Company: FLYE
Filing Date: 2025-12-18
Form Type: 10-Q
Source: 0001213900-25-123281
Chunk: 211

Company: Fly-E Group, Inc.
Filing Date: 2025-12-18
Form: 10-Q
Item: Item 8
Chunk 211
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 decrease of $1.5 million, or 20.5%, compared to $7.3 million for the six months
ended September 30, 2024. The decrease in operating expenses was attributable to the decrease in our payroll expenses, rent expenses,
meals and entertainment expenses, professional fees, and development expenses as we downsized our business as discussed below.

Selling Expenses

Selling expenses primarily consist of payroll
expenses, rent, utilities expenses, and advertising expenses of retail stores. Total payroll expenses were $1.2 million for the six months
ended September 30, 2025, compared to $1.5 million for the six months ended September 30, 2024. Rent expenses were $0.7 million for
the six months ended September 30, 2025, compared to $1.5 million for the six months ended September 30, 2024. Utilities expenses
were $81,468 for the six months ended September 30, 2025, compared to $119,252 for the six months ended September 30, 2024. Advertising
expenses were $32,870 for the six months ended September 30, 2025, compared to $0.2 million for the six months ended September 30, 2024 .
The decrease in these expenses was primarily due to the closures and dispositions of retail stores in the six months ended September
30, 2025.

General and Administrative Expenses

General
and administrative expenses decreased during the six months ended September 30, 2025 compared to the previous year. Professional
fees increased to $2.0 million for the six months ended September 30, 2024, compared to $1.3 million for the six months
ended September 30, 2024, primarily attributable to the increase in audit fee, consulting fee, legal fee and IR expenses associated
with our initial public offering and ongoing reporting obligations. Payroll expenses decreased to $0.4 million for the six
months ended September 30, 2025 from $0.8 million for the six months ended September 30, 2024 primarily due to employees terminated
in operation and accounting departments. Insurance expenses decreased to $0.3 million for the six months ended September 30,
2025, compared to $0.5 million for the same period of prior year as a result of less insurance policies purchased for closed
stores