Ola Electric Mobility Limited IPO - How it Fares with Industry Peers on Various Metrics?

As Ola Electric Mobility Limited gears up for its initial public offering (IPO), consisting of fresh equity shares aggregating up to ₹5,500 crores and an offer for sale of up to 84,941,997 equity shares, it’s interesting to compare it with its listed peers on various metrics. Ola’s listed industry peers are TVS Motors, Eicher Motors, Bajaj Auto, and Hero MotoCorp.

Ola has set a price band of ₹72 to ₹76 for its equity shares. Investors can bid for them in a lot of 195 equity shares and multiples thereof.

Source: RHP

Comparison with industry peers on different metrics

Here’s how Ola fares with its industry peers on various metrics:

• Deliveries

Tracking the deliveries helps track the year-on-year performance in terms of the number of units sold and market share. The table shows Ola’s deliveries (in thousands) as against its peers across financial years:

• Revenue from Operations

Tracking revenue from operations enables you to analyse a company's overall financial and business performance. The table captures Ola’s revenue in operations (in ₹ crores) as against its peers across three different financial years:

• Gross Margin Percent

Tracking gross margin percent enables tracking the profitability percentage year-on-year. Here’s how Ola has performed on this front vis-a-vis its peers:

• Electric two-wheeler market share

While Ola may lag in the metrics mentioned above more than its listed peers, it’s ahead in terms of market share in electric two-wheelers across various financial years (see table).

Source: RHP

In conclusion

Electric two-wheelers have seen an accelerated adoption journey in India, with the penetration increasing over 6X between FY2021 and FY2022 and over 2X between FY2022 and FY2023. Since 2010, the government has focused on EV adoption and initiated regulatory discussions and planning to encourage reliable, affordable, and efficient EVs that meet consumer performance and price expectations.

Ola believes it is well positioned to address the market opportunity available in the E2W segment with its vertically integrated approach, R&D, and eligibility to avail government initiatives.

Source: RHP

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