After several months of decline, Ola Electric made a significant comeback in October as its market share in the electric two-wheeler sector rose to 30%. This uptick came during the festive season, bolstering the company’s sales performance.
Data from Vahan revealed that Ola Electric sold 41,605 units in October, marking a 68% increase from September’s 24,726 units. This growth pushed Ola’s market share up to 30% in October from 27% in the previous month, though it remains lower than its peak shares of 32% in August, 39% in July, and 49% in June.
In October 2024, the Indian electric two-wheeler market saw total sales of 139,031 units. Ola Electric led the market with 29,890 units, closely followed by TVS Motors at 28,188 units, Bajaj Auto with 15,984 units, Ather Energy at 7,309 units, and Hero MotoCorp with 7,137 units.
Despite its growth, Ola Electric has faced scrutiny from authorities. Earlier this month, the Central Consumer Protection Authority (CCPA) issued a show-cause notice to the company for alleged consumer rights violations, including misleading advertising and unfair practices. Ola Electric responded by resolving nearly all after-sales complaints filed with the CCPA. However, an investigation by the Department of Consumer Affairs is underway to verify these claims.
Public attention on Ola also intensified due to customer complaints and an online interaction between CEO Bhavish Aggarwal and comedian Kunal Kamra.
On the financial front, Ola Electric’s Q1 FY25 results reflected a modest 2.8% revenue growth, bringing in Rs 1,644 crore, up from Rs 1,598 crore in Q4 FY24, and a 16.6% reduction in losses to Rs 347 crore. Nevertheless, the company’s stock is trading at Rs 80, nearly 50% down from its mid-August high of Rs 157.53, as the market anticipates Q2 results.
This steady climb in sales suggests Ola Electric is working to regain its previous momentum in the electric two-wheeler sector while addressing regulatory concerns.
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