The second quarter turned out to be a mixed one for Ola Electric. The company managed to pull its net loss down, yet the pressure on revenue told its own story. It was the kind of earnings update that kept the market curious—one where improvement and caution walked side by side.
In the broader landscape of the stock market today, Ola Electric’s Q2 numbers came with clear signals about cost control and operational shifts, even as topline performance softened sharply year-on-year.
Market Performance
Ola Electric’s Q2 results created a noticeable buzz across investor conversations. The stock opened at ₹50.02, moved up to an intraday high of ₹51, and slipped to a low of ₹48.95.
The overall tone remained slightly muted as the stock eased over 1% following the earnings announcement.
Main News: Net Loss Shrinks but Revenue Slumps
The headline numbers drew immediate attention. Its consolidated net loss stood at ₹418 crore, easing from the ₹495 crore reported in the corresponding quarter last year.
Revenue, however, painted a contrasting picture.
- Revenue from operations: ₹690 crore
- YoY decline: 43%
- Previous year’s revenue: ₹1,214 crore
The drop was significant, highlighting the tougher sales environment during the quarter.
Amid the decline in revenue, Ola Electric marked an important milestone: the company reached Auto EBITDA profitability supported by a 30.7% gross margin—an expansion of 510 basis points over the previous quarter.
Cost reduction also played a meaningful role, with operating expenses falling roughly 52% sequentially.
Company Details
This quarter brought a mix of financial movement and operational changes for Ola Electric.
Revenue Snapshot
- ₹690 crore, down 43% YoY
Net Loss
- ₹418 crore, lower than last year’s ₹495 crore
EBITDA & Margins
- Achieved Auto EBITDA profitability
- Gross margin: 30.7%, up by 510 bps QoQ
Cash Flow
- Auto segment cash flow from operations at ₹15 crore
- Overall cash flow at –₹40 crore, due to one-time festive inventory addition
The quarter also saw continued investment toward expanding battery capacity.
Ongoing work at the 5.9 GWh Gigafactory, supported by project funding from the State Bank of India, remained a key focus area for the company’s long-term manufacturing and vertical integration goals.
Summary: A Quarter of Contrasts for Ola Electric
Ola Electric’s Q2 results captured the balance between progress and pressure.
The company reduced its net loss, strengthened gross margins, and kept operating costs in check. At the same time, revenue took a sharp hit, declining 43% YoY, marking one of the steeper drops in its recent quarterly performance.
In the narrative of stock market today, it was a results update that showed improvement in cost discipline and efficiency, even as demand-side challenges shaped the revenue story. The stock reflected this mixed sentiment with mild intraday volatility.
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