Fly-E Group Announces Second Quarter and First Half of Fiscal Year 2025 Financial Results

Core Viewpoint - Fly-E Group, Inc. reported a decline in revenue and net loss for the second quarter and first half of fiscal year 2025, while maintaining stable gross margins and expanding its product offerings and market presence [1][3][4]. Financial Results - Second Quarter Financial Results - Revenue: $6.8 million, down 22.1$8.8 million in Q2 2023 [2][5]. - Gross profit: $2.9 million, down 22.8$3.8 million in Q2 2023 [2][9]. - Total operating expenses: $4.1 million, up 54.5$2.7 million in Q2 2023 [2][10]. - Net loss: $1.1 million, or$0.05 per share, compared to net income of $0.7 million, or$0.03 per share in Q2 2023 [2][13][14]. - EBITDA: negative $1.2 million, compared to positive EBITDA of$1.3 million in Q2 2023 [2][15]. - First Half Financial Results - Net revenues: $14.7 million, down 11.5$16.6 million in the same period last year [16][17]. - Retail sales revenue: $12.8 million, down 1.1$12.9 million in the same period last year [17]. - Wholesale revenue: $1.9 million, down 48.1$3.7 million in the same period last year [17][18]. - Gross profit: $6.0 million, down 7.4$6.5 million in the same period last year [20]. - Total operating expenses: $7.3 million, up 57.2$4.6 million in the same period last year [21]. - Net loss: $1.3 million, compared to net income of$1.2 million for the same period last year [24]. - EBITDA: negative $1.1 million, compared to positive EBITDA of$2.1 million for the same period last year [26]. Market and Product Developments - The company showcased its product lineup at the Electrify Expo in New York, featuring 11 models including e-bikes, e-motorcycles, and e-scooters, with three new e-motorcycle models launched [4][29]. - The e-bike rental service was launched to provide customers with flexible and affordable access to products, aligning with shifting consumer preferences [4]. - The company is expanding into key markets such as Miami, Los Angeles, and Toronto, and is focused on enhancing customer experience through technological innovations [4][31]. Financial Condition - As of September 30, 2024, the company had cash of $1.3 million, with net cash used in operating activities amounting to$9.4 million for the first half of fiscal year 2025 [27]. - Net cash provided by financing activities was $12.1 million for the first half of fiscal year 2025, compared to net cash used in financing activities of$0.3 million for the same period last year [28]. Strategic Focus - The company is committed to eco-friendly innovation and enhancing user experience in product development, aiming to refine offerings based on insights from recent events [31]. - Fly-E's involvement in New York City's Trade-in Program for e-bikes and batteries reflects its commitment to safety standards in the electric vehicle industry [4].