Company: FLYE
Filing Date: 2025-02-19
Form Type: 10-Q
Source: 0001213900-25-015334
Chunk: 76

Company: Fly-E Group, Inc.
Filing Date: 2025-02-19
Form: 10-Q
Item: Part I, Item 1
Chunk 76
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 net loss was $1.9 million, a change of $4.2 million, compared
to net income of $2.2 million for the nine months ended December 31, 2023, which was mainly attributable to the decrease in revenue,
increase in selling and general and administrative expense described above. The ratio of EBITDA to revenue was negative 9.5% and 9.3%
for the nine months ended December 31, 2024 and 2023, respectively.

Liquidity and Capital Resources

As of December 31, 2024, we had cash of $1.4 million.
We had working capital of $3.0 million and $0.3 million as of December 31, 2024 and March 31, 2024, respectively. We had net loss
of $2.0 million and net income of $1.2 million for the nine months ended December 31, 2024 and 2023, respectively. During the nine
months ended December 31, 2024, net cash used in operating activities of the Company was approximately $9.4 million. As of December 31,
2024, the Company had a current portion of contractual obligation of approximately $8.2 million.

We had funded our working capital and other capital
requirements in the past primarily by equity contributions from our stockholders and net proceeds received from IPO, cash flow from operations,
and bank loans. Our ability to repay our current obligation will depend on the future realization of our current assets. Management has
considered the historical experience, the economy, trends in the retail industry, the expected collectability of the accounts receivable
and the realization of the inventories as of December 31, 2024. Our ability to continue to fund working capital and other capital requirements
may be affected by general economic, competitive and other factors, many of which are outside of our control.

On June 7, 2024, we sold 2,250,000 shares of common
stock, at a price of $4.00 per share in our IPO. The gross proceeds of the offering were $9.0 million, prior to deducting the underwriting
discounts, commissions and offering expenses payable by us. Net proceeds received by us from IPO were approximately $7.9 million. On June
25, 2024, we sold an additional 337,500 shares of common stock to the underwriters of our