Shares of Ola Electric bounced back on Friday, rising 1.62 per cent to Rs 49.62 apiece at 9:44 AM, staging a partial recovery from Thursday’s sharp decline. The stock plunged over 8 per cent on August 21, following a strong 30 per cent surge over the previous two sessions. The correction came after VAHAN portal data revealed rival Ather Energy overtaking Ola in monthly registrations for August, leading some investors to book profits.
Ather Surpasses Ola in August Registrations
According to VAHAN data, Ather Energy recorded 10,283 electric two-wheeler registrations in August so far, surpassing Ola Electric’s 9,681 units, reported Moneycontrol. However, on a year-to-date basis, Ola retained a strong lead with 1,42,858 registrations compared to Ather’s 1,08,424.
Monthly registration trends indicated that Ola dominated earlier in the year, with highs such as 24,410 units in January and 23,603 in March, while Ather consistently improved its position, narrowing the gap in recent months. In July, Ola registered 17,868 vehicles against Ather’s 16,345, showing how competition intensified.
Ambitious Growth Plans Despite Weak Quarter
Despite a challenging first quarter, Ola’s leadership remains optimistic. Speaking at the company’s annual Sankalp event earlier this week, founder and chairman Bhavish Aggarwal reiterated the company’s long-term strategy. Ola aims to capture 25–30 per cent of India’s electric two-wheeler market, focusing on vertical integration and new product launches.
“Our target market share for two-wheeler EVs is about 25 to 30 percent with very high margins, so we believe we are on the trajectory again,” Aggarwal said, adding, “Ola’s mojo is still there.”
Aggarwal also emphasised that profitability in EV manufacturing requires more than scale: “No one is making money. To make money with EVs, you need vertical integration, you need the technology development, you need the DNA of technology.”
Financial Performance Under Pressure
Ola Electric’s Q1FY26 numbers reflect ongoing challenges. The company posted a consolidated net loss of Rs 428 crore, narrowing from Rs 870 crore in Q4FY25 but widening from Rs 347 crore in Q1FY25. Revenue declined sharply to Rs 828 crore, down 49.6 per cent year-on-year from Rs 1,644 crore.
Despite these headwinds, the stock has surged over 23 per cent in the past week, buoyed by optimism surrounding Ola’s expansion plans and leadership commentary. However, the competitive pressure from Ather and continued margin challenges could keep volatility high in the coming months.
