India’s electric two-wheeler market is expanding rapidly, but competition among manufacturers has become significantly tougher. In February 2026, Ola Electric recorded a sharp drop in sales, falling to its lowest monthly volume in nearly four years.
The company registered just 3,968 electric scooters, representing a 47% month-on-month decline from January 2026. The drop pushed Ola Electric out of the top five EV two-wheeler manufacturers in India, raising concerns among investors tracking the performance of the country’s largest EV pure-play company.
The development highlights broader shifts in the EV market where legacy manufacturers such as TVS and Bajaj are gaining share through strong dealer networks, after-sales service and brand reliability.
Table of Contents:
- Overview of Ola Electric February 2026 Sales
- Ola Electric Sales Figures and Monthly Decline
- India EV Two-Wheeler Market Share February 2026
- Why Ola Electric Sales Are Falling
- Historical Sales Trend of Ola Electric
- Financial Performance and Key Metrics
- Ola Electric Share Price Performance
- Key Risks and Challenges for Investors
- Outlook for Ola Electric and the EV Market
- Frequently Asked Questions
Ola Electric experienced a significant slowdown in February 2026, with sales dropping sharply compared to previous months. The decline occurred amid increasing competition from established automobile companies expanding aggressively into the electric scooter market.
Key highlights include:
-
February 2026 sales: 3,968 units
-
January 2026 sales: 7,531 units
-
Month-on-month decline: 47.3%
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Market ranking: Dropped to 6th position
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Market share: Below 4%
-
Lowest monthly sales since early 2022
This drop also reflects the broader shift in the Indian EV ecosystem where buyers are prioritising reliability, service quality and dealership reach.
According to Vahan portal registration data, Ola Electric recorded the lowest monthly sales in nearly four years.
| Month |
Ola Sales |
Trend |
| March 2024 |
53,646 |
Peak demand |
| January 2025 |
24,413 |
Declining momentum |
| October 2025 |
16,036 |
Continued slowdown |
| December 2025 |
9,021 |
Sharp contraction |
| January 2026 |
7,531 |
Weak demand |
| February 2026 |
3,968 |
Four-year low |
The company had previously dominated India’s EV scooter segment, but the recent numbers indicate a consistent decline in monthly volumes since late 2024.
While Ola Electric struggled with falling sales, other manufacturers gained market share. Legacy players strengthened their positions due to better service infrastructure and dealership networks.
| Rank |
Brand |
Feb 2026 Sales |
| 1 |
TVS |
31,601 |
| 2 |
Bajaj Chetak |
25,323 |
| 3 |
Ather |
20,582 |
| 4 |
Hero Vida |
12,514 |
| 5 |
Greaves Ampere |
4,726 |
| 6 |
Ola Electric |
3,968 |
Key observations:
- TVS led the market with more than 31,000 units sold.
- Bajaj Chetak and Ather Energy maintained strong momentum.
- Greaves Ampere overtook Ola Electric by 758 units.
- TVS and Bajaj together controlled more than 50% of the EV scooter market.
This indicates a clear shift in market preference towards established automobile brands.
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Several operational and market factors contributed to the sudden decline in Ola Electric sales.
1. Service Network Challenges
One of the biggest issues impacting customer confidence has been after-sales service availability. Reports of service delays and repair backlogs have reduced consumer trust.
The company has started revamping its service infrastructure, which temporarily slowed down deliveries and affected sales volumes.
2. Increasing Competition from Legacy OEMs
Traditional automotive companies now dominate the EV two-wheeler market.
Advantages enjoyed by legacy players include:
- Extensive dealership networks
- Strong service infrastructure
- Established brand trust
- Wider spare parts availability
These factors are increasingly influencing purchasing decisions.
3. Fixed Cost Structure
Ola Electric operates with high fixed costs, estimated at 85–90% of total expenses.
When sales volumes decline, these fixed costs significantly impact profitability.
4. Market Maturity
As the EV market matures, consumers are prioritising:
- reliability
- service support
- resale value
- brand credibility
Aggressive pricing alone is no longer sufficient to drive demand.
Ola Electric’s sales trajectory over the past two years illustrates how quickly the competitive landscape has changed.
In early 2024, the company regularly sold more than 40,000 units per month, reaching a peak of over 53,000 units in March 2024.
However, sales started declining from late 2024 despite:
- new scooter variants
- new product launches
- expansion of service centres
- plans for electric motorcycle launches
This suggests that market competition and operational challenges have outweighed product expansion efforts.
Ola Electric’s financial results for Q3 FY26 (quarter ended December 2025) provide insight into its current operating performance.
| Metric |
Q3 FY26 |
Change |
| Revenue |
₹470 crore |
Down 55% YoY |
| Gross Profit |
₹161 crore |
Margin 34.3% |
| EBITDA Loss |
₹271 crore |
Improved 41% |
| Net Loss |
₹487 crore |
Down 14% YoY |
Important financial insights:
-
Gross margin reached a record 34.3%.
-
Operating expenses were reduced significantly from ₹840 crore to ₹484 crore.
-
Despite cost cuts, the company continues to report substantial losses.
The company has indicated that monthly breakeven requires sales of around 15,000 units.
Currently, sales volumes remain significantly below this threshold.
The sales decline triggered a sharp reaction in the stock market.
Key stock performance highlights:
-
Share price fell 16% after sales data release
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Record low reached: ₹21.21
-
Trading range mid-March 2026: ₹23 – ₹24.52
-
52-week range: ₹23 to ₹71
-
Peak price (August 2024): ₹157
Overall, the stock has declined 73% to 86% from its peak levels, reflecting investor concerns about slowing growth and operational challenges.
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To evaluate how the market is reacting to falling EV scooter sales and operational challenges, check the OLA Electric share price along with updated charts and key valuation ratios.
Investors evaluating Ola Electric should consider several risk factors.
Operational Risks
- Weak service network affecting brand perception
- Declining sales volumes
- Delivery backlog issues
Financial Risks
- High fixed cost structure
- Continued operating losses
- Potential funding requirements if losses persist
Market Risks
- Strong competition from established OEMs
- Rapidly changing EV technology
- Price competition within the electric scooter segment
Despite current challenges, the long-term outlook for India’s EV market remains strong.
The country is expected to see:
- rapid electrification of two-wheelers
- favourable government policies
- improving battery technology
- expanding charging infrastructure
For Ola Electric specifically, recovery will depend on:
- Strengthening service infrastructure
- Restoring customer trust
- Scaling production efficiently
- Increasing sales closer to the 15,000 units monthly breakeven level
The March financial year-end period could see a temporary sales push, often driven by discounts and promotional offers.
However, long-term growth will depend on operational improvements rather than price incentives alone.
For investors with high risk tolerance, the stock may offer potential turnaround opportunities, but volatility is expected to remain high.
1. Why did Ola Electric sales fall in February 2026?
Ola Electric sales dropped to 3,968 units in February 2026, mainly due to service network challenges, rising competition from established manufacturers such as TVS and Bajaj, and slowing demand momentum in the electric scooter market.
2. What is Ola Electric’s market share in India’s EV two-wheeler market?
As of February 2026, Ola Electric holds less than 4% market share in India’s EV two-wheeler segment after falling to 6th position in monthly sales rankings.
3. Which companies lead the electric scooter market in India?
The leading EV two-wheeler manufacturers in February 2026 include:
- TVS Motor
- Bajaj Chetak
- Ather Energy
- Hero Vida
- Greaves Ampere
These companies benefit from strong dealership networks and established automotive experience.
4. What is Ola Electric’s breakeven sales level?
Ola Electric has indicated that monthly sales of around 15,000 units are required to reach operational breakeven.
5. Is Ola Electric stock falling?
Yes. Ola Electric’s share price has declined significantly, falling from a peak of ₹157 in August 2024 to around ₹23–₹24 in March 2026, reflecting concerns about slowing sales and financial performance.
6. Can Ola Electric recover in the EV market?
Recovery is possible if the company improves its service infrastructure, rebuilds customer trust, and scales production efficiently. The long-term EV adoption trend in India remains favourable for industry growth.