Company: ZCARW
Filing Date: 2025-06-30
Form Type: 10-K
Source: 0001213900-25-059675
Chunk: 1032

Company: Zoomcar Holdings, Inc.
Filing Date: 2025-06-30
Form: 10-K
Item: Item 2
Chunk 1032
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 performance measures presented in accordance with GAAP. A reconciliation of each non-GAAP financial measure
to the most directly comparable financial measure stated in accordance with GAAP is provided below. Investors are encouraged to review
the related GAAP financial measures and the reconciliation of these non-GAAP financial measures to their most directly comparable GAAP
financial measures. 

The following table summarizes our non-GAAP financial measures, along
with the most directly comparable GAAP measure, for each period presented below.

    For the Years Ended
 March 31, 

    2025  
    2024 
  
    Gross profit /(loss) 
    $3,809,050  
    $(434,362)
  
    Gross margin 
     42% 
     -4%
  
    Contribution profit/(loss) 
     4,250,778  
     (979,154)
  
    Contribution margin 
     47% 
     -10%
  
    Net (loss) income 
     (25,622,302) 
     (34,277,252)
  
    Adjusted EBITDA 
     (9,914,632) 
     (17,845,538)

Contribution Profit (Loss) and Contribution Margin

We define contribution profit
(loss) as our gross profit (loss) plus (a) depreciation expense included in cost of revenue, (b) stock-based compensation expense included
in cost of revenue, (c) other general costs included in cost of revenue (rent, software support, insurance, travel); less (i) Host incentive
payments and (ii) marketing and promotional expenses (excluding brand marketing).

We use contribution profit
(loss) and contribution margin as indicators of the economic impact of a new booking on our platform, as they capture the direct expenses
attributable to a new booking on our platform and the cost required to generate revenue. While certain contribution profit (loss) adjustments
may not be non-recurring, non-cash, non-operating, or unusual, contribution profit (loss) is a metric our management and board of directors
find useful, and we believe investors may find useful in understanding the costs most directly associated with our revenue-generating
activities.

72

We recorded a contribution
profit of $4.25 million during the year ended March 31, 2025, versus a contribution loss of $0.98 million during the year ended March
31, 2024. Our gross profit improved