Company: ZCARW
Filing Date: 2025-06-30
Form Type: 10-K
Source: 0001213900-25-059675
Chunk: 830

Company: Zoomcar Holdings, Inc.
Filing Date: 2025-06-30
Form: 10-K
Item: Item 1C
Chunk 830
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 compensation in COR 
     3,650  
     134,883 
  
    Add: Overhead costs in COR  (rent, software support, insurance, travel) 
     840,289  
     1,218,583 
  
    Less: Host Incentives and Marketing costs (excl. brand marketing) C=(A+B) 
     742,399  
     2,726,369 
  
    Less: Host incentives (A) 
     147,180  
     403,069 
  
    Less: Marketing costs (excl. brand marketing) (B) 
     595,219  
     2,323,300 
  
    Contribution profit / (loss) 
    $4,250,778  
    $(979,154)
  
    Contribution margin 
     47% 
     -10%

Adjusted EBITDA is a non-GAAP
financial measure that represents our net income or loss adjusted for (i) provision for income taxes; (ii) other income and (expense),
net; (iii) depreciation and amortization; (iv) stock-based compensation expense; and (v) finance costs.

We use adjusted EBITDA in
conjunction with net income or loss, its corresponding GAAP measure, as a performance measure that we use to assess our operating performance
and operating leverage in our business. The above items are excluded from our adjusted EBITDA measure because these items are non-cash
in nature, or because the amount and timing of these items is unpredictable, or they are not driven by core results of operations, thereby
rendering comparisons with prior periods and competitors less meaningful.

We believe that adjusted
EBITDA provides useful information to investors and others in understanding and evaluating the results of our operations, as well as
provides a useful measure for period-to-period comparisons of our business performance. Moreover, we have included adjusted EBITDA because
it is a key measurement used by our management internally to make operating decisions, including those related to analyzing operating
expenses, evaluating performance, and performing strategic planning and annual budgeting.

Our adjusted EBITDA loss
has reduced to $9.91 million during the year ended March 31, 2025, as compared to an adjusted EBITDA loss of $17.85 million during the
year ended March 31, 2024.

73

This improvement is a result
of broad-based cost reduction and optimization