Ola Electric: The Soft Bank backed Ola Electric, said to preparing for Upto $700 Million IPO has been registered more than Rs. 1100 Crore loss, the company hasn’t previously filed with Indian Authorities, which permits the time until September to file previous years earnings. In this case, Ola clearly declined to comment. Ola Electric last year in June made clear issuing a statement that it was “On track to Surpass $1 Billion run rate by end of this year” and “the future forecasts looks even stronger.”
But the company missed that Revenue Projection for 2022-23. Two sources with the clear information of the Ola Electric financials said Ola’s first full year of operations made it record a revenue of $335 Million in year with around 150000 Units sales with an operation loss of $135 million.
Ola sold almost 21,400 electric scooters in March- which was the last month of the fiscal year 2022-23.
From the company started sales in late 2021, Ola became e-scooter market leader in India with 32% share in the segment, with having a stiff competition from Ather Energy, TVS motors and Hero Electric, the company was valued at $5 Billion last year and succeeded in making nearly $800 million from investors since 2019.
Ola Electric, in the initial months of this year came with unrealistic and agressive projections, estimating that their revenue will quadruple to $1.5 Billion in 2023-24, a year when it also plans to clock its first profit , as per reuter last week report.
But this is projection was done prior to when Indian Government slashed Government incentives on E-scooters in May, observing the equation analysts said that now Ola and other E scooter manufacturers will be forced to make new growth plans.
Despite this signficant change in Incentives on E scooter, the company was very clear that it will become operationally profitable this year which is key point of which a potential investor take cares of , as per a source
Ola Electric is a maket leader in near future is the statement on which Ola’s most of the existing investors were bulllsh on, one of the source added.
Ola Says that it manufactures its e-scooter in Tamil Nadu from “the world’s largest 2 wheeler factory” which is capable enough to build 10 milllion units per year. The Company was indulged in spending hundreds of millions of dollars in expanding its factory and Service centres which already had a massive capacity.
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