Fly-E Group (FLYE) Registration Filing summary

Company overview and business model

• Designs, assembles, and sells smart electric motorcycles, e-bikes, e-scooters, and accessories under the Fly E-Bike brand, with a focus on urban mobility and food delivery workers in New York City.

• Operates 25 retail stores in the U.S. and Canada, an online store, and recently launched rental services in select cities.

• Sources components primarily from China and the U.S., assembling vehicles in New York; maintains a centralized vendor management system for supply chain efficiency.

• Product portfolio includes 25 e-motorcycle models, 28 e-bike models, and 37 e-scooter models, with continuous product innovation and upgrades.

• Developing a Fly E-Bike app for customer engagement and service management, and planning to expand into South America and Europe.

Financial performance and metrics

• Net revenues for the year ended March 31, 2024 were $32.2 million, up 47.9% from $21.8 million in 2023; net income was $1.9 million, up 37.5%.

• For the nine months ended December 31, 2024, net revenues declined 15.2% to $20.4 million, with a net loss of $2.0 million compared to net income of $1.2 million in the prior year period.

• Gross margin improved to 40.7% in FY2024 from 38.1% in FY2023; nine-month gross margin rose to 42.0% from 39.3%.

• As of December 31, 2024, cash was $1.4 million, working capital was $3.0 million, and total debt was $7.1 million.

• EBITDA for FY2024 was $3.5 million (10.9% of revenue), but negative $1.9 million for the nine months ended December 31, 2024.

Use of proceeds and capital allocation

• Plans to use $3.5 million of net proceeds for inventory and production costs, and $3.5 million for working capital.

• Management has broad discretion over use of proceeds; funds may be invested in short- and intermediate-term interest-bearing instruments pending use.