Latest news with #ProjectLakshya
Business Standard
5 days ago
- Automotive
- Business Standard
Ola Electric drops after Q4 net loss widens to Rs 870 cr
Ola Electric Mobility declined 5.69% to Rs 50.21 after the company's consolidated net loss widened to Rs 870 crore in Q4 FY25, compared with net loss of Rs 416 crore in Q4 FY24. Revenue from operations tumbled 61.8% YoY to Rs 611 crore in Q4 FY25. The company reported pre-tax loss of Rs 870 crore in Q4 FY25 as compared with a pre-tax loss of Rs 416 crore in Q4 FY24. The company reported a negative EBITDA of Rs 658 crore in Q4 FY25, compared to a negative EBITDA of Rs 269 crore in Q4 FY24. The EBITDA margin stood at negative 101.4% in Q4 FY25, against negative 16.4% in the same quarter last year. Deliveries dropped 55.48% to 51,375 units in Q4 FY25 compared with 115,386 units in Q4 FY24. With a sharp focus on cost reduction and profitability through Project Lakshya, the company had earlier set a target operating cost structure of Rs 110 crore for the auto segment. As of April 2025, the cost stands at Rs 121 crore and is on track to reach the target of Rs 110 crore by June 2025. In April and May 2025, the company has shown early indicators of structural improvements translating into business momentum. These include higher gross margins (excluding PLI) and reduced operating expenses, higher monetization through add-ons, Gen 3 sales exceeding Gen 2 by over 2x, and strong demand for Roadster Motorcycles. The company expects to continue this strong performance through the rest of the year and achieve auto segment EBITDA profitability in FY26. The rollout of Gen 3 in Q4 FY25 was a key driver of the companys gross margin improvement. Q1 FY26 gross margins showed an improvement of 10 pp over Q4 FY25, which will further be helped by the scale-up of the Gen 3 platform. Notably, this performance does not include PLI on Gen3, which is expected to accrue in Q2FY26 vs 100% of the product portfolio accruing PLI in Q3FY25. The company expects its gross margins to improve to approximately 35% in Q2 FY26 with PLI. Ola Electric is also ramping up production at its Ola Gigafactory with improving yields of its Bharat Cell, which is undergoing extensive testing across performance, lifecycle, and safety parameters, with phased commercialization in a couple of months. This phased rollout will help optimize supply chain dynamics, maintain quality consistency across early production batches, and gather real-world performance feedback ahead of mass commercialization. The company expects adjusted revenue between Rs 800 crore and Rs 850 crore, deliveries of 65,000 units, and an auto EBITDA margin of negative 10% in Q1 FY26. On a full-year basis, the companys consolidated net loss widened to Rs 2,276 crore in FY25 compared with Rs 1,584 crore in FY24. Revenue from operations fell 9.9% to Rs 4,514 crore in FY25, compared with Rs 5,010 crore in FY24. Through Project Vistaar and Project Lakshya, Ola has reduced its auto segment EBITDA break-even point to under 25,000 units per month. With increasing S1 market share, new motorcycle launches, and improving cost metrics, the company aims to achieve auto segment EBITDA profitability in FY26. Ola Electric Mobility is a leading electric vehicle (EV) manufacturer in India, specializing in the vertical integration of technology and manufacturing for EVs and their components, including battery cells.
&w=3840&q=100)
Business Standard
5 days ago
- Automotive
- Business Standard
Ola Electric Q4 results: Loss widens to ₹870 crore, revenue declines 59%
Ola Electric Mobility's loss widens to ₹870 crore in the fourth quarter of financial year 2024-25, it was ₹416 crore in the same quarter of last year. The revenue from operations declined 59.5 per cent to ₹611 crore in Q4FY25, the company had reported the same as ₹1,598 crore in the corresponding quarter last year. Ola Electric reported a 38 per cent year on year improvement in gross margins for the financial year 2024–25 (FY25). The company expects gross margins in the first quarter of FY26 (Q1 FY26) to improve by an additional 10 per cent over the fourth quarter of FY25 (Q4 FY25). The company also highlighted that through initiatives like Project Vistaar and Project Lakshya, it has successfully reduced the Auto segment EBITDA break-even point to below 25,000 units per month, further supporting its path to profitability. In FY25, Ola Electric delivered 359,221 units, marking a 9 per cent year on year increase from 329,549 units in FY24, thereby maintaining its leadership position in the electric two-wheeler (E2W) segment and contributing to higher electric vehicle penetration. The mass adoption of EVs was driven largely by the success of the S1 X model, which achieved deliveries of 1,96,123 units in FY25, reflecting a more than 3.5-fold year on year increase from 53,083 units in FY24. The company also expanded its product lineup with the launch of the Gen 3 S1 scooters and Roadster X motorcycles. In addition to product and sales growth, Ola Electric expanded its distribution network to over 4,000 touchpoints, establishing itself as India's largest EV distribution network with significant reach into Tier 3 and rural markets.
Time of India
5 days ago
- Automotive
- Time of India
Ola Electric FY25 revenue declines 9% to ₹4,645 cr; margins improve as company targets FY26 profitability
Ola Electric reported a 9 per cent decline in revenue for the financial year ended March 31, 2025, with total income falling to ₹4,645 crore from ₹5,126 crore in FY24. The company's net loss increased 22 per cent year-on-year to ₹870 crore, up from approximately ₹713 crore last year. Despite the decline in revenue and rise in losses, Ola Electric posted a 38 per cent year-on-year improvement in gross margins—from 14.8 per cent in FY24 to 20.5 per cent in FY25. Q1 FY26 margins further improved by 10 percentage points over Q4 FY25. The company expects gross margins to rise to around 35 per cent in Q2 FY26, aided by the scale-up of its Gen 3 platform and anticipated Production Linked Incentive (PLI) accruals. Break-even point reduced According to the company's statement, it maintained its leadership in the electric two-wheeler (E2W) segment, delivering 3,59,221 units in FY25 compared to 3,29,549 units in FY24, representing a 30 per cent market share (as per VAHAN data). The company has reduced its Auto segment EBITDA break-even point to under 25,000 units per month through internal cost and network optimisation initiatives—Project Lakshya and Project Vistaar. The Auto segment operating cost was ₹121 crore in April 2025, with a target of ₹110 crore by June 2025. With the ramp-up of Gen 3 scooters, strong uptake of the mass-market S1 X model, and the launch of the Roadster X motorcycle, Ola Electric said it is on track to achieve segment profitability in FY26.>
Time of India
5 days ago
- Automotive
- Time of India
Ola Electric trims Q4 loss to Rs 870 crore, eyes profitability in FY26 as gross margins improve
Ola Electric on Thursday reported a consolidated net loss of Rs 870 crore for the fourth quarter ended March 31, 2025, while reaffirming its target to achieve profitability in the ongoing fiscal. The company had posted a net loss of Rs 416 crore during the same quarter of the previous financial year, PTI reported. Revenue from operations in Q4 FY25 declined to Rs 611 crore from Rs 1,598 crore in the year-ago period, Ola Electric said in a regulatory filing. For the full financial year FY25, the company reported a net loss of Rs 2,276 crore, compared to Rs 1,584 crore in FY24. Annual revenue from operations also slipped to Rs 4,514 crore, down from Rs 5,010 crore in the preceding year. Ola Electric said it is aiming for profitability in FY26. 'FY26 will be focused on scaling revenue and operating leverage as the company marches towards sustainable profitability,' it said. The company reported a 38 per cent year-on-year improvement in gross margins in FY25, and noted that the first quarter of FY26 saw an additional improvement of 10 percentage points over Q4 FY25. Despite the financial loss, Ola Electric maintained its market leadership position, delivering 3,59,221 units in FY25, up from 3,29,549 units in FY24, supported by strong demand for its Gen 3 S1 scooter portfolio. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Добро пожаловать в Аравию SAUDI Забронировать Undo This helped the company capture a 30 per cent market share. Ola said it is focused on cost efficiency and profitability through its ongoing Project Lakshya initiative. It had earlier set a target operating cost structure of Rs 110 crore for its auto segment. As of April 2025, costs were trending at Rs 121 crore, with the company confident of reaching the Rs 110 crore target by June 2025. Through initiatives like Project Lakshya and Project Vistaar, Ola Electric has brought down its auto segment EBITDA break-even point to below 25,000 units per month. "The lower break-even threshold alongside increasing revenue through industry growth, increasing S1 market share, and introduction of motorcycles enables the company to target Auto segment EBITDA profitability through FY26," it said. The company is also ramping up production at its manufacturing facility, with Bharat Cell output improving. The cells are undergoing rigorous testing for performance, lifecycle, and safety, with phased commercialization expected in the next few months. April and May 2025 have shown early signs of structural improvements translating into business momentum, Ola said. These include higher gross margins (excluding PLI), reduced operating expenses, better monetisation via add-ons, Gen 3 scooter sales being over twice that of Gen 2, and strong demand for its Roadster motorcycles. Ola Electric shares closed 0.6 per cent higher at Rs 53.24 apiece on the BSE on Thursday. Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now
