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Ola Electric leads Indian electric two-wheeler market in margins, achieving 18.4% gross margin in Q1 FY2025.
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Aggressive localization, direct-to-consumer model, and government subsidies drive Ola Electric’s strong margin performance.
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Ola Electric nears EBITDA-level profitability, outperforming competitors TVS, Bajaj, and Ather.
A recent report by Bernstein reveals Ola Electric’s dominance in the Indian electric two-wheeler market, with an impressive 18.4% gross margin in Q1 FY2025. This surpasses competitors TVS (14%), Bajaj (12.3%), and Ather (7%). Ola Electric’s focus on localization, direct-to-consumer sales, and government subsidies drives its strong financial performance.
The report highlights Ola Electric’s near-EBITDA-level profitability, achieving an EBITDA margin of -2%. This outperforms competitors TVS (-7.9%), Bajaj (-10.4%), and Ather (-37%). Investment banks Goldman Sachs and Bank of America have initiated coverage on Ola Electric shares with a ‘buy’ rating.
Ola Electric’s technological advancements and cost leadership position it for substantial growth, driven by favorable long-term trends in the Indian EV market.
