The last trading day of this week is the day of comeback for Ola Electric shares. Ola Electric, the largest e-scooter maker in the country, saw its share prices rise after the company issued a clarification on the matter of discrepancies in sales and vehicle registration numbers.
In a statement published through an exchange filing, the Bhavish Aggarwal-led company dismissed the reports in strong words.
It is A Backlog
In the statement, the Bengaluru-based company said, "We have noted the false narratives being spread about our February 2025 sales data. Here are the facts: Our sales remain strong, and the temporary backlog in February was due to ongoing negotiations with our vendors responsible for vehicle registrations. This backlog is being rapidly cleared, with daily registrations exceeding 50 per cent of our three-month daily sales average."
'Media Outlet's Vested Interests'
The company said, "40 per cent of the February backlog has already been cleared, and the remaining will be fully resolved by the end of March 2025. 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 through misinformation and smear campaigns."
Furthermore, it also added, "This intensified after we discontinued contracts with two nationwide vendors managing our registration process as part of our strategy to streamline operations and drive profitability."
"Since then, a coordinated effort has been made to create confusion and trigger unnecessary scrutiny. Our focus remains on resolving the backlog efficiently and continuing to serve our customers with transparency and reliability.'
Ola's statement |
Earlier, a report claimed that the company had overreported its sales numbers by a huge margin. Ola Electric, according to the report claimed to have made sales of 25,000 units, while only 8,500 odd registrations were made, thereby marking a major discrepancy in the sales numbers.
Ola Shares Surge
This also triggered an enquiry from the central government, which asked Ola to provide the government with more details on the matter.
As a result of this strong rebuttal from the company shares surged in the intraday trade on Friday. The total surge in Ola Electric shares amounted to 8.32 per cent or Rs 4.30 per share.
This took the overall price of the company shares to Rs 56.01, its highest value in weeks together.
