Company: ZCARW
Filing Date: 2025-02-14
Form Type: 10-Q
Source: 0001213900-25-014437
Chunk: 362

Company: Zoomcar Holdings, Inc.
Filing Date: 2025-02-14
Form: 10-Q
Item: Part I, Item 8
Chunk 362
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 expenses or liabilities associated with these new investments.
Our development efforts with respect to new features, functions and technologies on our platform could distract management from current
operations and will divert capital and other resources from our more established functions and technologies. Even if we are successful
in developing new features, functions, or technologies, or otherwise update or upgrade our platform, regulatory authorities may subject
us to new rules or restrictions in response to our innovations that could increase our expenses or prevent us from successfully commercializing
the new features, functions, technologies, updates, or upgrades of our platform. If we are unable to adapt in a cost-effective and timely
manner in response to the changing market conditions or platform users’ preferences, either for technical, legal, financial, or
other reasons, our business, financial condition, and results of operations may be materially and adversely affected.

We require additional capital to support
current operations and will require additional capital to support the growth of our business, which may not be available on terms acceptable
to us, or at all. 

To continue current operations,
we will need to raise capital imminently. Further, to continue to effectively compete thereafter, we will require additional funds to
support the growth of our business. Our operations have consumed substantial amounts of cash, and we have incurred operating losses since
we began operating in 2013. While our cash consumption has been reduced following our business transition from short-term rental of vehicles
owned by or leased to Zoomcar to an online platform for peer-to-peer car sharing, we have consumed significant amounts of cash in effecting
such transition in terms of technology and platform innovation, and our cash consumption has varied over time.

89

Further, as a result of the
consummation of the Business Combination, our expenses continue to increase substantially in connection with the actions and efforts we
need to take for operating as a public company. Moreover, we expect our expenses to increase significantly in connection with our ongoing
activities, including the continuing increase in our technological capabilities with respect to IoT, machine learning, and artificial
intelligence. We do not currently have sufficient cash resources to operate our business beyond December 2025(assuming that we do not
repay our outstanding indebtedness) and accordingly, will need to raise capital imminently to continue our operations and to fully execute
our business plan. Additionally, circumstances could cause us to consume capital more rapidly than we currently anticipate and if our
cash resources are insufficient to satisfy our cash requirements, we may seek to issue