Company: FLYE
Filing Date: 2025-02-19
Form Type: 10-Q
Source: 0001213900-25-015334
Chunk: 222

Company: Fly-E Group, Inc.
Filing Date: 2025-02-19
Form: 10-Q
Item: Part I, Item 2
Chunk 222
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.0 million, prior to deducting the underwriting
discounts, commissions and offering expenses payable by the Company. In addition, we granted the underwriters a 30-day option to purchase
an additional 337,500 shares of common stock at the initial public offering price, less underwriting discounts and commissions, to cover
over-allotments. On June 25, 2024, we sold an additional 337,500 shares of common stock to the underwriters of our IPO for gross proceeds
of $1.4 million upon full exercise of the underwriters’ over-allotment option. Net proceeds received by us from our initial public
offering, including the exercise of the over-allotment option, were approximately $9.2 million.   We also issued to The Benchmark
Company, LLC, the representative of the underwriters warrants to purchase 129,375 shares.

Rental
Services 

The
Company launched a rental program to meet the increasing market demand for safe, UL-certified e-bikes in compliance with New York State
regulations in October 2024. The rental service, now available in New York City and Los Angeles via the Go Fly rental service mobile
app and select Fly E-Bike stores, provides users with a flexible and affordable e-bike rental option. As part of FLY-E’s growth
strategy, the Company plans to expand the rental service to Miami and Toronto shortly.

NYC Trade-In Program

In January 2025, the New York City Department of Transportation (“NYC
DOT”) launched a $2 million trade-in program, allowing eligible food delivery workers to replace their unsafe e-bikes, e-mobility
devices, and batteries with UL certified, high-quality versions. Our Fly-11 PRO was chosen as  the official model of NYC DOT and
participates in this program. The company has also been actively cooperating with the government to provide information and promote the
model.

Key Factors that Affect Operating Results

Our results of operations and financial condition
are affected by the general factors driving the U.S.’s electric two-wheeled vehicles industry, including, among others, the U.S.’s
overall economic growth, the increase in per capita disposable income, the expansion of urbanization, the growth in consumer spending
and consumption upgrades, the competitive environment, governmental policies and initiatives towards electric two-wheeled vehicles, as
well as the general factors affecting the electric two-wheeled vehicles industry in overseas markets.