Core Viewpoint - A class action lawsuit has been filed against Fly-E Group, Inc. for allegedly misleading investors about its business prospects, particularly regarding its revenue outlook and sales performance during a specified period [1][2]. Company Overview - Fly-E Group, Inc. operates in the electric vehicle sector, designing, installing, and selling smart electric motorcycles, electric bikes, electric scooters, and related accessories under the Fly E-Bike brand across the United States, Mexico, and Canada [1]. Allegations - The lawsuit claims that Fly-E Group's management created a false impression of having reliable information about the company's projected revenue and sales, while in reality, the company's optimistic revenue goals did not align with actual performance [2]. - The complaint highlights that management downplayed risks associated with lithium batteries, supply chain changes, and regulatory challenges, while overemphasizing brand reputation and cost reductions as growth drivers [2]. Financial Performance - On August 14, 2025, Fly-E filed a notification with the SEC indicating a significant 32% decrease in net revenue compared to the same period in 2024, primarily attributed to a decline in total units sold due to consumer hesitance linked to lithium battery explosion incidents [3]. - Following the revenue announcement, Fly-E's stock price plummeted approximately 87%, from $7.76 per share to $1.00 per share within a single day [3]. Legal Proceedings - Shareholders are encouraged to participate in the class action lawsuit against Fly-E Group, with options to serve as lead plaintiff or remain an absent class member [4].
FLYE Stockholder Notice: Robbins LLP Reminds Investors of the Class Action Lawsuit Against Fly-E Group, Inc.