Ola Electric shares jump 17% despite market weakness; up 22% in two days. What’s fueling the surge?
Shares of EV scooter-maker jumped to Rs 35.30 apiece on Thursday, adding more than Rs 2,850 crore to the total market capitalisation of the company and taking it up to near Rs 15,600 crore.
Ola Electric founder Bhavish Aggarwal earlier this week took to X to announce that its in-house developed Lithium Iron Phosphate (LFP) cell is ready. “This is our 46100 format cell—bigger than our current NMC cell. It will start entering our products from the next quarter,” he said.
EV scooters to get cheaper?
The new LFP cell is expected to enable further cost reductions, accelerate EV adoption, and lay the foundation for the company’s broader battery storage ambitions, Aggarwal said, adding that it marks the next phase of its Gigafactory scale-up.
“In our End ICE Age journey, we’ve focused on removing barriers to EV adoption—through customer offers, service guarantees, and buyback programmes to build confidence. Passing on PLI benefits is also aimed at improving affordability. We are building not just vehicles, but the full energy stack,” he added.
Strong progress at Gigafactory
In an exchange filing, Ola Electric said the Gigafactory ramp-up is progressing well, with thousands of vehicles powered by its 4680 Bharat Cells already on Indian roads, clocking millions of kilometres in real-world conditions.The Gigafactory currently has a capacity of 2.5 GWh, which is being scaled up to 6 GWh, the company said. It added that the new LFP cell remains subject to regulatory approvals.
A company spokesperson said the readiness of the LFP 46100 cell marks a key milestone in building an advanced EV and energy ecosystem in India.
“Along with strong progress at our Gigafactory and proven performance of our 4680 cells, this milestone reflects our commitment to innovation, scale, and self-reliance. LFP technology will be critical in driving affordability and accelerating EV adoption,” the spokesperson said.
Strong March sales
Earlier this month, Ola Electric reported a “strong comeback in business performance”, with daily orders exceeding 1,000 units in the last week of March. Its registrations, meanwhile, jumped over 150% month-over-month to 10,117 units in March from 3,973 units in February. The company said its market share witnessed a V-shaped M-o-M recovery, and it continued to gain share through the month.
The Bhavish Aggarwal-led company said this demand recovery was driven by a structural transformation in service operations. Over 80% of vehicles are now serviced on the same day, enabled by improved parts availability, faster diagnostics and tighter operational control across the network, it claimed.
Speaking about the recent service challenges seen over the past few months, Ola Electric said that it implemented big operational changes, resulting in significantly improved turnaround times and customer experience.
Also read: Iran war halts but missiles would echo in Q4 results: 40 stocks may report over 20% profit dip
Ola Electric sees a clear inflexion in demand
“We are seeing a clear inflexion in demand, with daily orders scaling steadily through March and accelerating meaningfully in the final weeks. This momentum is being driven by the structural improvements in our service operations, which are now delivering faster turnaround times and a significantly better ownership experience. As customer confidence strengthens, we are seeing stronger conversion across our portfolio, giving us confidence that this recovery will further sustain and scale,” a spokesperson for Ola Electric said.
Ola Electric earnings snapshot
Ola Electric in January reported a 55% YoY drop in consolidated revenue from operations at Rs 470 crore for the October-December quarter of the financial year 2026, as against Rs 1,045 crore during the same period of the previous financial year.
Also read: Honasa Consumer shares rocket 11% on strong Q4 business update. Here’s everything you need to know
Its net loss, however, narrowed to Rs 487 crore during the quarter, while deliveries declined 61% YoY to 32,680 units in Q3 FY26.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)
