Fly-E Group, Inc. Announces Second Quarter and First Half of Fiscal Year 2026 Financial Results

Rhea-AI Summary

Fly-E (Nasdaq: FLYE) reported unaudited results for Q2 and first half of fiscal 2026 ended September 30, 2025. Q2 net revenues were $3.9M (down 42.7% YoY) with gross profit $1.0M and gross margin 25.0%. Q2 net loss was $1.8M and basic/diluted loss per share was $2.18. Wholesale revenue rose 91.3% to $1.7M in Q2 while retail fell due to lower unit prices and store closures. Rental revenue began in Q2 with a 79.8% rental gross margin. Operating expenses declined 51.0% in Q2. For H1, net revenues were $9.2M (down 37.2%) and net loss was $3.8M. Cash was $2.5M as of September 30, 2025.

Positive

• Wholesale revenue +91.3% in Q2 to $1.7M
• Rental business gross margin 79.8% in Q2
• Operating expenses -51.0% in Q2
• Cash balance $2.5M as of Sept 30, 2025 (from $0.8M)

Negative

• Q2 net revenues -42.7% YoY to $3.9M
• Q2 gross margin fell to 25.0% from 42.6%
• Q2 net loss increased 55.4% YoY to $1.8M
• H1 net loss widened to $3.8M, up 186.2% YoY

Key Figures

Q2 net revenues $3.9 million Q2 FY2026 vs $6.8 million prior-year quarter

Q2 gross margin 25.0% Q2 FY2026 vs 42.6% prior-year quarter

Q2 net loss $1.8 million Q2 FY2026 vs $1.1 million prior-year quarter

Q2 EPS -$2.18 Basic and diluted loss per share vs -$4.65 prior-year quarter

Q2 wholesale revenue $1.7 million Q2 FY2026, up 91.3% from $0.9 million

Rental gross margin 79.8% Q2 FY2026 rental services business

First-half net revenues $9.2 million First half FY2026 vs $14.7 million prior-year period

Cash balance $2.5 million As of September 30, 2025 vs $0.8 million March 31, 2025

Market Reality Check

$8.32 Last Close

Volume Volume 15,349 is far below the 20-day average of 1,128,972, suggesting limited pre-news positioning. low

Technical Shares at $6.61 were trading below the 200-day MA of $44.01, reflecting a longer-term downtrend ahead of this release.

Peers on Argus 1 Up 1 Down

Peers showed mixed moves: CENN -6.0%, EVTV -20.99%, LOBO +4.54%, AYRO +7.35%, ECDA -9.09%, indicating stock-specific rather than sector-wide pressure.

Historical Context

Date	Event	Sentiment	Move	Catalyst
Dec 05	Nasdaq deficiency notice	Negative	-21.2%	Late Form 10-Q filing triggered Nasdaq compliance deficiency notice.
Aug 19	Quarterly earnings	Negative	-2.2%	Q1 FY2026 revenue decline and significantly wider net loss.
Aug 15	Store expansion	Positive	-87.1%	New Boston store opening and network growth across North America.
Aug 07	Market entry partnership	Positive	+2.6%	Entry into Mexico via new store and strategic partnership.
Jul 28	Nasdaq compliance	Positive	+1.7%	Regained compliance with Nasdaq minimum bid price requirement.

Pattern Detected

Stock often sold off on operational or compliance setbacks, while even positive expansion news once saw a sharp divergence sell-off.

Recent Company History

Over the last six months, Fly-E has reported a series of challenging results and corporate actions. Q1 FY2026 earnings on Aug 19 showed revenue decline and a wider net loss. FY2025 results on Jul 15 highlighted falling revenue and a swing to net loss. A delinquency notice for the Sep 30, 2025 10-Q on Dec 5 triggered a sharp drop. Alongside, the company pursued geographic expansion and later regained Nasdaq bid-price compliance. Today’s earnings extend the theme of pressure on revenue and profitability.

Market Pulse Summary

This announcement outlines another weak quarter for Fly-E, with net revenues and gross margin down year-over-year and net losses widening, while wholesale and rental businesses expand. Compared with prior earnings, it extends a trend of revenue pressure linked to safety concerns and store closures. Investors may focus on the high rental gross margin of 79.8%, cost reductions, and the cash balance of $2.5 million, while monitoring future filings and operational execution.

Key Terms

EBITDA financial

"EBITDA was negative $1.0 million in the second quarter of fiscal year 2026"

EBITDA stands for earnings before interest, taxes, depreciation, and amortization. It measures a company's profitability by focusing on the money it makes from its core operations, ignoring expenses like taxes and accounting adjustments. Investors use EBITDA to compare how well different companies are performing financially, as it provides a clearer picture of operational success without the influence of financial structure or accounting choices.

AI-generated analysis. Not financial advice.

NEW YORK, Dec. 18, 2025 /PRNewswire/ -- Fly-E Group, Inc. (Nasdaq: FLYE) ("Fly-E" or the "Company"), an electric vehicle company engaged in designing, installing, selling, and renting smart electric motorcycles, electric bikes, and electric scooters, today announced its unaudited financial results for the second quarter and first half of fiscal year 2026 ended September 30, 2025.

Second Quarter of Fiscal Year 2026 Financial Summary

• Net revenues were $3.9 million, compared to $6.8 million in the same period last year.
• Gross profit was $1.0 million, compared to $2.9 million in the same period last year.
• Gross margin was 25.0%, compared to 42.6% in the same period last year.
• Net loss was $1.8 million, compared to $1.1 million in the same period last year.
• Basic and diluted losses per share were $2.18, compared to $4.65 in the same period last year.

Mr. Zhou (Andy) Ou, Chairman and Chief Executive Officer of Fly-E, commented, "We navigated the second quarter of fiscal year 2026 with discipline and focus, despite a challenging retail environment. Our wholesale business continued to demonstrate strong momentum as we strategically shift our focus to this segment, with wholesale revenue increasing 91.3% year-over-year to $1.7 million. In addition, our rental business achieved a gross margin of 79.8%, demonstrating the potential to be a key profitability driver. At the same time, total operating expenses declined by 51.0% compared to the same period last year, reflecting the impact of our cost-optimization measures and our more efficient operations. While market conditions remain dynamic, particularly within the retail E-Bike segment, we are encouraged by the early traction of our rental business, our improving operational efficiency, and the resilience of our wholesale channel. Looking ahead, we will stay focused on enhancing profitability, strengthening our product and service portfolio, and improving operational efficiency as we position Fly-E for sustainable long-term growth."

Second Quarter of Fiscal Year 2026 Financial Results

Net Revenues

Net revenues were $3.9 million in the second quarter of fiscal year 2026, a decrease of 42.7% from $6.8 million in the same period last year. The decrease in net revenues was primarily driven by a decrease in average unit price of EVs, which dropped by 61% as a result of lowering the selling prices to reduce aged inventory for the second quarter of fiscal year 2026. 

Retail sales revenue was $2.0 million in the second quarter of fiscal year 2026, a decrease of 65.8% from $5.9 million in the same period last year. Wholesale revenue was $1.7 million in the second quarter of fiscal year 2026, an increase of 91.3% from $0.9 million in the same period last year. Rental services revenue was $0.2 million in the second quarter of fiscal year 2026. The Company did not generate revenue from rental services in the second quarter of fiscal year 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 the Company's retail stores during the second quarter of fiscal year 2026. The increase in wholesales revenue was driven primarily by revenue contribution from the disposed entities during the second quarter of fiscal year 2026. Although certain retail stores were sold, these stores continued to purchase products from the Company, which contributes an increase of wholesale revenue.

Cost of Revenues

Cost of revenues was $2.9 million in the second quarter of fiscal year 2026, a decrease of 25.2% from $3.9 million in the same period last year. The decrease in cost of revenues was primarily attributable to a reduction in sales volume.

Gross Profit

Gross profit was $1.0 million in the second quarter of fiscal year 2026, a decrease of 66.4% from $2.9 million in the same period last year. Gross margin was 25.0% in the second quarter of fiscal year 2026, decreased from 42.6% in the same period last year. The decrease in gross margin was mainly due to a combined effect of decrease in average unit price of EVs, which dropped by 61% for the second quarter of fiscal year 2026 and the increased revenues from rental business with higher margin than our other businesses. Gross margin of rental business was 79.8% in the second quarter of fiscal year 2026. The Company did not generate profit from rental services in the second quarter of fiscal year 2025.

Operating Expenses

Total operating expenses were $2.0 million in the second quarter of fiscal year 2026, a decrease of 51.0% from $4.1 million in the same period last year.

• Selling expenses were $1.0 million in the second quarter of fiscal year 2026, a decrease of 49.7% from $2.0 million in the same period last year. Selling expenses primarily consist of payroll expenses, rent, and advertising expenses of retail stores. Total payroll expenses were $0.6 million in the second quarter of fiscal year 2026, compared to $0.9 million in the same period last year. Rent was $0.3 million in the second quarter of fiscal year 2026, compared to $0.8 million in the same period last year. Advertising expenses were $15,457 in the second quarter of fiscal year 2026, compared to $0.1 million in the same period last year. The decrease in these expenses was primarily due to the closures and dispositions of retail stores during this quarter.
• General and administrative expenses were $1.0 million in the second quarter of fiscal year 2026, a decrease of 52.4% from $2.1 million in the same period last year. Professional fees decreased to $0.5 million in the second quarter of fiscal year 2026, compared to $0.9 million in the same period last year, primarily attributable to the decrease in audit fee, consulting fee, legal fee and IR expenses associated with the Company's public offering and ongoing reporting obligations. Payroll expenses decreased to $0.1 million in the second quarter of fiscal year 2026 from $0.4 million in the same period last year primarily due to decrease in headcount of office assistants. Depreciation expense increased to $0.06 million in the second quarter of fiscal year 2026, compared to $0.04 million for the same period in prior year due to the increasing cost basis of fixed assets.

Net Loss

Net loss was $1.8 million in the second quarter of fiscal year 2026, an increase of 55.4% from $1.1 million in the same period last year.

Basic and Diluted Losses per Share

Basic and diluted losses per share were $2.18 in the second quarter of fiscal year 2026, compared to $4.65 in the same period last year.

EBITDA

EBITDA was negative $1.0 million in the second quarter of fiscal year 2026, compared to negative EBITDA of $1.2 million in the same period last year.

First Half of Fiscal Year 2026 Financial Results

Revenue

Net revenues were $9.2 million in the first half of fiscal year 2026, a decrease of 37.2%, from $14.7 million in the same period last year. The decrease in net revenues was driven primarily by a decrease in total units sold, which decreased by 2,924 units, from 31,936 units for first half of fiscal year 2025 to 29,012 units for the first half of fiscal year 2026, and as a result of lowering the selling prices to reduce aged inventory. From the first half of fiscal year 2025 to the first half of fiscal year 2026, while the number of units sold of certain other types of products increased, the quantities of motorcycles and batteries sold, which normally contribute significantly to revenues, decreased by 641 units and 5,332 units, respectively, thereby resulting in an overall decrease in the total number of units sold.

Retail sales revenue was $5.8 million in the first half of fiscal year 2026, a decrease of 54.7%, from $12.8 million in the same period last year. Wholesale revenue was $3.2 million in the first half of fiscal year 2026, an increase of 65.5% from $1.9 million in the same period last year. The decrease in retail sales revenue is mainly due to decrease in number of retail stores during the first half of fiscal year 2026. The increase in wholesales revenue was driven primarily by contributions from the disposed entities during the first half of fiscal year 2026. Although certain retail stores were sold, these stores continued to purchase products from the Company, which contributed to the increase of wholesale revenue.

Cost of Revenues

Cost of revenues was $6.0 million in the first half of fiscal year 2026, a decrease of 31.0%, from $8.7 million in the same period last year. The decrease in cost of revenues was primarily attributable to reduction in battery sales volume.

Gross Profit

Gross profit was $3.2 million in the first half of fiscal year 2026, a decrease of 46.1%, from $6.0 million in the same period last year. Gross margin was 35.1% in the first half of fiscal year 2026, decreased from 40.9% in the same period last year.

Operating Expenses

Total operating expenses were $5.8 million in the first half of fiscal year 2026, a decrease of 20.5%, from $7.3 million in the same period last year.

• Selling expenses were $2.3 million in the first half of fiscal year 2026, a decrease of 35.7% from $3.7 million in the same period last year. Selling expenses primarily consist of payroll expenses, rent, utilities expenses, and advertising expenses of retail stores. Total payroll expenses were $1.2 million in the first half of fiscal year 2026, compared to $1.5 million in the same period last year. Rent expenses were $0.7 million in the first half of fiscal year 2026, compared to $1.5 million in the same period last year. Utilities expenses were $81,468 in the first half of fiscal year 2026, compared to $0.1 million in the same period last year. Advertising expenses were $32,870 in the first half of fiscal year 2026, compared to $0.2 million in the same period last year. The decrease in these expenses was primarily due to the closures and dispositions of retail stores in the first half of fiscal year 2026.
• General and administrative expenses were $3.4 million for the first half of fiscal year 2026, a decrease of 5.1% from $3.6 million in the same period last year. Professional fees increased to $2.0 million in the first half of fiscal year 2026, compared to $1.3 million in the same period last year, primarily attributable to the increase in audit fee, consulting fee, legal fee and IR expenses associated with the Company's initial public offering and ongoing reporting obligations. Payroll expenses decreased to $0.4 million in the first half of fiscal year 2026, from $0.8 million in the same period las year primarily due to employees terminated in operation and accounting departments. Insurance expenses decreased to $0.3 million in the first half of fiscal year 2026, compared to $0.5 million in the same period of prior year as a result of less insurance policies purchased for closed stores during the first half of fiscal year 2026. Software development fee decreased to $0.27 million in the first half of fiscal year 2026, compared to $0.31 million in the same period last year as a result of less maintenance services required for Fly E-Bike app as a result of the closures and dispositions of retail stores during the first half of fiscal year 2026.

Net Loss

Net loss was $3.8 million in the first half of fiscal year 2026, an increase of 186.2% from $1.3 million in the same period last year.

Basic and Diluted Losses per Share

Basic and diluted losses per share were $6.58 in the first half of fiscal year 2026, compared to $5.60 in the same period last year.

EBITDA

EBITDA was negative $2.2 million in the first half of fiscal year 2026, compared to negative EBITDA of $1.1 million in the same period last year.

Financial Condition

As of September 30, 2025, the Company had cash of $2.5 million, increased from $0.8 million as of March 31, 2025.

About Fly-E Group, Inc.

Fly-E Group, Inc. is an electric vehicle company that is principally engaged in designing, installing, selling, and renting smart electric motorcycles, electric bikes and electric scooters under the brand "Fly E-Bike." The Company's commitment is to encourage people to incorporate eco-friendly transportation into their active lifestyles, ultimately contributing towards building a more environmentally friendly future. For more information, please visit the Company's website: https://investors.flyebike.com.

Non-GAAP Financial Measures

To supplement the Company's financial information presented in accordance with the generally accepted accounting principles in the United States (the "U.S. GAAP"), management periodically uses certain "non-GAAP financial measures," as such term is defined under the rules of the SEC, to clarify and enhance understanding of past performance and prospects for the future. Generally, a non-GAAP financial measure is a numerical measure of a company's operating performance, financial position or cash flows that excludes or includes amounts that are included in or excluded from the most directly comparable measure calculated and presented in accordance with U.S. GAAP. For example, non-GAAP measures may exclude the impact of certain items such as acquisitions, divestitures, gains, losses and impairments, or items outside of management's control. Management believes that the following non-GAAP financial measure provides investors and analysts useful insight into its financial position and operating performance. Any non-GAAP measure provided should be viewed in addition to, and not as an alternative to, the most directly comparable measure determined in accordance with U.S. GAAP. Further, the calculation of these non-GAAP financial measures may differ from the calculation of similarly titled financial measures presented by other companies and therefore may not be comparable among companies.

The Company uses EBITDA (earnings before interest, taxes, depreciation, and amortization) to evaluate its operating performance. The Company believes EBITDA provides additional insight into its underlying, ongoing operating performance and facilitates year-to-year comparisons by excluding the earnings impact of interest, tax, depreciation and amortization and that presenting EBITDA is more representative of its operational performance and may be more useful for investors.

The Company reconciles its non-GAAP financial measure to its net income, which is its most directly comparable financial measure calculated and presented in accordance with U.S. GAAP. EBITDA includes adjustments for provision for income taxes, as applicable, interest income and expense, depreciation, and amortization. EBITDA does not represent and should not be considered an alternative to net income as determined by U.S. GAAP, and its calculations thereof may not be comparable to those reported by other companies. The Company believes EBITDA is an important measure of operating performance and provides useful information to investors because it highlights trends in its business that may not otherwise be apparent when relying solely on U.S. GAAP measures and because it eliminates items that have less bearing on its operating performance. EBITDA, as presented herein, is a supplemental measure of its performance that is not required by, or presented in accordance with, U.S. GAAP. The Company uses non-GAAP financial measures as supplements to its U.S. GAAP results in order to provide a more complete understanding of the factors and trends affecting its business. EBITDA is a measure of operating performance that is not defined by U.S. GAAP and should not be considered a substitute for net (loss) income as determined in accordance with U.S. GAAP.

Forward-Looking Statements

Certain statements in this announcement are forward-looking statements. These forward-looking statements involve known and unknown risks and uncertainties and are based on the Company's current expectations and projections about future events that the Company believes may affect its financial condition, results of operations, business strategy and financial needs. Investors can find many (but not all) of these statements by the use of words such as "approximates," "believes," "hopes," "expects," "anticipates," "estimates," "projects," "intends," "plans," "will," "would," "should," "could," "may" or other similar expressions. Although the Company believes that the expectations expressed in these forward-looking statements are reasonable, it cannot assure you that such expectations will turn out to be correct. The Company cautions investors that actual results may differ materially from the anticipated results, and that the forward-looking statements contained in this press release are subject to the risks set forth in the Company's filings with the Securities and Exchange Commission (the "SEC"), including the section under "Risk Factors" of its most recent Annual Report on Form 10-K for the fiscal year ended March 31, 2025, filed with the SEC on July 15, 2025, as amended by the Company's subsequent filings, including updates to the Risk Factors. The Company undertakes no obligation to update or revise publicly any forward-looking statements to reflect subsequent occurring events or circumstances, or changes in its expectations, except as may be required by law.

For investor and media inquiries, please contact:

Fly-E Group, Inc.
Investor Relations Department
Email: ir@flyebike.com

Ascent Investor Relations LLC
Tina Xiao
Phone: +1-646-932-7242
Email: investors@ascent-ir.com

FLY-E GROUP, INC.
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS
(Expressed in U.S. dollars, except for the number of shares)
		September 30, 2025				March 31, 2025
ASSETS
Current Assets
Cash		$	2,538,076			$	840,102
Accounts receivable, net			1,474,637				466,187
Accounts receivable, net – a related party			32,030				37,465
Inventories, net			6,548,287				6,397,274
Prepayments and other receivables			5,923,496				3,676,986
Prepayments and other receivables – related parties			236,826				120,000
Assets held for sale			—				2,462,502
Total Current Assets			16,753,352				14,000,516
Property and equipment, net			6,826,815				7,287,213
Security deposits			518,908				728,450
Deferred tax assets, net			152,212				94,983
Operating lease right-of-use assets			6,891,886				10,933,068
Intangible assets, net			486,581				525,865
Long-term prepayment for software development – a related party			—				136,580
Total Assets		$	31,629,754			$	33,706,675
LIABILITIES AND STOCKHOLDERS' EQUITY
Current Liabilities
Accounts payable		$	550,249			$	1,272,305
Short-term loan payables			5,532,230				5,191,058
Current portion of long-term loan payables			222,479				100,835
Accrued expenses and other payables			484,236				1,366,968
Accrued expenses and other payables – related parties			225				—
Operating lease liabilities – current			1,819,911				2,617,762
Liabilities held for sale			—				2,152,447
Total Current Liabilities			8,609,330				12,701,375
Long-term loan payables			2,004,123				2,065,040
Operating lease liabilities – non-current			5,718,256				9,106,928
Total Liabilities			16,331,709				23,873,343
Commitment and Contingencies
Stockholders' Equity
Preferred stock, $0.01 par value, 10,000,000 shares authorized and nil outstanding as of September 30, 2025 and March 31, 2025*			—				—
Common stock, $0.01 par value, 300,000,000 shares authorized and 1,632,351 shares outstanding as of September 30, 2025 and 300,000,000 shares authorized and 245,875 shares outstanding as of March 31, 2025*			16,324				2,459
Additional paid-in capital			27,826,643				10,987,440
Shares subscription receivable			(7,816,556)				(219,998)
Accumulated deficit			(4,680,283)				(895,510)
Accumulated other comprehensive loss			(48,083)				(41,059)
Total FLY-E Group, Inc. Stockholders' Equity			15,298,045				9,833,332
Total Liabilities and Stockholders' Equity		$	31,629,754			$	33,706,675
*Shares and per share data are presented on a retroactive basis to reflect the 1-for-5 reverse stock split completed on July 3, 2025 and the 1-for-20 reverse stock split completed on November 4, 2025.

 

 

FLY-E GROUP, INC.
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND
COMPREHENSIVE LOSS
(Expressed in U.S. dollars, except for the number of shares)
		For the Three Months Ended September 30,								For the Six Months Ended September 30,
		2025				2024				2025				2024
Revenues		$	3,908,862			$	6,824,406			$	9,237,060			$	14,697,832
Cost of Revenues			2,932,341				3,919,952				5,999,164				8,693,744
Gross Profit			976,521				2,904,454				3,237,896				6,004,088
Operating Expenses
Selling Expenses			1,027,726				2,041,435				2,348,943				3,653,930
General and Administrative Expenses			997,218				2,094,078				3,442,151				3,626,716
Total Operating Expenses			2,024,944				4,135,513				5,791,094				7,280,646
Loss from Operations			(1,048,423)				(1,231,059)				(2,553,198)				(1,276,558)
Other Expenses, net			(148,153)				(53,929)				(156,051)				(47,411)
Interest Expenses, net			(539,537)				(23,795)				(1,085,771)				(91,877)
Loss Before Income Taxes			(1,736,113)				(1,308,783)				(3,795,020)				(1,415,846)
Income Tax (Expense) Benefit			(40,012)				165,935				10,247				93,490
Net Loss		$	(1,776,125)			$	(1,142,848)			$	(3,784,773)			$	(1,322,356)
Other Comprehensive (Loss) Income
Foreign currency translation adjustment			(29,378)				4,298				(7,024)				2,974
Total Comprehensive Loss		$	(1,805,503)			$	(1,138,550)			$	(3,791,797)			$	(1,319,382)
Losses per Share*		$	(2.18)			$	(4.65)			$	(6.58)			$	(5.60)
Weighted Average Number of Common Stock
– Basic and Diluted*			813,922				245,875				575,463				236,226
*Shares and per share data are presented on a retroactive basis to reflect the 1-for-110,000 stock split completed on April 2, 2024, the 1-for-5 reverse stock split completed on July 3, 2025 and the 1-for-20 reverse stock split completed on  November 4, 2025.

 

 

FLY-E GROUP, INC.
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(Expressed in U.S. dollars, except for the number of shares)
		For the Six Months Ended September 30,
		2025				2024
Cash flows from operating activities
Net loss		$	(3,784,773)			$	(1,322,356)
Adjustments to reconcile net loss to net cash used in operating activities:
Loss on disposal of property and equipment			68,188				—
Gain on disposal of subsidiaries			(64,452)				—
Depreciation expense			417,258				180,910
Amortization expense			54,761				8,846
Deferred income taxes benefits			(42,251)				(462,740)
Amortization of operating lease right-of-use assets			2,699,632				1,676,991
Inventories impairment loss			569,758				330,823
Changes in operating assets and liabilities:
Accounts receivable			(1,031,989)				(154,034)
Accounts receivable – a related party			5,435				235,029
Inventories			(1,107,359)				(3,562,871)
Prepayments and other receivables			(1,371,452)				(1,864,681)
Prepayments for operation services to a related party			45,000				(180,000)
Security deposits			41,550				(55,598)
Accounts payable			(722,056)				(815,667)
Accrued expenses and other payables			(793,623)				(380,183)
Accrued expenses and other payables - related parties			225				—
Operating lease liabilities			(2,676,403)				(1,516,198)
Taxes payable			(14,978)				(1,530,416)
Net cash used in operating activities			(7,707,529)				(9,412,145)
Cash flows from investing activities
Purchases of properties and equipment			(44,661)				(1,575,936)
Purchase of software from a related party			—				(500,000)
Payments of property rights			(15,477)				—
Prepayment for purchasing software from a related party			—				(801,980)
Cash released from disposal of entities			(230,076)				—
Repayment from a related party			—				510,381
Advance to a related party			(161,826)				(477,933)
Net cash used in investing activities			(452,040)				(2,845,468)
Cash flows from financing activities
Proceeds from borrowings			1,917,100				3,737,500
Repayments of borrowings			(1,370,591)				(391,308)
Repayments on other payables - related parties			—				(92,229)
Payments of offering cost			(516,490)				(282,403)
Net proceeds from issuance of common stock			9,773,000				9,154,500
Net cash provided by financing activities			9,803,019				12,126,060
Net changes in cash including cash classified within current assets held for sale			1,643,450				(131,553)
Effect of exchange rate changes on cash			(7,024)				2,974
Less: net increase in cash classified within current assets held for sale			61,548				—
Cash at beginning of the period			840,102				1,403,514
Cash at the end of the period		$	2,538,076			$	1,274,935
Supplemental disclosure of cash flow information
Cash paid for interest expense		$	1,085,771			$	91,877
Cash paid for income taxes		$	42,640			$	1,940,595
Supplemental disclosure of non-cash investing and financing activities
Subscription receivables from share placement		$	7,596,558			$	—
Purchase of vehicle funded by loan		$	—			$	219,668
Purchase of office funded by loan		$	—			$	1,800,000
Purchase of software by using previous prepayments		$	136,580			$	1,975,000
Properties used for rental services		$	49,811			$	—
Deferred IPO cost recognized as additional paid-in capital		$	—			$	502,198
Uncollected proceeds from disposal of subsidiaries		$	860,754			$	—
Termination of operating lease right-of-use assets and operating lease liabilities		$	3,187,864			$	(280,087)
Right-of-use assets obtained in exchange for operating lease liabilities		$	—			$	1,394,682

The following table sets forth the components of our EBITDA for the three months ended September 30, 2025 and 2024:

		For the Three Months Ended September 30,
		2025				2024				Change				Percentage Change
Net loss		$	(1,776,125)			$	(1,142,848)			$	(633,277)				55.4	%
Income tax provision (benefit)			40,012				(165,935)				205,947				(124.1)	%
Depreciation			204,466				85,859				118,607				138.1	%
Interest Expenses			539,537				23,795				515,742				2,167.4	%
Amortization			27,446				7,895				19,551				247.6	%
EBITDA		$	(964,664)			$	(1,191,234)			$	226,570				(19.0)	%
Percentage of Revenue			(24.7)	%			(17.5)	%							(7.2)	%

The following table sets forth the components of our EBITDA for the six months ended September 30, 2025 and 2024:

		For the Six Months Ended September 30,
		2025				2024				Change				Percentage Change
Loss from Operations		$	(3,784,773)			$	(1,322,356)			$	(2,462,417)				186.2	%
Income Tax Benefit			(10,247)				(93,490)				83,243				(89.0)	%
Depreciation			417,258				180,910				236,348				130.6	%
Interest Expenses			1,085,771				91,877				993,894				1081.8	%
Amortization			54,761				8,846				45,915				519.0	%
EBITDA		$	(2,237,230)			$	(1,134,213)			$	(1,103,017)				97.2	%
Percentage of Revenue			(24.2)	%			(7.7)	%							(16.5)	%

 

 

View original content:https://www.prnewswire.com/news-releases/fly-e-group-inc-announces-second-quarter-and-first-half-of-fiscal-year-2026-financial-results-302646476.html

SOURCE Fly-E Group, Inc.

FAQ

What were Fly-E (FLYE) Q2 fiscal 2026 revenues and net loss?

Q2 fiscal 2026 net revenues were $3.9M and net loss was $1.8M.

How much did Fly-E (FLYE) wholesale revenue change in Q2 2026?

Wholesale revenue increased 91.3% year‑over‑year to $1.7M in Q2.

What is the significance of Fly-E (FLYE) rental business results in Q2 2026?

Rental services began generating revenue in Q2 with a high gross margin of 79.8%.

How did Fly-E (FLYE) control costs in Q2 2026?

Total operating expenses declined by 51.0% in Q2 due to retail store closures and dispositions.

What was Fly-E (FLYE) cash position at Sept 30, 2025?

The company reported cash of $2.5M as of September 30, 2025, up from $0.8M on March 31, 2025.

How did Fly-E (FLYE) perform for the first half of fiscal 2026?

H1 fiscal 2026 net revenues were $9.2M (down 37.2% YoY) and net loss was $3.8M.