Ola Electric Mobility (OLAELEC) Q3 25/26 earnings summary

Executive summary

• Q3 marked a structural reset with a focus on sustainable operations, realigning retail footprint, cost structure, and operating model to improve fundamentals and operating leverage.

• Unaudited standalone and consolidated financial results for the quarter and nine months ended December 31, 2025, were approved by the Board on February 13, 2026, and reviewed by statutory auditors without material misstatement.

• The company operates two main segments: Automotive (vehicle sales and services) and Cell (cell manufacturing and sales).

• Service execution gaps acknowledged, with significant improvements in service metrics and customer satisfaction above 90%.

• Heavy CapEx phase is complete, with current manufacturing and cell capacity supporting future growth.

Financial highlights

• Consolidated revenue for Q3 reached INR 470 crore, compared to INR 1,045 crore in the same quarter last year.

• Gross margin at 34.3%, up 16 percentage points year-over-year and 3.4 points sequentially.

• Consolidated net loss for the quarter was INR 487 crore, versus INR 564 crore in the same quarter last year.

• OpEx reduced from INR 840 crore at peak to INR 484 crore in Q3, targeting INR 250-300 crore in coming quarters.

• EBITDA breakeven now at 15,000 units/month.

Outlook and guidance

• Gross margins expected to stabilize in the 35%-40% range through FY 2027.

• No new CapEx required until current capacity is fully utilized; revenue potential of INR 15,000-20,000 crore.

• OpEx expected to reach INR 250-300 crore, with cost actions already implemented.

• Management asserts the group will continue as a going concern, supported by available cash, projected operating cash flows, credit limits, and ability to raise borrowings.

• Shareholders approved raising up to INR 1,500 crore through equity or convertible securities.