Company: FLYE
Filing Date: 2025-02-19
Form Type: 10-Q
Source: 0001213900-25-015334
Chunk: 81

Company: Fly-E Group, Inc.
Filing Date: 2025-02-19
Form: 10-Q
Item: Part I, Item 1
Chunk 81
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     1,676,537 
  
    Loan Payable 
     7,099,795  
     5,009,061  
     183,471  
     19,893  
     1,887,370 
  
    Total Contractual Obligations 
    $22,404,162  
     8,160,231  
     6,578,070  
     4,101,954  
     3,563,907 

Off-Balance Sheet Arrangements

We have not entered into any transactions, agreements
or other contractual arrangements that would result in off-balance sheet liabilities.

Quantitative and Qualitative Disclosures about
Market Risk

Foreign Exchange Risk

A substantial majority of all of our revenues
and expenses are denominated in U.S. dollars. We do not believe that we currently have any significant direct foreign exchange risk
and have not used any derivative financial instruments to hedge exposure to such risk. In addition, as our business and operation expand
in European and other overseas markets in the future, we may be exposed to increased foreign exchange risks for other currencies.

Interest Rate Risk

Our exposure to interest rate risk primarily relates
to the interest expenses on our short-term and long-term bank borrowings. Our short-term and long-term bank borrowings bear interests
at fixed rates. We have not been exposed to, nor do we anticipate being exposed to, material risks due to changes in market interest rates.
However, our future interest expenses may exceed expectations due to changes in market interest rates. If we were to renew these short-term
and long-term bank borrowings, we might be subject to interest rate risk.

Critical Accounting Estimates

An accounting estimate is considered critical
if it requires to be made based on assumptions about matters that are highly uncertain at the time such estimate is made, and if different
accounting estimates that reasonably could have been used, or changes in the accounting estimate that are reasonably likely to occur periodically,
could materially impact the unaudited condensed consolidated financial statements.

We prepare our unaudited condensed consolidated
financial statements in conformity with U.S. GAAP, which requires us to make estimates and assumptions. We continually evaluate these
estimates and assumptions based on the most recently available information, our own historical experiences and various other assumptions
that we believe to be reasonable under the circumstances. Since the use of estimates is an integral component of the financial reporting
process, actual results could differ