Company: ZCARW
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001213900-25-076590
Chunk: 116

Company: Zoomcar Holdings, Inc.
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 1
Chunk 116
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 Board determined to fix the “Reset Price” of all of such Series B Warrants
down to the “Floor Price” of $6.24 per share. The Company has agreed to deem the “Reset Date” of the Series B
Warrants to be effective.

Because the market for our
Common Stock is thinly traded, the sales and/or the perception that those sales may occur, could adversely affect the market price of
our Common Stock. Furthermore, even though, as of the date hereof, the options and warrants are all currently out of the money (other
than the Series B Warrants, which all have an exercise price of $0.002 per share), the mere existence of a significant number of shares
of Common Stock issuable upon exercise of these securities may be perceived by the market as having a potential dilutive effect, which
could lead to a decrease in the price of our Common Stock.

74

Risks related to our Business and Operations

Our current business model’s limited
operating history and financial results make our future results, prospects, and the risks we may encounter difficult to predict. 

Although Zoomcar commenced
operating in 2013, we have recently transitioned from a prior business model to our current business model, consisting of our asset-light
online platform for peer-to-peer car sharing. As a result of this transition, certain components of our financial statements have experienced
variation, and our operating history may not be indicative of our future growth or financial results. The limited history of our current
business model makes predicting our future operating and other results difficult, if not impossible, and there is no assurance that we
will be able to grow our revenues in future periods. Our results of operations are impacted by a number of factors, some of which are
beyond our control, and we may suffer adverse impacts to our further development as a result of circumstances which include decreasing
customer demand, increasing competition, declining growth of the car sharing industry in general, insufficient supply of vehicles on our
platform, or changes in government policies or general economic conditions. We will continue to develop and improve the features, functions,
technologies, and other offerings on our platform to increase our Guest and Host bases and volume of bookings on our platform. However,
the execution of our business plan is subject to uncertainty and bookings may not grow at the rate we expect. If our growth rates decline,
investors’ perceptions of our business and prospects may be adversely affected and the market price of our Common Stock could