Ola Electric reports net loss of Rs 495 cr in Q2

New Delhi: Ola Electric Mobility on Friday reported narrowing of consolidated net loss at Rs 495 crore for the second quarter ended September 30, 2024 aided by higher sales.

The Bengaluru-headquartered firm had reported a net loss of Rs 524 crore in July-September FY24. Revenue from operations rose to Rs 1,214 crore from Rs 873 crore, Ola Electric Mobility said in a regulatory filing.

During the quarter, sales increased by 74 per cent year-on-year to 98,619 units as against 56,813 units in the same period last year.

Ola Electric said it plans to expand its company-owned store (and colocated service infra) network to 2,000 outlets by March 2025.

The company has 782 company-owned stores as on September 2024, it added.

"Over the next 2 years, we will be launching 20 products, with at least one new product launch every quarter," it said.

The company said that over the last couple of months, it faced a capacity issue at service centres because the service capacity growth lagged sales volume growth over the 2-3 quarters.

"We have resolved almost all of this backlog and now 80 per cent of service requests are being serviced in T+1 days. We’re also expanding our service capacity to handle the higher number of vehicles in operation," it added.

Ola noted that its gross margins for second quarter stood at 20.6 per cent.

"Our focus on technology and vertical integration has a roadmap to take steady state margins to above 30 per cent even after incentives fall away, " it added.

Shares of the company ended 2.47 per cent down at Rs 72.74 apiece on BSE.