- Ola Electric plans to cut its retail outlets to about 550 by March end
- The company reduced stores from 4,000 planned to around 700 currently
- Q3 revenue was Rs 470 crore with a 61% year-on-year drop in deliveries
Ola Electric Mobility Ltd. is preparing to scale down its physical retail footprint to roughly 550 outlets by the end of March, deepening an ongoing consolidation effort amid declining market share and operational headwinds, The Economic Times reported.
The latest move reflects a significant retreat for the Bengaluru-based EV maker, which had announced an ambitious plan last year to expand its network to 4,000 stores across India. In its recent Q3 update, the company disclosed that it has already reduced its store count to around 700 outlets as part of what it termed a "structural reset."
“We chose to fix the fundamentals by restoring service execution, resetting our cost structure, and deepening vertical integration,” the company said in its regulatory filing. "The result is a leaner operating model with materially lower breakeven and industry‑leading gross margins."
According to the report in the ET, Ola Electric has shut down multiple stores across the country, with staff at several locations asked to leave as part of the restructuring.
The company reported Rs 470 crore in consolidated revenue from operations for the quarter ended December 31, with 32,680 electric two‑wheelers delivered which is a 61% year‑on‑year decline.
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Once touted as the category leader, Ola Electric now trails established players such as TVS Motor, Bajaj Auto and Hero MotoCorp, along with newer competitors like Ather Energy.
Compounding its challenges, several Ola Electric showrooms and service centres were recently ordered shut by authorities particularly in Maharashtra. In 2025, the Maharashtra government had told regional transport offices to shut Ola Electric stores operating without a trade certificate.
Ola Electric's troubles in Maharashtra first started in early March, when the RTOs in Mumbai and Pune inspected stores for trade certificates. Several of these “experience centres” were found to be operating without one or sharing one among themselves, Transport Minister Pratap Sarnaik told NDTV Profit on April 5, 2025.
Meanwhile, shares of Ola Electric Mobility Ltd. on Monday fell as much as 3.20% with the stock trading at Rs 25.72 apiece intraday on the BSE, compared to its listing price of Rs 76 per share.
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