Company: FLYE
Filing Date: 2025-07-15
Form Type: 10-K
Source: 0001213900-25-064293
Chunk: 60

Company: Fly-E Group, Inc.
Filing Date: 2025-07-15
Form: 10-K
Item: Item 1
Chunk 60
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479  
    $5,815,946  
    $(2,286,467) 
     (39.3)%
  
    Sales-Rental services 
     171,867  
     —  
     171,867  
     100.0%
  
    Total Net Revenues 
    $25,427,163  
    $32,205,666  
    $(6,778,503) 
     (21.0)%

Our net revenues were $25.4 million for
the year ended March 31, 2025, a decrease of 21.0%, from $32.2 million for the year ended March 31, 2024. The decrease in our net
revenues was primarily driven by a decrease in sales volume by 10,846 units, from 69,611 units for the year ended March 31, 2024, to
58,765 units for the year ended March 31, 2025.

37

Our retail sales revenue decreased by $4.7 million,
or 17.7%, from $26.4 million for the year ended March 31, 2024 to $21.7 million for the year ended March 31, 2025. Our wholesale
revenue decreased by $2.3 million, or 39.3%, from $5.8 million for the year ended March 31, 2024 to $3.5 million for the year
ended March 31, 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 year ended March 31, 2025. The decrease in wholesales revenue was
driven primarily by the closure of stores by the top two customers who closed their stores in December 2023 due to lack of profitability.

Cost of Revenues

Cost of revenues decreased by 21.6%, from $19.1 million for the
year ended March 31, 2024, to $15.0 million for the year ended March 31,