Ola Electric Q3 Results: Electric two-wheeler maker Ola Electric Mobility on Friday reported a net loss of ₹564 crore for the third quarter of FY25. The company’s net loss widened from ₹376 crore in the year-ago quarter.
In the quarter ended September 2024, Ola Electric Mobility posted a net loss of ₹495 crore.
Ola Electric Mobility’s revenue from operations in Q3FY25 declined 19.36% to ₹1,045 crore from ₹1,296 crore, year-on-year (YoY).
At the operational level, Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) loss in the December quarter increased to ₹460 crore from a loss of ₹301 crore in the same quarter last fiscal year.
“October saw strong performance fueled by festival sales, however the overall quarter was weak due to high competitive intensity and service challenges. We’ve fixed the service issues and with our network expansion, turned the tide on market share and margins. In January, we’re back to market leadership with an expected gross margin of approx 26%, up from 20.4% in Q3 FY25,” Ola Electric Mobility said in a release.
The company’s automotive gross margin improved by 20 bps QoQ to 20.8% in Q3 FY25, despite a 14% QoQ decline in revenue to ₹1,075 crore due to intensified competition and festive discounts.
“This resilience was driven by 1pp QoQ reduction in BOM costs and the benefit of PLI accruals across our product range, contributing a 5pp margin uplift. In Q3, these gains were largely reinvested to drive growth,” said the company.
Consolidated EBITDA, excluding exceptional costs such as warranty and one-time employee-related expenses, declined to -29.2% in Q3FY25, compared to -19.4% in Q2FY25. Similarly, the Auto Segment EBITDA, excluding exceptional costs, dropped to -18.5%, versus -12.8% in Q2FY25.
Excluding exceptional items, the key drivers impacting the movement in EBITDA were higher sales and marketing expenses during the festive season, ongoing distribution network expansion and adverse impact of operating leverage, the company added.
At 1:45 PM, Ola Electric shares were trading 2.50% lower at ₹70.06 apiece on the BSE.
