Fly-E Group, Inc. Form 8-K Summary
Business Context and Reporting Period
This Current Report on Form 8-K was filed by Fly-E Group, Inc. (FLYE) on March 6, 2026. The filing discloses a change in the Company's independent registered public accounting firm. The Company is incorporated in Delaware and its common stock trades on The Nasdaq Stock Market LLC.
Key Financial Metrics
The filing text does not provide specific values for revenue, profit, cash flow, margins, debt, or liquidity. The report focuses exclusively on the change in auditors and related disclosures regarding internal controls.
Material Changes and Auditor Transition
- Dismissal of Prior Auditor: On March 6, 2026, the Audit Committee dismissed Marcum Asia CPAs LLP as the independent registered public accounting firm.
- Appointment of New Auditor: Fortune CPA, Inc. was appointed to conduct a quarterly review of financial statements as of December 31, 2025, and to audit the consolidated financial statements for the fiscal year ending March 31, 2026.
- Prior Audit Opinions: Marcum Asia's reports for fiscal years ended March 31, 2025, and 2024 did not contain adverse opinions or disclaimers. However, they included an explanatory paragraph regarding the Company's ability to continue as a going concern.
- Disagreements: The Company reported no disagreements with Marcum Asia on accounting principles, practices, or auditing scope during the relevant periods.
Risks, Contingencies, and Internal Controls
The filing identifies material weaknesses in internal controls over financial reporting, which were previously reported in the Form 10-K filed on July 15, 2025. These weaknesses include:
- Lack of sufficient financial reporting and accounting personnel with appropriate knowledge of U.S. GAAP and SEC reporting requirements.
- Absence of formal internal control policies and independent supervision functions for risk assessment.
- Insufficient controls in the IT environment, specifically regarding logical access management, change management, computer operations, and cybersecurity.
No consultations regarding accounting principles or audit opinions were made with the new auditor, Fortune CPA, Inc., prior to their appointment.
Investor Verification Checklist
- Verify the letter from Marcum Asia CPAs LLP (Exhibit 16.1) to confirm their agreement with the Company's statements regarding the dismissal.
- Review the Form 10-K filed on July 15, 2025, for detailed descriptions of the material weaknesses in internal controls.
- Monitor future filings for the Company's remediation plan regarding the identified internal control deficiencies.
- Assess the impact of the "going concern" explanatory paragraph from prior audits on the Company's current financial stability.