Ola Electric under funding pressure amid sales decline

The EV maker missed its sales targets to achieve profitability for seventh consecutive month

- Ayaan Kartik

Ola Electric Mobility Ltd sold nearly half as many electric scooters in the September quarter as it did a year ago, missing its sales target for achieving profitability for the seventh consecutive month, and fuelling concerns over mounting cash burn and sustainability.

With a 47% year-on-year drop in the second-quarter sales to 50,279 units, the company ceded further market share to rivals such as Ather Energy and legacy players TVS Motor Co. and Bajaj Auto. It now ranks fourth in the list of Indian electric two-wheeler makers, with Ather jumping to the second position by selling 52,597 units in the quarter. TVS topped the list with 69,195 while Bajaj ranked third with 51,120.

In September, Ola sold only 13,371 units, its lowest ever monthly sales since it went public in August 2024, against Ather's 18,109, TVS's 22,482, and Bajaj's 19,519, showed the government’s VAHAN portal.

The loss in market share comes despite its increasing store count to more than 4,000, the introduction of a new generation of scooters, and the launch of a new electric motorbike over the last 10 months.