Ola Electric Achieves Auto EBITDA Profitability in Q2 FY26

Ola Electric announced it achieved Auto EBITDA profitability for the first time in Q2 FY26, supported by a 30.7% gross margin. The company’s auto business turned cash-generative, with underlying cash flow from operations of ₹15 cr. Ola’s Gigafactory commissioned 2.5 GWh capacity, with plans to scale to 5.9 GWh by March 2026.

Financial Performance Highlights

Ola Electric reported achieving Auto EBITDA profitability for the first time during Q2 FY26. This milestone was supported by a 30.7% gross margin and a significant reduction in operating expenses. The company’s auto business also turned cash-generative, showcasing improved financial health.

  • Revenue: ₹690 Cr Consolidated Revenue
  • Deliveries: 52,666 E2W Deliveries
  • Gross Margin: 30.7% Auto Gross Margin
  • EBITDA Margin: 0.3% Auto EBITDA Margin

Operational Achievements

The company launched HyperService to improve customer experience and reduce warranty costs. Ola Gigafactory commissioned 2.5 GWh capacity, aiming to reach 5.9 GWh by March 2026. The first 4680 vehicles were delivered. Furthermore, Ola expanded into energy with Ola शक्ति, introducing India’s first residential BESS.

Strategic Focus and Outlook

Ola Electric is focused on consolidating costs, achieving profitability, and streamlining operations. The company expects Auto opex to be around ₹225 cr by Q1 FY27 and aims for consolidated opex to be between ₹350 cr to ₹375 cr by Q1 FY27. They project FY26 consolidated revenue of around ₹3,000 – ₹3200 cr and expect to exit Q4 with Auto gross margins around 40% and segment EBITDA of around 5%.

Cell Business Expansion

Ola Cell is expanding its cell manufacturing capacity, aiming for a total capacity of 20 GWh by the second half of FY27. The company anticipates significant revenue from external sales of Ola शक्ति units, projecting cell gross margins to stabilize at 30% by early FY27. The company is the largest winner under the Government of India’s Advanced Chemistry Cell PLI scheme and expect to start claiming incentives from Q4 FY26.

Source: BSE

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