# **Ola Electric Shares Jump 17% Despite Revenue Slump: What's Fueling Optimism?**

Shares of **Ola Electric Mobility** rallied nearly **17% intraday** to hit **Rs 46.69**, defying expectations after the company reported a **wider net loss for Q1 FY26** and a sharp **49.64% fall in revenue** to **Rs 828 crore** from **Rs 1,644 crore** a year ago. Despite weak financials, investor sentiment remains surprisingly strong. The key factor behind this surge is the **improving profitability in Ola’s auto segment**. While the segment's **EBITDA loss stood at a steep -90.6% in Q4FY25**, it has significantly narrowed to **-11.6% in Q1FY26** — a clear indication of operational turnaround. Analysts suggest this improvement signals that Ola Electric’s efforts towards cost rationalisation and scaling efficiency are starting to pay off. Additionally, expectations around future government EV incentives and Ola’s aggressive plans in battery technology and electric motorcycles are also bolstering investor confidence. Though revenue fell sharply, the **market seems to be betting on Ola’s improving fundamentals** and long-term potential in India’s fast-growing EV sector. **Disclaimer:** This is for information only. Not a recommendation to buy or sell any stock.