Ola Electric pushes back on report it inflated February sales figures: 'Genuine customer demand, not token-amount bookings'

Ola Electric Mobility Ltd. defended its February sales reporting practices on Tuesday after a Bloomberg report alleged the company had included orders for vehicles not yet delivered or launched in its monthly tally.

In a filing to the National Stock Exchange and BSE, the SoftBank-backed electric vehicle maker said its reported February sales were based on “paid and confirmed orders,” rather than preliminary bookings, amid a temporary disruption to its routine vehicle registration process.

The clarification comes after a Bloomberg report alleged that Ola had included customer bookings for 10,866 third-generation e-scooters and 1,395 yet-to-be-launched Roadster X motorcycles in its February sales data. The two models represented nearly half of the 25,207 confirmed orders reported for the month, while actual vehicle registrations for February totaled only around 8,600 units, according to the VAHAN portal.

Ola said its transition to an in-house registration system led to delays in uploading data to VAHAN but asserted that the figures represent “genuine customer demand backed by financial commitment,” with nearly 90% of orders paid in full.

“It is essential to underscore that vehicle deliveries are sequenced to follow confirmed orders with full payment — a standard and universally accepted industry practice,” the company said in its filing. “Any attempt to conflate bookings with full-payment orders, or to suggest that deliveries must precede or immediately follow orders, misrepresents how the automotive industry functions.”

The Ministry of Road Transport and Highways had asked the company to revise its February data to reflect only invoiced vehicles and provide a response within seven days to avoid potential action.

Ola maintained that it recognises revenue only after vehicle registration and delivery, in line with standard accounting practices. The company also urged media platforms and stakeholders to avoid spreading what it called “unsubstantiated claims.”

“Our tech-enabled direct-to-consumer sales model has upended specific automotive distribution and sales practices. We continue to work with integrity despite facing unsavoury claims and attacks,” it added.