Shares of Ola Electric Mobility, one of India’s leading two-wheeler EV manufacturers, rose nearly 20 percent this week after the company announced that it had secured the production incentive (PLI) certification for its Gen 3 scooter portfolio. The development, the company said, will strengthen the margins and profitability from this term. On Friday’s trade alone, the share rose 5 percent to reach a £ 57.50 peak. PLI certification for Gen 3 scooters Ola Electric on Monday, after the market hours, informed that it had received certification for compliance with the requirements for the judging assessment under the Pli scheme for the Car and Motor Parts Sector. The certification covers all seven models of the company’s Gen 3 S1 Scooter portfolio, which makes up more than half of its sales. With this recognition, OLA has now plunified both Gen 2 and Gen 3 setups. This certification makes the company eligible for incentives ranging from 13 percent to 18 percent of the fixed sales value (DSV) to 2028. Ola said the benefit would directly strengthen its cost structure and help to expand margins, which will push it closer to achieving Ebitda positivity. The Gen 3 series contains the S1 Pro 3 kWh, S1 Pro 4 kWh, S1 Pro+ 4 kWh, S1 x 2 kWh, S1 x 3 kWh, S1 x 4 kWh and S1 x+ 4 kWh, which collectively represents most of its current sales. The certification is expected to significantly increase profitability from the first quarter of FY26. New models launched at ‘SankalP’ event during the annual ‘Sankalp’ event revealed OLA several new offers, including the S1 Pro Sport (5.2 kWh and 4 kWh variants), the S1 Pro+ (5.2 kWh) and the Roadster X+ (9.1 kWh), which will run on the 4680 Bharat. Deliveries for the S1 Pro Sport are scheduled to start in January 2026, while the S1 Pro+ 5.2 kWh and Roadster x+ 9.1 kWh models will be available, which will start Navratri 2025. During the event, founder and chairman Bhish Aggarwal set out the Ola Electric’s growth plans, with a 25-30 percent share of India’s Two-Wheeler EV market. He emphasized that vertical integration and a strong pipeline of new products would be the key to achieving this ambition. Q1FY26 results show that the loss of losses, besides these developments, reported the earnings for the June quarter. The company achieved a consolidated net loss of £ 428 crore in Q1FY26, which is narrowed from a loss of £ 870 crore in Q4FY25, although slightly higher than the loss of £ 347 in Q1FY25. However, revenue dropped sharply to £ 828, by 49.6 percent on an annual basis of £ 1.644 in Q1FY25, reflecting the weaker demand and price pressure in the EV segment. Share price trend Ola Electric’s share sustained a sharp setback in August, with more than 37 percent, so far, after having returned to 4.3 percent and 15.3 percent in June in July. Despite this recovery, the stock remained under pressure in 2025, with a year-to-date loss of 34 percent. Over the past one year, it has eroded more than 56 percent of the wealth of investors. In August 2024, the shares touched their 52-week peak of £ 181, while the 52-week low of £ 39.58 was scored in July 2025. Disclaimer: The views and recommendations above are those of individual analysts or brokerage companies, and not of currency. We advise investors to check with certified experts before making investment decisions.
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