Bhavish Aggarwal-led Ola Electric's revenue drops 19%, loss increases to Rs 564 crore in Q3FY25

Bhavish Aggarwal-led Ola Electric Mobility posted a widened net loss of Rs 564 crore in the third quarter of the 2024-25 fiscal year (Q3FY25), a 50% jump compared to the Rs 376 crore loss in the same quarter of the previous year. 

The Bengaluru-based electric mobility firm also reported a 19.4% year-on-year fall in revenue from operations, which dropped to Rs 1,045 crore from Rs 1,296 crore.

Its total income for the quarter, including other earnings, stood at Rs 1,172 crore, marking a 14.5% dip from Rs 1,371 crore in Q3 FY24. 

Wider loss despite cost controls

Ola Electric’s total expenses eased by about 5.8% year over year, falling to Rs 1,505 crore. The cost of procurement of materials made up the largest portion of spending, accounting for around 56% of the overall costs in the third quarter.

Other major expenses included employee benefits, advertising and technical support. Despite these efforts, losses grew because of lower sales and the fixed nature of some costs.

For the nine-month period of the current fiscal year, total income rose 17.7% to Rs 4,204 crore, while net losses also increased by 20.3% to Rs 1,406 crore. Industry experts say Ola Electric faces continued pricing pressures and slowing demand in the Indian electric two-wheeler market.

Market leadership and outlook

According to data from Vahan, Ola Electric regained its top position in the electric two-wheeler market in January, capturing a 24.91% share with 24,330 units sold. TVS Motors followed closely with 23,788 units sold, while Bajaj Auto took a 21.80% share with 21,294 units.

Recent portfolio expansion

Ola Electric recently introduced its third-generation S1 scooter lineup, unveiling a wide range of models priced from Rs 79,999 up to Rs 1,69,999. 

The new lineup includes the flagship S1 Pro+ variants in 5.3kWh and 4kWh, priced at Rs 1,69,999 and Rs 1,54,999, respectively, along with S1 Pro models at Rs 1,34,999 (4kWh) and Rs 1,14,999 (3kWh). The mass-market S1 X range begins at Rs 79,999 for the 2kWh version, scaling up to Rs 99,999 for 4kWh, while an S1 X+ at Rs 1,07,999 further bridges performance and affordability.

"With our diverse EV propositions across premium and mass-market segments and expansion of our sales network beyond tier-1 and tier-2 cities, Ola Electric will continue to lead India’s transition towards #EndICEAge," the company spokesperson said.