Company: ZCARW
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001213900-25-076590
Chunk: 211

Company: Zoomcar Holdings, Inc.
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 2
Chunk 211
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 may need to be replaced in the future, and adjusted EBITDA
does not reflect all cash requirements for such replacements or for new capital expenditure requirements;

●Adjusted
EBITDA excludes stock-based compensation expense, which has been, and will continue to be for the foreseeable future, a recurring expense
in our business and an important part of our compensation strategy: and

●Adjusted
EBITDA excludes all finance charges.

Because of these limitations,
you should consider adjusted EBITDA alongside other financial performance measures, including net loss and our other GAAP results.

The following is a reconciliation
of adjusted EBITDA to the most comparable GAAP measure, Net (Loss) / Income:

    For the Three Months Ended June 30, 

    2025  
    2024 
  
    Net (Loss) 
    $(4,205,313) 
    $(2,531,579)
  
    Add/ (deduct) 

    Depreciation and amortization 
     35,428  
     113,327 
  
    Finance costs 
     297,551  
     551,003 
  
    Other expense/(income), net 
     2,219,251  
     (1,393,992)
  
    Gain on troubled debt restructuring 
     (72,912) 
     - 
  
    Adjusted EBITDA 
    $(1,725,995) 
    $(3,261,241)

53

Liquidity and Capital Resources

During the three months ended
on June 30, 2025, and 2024 respectively, we generated/(used) cash flows from operations of $0.09 million $(1.78) million, respectively,
reflecting greater operating cost efficiencies and reduced overhead expenditures in 2025. The Company incurred a net loss of $4.21 million
and $2.53 million during the three months ended on June 30, 2025, and 2024, respectively, and the accumulated deficit amounts to $337.38
million and $310.08 million as of June 30, 2025, and 2024, respectively.

As of June 30, 2025, our
cash and cash equivalents totaled $0.39 million, consisting of cash on hand, fixed deposits.

Our primary use of cash is
to fund our existing operations. If we have sufficient working capital, we will continue to invest in product development