Shares of Ola Electric hit 5% lower circuit to Rs 47.55 apiece on November 6 to reach their two-month low after the electric two-wheeler maker has cut its FY26 revenue forecast.
Ola reaffirmed its fiscal year 2026 auto gross margin target of 40%, but lowered the revenue forecast to Rs 3,000 crore-Rs 3,200 crore from Rs 4,200 crore-Rs 4,700 crore projected last quarter.
So far in 2025, the stock fell 44%.
Ola Electric Q2 results
Ola Electric on November 6 reported a narrower second-quarter loss on Thursday as its core automotive business reported its first operating profit, aided by a sharp drop in expenses.
The electric two-wheeler maker posted a consolidated net loss of Rs 418 crore for the three months ended September 30, compared with Rs 495 crore a year earlier.
Its automotive segment reported earnings before interest, taxes, depreciation and amortization (EBITDA) of Rs 2 crore, marking its first positive result.
Total expenses dropped 44% to Rs 893 crore as raw material costs decline after beginning to fit its own battery cells instead of importing, with operational costs at its autos unit falling 46%.
Ola Electric said it expects to cut operational expenditure to between Rs 350 crore and Rs 375 crore by the first quarter of the next fiscal year. Its operational expenses stood at Rs 416 crore in the September quarter.
However, overall sales volumes nearly halved to 52,666 units, dragging revenue down 43% to Rs 690 crore. Entry-level models accounted for about 75% of volumes, up from 57% a year earlier.
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