Ola Electric’s Revenue Jumps 35.5% In Q1 FY26, Auto Business Turns EBITDA Positive In June

Key Highlights:

- Revenue rose to Rs 828 crore; 68,192 vehicles delivered in Q1 FY26

- Auto business became EBITDA positive in June for the first time

- Gen 3 scooters and MoveOS+ saw strong customer adoption

Bengaluru: Ola Electric has reported a solid performance for the quarter ending June 30, 2025 (Q1 FY26). The company’s revenue from operations rose 35.5 percent quarter-on-quarter to Rs 828 crore, compared to Rs 611 crore in Q4 FY25.

In Q1, Ola Electric delivered 68,192 vehicles, marking a 32.7 percent increase from the previous quarter (51,375 units). The company’s auto business became EBITDA positive in June 2025, meaning it started making an operating profit before interest and taxes for the first time.

Financial Improvements Driven by Cost Control

Ola Electric made major improvements in its finances. The auto segment’s EBITDA improved sharply from -90.6 percent in Q4 to -11.6 percent in Q1, with June being the first profitable month. Overall, the company’s consolidated EBITDA also improved to -28.6 percent.

This turnaround was driven by a cost-saving plan called Project Lakshya, which helped bring down monthly auto costs from Rs 178 crore to Rs 105 crore. The company aims to reduce this further to Rs 130 crore per month through the rest of FY26.

Free Cash Flow also improved from -Rs 455 crore to -Rs 107 crore, while operating cash flow was nearly breakeven.

Product Updates and Customer Adoption

Ola’s Gen 3 electric scooters now make up 80 percent of all sales, showing strong customer interest. These scooters also offer better profits and fewer problems after purchase.

The Roadster X electric motorcycle is now sold in 200 stores and will expand further during the festive season. Meanwhile, MoveOS+ software adoption jumped from just 2 percent in Q4 to 50 percent in Q1, showing growing interest in tech features.

Battery Technology and Future Plans

Ola Electric is preparing to launch vehicles with Bharat 4680 cells in Q2 FY26, starting from Navratri. The company also plans to launch motors without Heavy Rare Earths (HRE) in Q3 FY26, which will help reduce costs and improve sustainability.

The company is working towards full use of its 1.4 GWh battery plant this year and aims to increase it to 5 GWh by FY27.

Strong Outlook for FY26

Ola expects to sell between 3.25 to 3.75 lakh vehicles this year and earn between Rs 4,200–Rs 4,700 crore in revenue. Thanks to PLI benefits, gross margins are expected to rise to 35 percent-40 percent, and auto business EBITDA is projected to stay positive from Q2 onward.