Company: FLYE
Filing Date: 2025-07-15
Form Type: 10-K
Source: 0001213900-25-064293
Chunk: 760

Company: Fly-E Group, Inc.
Filing Date: 2025-07-15
Form: 10-K
Item: Item 3
Chunk 760
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%
  
    Gross Margin 
     41.1% 
     40.7% 

Gross profit for the years ended March 31, 2025
and 2024 was $10.5 million and $13.1 million, respectively. Gross margin was 41.1% and 40.7% for the year ended March 31, 2025 and
2024, respectively. The gross margin remained at the same level for the two periods.

Total Operating Expenses

The following table sets forth the components
of our total operating expenses for the years ended March 31, 2025 and 2024:

    For the Year Ended March 31, 

    2025  
    2024  
    Change  
    Percentage  Change 
  
    Selling Expenses 
    $7,403,374  
     5,914,786  
     1,488,588  
     25.2%
  
    General and Administrative Expenses 
     7,607,489  
     3,931,203  
     3,676,286  
     93.5%
  
    Total Operating Expenses 
    $15,010,863  
     9,845,989  
     5,164,874  
     52.5%
  
    Percentage of Revenue 
     59.0% 
     30.6% 

Total operating expenses were $15.0 million for
the year ended March 31, 2025, an increase of $5.2 million, or 52.5%, compared to $9.8 million for the year ended March 31,
2024. The increase in operating expenses was attributable to the increase in our payroll expenses, rent, professional fees, product and
software development expenses and settlement payments, as more fully discussed below.

38

Selling Expenses 

Selling expenses primarily consist of payroll
expenses, rent, and advertising expenses of retail stores. Total payroll expenses were $3.3 million for the year ended March 31, 2025,
compared to $1.6 million for the year ended March 31, 2024. Rent was $2.9 million for the year ended March 31, 2025, compared to
$2.4 million for the year ended March 31, 2024. Advertising expenses were $0.3