Company: FLYE
Filing Date: 2025-12-18
Form Type: 10-Q
Source: 0001213900-25-123281
Chunk: 90

Company: Fly-E Group, Inc.
Filing Date: 2025-12-18
Form: 10-Q
Item: Item 1
Chunk 90
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    $(1,134,213) 
    $(1,103,017) 
     97.2%
  
    Percentage of Revenue 
     (24.2)% 
     (7.7)% 
        
     (16.5)%

Before interest expenses, income tax, depreciation,
and amortization, for the six months ended September 30, 2025, our net loss was $2.2 million, an increase of $1.1 million, compared
to net loss of $1.1 million for the six months ended September 30, 2024, which was mainly attributable to the decrease in revenue,
decrease in selling and general and administrative expense described above. The ratio of EBITDA to revenue was negative 24.2% and 7.7%
for the six months ended September 30, 2025 and 2024, respectively.

Liquidity and Capital Resources

As of September 30, 2025, we had cash of $2.5
million. We had working capital of $8.1 million and $1.3 million as of September 30, 2025 and March 31, 2025, respectively. We had
net loss of $3.7 million and $1.3 million for the six months ended September 30, 2025 and 2024, respectively. During the six months
ended September 30, 2025, net cash used in operating activities of the Company was approximately $7.7 million. As of September 30, 2025,
the Company had a current portion of contractual obligation of approximately $7.8 million, including short-term loan payables of approximately
$5.5 million, current portion of long-term loan payables of approximately $0.2 million, accrued UL penalty of $0.2 million and current
portion of operating lease liabilities of approximately $1.8 million.

We have funded our working capital and other capital
requirements in the past primarily by equity contributions from our stockholders and net proceeds received from IPO and equity financing,
cash flow from operations, and bank loans. Our ability to repay our current obligation will depend on the future realization of our current
assets. Management has considered the historical experience, the economy, trends in the retail industry, the expected collectability of
the accounts receivable and the realization of the inventories as of September 30, 2025. Our ability