Ola Electric Reports Q2 FY26 Profitability with ₹690 Cr Revenue, launches BESS
Filing Summary
Ola Electric Mobility Ltd announced its Q2 FY26 results, achieving profitability in its auto business with a gross margin of 30.7%. The company’s consolidated revenue from operations reached ₹690 Cr, with total vehicle deliveries of 52,666 units. Operational expenses were reduced significantly, contributing to positive cash flow from operations of ₹15 Cr after adjustments. Ola Electric launched new products, including the Battery Energy Storage System, and expanded its manufacturing capacity. The company plans to increase its cell manufacturing capacity to 20 GWh by H2 FY27, aiming for further growth in the energy storage market.
Ola Electric Mobility Ltd has reported its financial results for the second quarter of FY26, marking a significant milestone with its auto business achieving profitability. The company recorded a gross margin of 30.7% and a positive EBITDA of 0.3%, compared to a negative EBITDA of -5.3% in Q1 FY26. Consolidated revenue from operations for Q2 FY26 was ₹690 Cr, with total vehicle deliveries amounting to 52,666 units.
The company’s financial performance was bolstered by a reduction in operating expenses. Auto operating expenses decreased to ₹258 Cr from ₹308 Cr in the previous quarter, while consolidated operating expenses were reduced to ₹416 Cr from ₹451 Cr. Despite a reported cash flow from operations of -₹40 Cr due to a one-time festive inventory build-up, the adjusted cash flow was ₹15 Cr, indicating that the auto business is now cash generative.
Ola Electric has made significant strides in product innovation and operational expansion. The company launched the Ola शक्ति, India’s first residential Battery Energy Storage System (BESS), utilizing its in-house 4680 Bharat Cells. Additionally, the Ola Gigafactory was commissioned with a capacity of 2.5 GWh, with plans to expand to 5.9 GWh by March 2026. The company also introduced HyperService, enhancing customer experience and opening new revenue streams through third-party garage partnerships.
Key milestones for Ola Electric include the launch of its Gen 3 platform and the achievement of India’s first government-certified ferrite motor. The company plans to expand its cell manufacturing capacity to 20 GWh by the second half of FY27, supporting its growth in the energy storage market. Ola Electric’s Roadster sales increased fourfold from Q1, with peak sales of 450 units per day during the festive season, now representing 15% of overall sales.
Ola Electric’s strategic initiatives are supported by its vertical integration strategy and operational discipline. The company is the largest winner under the Government of India’s Advanced Chemistry Cell PLI scheme and expects to start claiming incentives from Q4 FY26 onward. The first products using Bharat 4680 cells have begun customer deliveries, with plans for all automotive products to transition to in-house cells over the next 6-9 months.
For the second half of FY26, Ola Electric targets total auto deliveries of approximately 100,000 units, with a focus on maintaining margin discipline. The company anticipates FY26 consolidated revenue of approximately ₹3,000-3,200 Cr, with new Ola शक्ति volumes contributing to revenue growth. The auto segment is expected to exit Q4 with gross margins around 40% and segment EBITDA of around 5%.
Ola Electric Mobility Ltd is a leading electric vehicle manufacturer in India, specializing in the vertical integration of technology and manufacturing for EVs and their components, including battery cells. The company operates the Ola Futurefactory in Tamil Nadu and the Battery Innovation Centre in Bengaluru, focusing on advancing cell and battery technology. Ola Electric maintains a direct-to-customer distribution network across India, making it the largest company-owned network of automotive experience centers in the country.