs 3,118 crore
Sun Pharma net profit up 2 per cent in Q2
Ola Electric Q2 FY26 results: Revenue slumps 43%, loss narrows to Rs 418 crore, achieves first-ever EBITDA profit
