The planned reduction marks a deeper retrenchment for the Bengaluru-based electric vehicle (EV) maker, just a year after it announced an ambitious expansion of its retail footprint to 4,000 stores across India.
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In its latest quarterly update, Ola Electric revealed that it has already cut its store count to 700 outlets as part of a “structural reset”.”Q3 FY26 marks a structural reset for Ola Electric. As EV penetration growth has slowed and our service execution has required strengthening, we chose to realign our retail footprint, cost structure and operating model to a sustainable steady state by fixing the fundamentals and not optimising for short-term volume,” the company stated in its shareholders’ letter.
Financially, the company reported a net loss of Rs 487 crore for the quarter ending December 31, 2025, a modest improvement from a loss of Rs 564 crore in the same period last year. Revenue from operations fell sharply, dropping 55% year-on-year to Rs 470 crore.
Ola Electric delivered 32,680 electric two-wheelers during the quarter, down 61% compared with the same period a year earlier. Meanwhile, data from the Vahan website shows that the company’s market share in the electric two-wheeler segment fell to 6.3% in January, from about 26% a year ago.
Ola Electric Mobility shares fell 3.49% to Rs 26.55 on the NSE on Friday. Notably, the stock’s 14-day Relative Strength Index (RSI) is 23.8. Since an RSI below 30 is generally considered oversold, this suggests the stock could see a potential rebound in the near term.
In the December 2025 quarter, Foreign Portfolio Investors (FPIs) increased their holdings from 3.24% to 4.08%, while mutual funds marginally raised their stake from 5.51% to 5.54%.
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