Company: FLYE
Filing Date: 2025-07-15
Form Type: 10-K
Source: 0001213900-25-064293
Chunk: 2053

Company: Fly-E Group, Inc.
Filing Date: 2025-07-15
Form: 10-K
Item: Item 9C
Chunk 2053
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. At the inception of a contract, the Company determines if the arrangement is, or contains, a lease. The leases of the Company
mainly consisted of offices, retail stores, and warehouses.

The Company’s operating right-of-use (“ROU”)
assets and lease liabilities were as follows:

    March 31,  2025  
    March 31,  2024 
  
    Operating ROU: 

    ROU assets 
    $10,933,068  
    $16,000,742 
  
    Total operating ROU assets 
    $10,933,068  
    $16,000,742 

    March 31,  2025  
    March 31,  2024 
  
    Operating lease obligations: 

    Current operating lease liabilities 
    $2,617,762  
    $2,852,744 
  
    Non-current operating lease liabilities 
     9,106,928  
     13,986,879 
  
    Total lease liabilities 
    $11,724,690  
    $16,839,623 

The Company had 36 and 38 leases as of March 31,
2025 and 2024, respectively.

The weighted average lease term, discount rates,
and remaining lease terms for the operating leases as of March 31, 2025 were as follows:

Remaining lease term and discount rate:

  Weighted average discount rate   7.2%  Weighted average remaining lease term (years)   4.67 years  

The weighted average lease term, discount rates,
and remaining lease terms for the operating leases as of March 31, 2024 were as follows:

Remaining lease term and discount rate:

  Weighted average discount rate   6.4%  Weighted average remaining lease term (years)   5.51 years  

The Company leases its offices, warehouse, and
retail stores under non-cancellable operating lease agreements. During the year ended March 31, 2025, lease expenses were $4.3 million,
including $1.4 million in cost of goods-occupancy cost, $2.9 million in rent expense included in selling expense, and $62,527
in rent expense in general and administrative expense. During the year ended March 31, 2024, lease expenses were $3.3 million,