Ola became real juggler, even after negative results, investors got big money

Ola share price

The shares of Ola Electric have again made a strong return of investors in a single day, making a comeback. The main index Sensex of the Indian stock market is doing a decline of about 250 points till the Sensex news is written. On the other hand, Ola’s shares have given strong returns despite the bad results of the first quarter. Ola Electric may have shown a net loss of 428 crore in the June 2025 quarter, but its shares rose 17.2% to Rs 46.67 on Monday. Let us understand how the company became a juggler even after the los. Why is his shares bounce.

This is the reason

The company fell 49.6% to Rs 828 crore as compared to the last year, but the growth of 611 crore from the March quarter showed a growth of 35%. The biggest thing, in June, the auto segment first did Ebitda positive. The gross margin was 25.6%, which is the best ever. This improvement came due to vertical integration, proprietary technology and low material cost, which also increased the margin of Gen 3 scooters, roadster bikes and moveos+ software.

The company’s cost-coting program ‘Lakshya’ is working. Auto operating expenses have come down from 178 crores to Rs 105 crore per month. Total monthly expenses are now 150 crores, and the company says that it will be under control even if the volume is doubled. The total expenditure in Q1 was 42.4% to 1,065 crore. Ebitda Los was 237 crores, but the margin -113.9% improved to -28.6%. Auto Ebitda -11.6%.

Further plan of the company

Ola has kept a sale of 3.25-3.75 lakh vehicles for FY26 and a target of 4,200-4,700 crore revenue. Auto Ebitda will be positive from Q2 and will be above 5% by the end of the year. The company needs Rs 300 crore capex for auto in FY26 and 400-500 crore for free cash flow breakeven. The 5 GWH plant in the battery cell business will be completed this year, which covers 70% of the investment of 1,000 crores. SAIL unit will achieve free cash flow breakeven by FY27. In June, the company had a cash balance of Rs 3,197 crore, and no more funding is needed for operations. The negotiations of debt refinance will be completed in the next quarter.

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