Olectra Greentech , a leading electric bus manufacturer in India, has set ambitious delivery targets for the fiscal year 2026 (FY26) while reporting robust financial performance for the first half of the year. The company's Managing Director, Mahesh Babu, outlined the firm's growth plans and recent achievements.

Delivery Targets and Current Operations

Olectra Greentech aims to deliver approximately 2,000 vehicles in FY26, marking a slight increase from the nearly 1,900 vehicles delivered in the previous financial year. The company currently operates in 35-40 cities across India, with over 3,000 electric vehicles on the road and about 100 trucks in operation.

Financial Performance

The company has reported strong financial results for the first half of FY26:

The significant jump in revenue for both the half-year and the latest quarter underscores the company's growing market presence and operational efficiency.

Challenges and Future Outlook

Despite the positive performance, Olectra Greentech faces some challenges in its expansion efforts:

• Depot readiness at deployment locations
• Availability of power infrastructure

These factors could potentially impact the company's ability to meet its delivery targets and expand operations smoothly.

As Olectra Greentech continues to grow its presence in the electric vehicle market, particularly in the bus segment, its performance will be closely watched by investors and industry observers alike. The company's ability to navigate challenges while capitalizing on the increasing demand for electric vehicles in India will be crucial for its future success.

Olectra Greentech Limited , a leading manufacturer of electric vehicles and composite polymer insulators, has made significant strides in both its financial performance and strategic initiatives, as revealed in its latest corporate disclosures and financial results.

Corporate Undertaking for REC Limited

Olectra Greentech has issued a revised Irrevocable Corporate Undertaking with Indemnification obligation in favor of REC Limited for Rs 300 crores. This undertaking replaces an earlier Letter of Credit facility that remained unutilized against a sanctioned amount of Rs 2,500 crores. The company plans to use this facility to accelerate its production process and improve working capital cycles.

Key points of the undertaking include:

• The advance can be utilized exclusively for bus procurement.
• Advance payments to bus manufacturers require bank guarantees.
• If buses are not delivered and hypothecated within 120 days, Olectra must refund the corresponding amount within 30 days, plus additional interest at 2% above prevailing rates.

Q2 Financial Results

Olectra Greentech has reported robust financial results for the second quarter and half-year ended September 30:

The company's performance shows significant year-on-year growth, with revenue increasing by 25.86% and net profit rising by 9.51% in Q2 FY2026 compared to Q2 FY2025.

Segment-wise Performance

Olectra Greentech operates in two primary segments:

1. Insulator Division:

   • Q2 FY2026 Revenue: Rs 7,536.88 lakhs
   • Q2 FY2026 Profit before Tax & Interest: Rs 2,514.47 lakhs

2. E-vehicle Division:

   • Q2 FY2026 Revenue: Rs 57,164.01 lakhs
   • Q2 FY2026 Profit before Tax & Interest: Rs 5,874.89 lakhs

The e-vehicle division continues to be the major revenue driver for the company, contributing significantly to both top-line and bottom-line growth.

Management Changes

The company has announced that Mr. Rajesh Reddy Peketi has resigned from the position of Whole Time Director, effective November 8, 2025. He will continue to serve as a Non-Executive Director of the company.

Outlook

With the new corporate undertaking and strong financial performance, Olectra Greentech appears well-positioned to capitalize on the growing demand for electric vehicles in India. The company's focus on improving working capital cycles and accelerating production through strategic financial arrangements may contribute to sustained growth in the coming quarters.