Company: FLYE
Filing Date: 2025-07-15
Form Type: 10-K
Source: 0001213900-25-064293
Chunk: 489

Company: Fly-E Group, Inc.
Filing Date: 2025-07-15
Form: 10-K
Item: Item 1C
Chunk 489
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 after the completion of our initial public offering.

Non-GAAP Financial Measures

To supplement our financial information presented
in accordance with the generally accepted accounting principles in the United States (the “U.S. GAAP”), management
periodically uses certain “non-GAAP financial measures,” as such term is defined under the rules of the SEC, to clarify and
enhance understanding of past performance and prospects for the future. Generally, a non-GAAP financial measure is a numerical measure
of a company’s operating performance, financial position or cash flows that excludes or includes amounts that are included in or
excluded from the most directly comparable measure calculated and presented in accordance with U.S. GAAP. For example, non-GAAP
measures may exclude the impact of certain items such as acquisitions, divestitures, gains, losses and impairments, or items outside
of management’s control. Management believes that the following non-GAAP financial measure provides investors and analysts useful
insight into our financial position and operating performance. Any non-GAAP measure provided should be viewed in addition to, and not
as an alternative to, the most directly comparable measure determined in accordance with U.S. GAAP. Further, the calculation
of these non-GAAP financial measures may differ from the calculation of similarly titled financial measures presented by other companies
and therefore may not be comparable among companies.

36

We use EBITDA (earnings before interest, taxes, depreciation, and
amortization) to evaluate our operating performance. We believe EBITDA provides additional insight into our underlying, ongoing operating
performance and facilitates year-to-year comparisons by excluding the earnings impact of interest, tax, depreciation and amortization
and that presenting EBITDA is more representative of our operational performance and may be more useful for investors.

We reconcile our non-GAAP financial measure to
our net income, which is our most directly comparable financial measure calculated and presented in accordance with U.S. GAAP. EBITDA
includes adjustments for provision for income taxes, as applicable, interest income and expense, depreciation, and amortization. EBITDA
does not represent and should not be considered an alternative to net income as determined by U.S. GAAP, and our calculations thereof
may not be comparable to those reported by other companies. We believe EBITDA is an important measure of operating performance and provides
useful information to investors because it highlights trends in our business that may not otherwise be apparent when relying solely on