Ola Cabs' CFO Kartik Gupta exits amid restructuring following CEO's departure

Ola Cabs, India's leading ride-hailing platform, is undergoing a leadership shakeup and strategic shift. Here's a breakdown of the key developments:

CFO Departure and Restructuring:

• Kartik Gupta, Ola Cabs' CFO, has resigned after a short stint of seven months.
• This follows the earlier exit of CEO Hemant Bakshi, who stepped down two weeks ago.
• The company cites an "ongoing restructuring" aimed at cost optimization, growth acceleration, and profitability improvement as the reason for these changes.

Leadership Transitions:

• Bhavish Aggarwal, Ola's founder, has assumed the CEO role following Bakshi's departure.
• This indicates a renewed focus on core operations and a push for profitability.
• Other recent leadership changes include Sidharth Shakdher joining as Chief Business Officer and Ankush Aggarwal leading Ola Financial Services.

Market Dynamics and Competition:

• Ola faces intensifying competition from established players like Uber and new entrants like Swiggy-backed Rapido and ONDC-supported Namma Yatri.
• The company exited international markets in April and laid off employees, further emphasizing its focus on profitability in the domestic market.

Financial Performance:

• Despite a revenue increase of 58% in FY23, Ola Cabs' parent company, ANI Technologies, reported a loss of Rs 1,082 crore.
• However, under Bakshi's leadership, the company claims to have achieved positive Ebitda (operating profitability) in FY23.