Outlook Business Desk
Ola Electric's share price climbed 3.28% to reach an intraday high of Rs 52.58 on Wednesday, March 12.
The stock price jump came after Ola Electric announced that it anticipates its Automotive segment to reach EBITDA breakeven by Q1 FY26, with the financial impact of recent measures expected to be fully realised by April 2025.
In a stock exchange filing, Ola Electric announced the successful completion of its Network Transformation and Opex Reduction Programme, launched in November 2024 to cut costs and enhance customer experience. The company stated that the initiative has led to a sustainable monthly cost reduction of Rs 90 crore.
The company stated that programme involved major changes including transformation of the distribution network, closing regional warehouses and directly shipping vehicle, spare parts and accessories from the factory to stores.
Ola Electric lowered average vehicle inventory from around 35 days to 20 days and shortened customer delivery time from 12 days to just 3-4 days.
Ola Electric is close to completing its vehicle registration process with daily registrations now surpassing 800, exceeding January-February 2025's average sales.
Ola Electric reported a net loss of Rs 564 crore in Q3FY25 widening from Rs 376 crore in Q3FY24. Revenue from operations fell 19.4% year-on-year to Rs 1,045 crore down from Rs 1,296 crore in the same quarter last year.
Ola Electric Mobility shares debuted on the stock market on August 9 last year, initially surging to a high of Rs 157.4 before declining. The stock closed 20% higher on its first trading day, exactly at its IPO price.