Company: ZCARW
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001213900-25-110391
Chunk: 128

Company: Zoomcar Holdings, Inc.
Filing Date: 2025-11-14
Form: 10-Q
Item: Part I, Item 1
Chunk 128
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) adversely
affect the terms of any financing or strategic transactions we may seek. In an effort to regain or maintain compliance, the Company may
consider and pursue one or more corporate or financing actions—such as equity or equity-linked issuances, strategic transactions,
or other measures—which could be dilutive to existing stockholders, increase our leverage, or otherwise involve significant costs
and risks. Even if the Company regains compliance, it may be unable to sustain it, and any future failure could have the same adverse
effects.

82

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. Because of our limited
resources the company was not able to expand to emerging markets outside of India and in fact, discontinued operations in Vietnam during
June 2023 and subsequently in Egypt, Indonesia during June 2024 as a result.

Further, as a result of the
consummation of the Business Combination, our expenses have increased substantially in connection with actions and efforts required to
operate as a public company. During the six months ended September 30, 2025, we have incurred expenses in maintaining the listing requirements
and complying with statutory filings with SEC along with significant professional and consultancy fee to professionals and we contemplate
that we will continue to incur these expenses as long as we remain a public company to fulfill which we will need additional capital.

Moreover, we expect our expenses
to increase moderately with growth in our business operations. We do not currently have sufficient cash resources to operate our business
beyond March 31, 2026 (assuming that we do not repay any of our currently outstanding indebtedness) and accordingly, will need to
raise capital imminently to continue our operations and to fully execute our business plan. Additionally, circumstances could