Ola Electric's shares have surged by 16% over the past three trading sessions, reaching ₹54.90 on August 28th. The primary reason for this rally is the certification of the company's Generation 3 electric scooters under the government's PLI scheme, which will provide incentives of 13%-18% until 2028, thereby boosting profitability.
Ola Electric Share: Ola Electric's shares have witnessed a continuous upward trend for the past three trading sessions, climbing 8% to reach ₹54.90 on Thursday, August 28, 2025. The main driver behind this surge is the certification of the company's Generation 3 electric scooter portfolio under the PLI (Production Linked Incentive) scheme. Under this scheme, Ola will receive incentives ranging from 13% to 18% on its scooter sales until 2028, which will reduce production costs and increase profits. The company has also recently unveiled new models such as the S1 Pro Sport and Roadster X+.
PLI Certification to Provide Significant Benefit to the Company
Ola Electric announced in a filing after the market close on Monday that its Generation 3 scooters have received certification under the Production Linked Incentive (PLI) scheme. This government scheme is designed to promote the production and sale of electric vehicles.
Under this scheme, Ola Electric will receive financial incentives ranging from 13 percent to 18 percent on the sales of its Generation 3 scooters until 2028. This will have a direct impact on the company's profitability and cost structure. Experts believe this will increase the company's profits and strengthen investor confidence.
Generation 3 Scooter Portfolio
Ola Electric's Generation 3 portfolio includes key models such as the S1 Pro, S1 X, and S1 X+. These models are available with different battery capacities, including 2 kWh, 3 kWh, 4 kWh, and 5.2 kWh variants.
Additionally, the company recently unveiled new models at its annual 'Sankalp' event. These include the S1 Pro Sport and the high-performance scooter Roadster X+, which will be powered by indigenous 4680 cell technology. Deliveries for the S1 Pro Sport are scheduled to commence from January 2026, while other new models will be available in the market starting this Navratri.
Share Rally Despite Revenue Decline
In the first quarter of fiscal year 2026, Ola Electric reported a loss of ₹428 crore, a significant reduction from the ₹870 crore in the previous quarter. However, revenue saw a decline, dropping to ₹828 crore, a decrease of approximately 50 percent compared to the same period last year. According to experts, the reduction in losses and the PLI certification have boosted investor confidence, leading to the share price rally.
Ola Electric Surges Amidst Market Weakness
Despite overall weakness in the stock market, Ola Electric's shares have shown a consistent upward trend for three consecutive days. This is attributed to the PLI certification, coupled with the introduction of new Generation 3 models and the company's cost control strategies.
Experts suggest that the company's performance could strengthen further in the coming months with the commencement of sales of new models and government incentives. Investors are now focusing on Ola Electric's financial reports and production capabilities.
