Financial Performance - Net revenues for Fiscal Year 2024 were $21.1 million, a 32.7% increase from $15.9 million in Fiscal Year 2023, driven by higher sales of battery packs [7][9] - Gross profit increased by 32.5% to $1.5 million, with gross margin slightly decreasing from 7.2% to 7.1% [8][14][15] - Net loss widened to $8.1 million, up 11.4% from $7.3 million in Fiscal Year 2023, primarily due to increased impairment of long-term equity investment [8][21] - Cash and cash equivalents decreased significantly to $3.5 million as of September 30, 2024, compared to $17.3 million a year earlier [8][22] Business Segments - Battery packs and cells segment revenue surged 97.9% to $16.3 million, driven by increased market acceptance of lithium battery packs and large orders from major customers [9][10] - E-bicycle sales declined 32.2% to $2.9 million due to industry competition and the impact of the "Nanjing EV Charging Station Massive Fire" accident [3][11] - Electronic control system and intelligent robot sales decreased 40.2% to $1.4 million, with electronic control system sales increasing 211.4% while intelligent robot sales dropped significantly [12] Strategic Developments - The company shifted its business focus towards lithium-ion batteries (LIB) for low-speed e-bicycles, intensifying product development and partnerships with LIB manufacturers [3][4] - E-bicycle business transitioned from channel marketing to direct client marketing, focusing on the sharing and rental market [4] - The company invested in research and development for intelligent robotics, aiming to build a new product matrix despite the segment being in the market introduction phase [6] Operational Highlights - Research and development expenses increased 37.0% to $0.9 million, focusing on engineering vehicle wireless measurement and control systems [19] - Selling and marketing expenses decreased 9.5% to $0.6 million, primarily due to reduced advertising and business promotion expenses [16][17] - General and administrative expenses decreased 8.3% to $4.3 million, mainly due to reduced share-based compensation and depreciation expenses [18] Market and Industry Context - The company faced challenges in the e-bicycle market due to the "Nanjing EV Charging Station Massive Fire" accident, which led to a wait-and-see attitude among dealers and consumers [3] - Increased emphasis on environmental protection and construction safety within the industrial machinery sector boosted electronic control system sales [12] - The company's lithium battery pack sales volume increased by 256.5% year-over-year, reflecting strong market demand for high-performance battery solutions [10]

VIE Structure and Agreements - EZGO's corporate structure includes a VIE (Variable Interest Entity) in China, with the WFOE (Wholly Foreign-Owned Enterprise) holding contractual rights to control the VIE's economic activities and receive the majority of its economic benefits[48][49] - The VIE Agreements, including the Exclusive Management Consulting and Technical Service Agreement, allow the WFOE to receive 95% of the VIE's after-tax profits after covering prior deficits and statutory reserves[54] - The VIE's equity holders have pledged 100% of their equity interests to the WFOE as collateral under the Equity Pledge Agreement[55] - The WFOE has an exclusive call option to purchase all equity interests and assets of the VIE at the minimum price permitted by PRC law or the net book value, whichever is lower[56] - The WFOE provides loans to the VIE at an annual interest rate of 24%, with each loan term set at 20 years, extendable with mutual consent[59] - The VIE Agreements have not been tested in a PRC court, and there are substantial uncertainties regarding their enforceability under current and future PRC laws[52][62] - EZGO consolidates the financial results of the VIE and its subsidiaries in its consolidated financial statements under U.S. GAAP[53] - The VIE structure is used to provide EZGO's shareholders with contractual exposure to foreign investment in China-based companies, as direct foreign ownership is restricted under PRC law[50] - The VIE Agreements are designed to ensure EZGO is the primary beneficiary of the VIE for accounting purposes under U.S. GAAP[53] - The enforceability of the VIE Agreements depends on the VIE's equity holders, and any failure to perform obligations could materially affect EZGO's operations and financial condition[61] Financial Performance - Consolidated net revenues for fiscal year 2024 were $21,134,425, with non-VIE subsidiaries contributing $4,863,027 and WFOE contributing $13,359,133[65] - Gross profit for fiscal year 2024 was $1,509,283, with non-VIE subsidiaries contributing $1,178,735 and WFOE contributing $517,503[65] - Operating expenses for fiscal year 2024 totaled $5,726,354, with the parent company incurring $1,502,523 and VIE subsidiaries incurring $1,696,616[65] - Net loss for fiscal year 2024 was $8,085,796, with the parent company contributing $7,284,792 and non-VIE subsidiaries contributing $6,082,439[65] - Consolidated net revenues for fiscal year 2023 were $15,920,659, with non-VIE subsidiaries contributing $4,792,821 and WFOE contributing $5,852,450[67] - Gross profit for fiscal year 2023 was $1,139,399, with non-VIE subsidiaries contributing $726,148 and WFOE contributing $307,590[67] - Net loss for fiscal year 2023 was $7,258,313, with the parent company contributing $2,460,083 and non-VIE subsidiaries contributing $523,744[67] - Consolidated net revenues for fiscal year 2022 were $17,389,217, with non-VIE subsidiaries contributing $176,027 and WFOE contributing $4,407,284[67] - Gross profit for fiscal year 2022 was $219,039, with non-VIE subsidiaries contributing $5,573 and WFOE contributing $365,282[67] - Net loss for fiscal year 2022 was $7,468,830, with the parent company contributing $1,606,117 and non-VIE subsidiaries contributing $157,105[67] - EZGO reported net losses of approximately $7.47 million, $7.26 million, and $8.09 million for the fiscal years ended September 30, 2022, 2023, and 2024, respectively[200] Cash Flow and Capital Management - Consolidated current assets as of September 30, 2024, amounted to $41,403,659, showing a decrease from $45,914,288 in 2023[68] - Working capital deficit as of September 30, 2024, was $24,511,813, compared to a working capital of $34,875,331 in 2023[68] - Total cash used in operating activities for the year ending September 30, 2024, was $10,308,733[69] - Net cash inflow from disposal of a subsidiary in 2024 was $861,291[69] - Total cash used in investing activities for 2024 was $11,242,521[69] - Proceeds from short-term borrowings in 2024 totaled $5,635,523[69] - Repayments of short-term borrowings in 2024 amounted to $1,596,269[69] - Proceeds from long-term borrowings in 2024 were $3,443,777[69] - Net decrease in cash, cash equivalents, and restricted cash for 2024 was $12,794,688[69] - Effect of exchange rate changes on cash in 2024 was $124,338[69] - Total cash provided by operating activities for the year ended September 30, 2023 was $6,720,013 for the Parent, but consolidated cash flow from operations was a net outflow of $1,891,626 due to significant outflows from Non-VIE subsidiaries and WFOE[70] - Net cash outflow from investing activities for the year ended September 30, 2023 was $21,189,116, primarily due to $12,113,425 in purchases of long-term investments and $7,221,017 in prepayments for customized equipment[70] - Total cash provided by financing activities for the year ended September 30, 2023 was $36,169,907, mainly from $31,848,983 in equity issuance proceeds and $4,536,883 in long-term borrowings[70] - Net increase in cash, cash equivalents and restricted cash for the year ended September 30, 2023 was $12,840,777, compared to a net decrease of $1,476,667 in the prior year[70][71] - EZGO provided an interest-free loan of $31,848,983 to the WFOE in fiscal year 2023, and the WFOE provided $8,696,766 in interest-free loans to its wholly-owned subsidiaries[78] - As of September 30, 2023, the WFOE had $14,092,722 in receivables from its wholly-owned subsidiaries and $15,971,124 in payables due to the VIE and its subsidiaries[78] - For fiscal year 2024, EZGO provided an interest-free loan of $3,378,947 to the WFOE, and EZGO HK injected $7,000,000 in registered capital into the WFOE[79] - As of September 30, 2024, the WFOE had $15,500,819 in receivables from its wholly-owned subsidiaries and $1,769,990 in payables due to the VIE and its subsidiaries[79] - The WFOE had outstanding loans totaling $9,575,924 as of September 30, 2024, with interest rates ranging from 4% to 5% or linked to the Chinese Loan Prime Rate[80] - EZGO maintains bank accounts in China with RMB30,970,516 and $26,265 in USD as of September 30, 2024, subject to PRC regulations on fund transfers between subsidiaries[81] Dividend and Reserve Policies - EZGO does not generate revenue as it is a holding company with no material operations of its own[84] - EZGO relies on dividend payments from its PRC subsidiaries to fund cash and financing requirements, but no dividends have been paid to date[85][89] - PRC subsidiaries are required to set aside at least 10% of after-tax profits for statutory reserves until reaching 50% of registered capital[86] - EZGO does not expect to pay cash dividends in the foreseeable future as it intends to retain funds for business development[89] - A 10% PRC withholding tax applies to dividends payable to non-resident enterprise shareholders[91] - PRC subsidiaries are required to set aside at least 10% of accumulated after-tax profits for statutory reserve funds, limiting their ability to distribute earnings as dividends[161] - Any transfer of funds by EZGO to its PRC subsidiaries is subject to procedural requirements, which may hinder or delay cash deployment and adversely affect operations[162] - EZGO's PRC subsidiaries are required to set aside at least 10% of accumulated profits annually for reserve funds until reaching 50% of registered capital, limiting distributable cash dividends[172] Regulatory and Compliance Risks - EZGO is not required to apply for a cybersecurity review under the Measures for Cybersecurity Review (2021 version) as it does not hold personal information of more than one million users[96] - EZGO and its subsidiaries have received all requisite licenses and permissions needed to conduct business in China, with no permissions denied[101] - The Overseas Listing Regulations may subject EZGO to additional compliance requirements for future securities offerings[98] - The revised Provisions on Confidentiality and Archives Administration expand application to cover indirect overseas offerings and listings[99] - EZGO's PRC subsidiaries hold long-term business licenses issued by various administrative authorities in China[101] - No explicit PRC laws or regulations require EZGO or its subsidiaries to seek CSRC approval for overseas listings or securities offerings as of the report date[103] - Potential future PRC regulations could require EZGO to obtain regulatory approval for securities offerings, impacting its ability to raise capital and operate[103] - EZGO's operations in China are subject to risks from changes in PRC laws, regulations, and government policies, which could materially affect its business and share value[111] - Restrictions on currency exchange and outbound capital flows may limit EZGO's ability to utilize PRC revenue and pay dividends[111] - EZGO's ordinary shares may be delisted or prohibited from trading under the HFCA Act if PCAOB inspections are not conducted, potentially affecting share value[112] - EZGO faces intense competition in the charging pile market, and failure to compete effectively could result in loss of market share and customers[112] - EZGO's reliance on contractual arrangements with the VIE for business operations may not be as effective as direct ownership and could adversely affect its business[113] - Uncertainties in the interpretation and enforcement of PRC laws and regulations could limit legal protections for EZGO and its shareholders[115] - EZGO may face challenges in enforcing legal rights in PRC administrative and court proceedings due to the evolving legal system[117] - Recent PRC government opinions emphasize stricter supervision over overseas listings by Chinese companies, potentially impacting EZGO's operations[118] - The Measures for Cybersecurity Review (2021 version) requires online platform operators controlling personal information of more than one million users to undergo cybersecurity review if seeking to list on a foreign stock exchange[119] - The Overseas Listing Regulations issued by the CSRC on February 17, 2023, require PRC domestic companies and overseas companies with substantial PRC operations to fulfill filing procedures within three working days after applying for an overseas IPO[121][129] - Failure to comply with the Overseas Listing Regulations may result in fines ranging from RMB1 million to RMB10 million, and severe violations could lead to market entry bans for responsible persons[132] - The PRC government may exert more oversight and control over overseas offerings and foreign investment in China-based issuers, potentially limiting EZGO's ability to offer securities and causing a decline in their value[122][128][129] - EZGO's operations through the WFOE, the VIE, and its subsidiaries in China could be adversely affected by existing or future laws and regulations, potentially requiring additional compliance efforts and expenditures[125][127] - The PRC government's evolving regulatory system for the Internet industry may lead to new licensing requirements, such as the EDI License and potentially the ICP License for mobile applications[135] - The Cybersecurity Law of the PRC requires network operators to protect personal data and obtain user consent before collecting, using, or disclosing personal information[137] - The Measures for Cybersecurity Review (2021 version) stipulate that overseas listings of operators controlling large amounts of personal information may be subject to cybersecurity review by the CAC[137] - EZGO's PRC counsel believes the company is not subject to cybersecurity review, but there is no assurance that PRC authorities will not hold opposing views[137] - The PRC government's control over the economy and potential changes in laws and regulations could require EZGO to divest its interests in China operations[125] - The Data Security Law of China requires data processors to apply for exit security assessment if they provide important data abroad, or if they process personal information of over 1 million people and provide it abroad[139] - Data processors transferring data outside China must prepare a data security assessment report if the data includes important data, or if they are critical information technology infrastructure operators holding over 1 million users[139] - A maximum fine of RMB 10 million can be imposed on data processors violating the draft regulations on data security[139] - EZGO has not been involved in any cybersecurity investigations or received any sanctions from the CAC as of the report date[140] - Compliance with new data protection laws may require substantial resource expenditures and could impose significant operational burdens on EZGO[141] - EZGO's business operations in China could be adversely affected if future laws are interpreted or implemented inconsistently with current practices[141] - The PRC Labor Contract Law requires employers to execute written contracts with full-time employees and pay wages at least equal to local minimum wage standards[142] - Companies in China must participate in government-mandated employee benefit plans, including social insurance and housing funds, contributing a percentage of employee salaries[145] - EZGO's business is highly dependent on China's economic, political, and social conditions, with all operations and sales conducted in China[146] - EZGO's PRC resident shareholders have completed foreign exchange registrations for their investments in the company, but compliance with all relevant foreign exchange regulations cannot be guaranteed, potentially affecting the company's ability to distribute dividends or make cross-border investments[154] - The interpretation and implementation of foreign exchange regulations are evolving, which may impact EZGO's ability to acquire PRC domestic companies and execute its acquisition strategy[155] - PRC regulations may delay or prevent EZGO from using IPO proceeds to make loans or capital contributions to its PRC subsidiaries, potentially affecting liquidity and business expansion[156] - SAFE Circular 19 and SAFE Circular 16 restrict the use of RMB capital converted from foreign currency-denominated registered capital, limiting EZGO's ability to transfer funds to its PRC subsidiaries[157] - EZGO may face challenges in completing necessary government registrations or approvals for loans or capital contributions to its PRC subsidiaries, which could negatively impact its ability to fund operations[158] - PRC government controls on currency conversion and remittance could restrict EZGO's ability to pay dividends to U.S. shareholders and deploy cash into its subsidiaries' businesses[160] - EZGO may be classified as a PRC resident enterprise, subjecting it to a 25% enterprise income tax on worldwide income and potential withholding taxes on dividends and share sales[164] - If classified as a PRC resident enterprise, EZGO's non-PRC shareholders may face reduced returns due to potential PRC withholding taxes on dividends and gains from share sales[165] - EZGO's PRC subsidiaries may be subject to a withholding tax rate of 10% on dividends, potentially reduced to 5% if EZGO HK owns more than 25% equity interest in the PRC company[166] - Potential acquisitions by EZGO may be negatively impacted by enhanced scrutiny from PRC tax authorities under SAT Circular 698 and SAT Bulletin 7[168][169] - EZGO's non-PRC resident investors may be at risk of being taxed under SAT Bulletin 7 and SAT Bulletin 37, potentially affecting financial conditions[171] - EZGO's ability to pursue growth through acquisitions in China may be hindered by complex procedures under the M&A Rules and related regulations[176] - EZGO may face regulatory uncertainties and potential adverse actions from CSRC or other PRC regulatory agencies regarding future offerings[177] - Foreign investments in key sectors such as energy, technology, and financial services may require prior approval from designated governmental authorities[178] - EZGO's PRC subsidiaries' ability to pay dividends is restricted by the requirement to allocate a portion of after-tax profits to employee welfare and bonus funds[172] - EZGO may face delays or prohibitions in future acquisitions due to potential scrutiny or approval requirements from MOFCOM or other PRC government agencies, which could materially and adversely affect its business expansion and market share[179] - EZGO's ability to conduct follow-on offerings outside China may be significantly limited or hindered if new rules or explanations require approvals from CSRC or other regulatory agencies[180] - U.S. regulatory bodies may face limitations in investigating or inspecting EZGO's operations in China due to jurisdiction constraints and compliance with China's state secrecy laws[181] - EZGO's ordinary shares may be delisted under the HFCA Act if PCAOB is unable to inspect audit documentation located in China, potentially affecting shareholder benefits and trading[184] - The HFCA Act requires the SEC to prohibit trading of an issuer's securities if its auditor is not subject to PCAOB inspections for two consecutive years, reducing the time before EZGO's securities may be delisted[186] - The PCAOB has secured complete access to inspect and investigate registered public accounting firms in mainland China and Hong Kong, reducing the risk of EZGO being identified as a "Commission-Identified Issuer" under the HFCA Act[189] - EZGO's current auditor, HTL, is subject to PCAOB inspections, but future regulatory changes in China could prevent PCAOB inspections, potentially leading to delisting[194] - The SEC may propose additional rules or guidance impacting EZGO if its auditor is not subject to PCAOB inspection, potentially leading to earlier delisting than required by the HFCA Act[196] Market and Competitive Risks - EZGO faces intense competition in the e-bicycle and charging pile markets, with competitors like Aima and Yadea offering low-cost models priced at approximately RMB1,000 per vehicle[203] - EZGO's new e-bicycle models must comply with China's National New Standard GB11761-2018, and failure to meet these standards could harm the company's operations[214] - EZGO's lithium batteries must comply with the national standard GB/T 36972-2018, and non-compliance could lead to product returns and reputational damage[215] - EZGO's marketing strategy focuses on positioning its e-bicycles as a premium brand, but success in diversifying its user base is uncertain[207] - EZGO's growth depends on retaining key management and R

CHANGZHOU, China, Sept. 9, 2024 /PRNewswire/ -- EZGO Technologies Ltd. (Nasdaq: EZGO) ("EZGO" or "we", "our", or the "Company"), a leading short-distance transportation solutions provider in China, today announced its unaudited financial results for the six months ended March 31, 2024.Financial Highlights (all results compared to the prior fiscal year period unless otherwise noted)Revenues were $8.6 million, an increase of 66.1%Units sold of e-bicycle reached 4,766, a decrease of 76.7%Units sold of batterie ...

CHANGZHOU, China, April 12, 2024 /PRNewswire/ -- EZGO Technologies Ltd. (Nasdaq: EZGO) ("EZGO" or "we," "our," or the "Company"), a leading short-distance transportation solutions provider in China, today announced that it entered into a procurement agreement (the "Procurement Agreement") with Hangzhou Huiyu Zhichuang Industrial Co., Ltd. ("Huiyu Zhichuang"), a subsidiary of Huiyu Holdings Group ("Huiyu Group"), which is a China-based company primarily engaged in real estate development business and ranked ...

CHANGZHOU, China, April 10, 2024 /PRNewswire/ -- EZGO Technologies Ltd. (Nasdaq: EZGO) ("EZGO" or "we," "our," or the "Company"), a leading short-distance transportation solutions provider in China, today announced that on March 22, 2024, its board of directors approved a reverse split of its ordinary shares on a one-for-forty basis (the "Reverse Share Split"). The Company's ordinary shares will begin trading on a post-split basis on April 12, 2024. As a result of the Reverse Share Split, each forty (40) pr ...

CHANGZHOU, China, Jan. 26, 2024 /PRNewswire/ -- EZGO Technologies Ltd. (Nasdaq: EZGO) ("EZGO" or "we", "our", or the "Company"), a leading short-distance transportation solutions provider in China, today announced its audited financial results for the fiscal year ended September 30, 2023 (the "Fiscal Year 2023"). Fiscal Year 2023 Financial Highlights (all results compared to the prior year period unless otherwise noted) Revenues were $15.9 million, a decrease of 8.4%, primarily due to the decrease of sales ...

Liquidity and Financial Management - The company is exposed to liquidity risk and may seek short-term funding from financial institutions and shareholders if necessary[337]. - The company has reported a collection of loans from shareholders amounting to $2,992,126, highlighting its reliance on shareholder support for liquidity[362]. - The company has engaged in various loan activities with related parties, including a loan of $3,051,944 and collections amounting to $6,007,720, reflecting active financial management within its network[362]. - The company has incurred expenses for daily operations on behalf of related parties, totaling $675,067, indicating ongoing operational collaboration[362]. - The company has seen a repayment of interest-free loans from related parties, amounting to $534,090, which may enhance its cash flow position[362]. Inflation and Economic Impact - Inflation in China has not materially impacted the company's operations, with year-over-year consumer price index changes of 2.1% in 2021, 1.6% in 2022, and a decrease of 0.5% in November 2023[337]. - The company has not faced material interest rate risks, but future increases may raise the cost of any incurred debt[337]. Corporate Governance and Management - The total compensation for directors and senior management for the fiscal years ended September 30, 2022, and 2023, was RMB 1,677,448 (approximately $255,974) each year[344]. - The board of directors consists of 5 members, with 1 female and 4 male directors, reflecting a diversity matrix[344]. - The company has entered into employment agreements with executive officers for an initial term of three years, with fixed salaries and benefits determined by the board[346]. - The company has not set aside or accrued any amounts for pension or retirement benefits for executive officers and directors[344]. - The Chief Executive Officer, Jianhui Ye, has been in position since August 2019 and is responsible for daily operations and business strategy formulation[340]. - The Chief Financial Officer, Jingyan Wu, has over 20 years of experience in accounting and auditing, including over 10 years with U.S. public companies[340]. - The board of directors is divided into three classes, with each class serving a three-year term[353]. - The audit committee is responsible for overseeing financial reporting processes and has determined that Robert Johnson qualifies as an "audit committee financial expert"[348]. - The compensation committee reviews and approves compensation for executive officers, ensuring no executive is present during discussions about their own compensation[350]. - The company has adopted an audit committee charter to monitor compliance with business conduct and ethics[348]. Employee Relations and Workforce - The company has 81 full-time employees, with 29 in manufacturing and 12 in research and development[354]. - The company has not experienced any labor disputes and none of the employees are represented by labor unions[354]. - The company participates in various employee social security plans, contributing monthly at specified percentages of salaries and bonuses[354]. Related Party Transactions - The company reported a significant decrease in related party transactions, with purchases of e-bicycles dropping from $6,048,053 in 2021 to $2,179,826 in 2023, representing a decline of approximately 64.1%[362]. - The company has made long-term investments in related parties, totaling $1,525,972, indicating a strategic focus on strengthening partnerships[362]. - The company has made significant purchases from related parties, including e-bicycles and parts, totaling $1,188,752, which underscores its commitment to maintaining supply chain relationships[362]. - The company has reported a decrease in rental and utility fees from related parties, which may reflect cost-saving measures[362]. - The company has engaged in various financial transactions with related parties, including loans and repayments, which are critical for its operational financing strategy[362]. - The audit committee reviews all related party transactions to ensure fairness and compliance with company policies[358]. - The company has a total of 7,063,380 shares owned by all directors and executive officers as a group, representing 6.9% of the total shares[359].

Exhibit 99.1 EZGO ANNOUNCES FINANCIAL RESULTS FOR THE SIX MONTHS ENDED MARCH 31, 2023 JIANGSU, CHINA, August 7, 2023 -- EZGO Technologies Ltd. (Nasdaq: EZGO) ("EZGO" or "we", "our", or the "Company"), a leading shortdistance transportation solutions provider in China, today announced its unaudited financial results for the six months ended March 31, 2023. Financial Highlights (all results compared to the prior year period unless otherwise noted) ● Revenues were $5.2 million, a decrease of 14.4% ● Units sold ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 20-F ☐ REGISTRATION STATEMENT PURSUANT TO SECTION 12(b) OR (g) OF THE SECURITIES EXCHANGE ACT OF 1934 OR ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended September 30, 2022 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _________ to _____________. OR ☐ SHELL COMPANY REPORT PURSUANT TO SECTION ...