The transfer marks a deeper pullback for the Bengaluru-based electrical car (EV) maker, only a yr after it introduced the enlargement of its retail community to 4,000 shops nationwide.
In its newest quarterly replace, Ola Electric mentioned it had already pared its retailer community to 700 retailers as a part of what it described as a “structural reset”.
“Q3 FY26 marks a structural reset for Ola Electric. As EV penetration growth has slowed and our service execution has required strengthening, we chose to realign our retail footprint, cost structure, and operating model to a sustainable steady state by fixing the fundamentals and not optimising for short-term volume,” the corporate mentioned in its shareholders’ letter.
The firm has shut shops throughout the nation, with a number of workers at these areas requested to depart, mentioned individuals within the know.
Queries despatched to Ola Electric didn’t elicit a response until press time.
For the quarter to December 31, 2025, Ola Electric reported a internet lack of ₹487 crore, an enchancment from ₹564 crore a yr earlier. Revenue from operations fell 55% year-on-year to ₹470 crore.The firm delivered 32,680 electrical two-wheelers through the quarter, down 61% year-on-year.
According to Vahan web site, Ola Electric’s market share within the electrical two-wheeler phase fell to six.3% in January from about 26% a yr in the past. In the primary 18 days of February, the corporate offered 2,575 automobiles, additional lowering its market share to about 4.2%.
Ola Electric, which was the market chief within the phase final yr, at the moment trails behind legacy firms similar to TVS Motor, Bajaj Auto and Hero MotoCorp, in addition to new-age gamers like Ather Energy.
Several showrooms and repair centres of Ola Electric had been earlier discovered working with out legitimate commerce certificates and had been requested to close down by authorities authorities, particularly in states like Maharashtra.
