ANI Technologies, the parent company of ride-hailing startup Ola Cabs, has reported a significant reduction in its standalone net loss for the financial year 2022-2023 (FY23). According to the company’s partial financial results shared on its website on Wednesday, the standalone net loss narrowed by 65% to Rs 1,082 crore, compared to Rs 3,082 crore in FY22. The company’s sales witnessed a robust growth of 63%, reaching Rs 1,987.5 crore from Rs 1,220 crore.
In contrast, rival Uber India’s net loss widened to Rs 311 crore in FY23 from Rs 197 crore in FY22. However, Uber India’s operating revenue increased by 54% to Rs 2,666 crore in FY23.
ANI Technologies houses various subsidiaries of Ola, including Ola Financial, Ola Fleet, and Ola Stores Technologies. On a consolidated basis, the firm reported a net loss of Rs 772 crore in FY23 on sales of Rs 2,799 crore.
Ola’s food delivery arm, Pisces eServices, reported a reduced loss of Rs 106 crore in FY23 compared to Rs 504 crore in FY22. However, the unit’s sales dropped to Rs 1 crore in FY23 from Rs 114 crore in the previous year, indicating a strategic shift in Ola’s food delivery business, as reported by ET in May 2022.
Ola Fleet Technologies, the company’s cab leasing unit, reported a narrower loss of 17% at Rs 387 crore. Similarly, Ola Stores saw its loss decrease to Rs 81 crore in FY23 from Rs 150 crore in FY22.
In September 2022, Ola joined the government-backed Open Network for Digital Commerce (ONDC), integrating an ONDC-linked food delivery feature into the Ola app. This move followed the scaling down or closure of several food delivery and quick commerce experiments by the company.
Ola faces competition from platforms like Rapido, Blusmart, and ONDC-backed Namma Yatri in India’s ride-hailing industry. A report by ET in December 2022 highlighted how new platforms and services are challenging Uber and Ola by focusing on improving customer service and driver satisfaction.
In a related development, Ola Electric, a sister firm of Ola Cabs, filed a draft red herring prospectus (DRHP) on December 22, aiming to become the first electric vehicle (EV) startup in India to go public. Ola Electric intends to raise up to Rs 5,500 crore through a fresh issue, in addition to an Offer for Sale (OFS) of 95.2 million shares.
