Company: ZCARW
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001213900-25-076590
Chunk: 40

Company: Zoomcar Holdings, Inc.
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 1
Chunk 40
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 income: Amortization gains 
     (302) 
     (6,624)
  
    Balance, end of period 
    $(49,181) 
    $(18,186)

    Foreign currency translation adjustment 

    Balance, beginning of period 
    $2,149,708  
    $1,749,891 
  
    Translation adjustments gain recognized during the period, net of taxes amounts to $NIL 
     (2,184) 
     399,817 
  
    Balance, end of period 
     2,147,524  
     2,149,708 
  
    Accumulated other comprehensive income 
    $2,098,343  
    $2,131,522 

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30

ZOOMCAR HOLDINGS, INC.NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

    18
    Capital Stock and Warrants

During the year ended March 31, 2025, the Company executed four
equity offerings. These offerings involved the sale of Common Stock, Pre-Funded Warrants, Series A Warrants and a maximum number of
Series B Warrants as defined in the respective agreements.

Holders of common stock are entitled to one vote per share,
dividends at the discretion of the Board of Directors, and a pro-rata share of residual assets upon liquidation. This comprehensive
activity reflects the Company’s capital restructuring and financing strategy during the reporting period.

Series A warrants were issued with initial exercise prices of $80.60,
$39.00, and $6.24, each exercisable for five years from the initial exercise date. Series B warrants were issued with zero initial eligibility,
subject to increase on the Reset Date based on the Reset Share Amount formula. Placement agents received 10% of the Series A and Series
B warrants issued to investors, along with Common Stock Warrants, as compensation. The Company classified all Series A and Series B warrants
as derivative financial instruments under ASC 815-10-15-83 upon initial recognition. During the year ended March 31, 2025, due to anti-dilution
and reset provisions, the exercise prices of Series A and Series B warrants were adjusted to the floor price during the year, and the
number of warrants was increased to maintain the aggregate exercise price. As a result, the number of exercisable warrants became fixed,
eliminating variability,