Ola Electric Shares Tumble 8% Amid CFO Exit, 10-Day Losing Streak

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AuthorIshaan Verma|Published at:
Ola Electric Shares Tumble 8% Amid CFO Exit, 10-Day Losing Streak
Overview

Ola Electric's stock continued its sharp decline, dropping over 8% on Thursday to INR 32.79, marking its tenth consecutive session of losses. The sell-off is amplified by the resignation of CFO Harish Abichandani and a significant drop in vehicle registrations and market share in the two-wheeler EV segment, even as the company reports efforts towards profitability.

The immediate catalyst for Thursday's steep sell-off appears to be the sudden departure of Chief Financial Officer Harish Abichandani, effective January 19. Abichandani, who had been with the Ola Group since 2017, submitted his resignation yesterday. Ola Electric has moved swiftly to fill the void, appointing former Puravankara Ltd Group CFO Deepak Rastogi. Rastogi, a chartered accountant and MBA, brings extensive experience from previous leadership roles at companies like Deepak Fertilisers & Petrochemicals and Tata AutoComp Systems.

Financial Performance Under Pressure

This executive reshuffling occurs as the electric vehicle maker grapples with deteriorating financial and operational metrics. Ola Electric's operating revenue saw a sharp 43% year-over-year decline to INR 690 Cr in the second quarter of fiscal year 2026, down from INR 1,214 Cr in the prior year period. Sequentially, revenue dropped 16.7% to INR 828 Cr. While the company reported a narrowed net loss of INR 418 Cr, down over 15% year-over-year, this improvement was partly achieved through a strategic shift towards profitability for its automotive segment.

Sales and Market Share Erosion

The company's auto segment did achieve EBITDA profitability in Q2 FY26, but this success is overshadowed by plunging vehicle registrations. Ola Electric's vehicle registrations plummeted by over 51% year-over-year to 1.99 Lakh units in 2025. This dramatic fall has led to a significant erosion of its market share in the competitive two-wheeler EV segment, which has shrunk to just over 15% from a peak of 35.5% in 2024.

The broader Indian equities market also contributed to the bearish sentiment, with benchmark indices Sensex and Nifty 50 trading lower. Analysts note that market volatility is likely to persist amidst ongoing geopolitical tensions and potential regulatory shifts, adding to investor caution.

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