Company: ZCARW
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001213900-25-076590
Chunk: 383

Company: Zoomcar Holdings, Inc.
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 3
Chunk 383
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 relative to our revenue, and our
financial performance and future prospects will be adversely affected.

Breaches and other
types of security incidents of our networks or systems similar to the recent Cybersecurity Incident, or those of our third-party service
providers, could negatively impact our business, our brand and reputation, our ability to retain existing Hosts and Guests and attract
new Hosts and Guests, may cause us to incur significant liabilities and adversely affect our business, results of operations, financial
condition, and future prospects. 

In the regular course of
our business, we collect, use, store, transmit, and process data and information about Hosts, Guests, employees, and others, some of which
may be sensitive, personal, or confidential and make us an attractive target and potentially vulnerable to cyberattacks, computer viruses,
electronic break-ins or similar disruptions. Recently on June 9, 2025, the Company identified a Cybersecurity Incident involving unauthorized
access to its information systems. The Company became aware of the incident after certain employees received external communications from
a threat actor alleging unauthorized access to Company data. Upon discovery, the Company promptly activated its incident response plan.
Although based on its initial assessment the Company determined that an unauthorized third party accessed a limited dataset containing
certain personal information of a subset of approximately 8.4 million users, including names, phone numbers, car registration numbers,
personal addresses and email addresses associated with such users, it found no evidence to suggest that financial information, plaintext
passwords, or other sensitive identifiers were compromised. To date, the incident has not resulted in any material disruption to the Company’s
operations.

Accordingly, any such unauthorized
access to or use of such data and information, or breach of our security measures or those of our third-party service providers, could
adversely affect our business, operations, and future prospects. While we have taken steps to mitigate our cyberattack risks and protect
the confidential information that we have access to, including but not limited to installation and periodical updates of antivirus software
and backup of information on our computer systems, our security measures may be vulnerable to such security breaches. In response to the
Cybersecurity Incident, the Company took immediate actions to contain the threat and enhance its security posture. These measures include
implementing additional safeguards across the cloud and internal network, increasing system monitoring, and reviewing access controls.
The Company is also engaging with third-party cybersecurity consultants to have an external cybersecurity