Ola, once the star attraction of the Indian startup story, is currently in the middle of a whirlwind. And Bhavish Aggarwal, in the eye of the storm. The company, which has Ola Cabs, Krutrim AI, Ola Maps and Ola Electric, listed the latter with fervour and optimism. But, in the three months since its listing on August 9, the company has seen everything, but a wave of good news.
From Blockbuster to Lacklustre
The company shares have consistently tanked, with fewer days of gains. After listing at Rs 76 per share, the company shares rose to Rs 126.21 in just a fortnight. Ever since, the company shares have largely witnessed a decline.
The PR fiasco, with Aggarwal taking on comedian Kunal Kamra, who raised the issue of the Ola Electric scooters did not help the cause of the company at all. | File
The performance at Dalal Street is also a reflection of how things have progressed for the company outside the equity market. With instance of product failing to live up to expectations to failure to address issues, Bhavish Aggarwal's plate is full of issues. Many have also underscored the company's ostensible inability at solving problems and the dearth of a tangible customer service system.
The PR fiasco, with Aggarwal taking on comedian Kunal Kamra, who raised the issue of the Ola Electric scooters did not help the cause of the company at all.
Ola Q2 Results
When we look at the recent fiscal performance of the company, there are positive elements there, as the company narrowed its loss to Rs 495 crore. In addition, it also paved way a rise in revenue 39 per cent (year-on-year).
Although these reports from the quarter that ran between July and September are positive, it remains to be seen how the markets react to it in the near future, and the numbers the Benagluru-based company ends up with, in Q3 of FY25.
Ola Shares In Deep Red
When we take a closer look at the performance of the company shares, in the latest trading session on November 8, the company closed with losses of major 2.53 per cent or Rs 1.89, after opening at Rs 74.92.
These numbers are dwarfed when we zoom out, and look at the larger picture. Ola shares and the progress over the trade of the past month has resulted in a bigger difference.
In the past month, which would be two months after its listing, the company shares have dipped by colossal 19.96 per cent or Rs 18.12. This has brought down the overall value of each individual Ola Electric share to Rs 72.67 per piece. This is below Ola's listing price of Rs 76 per share.
