Company: FLYE
Filing Date: 2025-12-18
Form Type: 10-Q
Source: 0001213900-25-123281
Chunk: 203

Company: Fly-E Group, Inc.
Filing Date: 2025-12-18
Form: 10-Q
Item: Item 8
Chunk 203
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 Sales-Retail 
    $2,071,031  
    $5,923,576  
    $(3,896,545) 
     (65.8)%
  
    Sales-Wholesale 
    $1,722,868  
    $900,830  
    $822,038  
     91.3%
  
    Sales-Rental services 
    $158,963  
    $—  
    $158,963  
     N/A 
  
    Total Net Revenues 
    $3,908,862  
    $6,824,406  
    $(2,915,544) 
     (42.7)%

For the three months ended September 30, 2025,
our net revenues decreased by 42.7% to $2.9 million, compared to $6.8 million for the same period in 2024, which was primarily driven
by decrease in average unit price of EV s, which dropped by 61% as a result of lowering the selling prices to reduce aged inventory
for the three months ended September 30, 2025. The reason for, and the percentage of the decrease in net revenues for the three months
ended September 30, 2025 compared to the figure for the same period in 2024 that were disclosed in the NT 10-Q filed with the SEC on November
17, 2025, was incorrect and is hereby corrected.

Our retail sales revenue decreased by $3.9 million,
or 65.8%, from $5.9 million for the three months ended September 30, 2024 to $2.0 million for the three months ended September 30,
2025. Our wholesale revenue increased by $0.8 million, or 91.3%, from $0.9 million for the three months ended September 30,
2024 to $1.7 million for the three months ended September 30, 2025. The decrease in retail sales revenue is mainly due to recent lithium-battery
accidents involving E-Bikes and E-Scooters. With an increasing number of lithium-battery explosion incidents in New York, customers are
less inclined to purchase E-Bikes. Consequently, sales have declined as customers opt for oil-powered vehicles over electric vehicles.
The decrease in retail sales also attributed in part to the closures and disposition of our retail stores during the three months ended