What are the top 2 wheeler EV companies in India? Ola Electric loses market share, Bajaj Auto and TVS gain

India’s electric two-wheeler market continued to grow in FY25, with total volumes crossing 11.4 lakh units. Ola Electric maintained its position as the market leader, but its share declined from last year. At the same time, traditional players like Bajaj Auto and TVS Motors expanded their presence significantly.

Ola Electric Share recently touched a 52-week low of ₹43.16, down nearly 70% from its listing high of ₹157. While broader market sentiment has been weak, this drop also reflects specific headwinds Ola is facing in a changing electric two-wheeler landscape.

Here’s a look at how market share has shifted, what’s driving the change, and what this means from an investor perspective.

How Has the Two-Wheeler EV Market Share Changed in FY25 Compared to FY24?

TVS has steadily grown and now holds over 20% of the electric two-wheeler market. Bajaj Auto has seen the fastest growth, doubling its sales and coming close to TVS in market share. Ather’s share has stayed more or less the same. Smaller companies have lost ground as bigger brands take over more of the market.

What’s Driving the Shift in Two-Wheeler EV Market Share from FY24 to FY25?

Distribution reach: Legacy Companies like TVS motors and Bajaj benefit from large dealer networks that support both deliveries and servicing. Ola follows a direct-to-customer model, which keeps costs lower but limits offline presence, especially in smaller cities.

Product mix and pricing: TVS and Bajaj have expanded their EV offerings across segments, which helps address a wider base of customers. Bajaj’s Chetak and TVS’s iQube variants cater to a wider base. Ola’s S1 lineup is strong but more concentrated.

Customer trust and financing: In many cases, buyers still prefer familiar brands for their service quality and ease of financing. This gives traditional companies a structural edge in conversion.

How Are Ola Electric’s Financials Reflecting the Ongoing Pressure?

Ola Electric’s financial performance weakened further in FY25, in line with its declining market share.

• Revenue from operations fell nearly 10% year-on-year to ₹4,514 crore, down from ₹5,010 crore in FY24. The drop in revenue was more pronounced in the March quarter, where Q4 FY25 revenue came in at ₹611 crore, a steep 62% decline from ₹1,598 crore in the same quarter last year.
• Losses also widened. The company reported a net loss of ₹2,276 crore for FY25, compared to ₹1,584 crore in FY24. For Q4 alone, the net loss stood at ₹870 crore.
• Ola’s operating losses remained elevated as well. The company posted an EBITDA loss of ₹578 cr in Q4 FY25, reflecting the impact of weak revenue and continued cost pressures. On a full-year basis, the consolidated EBITDA losses margin deteriorated further to ₹1321 crore.

The numbers suggest that while Ola has grown rapidly in recent years, the current phase is marked by both slowing revenue and mounting losses.

How Is the Market Reacting to These Trends?

Investors are taking note of both the rising competition and Ola’s financial pressure. The stock has fallen sharply since its IPO, while rivals like TVS Motors, Bajaj Auto, and Ather have held up better. This difference in market response reflects growing concerns around Ola’s ability to manage costs and deliver on scale.

For now, Ola Electric still leads the market in terms of volumes. But in a fast-growing space, just being the largest isn’t enough. Profitability, distribution strength, and customer experience are becoming just as important. Investors are starting to look beyond sales numbers and focus more on how efficiently companies are running their operations and serving customers after purchase.

As the market matures, these factors will likely determine which brands maintain their position and which ones struggle. Ola Electric’s next challenge is not just to grow, but to grow well.

What Investors Need to Know

• Ola Electric still leads the electric two-wheeler market by volume, but its position is not as strong as before. Its market share has come down from 34.8% in FY24 to 29.9% in FY25. 
• On the other hand, Bajaj Auto and TVS Motors have made steady gains. Both now hold over 20% share, with Bajaj making the biggest jump during the year.
• Ola’s financial performance has weakened. Revenue declined by nearly 10% in FY25, and losses widened to over ₹2,200 crore. 
• The March quarter was particularly weak, with revenue falling sharply and margins staying negative. This shows that while Ola has scale, it is still struggling on the cost and profitability front.
• Looking ahead, growth in the EV space is expected to continue. But for companies like Ola Electric, the focus will now shift to margins, customer retention, and the strength of distribution and servicing. 
• Investors are beginning to look beyond just market share and pay more attention to how well the business is being run.

Conclusion

The electric two-wheeler market in India is no longer a winner-takes-all story. While Ola Electric remains the largest player by volume, its market share is declining, and financial losses have increased. In contrast, traditional OEMs are scaling up steadily with better distribution, cost structures, and brand confidence.

For investors, the sector continues to offer long-term potential, but leadership, margin profile, and execution quality are becoming more important than early scale alone.

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