Company: FLYE
Filing Date: 2025-07-15
Form Type: 10-K
Source: 0001213900-25-064293
Chunk: 546

Company: Fly-E Group, Inc.
Filing Date: 2025-07-15
Form: 10-K
Item: Item 1C
Chunk 546
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. During the year ended March 31, 2025, net cash used in operating activities of the Company was approximately $10.1 million.
As of March 31, 2025, the Company had a current portion of contractual obligation of approximately $8.9 million. On June 4, 2025, the
Company closed a public offering of (i) 5,719,111 shares of the common stock at the price of $1.2140 per share and (ii) 11,438,222 warrants
to purchase 11,438,222 shares of common stock, resulting in net proceeds to the Company of $6.1 million after deducting placement agent’s
fees and offering expenses. Management has determined there is substantial doubt about its ability to continue as a going concern. Management
plans to alleviate the going concern risk through (i) equity financing to support the Company’s working capital; (ii) other available
sources of financing (including debt) from banks and other financial institutions; and (iii) financial support from the Company’s
related parties. There is no assurance that the Company will be successful in implementing the foregoing plans or that additional financing
will be available to the Company on commercially reasonable terms, or at all. The Company’s inability to secure needed financing
when required could require material changes to the Company’s business plans and could have a material adverse effect on the Company’s
ability to continue as a going concern and results of operations. The consolidated financial statements have been prepared on a going
concern basis, which contemplates the realization of assets and liquidation of liabilities in the normal course of business. The consolidated
financial statements do not include any adjustments that might result from the outcome of such uncertainties.

2 — SUMMARY OF SIGNIFICANT ACCOUNTING
POLICIES

(a) Basis of Presentation

The accompanying consolidated financial statements
of the Company have been prepared in accordance with accounting principles generally accepted in the U.S. (the “U.S. GAAP”)
and regulations of the Securities Exchange Commission (the “SEC”).  

(b) Principles of Consolidation

The consolidated financial statements include
the financial statements of the Company and its subsidiaries over which the Company exercises control and, when applicable, entities for
which the Company has a controlling financial interest. All transactions and balances among the Company and its subsidiaries have been
eliminated upon consolidation.

(c) Segment Information

The Company’s chief operating decision-makers
(