Karthik Gupta, the Chief Financial Officer (CFO) of ANI Technologies, the parent company of Ola Cabs, has stepped down, people aware of the developments told Moneycontrol. Gupta's departure comes two weeks after Ola Cabs' CEO Hemant Bakshi quit.
“As part of an ongoing restructuring, Ola Mobility CFO Kartik Gupta has stepped down from the company. This restructuring is aimed at productivity enhancement in an AI-led era that is redefining the cab-hailing industry globally. The restructuring will allow Ola to strengthen cost structures, focus on growth and increase its bottom line," an Ola spokesperson confirmed, responding to Moneycontrol's queries.
Gupta joined Ola Cabs seven months ago and had responsibilities across financial strategy, growth, regulatory compliance, tax, treasury, and investor relations, as per his LinkedIn.
Before joining Ola, Gupta worked as the vice president and regional CFO of Asia Pacific, Middle East and Africa of Procter and Gamble for nearly 17 years.
The development comes as the IPO-bound Ola Cabs is witnessing a series of top-level exits. Bakshi, the CEO of Ola Cabs quit barely four months into the role. The Ola group is in the middle of a restructuring exercise, which would affect at least 10 percent of the staff.
The firm recently roped in co-founder Bhavish Aggarwal's brother Ankush Aggarwal into the ride-hailing business as part of the CXO team along with Gupta and chief business officer Sidharth Shakdher.
"We have made substantial investments in the areas of AI & Technology which has led to significant cost advantages...certain roles within the company will get redundant," wrote Bhavish Aggarwal, co-founder and managing director of Ola Cabs in an internal email on April 29.
Ola Cabs last month initiated preliminary discussions with investment banks for an IPO.
The firm’s sister company, Ola Electric, has filed its draft red herring prospectus with the market regulator in December to raise around Rs 7,250 crores via an IPO, the first attempt at public listing by an Indian electric vehicle firm.
Founded in 2010, Ola Cabs got immediate backing from the likes of SoftBank and Tiger Global.
Recently, Ola Cabs shut down its international operations in some countries amid rising competition, the governments' fleet electrification targets, and the firm's overall shift towards the Indian market.
Ola's Mobility business in FY23 reported a revenue of Rs 2,135 crore, up nearly 58 percent, and for the first time, the firm reported a positive EBITDA of Rs 250 crore after reporting Rs 66 crore of EBITDA loss in FY22.
ANI Technologies, the parent entity of Ola Fleet, Ola Financial Services, Ola Cabs and Ola Stores, reported a consolidated revenue of Rs 2,799 crore, up nearly 42 percent year-on-year despite a reduction in revenue from Ola Fleet and Ola Financial Service.
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