Company: FLYE
Filing Date: 2025-12-18
Form Type: 10-Q
Source: 0001213900-25-123281
Chunk: 144

Company: Fly-E Group, Inc.
Filing Date: 2025-12-18
Form: 10-Q
Item: Item 8
Chunk 144
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 indication that the carrying value of an asset may not be recoverable. The Company assesses
the recoverability of the assets based on the undiscounted future cash flows the assets are expected to generate and recognize an impairment
loss when estimated undiscounted future cash flows expected to result from the use of the asset plus net proceeds expected from disposition
of the asset, if any, are less than the carrying value of the asset. If an impairment is identified, the Company will reduce the carrying
amount of the asset to its estimated fair value based on a discounted cash flows approach or, when available and appropriate, to comparable
market values. As of September 30, 2025 and March 31, 2025, no impairment of long-lived assets was recognized.

(m) Fair Value Measurements

Fair value is defined as the price that would
be received for an asset, or paid to transfer a liability, in an orderly transaction between market participants at the measurement date.
Valuation techniques maximize the use of observable inputs and minimize the use of unobservable inputs. When determining the fair value
measurements for assets and liabilities, the Company considers the principal or most advantageous market in which it would transact and
consider assumptions that market participants would use when pricing the asset or liability. The following summarizes the three levels
of input required to measure fair value, of which the first two are considered observable and the third is considered unobservable:

    Level-1
    —
    Observable
    inputs that reflect quoted prices (unadjusted) for identical assets or liabilities in active markets.

    Level-2
    —
    
    Include
    other inputs that are directly or indirectly observable in the marketplace.

    Level-3
    —
    
    Unobservable
    inputs which are supported by little or no market activity.

The fair value for certain assets and liabilities
such as cash, accounts receivable, other receivables, prepayments and other current assets, short-term loans, accounts payable, accrued
expenses and other payables, operating lease liabilities – current, and tax payables have been determined   to
approximately carrying amounts due to the short maturities of these instruments. The Company believes that its long-term loan to a third
party approximates the fair value based on current yields for debt instruments with similar terms. The Company and its subsidiaries did
not have any non-financial assets or liabilities that are measured at fair value on a recurring basis as of September 30, 2025 and March