Ola Expects EBITDA To Breakeven By Q1 Of FY26

In its recent BSE filing, Ola Electric has announced that it aims its EBITDA (earnings before interest, taxes, depreciation, and amortization) to breakeven for the first quarter of the new financial year that starts from April 1, 2025. Under the company’s recent “Network Transformation and Opex Reduction Program,” it managed to cut down its expenditure by ₹90 crores per month. Admittedly, this was done by laying off 500 people in November 2024 and another 1000 just recently. 

Ola promises that it has begun working on improving vehicle registrations, reducing inventory time of scooters from 35 to 20 days with the customer expected to take delivery of their S1 e-scooter in just 3-4 days now and not 12 days like it does right now. The EV startup also claims it has increased its daily scooter registration process to over 800 units a day, which is significantly more than what it managed during the months of January and February this year.

Will these changes improve the company’s perception? Hopefully, yes. The criticism with Ola’s after-sales service and quality-related issues have been greatly impacting its stock market performance for a while. Its share values had tanked by over 60 percent with only a small improvement seen in the recent few days. The company’s revenue had declined significantly as well with losses for the past quarter standing at ₹564 crore, which is dramatically higher than what it was in the same quarter the year before (₹376 crore). 

It also doesn’t help that over 95 percent of its 4000 stores didn’t have the proper documentation to continue operations, leading to several of them being raided. A lot of customer complaints and CCPA show cause notices have also been sent to the brand. This has resulted in the company losing the top spot in EV sales once again to Bajaj Auto in February 2025, this being the second time after December 2024.

The electric two-wheeler maker was also expected to begin deliveries of the Roadster e-motorcycle series this month but nothing concrete has been announced on the same yet. According to a few instances reported on the internet, the third-generation of its S1 series of e-scooters began finding new homes just a few days ago. More details on the new S1 series in this story.