Ola Electric Mobility Limited – Investor Presentation Summary

Key Operational Highlights

  • Transitioned to dealer model with 255 dealer partners operating 319 stores as of November 8, 2026
  • Targeting 450 stores by December 2026 and 700 stores by March 2027
  • Production expected to reach approximately 25,000 vehicles in December 2026
  • Cell business achieved SCOD for 6 GWh capacity ahead of schedule
  • Current dealer channel inventory at approximately 15 days

Key drivers of operational performance: Dealer network expansion, supply chain ramp-up, cell production scaling, and transition from D2C to dealer model

Segment-wise Performance

Auto Segment Q2 FY27:

  • Revenue from Operations: ₹420 crore
  • Gross Margin: ₹125 crore (29.76%)
  • Operating Expenses: ₹269 crore
  • Operating EBITDA: -₹120 crore
  • Adj. Operating EBITDA: -₹145 crore (-34.5% margin)
  • PAT: -₹214 crore
  • CFO: -₹107 crore
  • FCF: -₹134 crore

Cell Segment Q2 FY27:

  • Revenue from Operations: ₹3 crore
  • Gross Margin: ₹2 crore (80.0%)
  • Operating Expenses: ₹40 crore
  • Operating EBITDA: -₹32 crore
  • Adj. Operating EBITDA: -₹38 crore (-1,259.1% margin)
  • PAT: -₹84 crore
  • CFO: -₹14 crore
  • FCF: -₹170 crore

Explanation of significant changes in segment performance: Auto segment shows improved gross margin percentage despite commodity cost pressures, while Cell segment shows high gross margin percentage on small revenue base with significant operating expenses during ramp-up phase

Financial Highlights

Consolidated Q2 FY27:

  • Revenue: ₹421 crore
  • Gross Margin: ₹126 crore (29.93%)
  • Operating Expenses: ₹369 crore (down from ₹390 crore in Q1 FY27 excluding one-time reversal)
  • Operating EBITDA: -₹218 crore
  • Adj. Operating EBITDA: -₹246 crore (-58.5% margin)
  • PAT: -₹362 crore
  • CFO: -₹188 crore
  • FCF: -₹371 crore

YoY/QoQ comparison: Revenue decreased from ₹455 crore in Q1 FY27 to ₹421 crore in Q2 FY27; Gross Margin decreased from ₹139 crore to ₹126 crore; Operating Expenses increased from ₹333 crore to ₹369 crore

Drivers of financial performance: Transition to dealer model, supply chain constraints, ongoing cell business investments, and reduction in operating expenses excluding one-time items

Key Risks: Commodity price increases, supply chain ramp-up challenges, dealer network scaling execution

Balance Sheet Snapshot

  • Total borrowings reduced from ₹3,132 crore in December 2024 to ₹1,819 crore in September 2026
  • Auto borrowings reduced from ₹2,422 crore to ₹337 crore
  • Working capital cycle improved under dealer model as dealers pay for vehicles when ordering

Financial Health Insights: Significant deleveraging, improved working capital cycle, expectation of Auto business generating free cash flow in near term

Capex & Cash Flow Health

  • Free Cash Flow: -₹371 crore in Q2 FY27
  • Operating Cash Flow: -₹188 crore in Q2 FY27
  • Capital expenditure ongoing for cell business ramp-up and dealer network expansion

Investment Rationale: Focus on cell production scaling, dealer network expansion, and vehicle production capacity utilization

Strategic & R&D Initiatives

  • S1Z model announcement with LFP cell technology, reaching customers in Q4 FY27
  • Gradual integration of LFP cells into existing products from Q4 FY27
  • Shakti Gen 2 launch planned for Q4 FY27
  • NMC yields currently at 70-75%, expected to reach 80-85% by end Q3 FY27 and 90% by Q4 FY27
  • LFP yields expected to reach 70% by Q4 FY27 and 90% by Q1 FY28

Expected impact on growth: Own cell consumption expected to reach 2-3 GWh in FY28; at 85% yield, 10-15% cost savings over buying cells from outside

Strategic Rationale: Vertical integration through captive cell production, reducing dependency on external suppliers, and capturing government incentives

Industry Trends & Business Environment

  • E2W industry volumes: 599,317 units in Q2, up 82.7% year-on-year
  • EV penetration of two-wheeler market reached 11.2%
  • Government introduced minimum 40% domestic content requirement for grid-scale storage
  • Government approved lithium refining scheme and working on incentives for cell components
  • ACC PLI extended to CY2031

Impact on Company: Growing addressable market, favorable regulatory environment for domestic cell manufacturing, increasing demand for Indian cells from OEMs

Management Commentary & Growth Outlook

  • Demand is no longer constraint; supply chain ramp-up is current constraint
  • Expect Auto business to generate free cash flow in near term
  • Operating margin expected to improve meaningfully in Q3 and Q4
  • PLI incentives expected to start coming in from next quarter
  • Confident of regaining market share as dealer network matures

Risks and Opportunities: Supply chain scaling execution, yield improvements in cell production, dealer network expansion pace, commodity price fluctuations