Company: ZCARW
Filing Date: 2025-06-30
Form Type: 10-K
Source: 0001213900-25-059675
Chunk: 360

Company: Zoomcar Holdings, Inc.
Filing Date: 2025-06-30
Form: 10-K
Item: Item 1A
Chunk 360
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, we identify further material
weaknesses in our internal control over financial reporting, we may not detect errors on a timely basis and our consolidated financial
statements may be materially misstated.

While the Company has identified
remediation plans and is working on remediating these material weaknesses, no assurance can be made that the Company will be successful
in remediating any or all of the material weaknesses within the requisite timelines.

We are required to comply
with the SEC’s rules implementing Sections 302 and 404 of the Sarbanes-Oxley Act, which require management to certify financial
and other information in our quarterly and annual reports and provide an annual management report on the effectiveness of controls over
financial reporting. Although we are required to disclose changes made in its internal controls and procedures on a quarterly basis,
we will not be required to make our first annual assessment of its internal control over financial reporting pursuant to Section 404
until the year following our first annual report required to be filed with the SEC.

To comply with the requirements
of being a public company, we have undertaken various actions, and will need to take additional actions, such as implementing numerous
internal controls and procedures and hiring additional accounting or internal audit staff or consultants. Testing and maintaining internal
control can divert Zoomcar’s management’s attention from other matters that are important to the operation of Zoomcar’s
business. Additionally, when evaluating Zoomcar’s internal control over financial reporting, we may identify material weaknesses
that we may not be able to remediate in time to meet the applicable deadline imposed upon us for compliance with the requirements of
Section 404. Investors may lose confidence in the accuracy and completeness of our financial reports and the market price of our Common
Stock could be negatively affected if any of the following occurs: (i) we identify any material weaknesses in its internal control over
financial reporting; (ii) we are unable to comply with the requirements of Section 404 in a timely manner; (iii) we assert that our internal
control over financial reporting is ineffective; or (iv) our independent registered public accounting firm is unable to express an opinion
as to the effectiveness of our internal control over financial reporting once we are no longer an emerging growth company. We could also
become subject to investigations by the SEC, the stock exchange on which its securities are listed, or other regulatory authorities,
which could require additional financial and management resources. In addition, if we fail to remedy any material weakness, our financial
statements could be inaccurate