Company: ZCARW
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001213900-25-076590
Chunk: 49

Company: Zoomcar Holdings, Inc.
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 1
Chunk 49
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contribute a specified percentage of the payroll costs to fund the benefits. The contributions are made to provident fund in accordance
with the fund rules. The interest rate payable to the beneficiaries every year is notified by the Government. The amount of contributions
made to provident fund is $58,712 for the year quarter ended June 30, 2025 ($93,412 for the quarter ended June 30, 2024).

36

ZOOMCAR HOLDINGS, INC.NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

25 Stock-based compensation expense

The Company adopted the 2023 Equity
and Incentive Plan, which provides for grants of share-based awards, including Stock Options, Stock Appreciation Rights, Restricted Stock,
Restricted Stock Units (“RSUs”), and other forms of share-based awards. The Company settles employee stock-based options with
newly issued common stock of the Company. The Company has reserved 388,921 shares of common stock for the issuance of awards under the
2023 Plan.

In addition, the number of shares of common stock reserved and available
for issuance under the 2023 Plan will automatically increase on January 1 of each year for a period of ten years, beginning on January
1, 2024 and on each January 1 thereafter until January 1, 2033, by a number equal to (i) 3% of the issued and outstanding number of shares
of common stock of the Company on the preceding December 31, or (ii) a lesser number of shares as approved by the Company’s board of directors.

Additionally, during the year ended March 31, 2025, the stockholders approved a one-time increase in the number of Common Stock shares
reserved for issuance under the 2023 Plan. The increase is equal to 15% of the total number of Common Stock shares issued and outstanding
on that date.

On February 12, 2025, the Company granted
17,950 RSUs to its employees wherein all the RSU’s granted will fully vest on the vesting commencement date i.e., March 31, 2025
pursuant to the amendment agreement dated March 31, 2025. No grants under this plan were made during the three months ended June 30, 2025.

The movement in number of stock-based
options outstanding and their related weighted average exercise price for the 2023 Plan are as follows:

    Three months ended