Ola Electric's Financials Improve Ahead of IPO

• Ola Electric's operating revenues surged by 93% to Rs 5,010 crore ($603 million) in FY24, while net loss increased marginally by 6% to Rs 1,478 crore ($178 million).
• The company is targeting a valuation of $4.25 billion to $4.5 billion for its IPO, a significant drop from its last private-market valuation of $5.4 billion.
• IPO filings reveal a reduction in the secondary component by 10%, with founder Bhavish Aggarwal cutting his share sale from 47.4 million to 37.9 million shares.
• Key cost items like R&D, employee expenses, and advertising have been kept in check, with R&D expenses down by 25% and employee benefits up by just 3%.
• Ola Electric sold 329,000 vehicles in FY24, achieving 115% growth and maintaining a 45-50% market share in electric two-wheeler sales.

Source: The Arc