Fly-E Group, Inc.

What they do

Fly-E designs, assembles and sells smart E-motorcycles, E-bikes, E-scooters and accessories under the Fly E-Bike brand, with its first store opened in New York in 2018. As of July 23, 2026 it operated 4 U.S. stores plus the flyebike.com online store, and offers e-bike rentals in New York and Los Angeles via the Go Fly app. It sources a significant portion of vehicle components from China and the U.S. and assembles them at a facility in Maspeth, New York. As of July 23, 2026 its catalog covered 27 E-motorcycle, 37 E-bike and 38 E-scooter products.

Revenue drivers

• Wholesale — Largest revenue line in fiscal 2026 at approximately $11.6 million, up sharply from approximately $3.5 million in fiscal 2025 as the mix shifted away from retail.
• Retail sales — Approximately $6.9 million in fiscal 2026, down from approximately $21.7 million in fiscal 2025, reflecting weaker in-store and online sell-through.
• Rental services — Approximately $0.6 million in fiscal 2026 versus $171,867 in fiscal 2025, operated through the Go Fly app and selected stores in New York and Los Angeles.

Recent performance

Fiscal 2026 revenue was approximately $19.1 million, down from $25.4 million in fiscal 2025 and $32.2 million in fiscal 2024. Net loss widened to $9.3 million in fiscal 2026 from $5.3 million in fiscal 2025, and operating cash flow was negative $13.8 million versus negative $10.1 million the prior year. Quarterly revenue has been volatile: $3.9 million in the September 2025 quarter, $2.6 million in December 2025, $7.2 million in March 2026 and $2.7 million in June 2026. At June 30, 2026 the company reported total assets of $26.2 million, total liabilities of $12.7 million, shareholders' equity of $13.5 million, long-term debt of $5.9 million and cash and equivalents of only $60,281.

Strategy

Management is developing the Fly E-Bike app for EV management, store location, bike purchase and repair scheduling, with a testing version launched but not yet available to customers. Technology work has been outsourced: DF Technology US Inc delivered the Go Fly rental app in September 2024 and an ERP system in May 2025, and Phecda Technology (HK) Limited completed ERP enhancements and apps for Flyebike, Riding, Lease and Rental by June 30, 2026. The rental program is positioned around UL-certified e-bikes compliant with New York State regulations. The company says it will keep investing in feature enhancements and iterative releases subject to business needs and resource allocation.

Risks

• SEC investigation — The company disclosed that on January 21, 2026 the SEC notified it of an investigation, that it has not been given substantive details, and that it is cooperating.
• Securities class action — A federal class action filed September 8, 2025 in the Eastern District of New York against the company, CEO Zhou Ou and former CFO Shiwen Feng alleges Exchange Act Sections 10(b) and 20(a) and Rule 10b-5 violations tied to statements on revenue growth, brand reputation and battery safety during July 15 to August 14, 2025.
• Nasdaq listing compliance — The company received a Nasdaq deficiency notice on September 1, 2026 for failing to timely file its Form 10-Q for the quarter ended June 30, 2026, which it then filed on September 2, 2026.
• China supply chain and tariff exposure — The company relies heavily on a few key vendors in China for vehicle components, depends on third parties for quality control on China-sourced parts, and cites U.S.-China trade tensions and tariffs as risks.

Outlook

Management's stated priorities are continued investment in the Fly E-Bike app and platform enhancements, expansion of the UL-certified rental offering via the Go Fly app in New York and Los Angeles, and maintaining its U.S. retail and online sales footprint. The 10-K's cautionary language flags the need to obtain additional funding to market vehicles and develop new products, and to regain and maintain Nasdaq listing compliance. No specific revenue or earnings guidance was provided in the excerpts.