AI is reimagining service companies; Ola Electric narrows loss in Q1
Northbound Advisors is building a proprietary AI tool with a partner, trained on eight years of work across diligences, CFO advisory, legal, tax and risk engagements.
Hello,
Investing in India’s 43 million rural mini and nano enterprises could help the country unlock one of its biggest employment engines, says a new report.
Agriculture continues to employ about 46% of the country’s workforce. However, it contributes to only a fifth of the national income, underscoring the need for alternative rural employment.
Meanwhile, EV sales in India are at an all time high. According to Federation of Automobile Dealers Associations, nearly one in eight vehicles retailed now are electric. In July, EV sales hit a monthly record of 3,27,901 units, growing at 66% over the same month last year, per a PTI report.
Electric passenger vehicle retail sales were up 83.13% at 32,928 units last month as against 17,981 units in July 2025, FADA added. Industry watchers say that the demand for EVs is so high that manufacturers are unable to keep up.
Elsewhere, Wakefit, the omni-channel home and sleep solutions brand, is powering ahead. It began FY27 with higher revenue and improved profitability, supported by strong growth in its own sales channels, rapid retail expansion and better gross margins. Its growth has come amid volatile raw material costs.
In today’s newsletter, we will talk about
- Ex-Tally CFO Sathya Pramod is betting on AI
- Ola Electric narrows loss in Q1
Here’s your trivia for today: What two-word Latin phrase means "the reverse order"?
Interview
Ex-Tally CFO Sathya Pramod is betting on AI
Product companies have had more investor interest than services firms as they scale non-linearly while services grow only as fast as they hire. However, Sathya Pramod, former Chief Financial Officer of Tally Solutions, believes AI-native services firms are about to change how investors place their bets.
In a conversation with Shradha Sharma, Founder and CEO of YourStory and The Bharat Project, Pramod explained why he has rebranded his Bengaluru-based advisory firm KayEss Square as Northbound Advisors, and why he is preparing a larger fundraise to buy up smaller firms and serve them all with AI.
Key takeaways:
- Northbound Advisors is building a proprietary AI tool with a partner, trained on eight years of work across diligences, CFO advisory, legal, tax and risk engagements.
- The firm is building an in-house ecosystem where client data stays protected while the underlying models, whether from Anthropic or others, deliver the same results.
- Pramod is careful about the positioning: Northbound will not take the Big Four head on, but will go after the early-stage and midsize market they cannot serve profitably with their cost structures.
<Top Deals of the Week>
Startup: River Mobility
Amount: $120M
Round: Series C
Startup: InRisk Labs
Amount: $27M
Round: Series A
Startup: BlissClub
Amount: Rs 160 Cr
Round: Undisclosed
Electric vehicle
Ola Electric narrows loss in Q1
Bhavish Aggarwal-led EV company Ola Electric Mobility narrowed its consolidated loss to Rs 336 crore in Q1 FY27, from Rs 428 crore a year earlier. Its revenue from operations declined 45% to Rs 455 crore in Q1 FY27 as compared to Rs 828 crore a year ago.
Key takeaways:
- Ola Electric said its registrations grew 97% quarter-on-quarter, outpacing the broader electric two-wheeler (E2W) market, which grew 17%.
- Ola Electric also reported an EBITDA loss of Rs 165 crore, compared to Rs 237 crore a year earlier.
- The company also said AI is now embedded across sales, registration, fulfilment, payments, reconciliation and warranty claims, as well as in cell research and development.
News & updates
- Tariff: US President Donald Trump has ordered a new 15% tariff on imported products made of polysilicon, an important ingredient in microchip manufacturing. The new tariff will take effect from December 4 and is expected to help the US compete with China in the chips segment.
- Auto trouble: The top investor and controlling family shareholders of auto giant Volkswagen have highlighted the growing competition from Chinese carmakers. They have called for measures such as cutting costs and improving decision making to help the company sustain itself.
What two-word Latin phrase means "the reverse order"?
Answer: Vice Versa
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