Ola Electric's Auto Business Turns Profitable in Q2 FY26; Gross Margins Expand to 30.7%
Ola Electric's auto business achieved positive EBITDA of 0.3% in Q2 FY26, marking its first quarter of auto EBITDA profitability. The company's auto gross margin expanded sequentially by 510 bps to 30.7%. Ola Electric's cost optimization efforts have delivered results, with auto operating expenses reduced to ₹258 Cr from ₹308 Cr in Q2. The company expects auto opex to decline to approximately ₹225 Cr by Q1 FY27. Ola Electric launched HyperService, expanding genuine-parts access to customers and third-party garages. The company's cell business commissioned 2.5 GWh of installed capacity, making it India's first operational facility at gigawatt scale. Ola Electric launched Ola 2IfFd, India's first residential Battery Energy Storage System (BESS) using the company’s Bharat 4680 cell.
Key Highlights
- Achieved auto segment profitability for the first time, supported by a 30.7% gross margin
- Auto business turns cash-generative, with cash flow from operations of €15 cr
- Launched Ola 2ifed, India’s first residential Battery Energy Storage System (BESS) built with Ola’s in-house 4680 Bharat Cells
- Ola Gigafactory commissioned with 2.5 GWh capacity; on track to reach 5.9 GWh by March 2026
- Launched HyperService, expanded genuine-parts access to customers and third-party garages