Ola Electric Mobility Ltd.’s blockbuster initial stock offering last year had investors clamoring to buy over four times the number of shares publicly available. Now, it’s struggling to find backers despite a new bet on home battery storage.Beset with shrinking market share, relentless cash burn and a nearly 53% plunge in share price this year, the SoftBank Group Corp.-backed electric scooter maker has been turned down by multiple financiers in recent months, said people familiar with the matter who did not ...

Core Insights - Ola Electric reported a consolidated net loss of Rs 418 crore for Q2 FY26, an improvement from a loss of Rs 495 crore in the same period last year [1][7] - Total revenue from operations for Q2 FY26 was Rs 690 crore, marking a 43% decline year-on-year from Rs 1,214 crore in Q2 FY25 [1][7] - The company achieved Auto EBITDA profitability for the first time, with a gross margin of 30.7%, an increase of 510 basis points quarter-on-quarter [7] Financial Performance - The consolidated revenue target for FY26 is set between Rs 3,000 crore and Rs 3,200 crore, with a focus on profitability over aggressive volume growth [4][5] - Gross margins within the auto business are expected to reach approximately 40% by Q4 FY26, with segment EBITDA projected at around 5% [5][7] - Operating expenses were reduced by about 52% compared to the previous quarter [7] Future Outlook - Ola Electric aims to deliver around 100,000 units in the second half of FY26 [4][5] - The cell business is expected to start generating revenue from Q4 FY26, with gross margins stabilizing at around 30% by early FY27 [5][7] - Capital expenditure for the auto segment is earmarked at Rs 100–150 crore for Q3 and Q4 FY26, with expectations of turning free cash flow positive by the end of FY26 [6][7] Strategic Initiatives - The company plans to complete the installation of its 5.9 GWh Gigafactory, primarily financed through project funding from the State Bank of India [6][7] - Ola Electric is set to initiate the next phase of capacity expansion to 20 GWh in the first half of FY27, coinciding with the scale-up of its grid-scale energy offerings [6][7]