New Delhi: Shares of Ola Electric Mobility Ltd remained under scrutiny on Thursday, following the company’s sharp rebuttal of what it termed “false narratives” surrounding its February 2025 sales data. The electric vehicle (EV) maker maintained that the reported drop in registrations was not indicative of a sales slump, but rather a temporary registration backlog arising from internal operational shifts.
The clarification comes at a critical time, with Ola Electric’s stock having declined 34.57% year-to-date and plunging nearly 59.34% over the last six months, raising concerns among investors and market watchers alike.
In a detailed exchange filing submitted to the BSE and NSE, the company stated that the registration backlog in February occurred due to ongoing negotiations with two nationwide vendors previously responsible for handling vehicle registrations. These vendors' contracts were recently discontinued as part of Ola's broader strategy to streamline operations and boost profitability.
“This is a straightforward case of a temporary registration backlog, yet certain media outlets and vested interests have deliberately misrepresented it as a regulatory issue,” Ola Electric noted in its statement, accusing a coordinated campaign of “misinformation and smear.”
The Bengaluru-based EV firm emphasized that nearly 40% of the backlog has already been cleared and the remainder is expected to be fully resolved by the end of March 2025. The company added that daily registrations have now surpassed 50% of its three-month average, signaling a return to normalcy.
In the same filing, Ola Electric confirmed that it had received official queries from the Ministry of Heavy Industries (March 11, 2025) and the Ministry of Road Transport and Highways (MoRTH) (March 18, 2025), as well as from four state governments. These communications reportedly seek clarification regarding discrepancies between vehicle registrations listed on the VAHAN portal and Ola’s February 28 regulatory sales filing.
Addressing these discrepancies, Ola asserted that it sold 25,000 units in February, with a market share of 28%, in stark contrast to the 8,600 units recorded on VAHAN data and the 11.4% market share cited in a Nomura report earlier this month.
“There are no ongoing regulatory or legal proceedings against the company,” Ola Electric stressed, affirming that responses to all notices and inquiries are being drafted and will be submitted promptly.
The company also acknowledged having received trade certificate notices for select stores in four states and confirmed that it is actively cooperating with all relevant authorities.
The EV startup, which has been among the pioneers of India’s green mobility revolution, recently expanded its portfolio with the launch of its much-anticipated Roadster X series electric motorcycles. Priced from ₹74,999 to ₹1,54,999, the range includes the Roadster X+ 9.1kWh variant, equipped with Ola’s own 4680 Bharat Cell, delivering an impressive 501 km range per charge.
Despite mounting scrutiny, Ola Electric remains confident about its growth trajectory and operational resilience.
“Our focus remains on resolving the backlog efficiently and continuing to serve our customers with transparency and reliability,” the company said, underscoring its commitment to long-term value creation amid short-term noise.
As the dust settles, all eyes will be on Ola Electric’s March-end figures, which may prove crucial in restoring investor confidence and separating fact from fiction in the high-stakes EV market narrative.
