Form 6-K - Report of foreign issuer [Rules 13a-16 and 15d-16]

 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION 

WASHINGTON, D.C. 20549

 

FORM 6-K

 

REPORT OF FOREIGN PRIVATE ISSUER PURSUANT TO RULE 13a-16 OR 15d-16 

UNDER THE SECURITIES EXCHANGE ACT OF 1934

 

For the month of November 2024

 

Commission File Number: 001-41813

 

TURBO ENERGY, S.A.

(Name of Registrant)

 

Street Isabel la Católica, 8, Door 51,

Valencia, Spain 46004

(Address of Principal Executive Office)

 

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.

 

Form 20-F ☒       Form 40-F ☐

 

 

 

 

 

 

EXPLANATORY NOTE

 

Turbo Energy, S.A. (“Turbo Energy” or the “Company”), a company organized under the laws of the Kingdom of Spain, is furnishing this Report on Form 6-K to disclose its financial results for the six months ended June 30, 2024, and to discuss its recent corporate developments.

 

1

 

 

The following exhibits are attached:

 

EXHIBIT NO.		DESCRIPTION
99.1		Unaudited Interim Consolidated Financial Statements as of June 30, 2024 and for the six months ended June 30, 2024 and 2023
99.2		Operating and Financial Review and Prospects in Connection with the Interim Consolidated Financial Statements as of June 30, 2024 and for the six months ended June 30, 2024 and 2024

 

Also attached hereto and furnished herewith as Exhibit 101 are the Consolidated Interim Financial Statements as of June 30, 2024 (Unaudited) formatted in XBRL (eXtensible Business Reporting Language), consisting of the following sub-exhibits:

 

EXHIBIT NO.		DESCRIPTION
EX-101 INS		Inline XBRL Instance Document – the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document
EX-101 SCH		Inline XBRL Taxonomy Extension Schema Document
EX-101 CAL		Inline XBRL Taxonomy Extension Calculation Linkbase Document
EX-101 DEF		Inline XBRL Taxonomy Extension Definition Linkbase Document
EX-101 LAB		Inline XBRL Taxonomy Extension Label Linkbase Document
EX-101 PRE		Inline XBRL Taxonomy Extension Presentation Linkbase Document
104		Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101)

 

2

 

 

SIGNATURE

 

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

 

	TURBO ENERGY, S.A.
Date: November 15, 2024	By:	/s/ Mariano Soria
		Mariano Soria
		Chief Executive Officer

 

 

3

 

 

Exhibit 99.1

 

TURBO ENERGY, S.A.

Condensed Interim Consolidated Financial Statements

For the six months ended June 30, 2024 and 2023

(Unaudited)

(Expressed in Euro)

 

INDEX TO CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS

 

Condensed Interim Consolidated Statements of Financial Position	F-2
Condensed Interim Consolidated Statements of Operations	F-3
Condensed Interim Consolidated Statements of Shareholders’ Equity	F-4
Condensed Interim Consolidated Statements of Cash Flows	F-5
Notes to Unaudited Condensed Interim Consolidated Financial Statements	F-6

 

F-1

 

 

TURBO ENERGY, S.A.

Condensed Interim Consolidated Statements of Financial Position

(Unaudited)

(Expressed in Euro)

 

						June 30,				December 31,
As at		Note				2024				2023
						(Unaudited)
Assets
Current
Cash			2			€	495,877			€	620,531
Accounts receivable and other receivables, net			4				1,261,252				2,221,080
Inventories, net			5				2,674,957				5,585,959
Amount due from related parties			11				184,883				1,601,273
Prepaid expense			6				1,242,409				1,048,154
Investments			7				1,552,050				2,044,050
Total Current Assets							7,411,428				13,121,047
Non- Current Assets
Property and equipment, net			8				155,251				159,084
Intangible assets, net			9				1,240,573				835,706
Right-of-use assets			15				65,310				54,935
Deferred tax assets							1,056,608				1,056,608
Total Assets						€	9,929,170			€	15,227,380
Liabilities and Shareholders’ Equity
Current Liabilities
Accounts payable and accrued liabilities			10			€	2,056,062			€	2,043,559
Amount due to related parties			11				38,336				47,950
Lease liabilities - current portion			15				56,094				37,579
Bank loans - current portion			12				2,806,884				3,895,585
Total Current Liabilities							4,957,376				6,024,673
Non-Current Liabilities
Amount due to related party			11				2,500,000				3,800,000
Lease liabilities			15				10,307				18,487
Bank loans			12				-				94,313
Deferred tax liabilities							32,783				32,783
Total Liabilities							7,500,466				9,970,256
Shareholders’ Equity
Share Capital			13				2,754,285				2,754,285
Additional paid-in capital			13				3,104,781				3,104,781
Reserve			14				1,444,757				1,411,846
Accumulated Deficit							(4,875,119	)			(2,013,788	)
Total Shareholders’ Equity							2,428,704				5,257,124
Total Liabilities and Shareholders’ Equity						€	9,929,170			€	15,227,380

 

The accompanying notes are an integral part of these unaudited condensed interim consolidated financial statements.

 

F-2

 

 

TURBO ENERGY, S.A.

Condensed Interim Consolidated Statements of Operations

(Unaudited)

(Expressed in Euro)

 

						Six Months Ended June 30,
		Note				2024				2023
Revenue			17			€	4,808,493			€	7,019,127
Revenue - related parties			11,17				68,980				184,362
Other operating income							75,960				8,427
Total Revenue							4,953,433				7,211,916
Cost and Expenses
Cost of revenues			18				5,115,942				6,013,713
Selling and administrative			19				1,131,599				728,329
Selling and administrative - related parties			11,19				426,545				508,590
Salaries and benefits							834,206				447,282
Salaries and benefits - related parties			11				40,865				-
Bad debt expense			4				143,483				4,534
Total Cost and Expenses							7,692,640				7,702,448
Loss from operations							(2,739,207	)			(490,532	)
Other Income (Expense)
Interest income							32,525				-
Interest expense							(168,474	)			(159,197	)
Foreign exchange gain (loss)							13,825				(47,584	)
Total Other Income (Expense)							(122,124	)			(206,781	)
Net Loss Before Income Tax							(2,861,331	)			(697,313	)
Income tax Expense (Recovery)
- Current							-				-
- Deferred							-				-
Net Loss						€	(2,861,331	)		€	(697,313	)
Basic and Diluted Net Loss per Ordinary Share						€	(0.05	)		€	(0.01	)
Weighted Average Number of Ordinary Shares Outstanding - Basic and Diluted							55,085,700				50,085,700

 

The accompanying notes are an integral part of these unaudited condensed interim consolidated financial statements.

 

F-3

 

 

TURBO ENERGY, S.A.

Condensed Interim Consolidated Statements of Changes in Shareholders’ Equity

(Unaudited)

(Expressed in Euro)

 

Six months ended June 30, 2024

 

				Number of								Additional												Total
				Outstanding				Share				Paid In								Accumulated				Shareholders’
		Note		Shares				Capital				Capital				Reserve				Deficit				Equity
Balance, January 1, 2024					55,085,700			€	2,754,285			€	3,104,781			€	1,411,846			€	(2,013,788	)		€	5,257,124
Stock-based compensation		2			-				-				-				32,911				-				32,911
Net loss for the period					-				-				-				-				(2,861,331	)			(2,861,331	)
Balance, June 30, 2024					55,085,700			€	2,754,285			€	3,104,781			€	1,444,757			€	(4,875,119	)		€	2,428,704

 

Six months ended June 30, 2023

 

		Note		Number of Outstanding Shares				Share Capital				Reserve				Retained Earnings (Accumulated Deficit)				Total Shareholders’ Equity
Balance, January 1, 2023					50,085,700			€	2,504,285			€	383,268			€	1,028,578			€3,916,131
Transfer from retained earnings to reserve		13											1,028,578				(1,028,578	)		-
Net loss for the period									-				-				(697,313	)		(697,313)
Balance, June 30, 2023					50,085,700			€	2,504,285			€	1,411,846			€	(697,313	)		€3,218,818

 

The accompanying notes are an integral part of these unaudited condensed interim consolidated financial statements.

 

F-4

 

 

TURBO ENERGY, S.A.

Condensed Interim Consolidated Statements of Cash Flows

(Unaudited)

(Expressed in Euro)

 

						Six Months Ended June 30,
		Note				2024				2023
Operating Activities
Net loss before income tax						€	(2,861,331	)		€	(697,313	)
Items not affecting cash:
Stock-based compensation			2				32,911				-
Bad debt expense			4				143,483				4,534
Depreciation of property and equipment			8				5,829				10,051
Amortization of intangible assets			9				24,842				25,141
Amortization of right-of-use assets			15				31,571				27,957
Accretion of lease liabilities			15				1,054				874
Provision for inventory reserves			5				(263,202	)			-
Changes in non-cash working capital items:
Inventories			5				3,174,204				1,363,321
Accounts receivable			4				816,345				1,402,608
Due from related parties			11				1,418,189				59,636
Due to related parties			11				(9,882	)			(236,205	)
Prepaid expense			6				(194,255	)			(179,373	)
Deferred offering costs							-				(409,710	)
Accounts payable and accrued liabilities			10				12,503				(421,586	)
Net cash provided by operating activities							2,332,261				949,935
Investing Activities
Short-term investments			7				(8,000	)			-
Proceeds from return of short-term investments			7				500,000				-
Purchase of equipment			8				(1,996	)			(19,332	)
Purchase of intangible assets			9				(429,709	)			(217,834	)
Net cash provided by (used in) investing activities							60,295				(237,166	)
Financing Activities
Repayment of bank loans			12				(116,479	)			(116,216	)
Net repayment from lines of credit			12				(1,066,535	)			(4,373,584	)
Repayment of lease liabilities			15				(32,665	)			(28,553	)
Payments to related parties			11				(1,701,854	)			(25,085	)
Proceeds from related parties			11				400,323				3,826,183
Net cash used in financing activities							(2,517,210	)			(717,255	)
Net change in cash							(124,654	)			(4,486	)
Cash - beginning of period							620,531				502,585
Cash - end of period						€	495,877			€	498,099

 

The accompanying notes are an integral part of these unaudited condensed interim consolidated financial statements.

 

F-5

 

 

TURBO ENERGY, S.A.

Notes to the Unaudited Condensed Interim Consolidated Financial Statements

Six Months Ended June 30, 2024 and 2023

(Expressed in Euro)

 

NOTE 1 – ENTITY INFORMATION

 

Turbo Energy, S.A. was incorporated under the name of Distritech Solutions S.L. on September 18, 2013 under the laws of the Kingdom of Spain. The Company then changed its name to Solar Rocket S.L. on October 7, 2013. On April 8, 2021, Solar Rocket S.L. merged with Spanish corporation Turbo Energy S.L.U (“Turbo Energy S.L.U.”). Turbo Energy S.L.U then became a wholly-owned subsidiary of Solar Rocket S.L. This merger was approved by the Board of Directors of both companies. Following the merger, the Company changed its name to Turbo Energy S.L. on April 8, 2021. On February 8, 2023, we changed the Company from a Spanish unipersonal limited company to a Spanish limited stock company. As such, our Company’s name was changed to Turbo Energy, S.A. (“Turbo Energy” or the “Company).

 

The corporate purpose of the Company, in accordance with its bylaws, consists of the acquisition, distribution and sale of electrical and electronic material for the development of renewable energy projects, such as solar panels, inverters, chargers, regulators, batteries and structures, among others. We design, develop, and distribute equipment for the generation, management, and storage of photovoltaic energy. Our energy storage products are managed, from the cloud and through the inverter of the installation, by an advanced software system which is optimized by artificial intelligence (“AI”). The key advantage is that our products, when compared to conventional battery storage systems, reduce electricity bills and protect the installation from power outages. Currently, we primarily sell inverters, batteries and photovoltaic modules to installers and other distributors for residential consumers located throughout Europe with concentration in Spain.

 

The Company is a subsidiary of publicly traded Umbrella Global Energy, S.A. (“Umbrella Global”), whose main shareholder is Crocodile Investment, S.L.U, (hereinafter, the “Ultimate Partner”), with a registered office in Valencia. The majority shareholder of Turbo Energy is Umbrella Global.

 

On November 8, 2022, Turbo Energy embarked on a new business related to pioneering new solutions for self-consumption of electricity, thus paid total consideration of €2,250 to acquire 100% of the ordinary shares of IM2 Energía Solar Proyecto 35 S.L.U. (“IM2”), a company under common control by Turbo Energy’s chief executive officer and established under the laws of the Kingdom of Spain on August 1, 2019. Following the transaction, IM2 became a wholly-owned subsidiary of Turbo Energy. On November 29, 2022, IM2 changed its name to Turbo Energy Solutions S.L.U. Since its incorporation, this subsidiary has had insignificant activity.

 

On September 21, 2023, Turbo Energy entered into an Underwriting Agreement with Titan Partners Group, a division of American Capital Partners, LLC, and Boustead Securities, LLC as the as the representative (“Representative”) of the underwriters named on Schedule 1 thereto, relating to the Company’s firm commitment underwritten initial public offering (the “Offering”) of ADSs, each representing five ordinary shares of the Company, par value five cents of euro per share. Pursuant to the Underwriting Agreement, the Company agreed to sell 1,000,000 ADSs to the underwriters at a public offering price of $5.00 per ADS (the “Offering Price”), before underwriting discounts and commissions, and granted the Representative a 45-day over-allotment option to purchase up to an additional 150,000 ADSs, equivalent to 15% of the ADSs sold in the Offering, at the Offering Price per ADS, pursuant to the Company’s registration statement on Form F-1, as amended (File No. 333-273198), that was filed with the U.S. Securities and Exchange Commission (“SEC”) and became effective on September 21, 2023 under the Securities Act of 1933, as amended (the “Securities Act”). The Offering was closed on September 26, 2023.

 

Merger by Absorption Process

 

On April 8, 2021, the merger of Solar Rocket, S.L. (“Absorbing Company”) and Turbo Energy, S.L.U. (“Absorbed Company”) was formalized in a public deed registered in the Mercantile Registry of Valencia on August 9, 2021. The merger process, approved by the respective shareholders’ meetings on June 30, 2020, consisted of the extinction without liquidation of the Absorbed Company, transferring its assets and liabilities en bloc to the Absorbing Company, which acquired, by universal succession, the rights and obligations of the Absorbed Company. The Company recorded the assets and liabilities contributed by the Absorbed Company at the value established in the accounting regulations in force at that time. The consolidated financial statements for the year 2021 include the information required by the regulations in relation to the aforementioned absorption process.

 

On the same date of the merger described above, the Absorbing Company changed its corporate name to Turbo Energy, S.L.U. as described above.

 

F-6

 

 

NOTE 2 – MATERIAL ACCOUNTING POLICIES

 

Statement of Compliance

 

The unaudited condensed interim consolidated financial statements of Turbo Energy have been prepared in accordance with International Financial Reporting Standards (“IFRS”) and interpretations issued by the IFRS Interpretations Committee (“IFRS IC”) applicable to companies reporting under IFRS. The consolidated financial statements comply with IFRS as issued by the International Accounting Standards Board (“IASB”).

 

These consolidated financial statements were approved by the board of directors (the “Board”) of the Company on October 29, 2024.

 

Basis of Presentation

 

The consolidated financial statements of the Company were prepared on a historical cost basis except where certain financial instruments that are required to be measured at fair value. These consolidated financial statements have been prepared using the accrual basis of accounting, except for cash flow information.

 

The consolidated financial statements are presented in Euro, which is the Company’s functional currency. Transactions in currencies other than the functional currency are recorded in accordance with the policies stated under Foreign Currency Transaction in Note 2.

 

Reclassification

   

Certain amounts from prior period have been reclassified to conform to the current period presentation. These reclassifications had no impact on reported operating and net loss.

 

Revenue Recognition

 

The Company designs, develops, and distributes equipment for the generation, management, and storage of photovoltaic energy. Our energy storage products are managed, from the cloud and through the inverter of the installation, by an advanced software system which is optimized by artificial intelligence (“AI”). The key advantage is that our products, when compared to conventional battery storage systems, reduce electricity bills and protect the installation from power outages.

 

The Company’s revenue is primarily generated from sales of inverters, batteries and photovoltaic modules to installers and other distributors for residential consumers under individual customer purchase orders, some of which have underlying master sales agreements that specify terms governing the product sales.

 

The Company recognizes such revenue at the point in time when control of the products is transferred to the customer at the estimated net consideration for which collection is probable, taking into account the customer’s rights to unit rebates and rights to return unsold products.

 

Transfer of control occurs either when products are shipped to or received by the distributor or direct customer, based on the terms of the specific agreement with the customer, if the Company has a present right to payment and transfer of legal title and the risks and rewards of ownership to the customer has occurred. For most of the Company’s product sales, transfer of control occurs upon shipment to the distributor or direct customer. In assessing whether collection of consideration from a customer is probable, the Company considers the customer’s ability and intention to pay that amount of consideration when it is due. Payment of invoices is due as specified in the underlying customer agreement, which is typically 30 to 60 days from the invoice date, which occurs on the date of transfer of control of the products to the customer.

 

F-7

 

 

Since payment terms are less than a year, the Company has elected the practical expedient and does not assess whether a customer contract has a significant financing component.

 

A five-step approach is applied in the recognition of revenue: (1) identify the contract with a customer, (2) identify the performance obligations in the contract, (3) determine the transaction price, (4) allocate the transaction price to the performance obligations in the contract, and (5) recognize revenue when the Company satisfies a performance obligation. Customer purchase orders, plus the underlying master sales agreements, are considered to be contracts with the customer for purposes of applying the five-step approach.

 

Returns under the Company’s general assurance warranty of products have not been material historically and warranty-related services are not considered a separate performance obligation under the customer orders.

 

Each distinct promise to transfer products is considered to be an identified performance obligation for which revenue is recognized upon transfer of control of the products to the customer. The Company has also elected to record sales commissions when incurred, as the period over which the sales commission asset that would have been recognized is less than one year.

 

Concentration of Revenue by Customer

 

For the six months ended June 30, 2024, there were zero customers which comprised greater than 10% of the Company’s revenue; and for the six months ended June 30, 2023, there was one customer which represented 12% of the Company’s revenue. 

 

Cash and Cash Equivalents

 

Cash consists of highly liquid instruments purchased with an original maturity of three months or less. As of June 30, 2024 and December 31, 2023, the Company had cash of €495,877 and €620,531, respectively. The Company does not have any cash equivalents.

 

The Company minimizes the concentration of credit risk associated with its cash by maintaining its cash with high-quality insured financial institutions. However, cash balances in excess of the Spanish government insured limit (Fondo de Garantía de Depósitos (FDG)) of €100,000 are at risk.

 

Accounts Receivable

 

Accounts receivable are recorded at the invoiced amount and do not bear interest. The allowance for doubtful accounts is the Company’s best estimate of the amount of probable credit losses in its existing accounts receivable.

 

The Company conducts credit checks on all customers that request term payments.

 

Inventories

 

Inventories are valued at their acquisition cost, production cost or net realizable value, whichever is lower. Discounts for prompt payment are included as a lower price, whether or not they appear on the invoice, and assigning value to its inventories. The Company adopts the weighted average price method.

 

Net realizable value represents the estimated sales price less all estimated costs that will be incurred in the process of commercialization, sales and distribution.

 

The Company makes the appropriate valuation adjustments, recording impairment expense when the net realizable value of the inventories is less than their acquisition cost.

 

F-8

 

 

Property and Equipment

 

Property and equipment is recognized and subsequently measured at cost less accumulated depreciation and any accumulated impairment losses, if any. When components of property and equipment have different useful lives, they are accounted for separately. Depreciation is provided at rates which are calculated to write off the assets over their estimated useful lives as follows:

 

Furniture			10 years straight line
Tools and machinery			4 years straight line
Right-of-use assets			Over term of the lease

 

Intangible Assets

 

Acquired intangible assets are initially measured at cost. Following the initial recognition, intangible assets are measured at cost less any accumulated amortization and any impairment losses. The useful lives of intangible assets are either definite or indefinite. Intangible assets that have a finite useful life are amortized over the assessed useful economic life and are assessed for impairment when there are any indicators present that the intangible asset may be impaired. The Company reviews the amortization period and method at least annually, and any changes are treated as changes in accounting estimates and applied prospectively.

 

Computer application and webpage are amortized over estimated useful lives of three years and Software is amortized over estimated useful lives of five years.

 

Leases

 

The determination of whether an arrangement is, or contains, a lease is based on the substance of the agreement on the inception date.

 

As a lessee, the Company recognizes a lease obligation and a right-of-use asset in the statements of financial position on a present-value basis at the date when the leased asset is available for use. Each lease payment is apportioned between a finance charge and a reduction of the lease obligation. Finance charges are recognized in finance cost in the statements of income and comprehensive income. The right of-use assets are depreciated over the shorter of their estimated useful life and the lease term on a straight-line basis.

 

Lease obligations are initially measured at the net present value of the following lease payments:

 

●

fixed payments (including in-substance fixed payments), less any lease incentives;

 

●

variable lease payments that are based on an index or a rate;

 

●

amounts expected to be payable under residual value guarantees;

 

●

the exercise price of a purchase option if the Company is reasonably certain to exercise that option; and

 

●

payments of penalties for terminating the lease, if the lease term reflects the Company exercising that option.

 

Lease payments are discounted using the interest rate implicit in the lease, or if this rate cannot be determined, the Company’s incremental borrowing rate. Right-of-use assets are initially measured at cost comprising the following:

 

●

the amount of the initial measurement of the lease obligation;

 

●

any lease payments made at or before the commencement date less any lease incentives received; and

 

●

any initial direct costs and rehabilitation costs.

 

Payments associated with short-term leases and leases of low-value assets are recognized on a straight-line basis as an expense in the statements of income and comprehensive income. Short-term leases are leases with a lease term of 12 months or less.

 

Share Capital

 

Ordinary shares are classified as equity, net of transaction costs directly attributable to the issuance of ordinary shares.

 

Ordinary shares issued for consideration other than cash are based on their market value as of the date the ordinary shares are issued.

 

F-9

 

 

Restricted Stock Units

 

The plan administrator may award restricted stock units (“RSUs”) which represent the right to receive ordinary shares at a future date in accordance with the terms of such grant upon the attainment of certain conditions specified by the plan administrator. Restrictions or conditions could include, but are not limited to, the attainment of performance goals, continuous service with the Company or its subsidiaries, the passage of time or other restrictions or conditions. The plan administrator determines the persons to whom grants of RSUs are made, the number of RSUs to be awarded, the time or times within which awards of RSUs may be subject to forfeiture, the vesting schedule, and rights to acceleration thereof, and all other terms and conditions of the RSU awards. The value of the RSUs may be paid in ordinary shares, cash, other securities, other property or a combination of the foregoing, as determined by the plan administrator.

 

Share-Based Compensation

 

The Company accounts for share-based compensation under the fair value method in accordance with IFRS 2, “Share-based Payment,” which requires all such compensation to employees and non-employees to be calculated based on its fair value of the equity instrument at the grant date and recognized in the earnings over the requisite service or vesting period. (See Note 13)

 

Share-Based Payment Reserves

 

The share-based payment reserve record items are recognized as share-based compensation expense and other share-based payments until such time that the RSUs are vested, at which time the corresponding amount will be transferred to share capital.

 

Liquidity

 

The Company incurred a net loss of €2,861,331 during the six-month period ended June 30, 2024. However, the Company successfully completed its Initial Public Offering (“IPO”) and commenced trading on The Nasdaq Stock Market on September 22, 2023, thereby raising €3.8 million, net of expenses related to the IPO process; and it has retained a large portion of those cash funds as of the day of this report. As of June 30, 2024, the Company had positive working capital of €2,454,052.

 

The Company finds itself in a sector – the energy storage market – which many industry research studies and forecasts have predicted will experience significant, exponential growth in the coming years. Also, Turbo Energy is a consolidated company with more than ten years of industry experience. In recent years, the Company has been making significant investments in development and research, which is expected to allow it to position itself as a company offering a highly differentiated value proposition to customers when compared to other companies in the sector.

 

Turbo Energy is focused on carefully balancing investments in continued innovation and systemic cost discipline to deliver affordable, high performance solar energy storage technologies and solutions adaptable to every home, business, industrial plant and government facility across the globe. The Company’s existing cash resources are expected to provide sufficient working capital to allow Turbo Energy to execute its planned operations and expansion plan for more than 12 months. Also, the Company’s majority shareholder, Umbrella Global, has explicitly expressed its full support to Turbo Energy, indicating that it is prepared to provide additional financial support and resources to the Company in the event that it is needed by Turbo Energy to successfully execute its operations and expansion plan.

 

Provisions

 

Provisions are recognized when there is a present legal or constructive obligation as a result of a past event, for which it is probable that a transfer of economic benefits will be required to settle the obligation, and where a reliable estimate can be made of the amount of the obligation. Provisions are discounted using a pre-tax discount rate that reflects the current market assessments of the time value of money and the risks specific to the liability, if material. Where discounting is used, the increase in the provision due to passage of time (“accretion expense”) is recognize as an expense on the statements of operations.

 

F-10

 

 

Foreign currency transactions

 

The functional currency used by the Company is the euro. Consequently, operations in currencies other than the euro are considered to be denominated in foreign currency and are recorded at the exchange rates in force on the dates of the operations.

 

At period-end, monetary assets and liabilities denominated in foreign currency are converted by applying the exchange rate on the balance sheet date. The profits or losses revealed are charged directly to the profit and loss account for the period in which they occur.

 

On each balance sheet date, monetary assets and liabilities in foreign currency are converted at the rates in force on the closing date. Non-monetary items in foreign currency measured in terms of historical cost are converted at the exchange rate on the date of the transaction.

 

The exchange differences of the monetary items that arise both when liquidating them and when converting them at the closing exchange rate, are recognized in the results of the period, except those that are part of the investment of a business abroad, which are recognized directly in equity net of taxes until the time of its disposal.

 

Income per share

 

Basic income per share is calculated by dividing the income attributable to ordinary shareholders by the weighted average number of ordinary shares outstanding in the period. For all periods presented, the income attributable to ordinary shareholders equals the reported income attributable to owners of the Company.

 

Diluted income per share is calculated by the treasury stock method. Under the treasury stock method, the weighted average number of ordinary shares outstanding for the calculation of diluted income per share assumes that the proceeds to be received on the exercise of dilutive share options and warrants are used to repurchase ordinary shares at the average market price during the period.

 

For the six months ended June 30, 2024 and 2023, RSUs were potentially instruments and were not included in the calculation of diluted loss per share as their effect would be antidilutive.

 

		June 30, 2024				June 30, 2023
		(Ordinary Shares)				(Ordinary Shares)
RSUs			1,780,330				-

 

Impairment of non-financial assets

 

At the end of each reporting period, the Company reviews the carrying amounts of its non-financial assets to determine whether there is any indication that the carrying amount is not recoverable. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Management assesses impairment of non-financial assets such as property and equipment and intangible assets. In assessing impairment, management estimates the recoverable amount of each asset or cash generating unit (“CGU”) based on expected future cash flows. The Company has applied judgment in its assessment of the appropriateness of the determination of CGU’s. When measuring expected future cash flows, management makes assumptions about future growth of profits which relate to future events and circumstances. Actual results could vary from these estimated future cash flows. Estimation uncertainty relates to assumptions about future operating results and the application of an appropriate discount rate.

 

Financial Instruments

 

Financial Assets

 

Financial assets are classified as either financial assets at fair value through profit and loss (“FVTPL”), amortized cost, or fair value through other comprehensive income (“FVTOCI”). The Company determines the classification of its financial assets at initial recognition.

 

F-11

 

 

Classification and Measurement

 

Classification determines how financial assets and financial liabilities are accounted for in financial statements and, in particular, how they are measured on an ongoing basis. IFRS 9 Financial Instruments approach for the classification of financial assets is driven by cash flow characteristics and the business model in which an asset is held. This single, principle-based approach replaces prior rule-based requirements. The model also results in a single impairment model being applied to all financial instruments.

 

Financial Assets at FVTPL

 

Financial assets carried at FVTPL are initially recorded at fair value and transaction costs are expensed in the statements of income and comprehensive income. Realized and unrealized gains and income arising from changes in the fair value of the financial asset held at FVTPL are included in the statements of income and comprehensive income in the period in which they arise. The Company has classified cash as FVTPL.

 

Financial Assets at FVTOCI

 

Financial assets at FVTOCI are initially recognized at fair value plus transaction costs. Subsequently they are measured at fair value, with gains and losses arising from changes in fair value recognized in other comprehensive income. There is no subsequent reclassification of fair value gains and losses to profit or loss following the derecognition of the investment. There are no financial assets classified as FVTOCI.

 

Financial Assets at Amortized Cost

 

Financial assets at amortized cost are initially recognized at fair value, net of transaction costs, and subsequently carried at amortized cost less any impairment. They are classified as current assets or non- current assets based on their maturity date. The Company has classified accounts receivable and amounts due from related parties at amortized cost.

 

Financial assets are derecognized when they mature or are sold, and substantially all the risks and rewards of ownership have been transferred.

 

Financial Liabilities

 

Financial liabilities are classified as either financial liabilities at FVTPL or at amortized cost. The Company determines the classification of its financial liabilities at initial recognition.

 

Financial liabilities are classified as measured at amortized cost, net of transaction costs unless classified as FVTPL. The Company’s accounts payable and accrued liabilities, amounts due to related parties, lease liabilities and bank loans are classified as measured at amortized cost.

 

The Company’s bank loans were classified as measured at amortized cost at June 30, 2024 and December 31, 2023. During the six months ended June 30, 2024 and 2023, the Company incurred €46,180 and €138,109 interest on bank loans, respectively.

 

Fair Value Measurements

 

Fair value measurements are made using a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value:

 

●

Level 1 – defined as observable inputs such as quoted prices in active markets;

 

●

Level 2 – defined as inputs other than quoted prices in active markets that are either directly or indirectly observable; and

 

●

Level 3 – defined as unobservable inputs in which little or no market data exists, therefore requiring an entity to develop its own assumptions.

 

F-12

 

 

The fair value measurement is categorized in its entirety by reference to its lowest level of significant input. Fair value is based on estimated cash flows, discounted at interest rates for similar instruments.

 

The carrying amounts shown of the Company’s financial instruments including cash, accounts receivable, inventories, accounts payable and accrued liabilities approximate their fair value (Level 1) due to the short-term maturities of these instruments.

 

Impairment of Financial Assets

 

The Company assesses at each statement of financial position date whether there is objective evidence that a financial asset or group of financial assets is impaired.

 

The Company recognizes expected credit losses (“ECL”) for accounts receivable based on the simplified approach. The simplified approach to the recognition of expected losses does not require the Company to track the changes in credit risk; rather, the Company recognizes a loss allowance based on lifetime expected credit losses at each reporting date from the date of the account receivable.

 

The Company measures expected credit loss by considering the risk of default over the contract period and incorporates forward-looking information into its measurement. ECLs are a probability-weighted estimate of credit losses.

 

ECLs are measured as the difference in the present value of the contractual cash flows that are due to the Company under the contract, and the cash flows that the Company expects to receive. The Company assesses all information available, including past due status, and forward looking macro- economic factors in the measurement of the ECLs associated with its assets carried at amortized cost.

 

The maximum period considered when estimating ECLs is the maximum contractual period over which the Company is exposed to credit risk.

 

New Accounting Pronouncements

 

Adoption of New Accounting Policies

 

Classification of Liabilities as Current or Non-current (Amendments to IAS 1)

 

The amendments to IAS 1 provide a more general approach to the classification of liabilities based on the contractual arrangements in place at the reporting date. These amendments are effective for reporting periods beginning on or after January 1, 2024. The adoption of these amendments did not have a material impact on the Company’s consolidated financial statements.

 

New Standards and Amendments Issued But Not Yet Effective

 

Presentation and Disclosure in Financial Statements — IFRS 18

 

In April 2024, the IASB issued IFRS 18, which will replace IAS 1 - Presentation of Financial Statements. The standard aims to improve the manner in which companies communicate in their financial statements, with a focus on information about financial performance in the statement of profit or loss, specifically introducing additional defined subtotals, disclosures about management-defined performance measures and new principles for aggregation and disaggregation of information. IFRS 18 is accompanied by limited amendments to the requirements in IAS 7 Statement of Cash Flows. IFRS 18 is effective from 1 January 2027. Companies are permitted to apply IFRS 18 before that date. The Company is evaluating the impact of the above amendments on its consolidated financial statements.

 

F-13

 

 

NOTE 3 – SUMMARY OF SIGNIFICANT ACCOUNTING JUDGEMENTS, ESTIMATES AND ASSUMPTIONS

 

The preparation of these consolidated financial statements in accordance with IFRS requires management to make estimates and judgments that affect the recognition, measurement and disclosure of amounts reported in these consolidated financial statements and accompanying notes. The reported amounts and note disclosures are determined using management’s best estimates based on assumptions that reflect the most probable set of economic conditions and planned courses of action. Actual results may differ from such estimates. These judgments, estimates and assumptions are reviewed regularly.

 

The following are significant management judgments, estimates and assumptions used in applying the accounting policies of the Company that have the most significant effect on recognition and measurement of assets, liabilities, income and expenses:

 

Leases

 

The Company exercises judgment in determining the approximate lease term on a lease by lease basis. The Company considers all facts and circumstances that may create an economic incentive to exercise renewal options and also evaluates the economic incentive related to continuation of existing leaseholds. The Company is also required to estimate specific criteria in order to estimate the carrying amount of right-of-use assets and lease liabilities, including the incremental borrowing rate, effective interest rate and lease term.

  

Valuation of Accounts Receivable

 

Management monitors the financial stability of its customers and the environment in which they operate to make estimates regarding the likelihood that the individual trade balances will be paid. Credit risks for outstanding customer receivables are regularly assessed and allowances are recorded for estimated losses, if required.

 

Valuation of Inventories

 

Management makes estimates of future customer demand for products when establishing appropriate provisions for inventory obsolescence. In making these estimates, management considers the age of inventory and profitability of recent sales.

 

Recoverability of Income Taxes

 

The measurement and assessment of income tax assets and liabilities requires management to make judgments in the interpretation and application of the relevant tax laws and estimates of the Company’s abilities to utilize losses carried forward to offset taxes payable on future taxable income. The actual amount of income taxes only becomes final upon filing and acceptance of the tax return by the relevant tax authorities, which occurs subsequent to the issuance of the financial statements.

 

Useful Life of Property and Equipment

 

Changes in the intended use of property and equipment, as well as changes in technology or economic conditions, may cause the estimated useful life of these assets to change. The change in useful lives could impact the depreciation expense and carrying value of property and equipment.

 

Useful Life of Intangible Assets

 

Changes in the intended use of intangible assets with determinable useful lives as well as changes in technology or economic conditions may cause the estimated useful life of these assets to change. The change in useful lives could impact the amortization expense and carrying value of intangible assets.

 

Terms and Conditions of RSUs

 

Management determines the terms and conditions of RSUs, including the vesting criteria, the form and timing of payment, the time within which RSUs may be subject to forfeiture and rights to acceleration thereof.

 

F-14

 

 

NOTE 4 – ACCOUNTS RECEIVABLE AND OTHER RECEIVABLES, NET

 

Accounts receivable and other receivables as of June 30, 2024 and December 31, 2023 are summarized as below:

 

		June 30,				December 31,
		2024				2023
Customers by sales provision of services		€	1,636,960			€	2,505,194
VAT receivable			103,873				46,106
Others			26,255				87,702
		€	1,767,088			€	2,639,002
Allowance for doubtful accounts			(505,836	)			(417,922	)
		€	1,261,252			€	2,221,080

 

As of June 30, 2024 and December 31, 2023, the allowance for doubtful accounts was €505,836 and €417,922, respectively. During the six months ended June 30, 2024 and 2023, the Company recorded bad debt expense of €143,483 and €4,534 and bad debt recovery of €0 and €10,859, respectively.

 

NOTE 5 – INVENTORIES

 

As of June 30, 2024 and December 31, 2023, the Company had finished goods of €2,674,957 and €5,585,959, respectively. During the six months ended June 30, 2024 and 2023, the Company recorded a provision for slow moving inventory in the statements of operations of €49,362 and €0, respectively, and recovery on the provision for slow moving inventory in the statements of operations of €312,563 and €0, respectively. As of June 30, 2024 and December 31, 2023, there was a provision for obsolescence of €139,707 and €402,908, respectively.

 

The Company outsourced the management of inventories to a third party with all inventories located in warehouses owned by the third parties. The Company pays a monthly fee to the warehouse company for insurance coverage of the inventories, as stated in the agreement between both parties.

 

NOTE 6 – PREPAID EXPENSE

 

Prepaid expense as of June 30, 2024 and December 31, 2023 are summarized as below:

 

		June 30,				December 31,
		2024				2023
Advancement to suppliers for inventory		€	1,036,166			€	788,622
Advancement for PP&E under construction			11,683				11,683
Conferences and international fairs			176,728				230,027
Security deposits and others			17,832				17,822
		€	1,242,409			€	1,048,154

 

NOTE 7 – INVESTMENTS

 

As of June 30, 2024 and December 31, 2023, the Company had short-term investment of €1,552,050 and €2,044,050, respectively, comprised of two short-term investments in the bank for an aggregate amount of €2,000,000 with repayment terms ranging from six to seven months and an annual interest rate ranging from 3.54%-3.37% and a short-term commercial deposit of €44,050 with an assembling vendor. During the six months ended June 30, 2024, the Company received €500,000 from the return of short-term investments and made a short-term investment of €8,000. During the six months ended June 30, 2024 and 2023, the Company recognized interest income of €32,525 and €0 from the investments, respectively.

 

F-15

 

 

NOTE 8 – PROPERTY AND EQUIPMENT

 

Property and equipment as of June 30, 2024 and December 31, 2023 are summarized as follows:

 

		June 30, 2024				December 31, 2023
Furniture		€	56,724			€	56,232
Laboratory Photovoltaic Installation			116,912				116,912
Tools and Machinery			7,530				6,026
Computer			14,915				14,915
			196,081				194,085
Accumulated depreciation			(40,830	)			(35,001	)
		€	155,251			€	159,084

 

During the six months ended June 30, 2024 and 2023, the Company acquired property and equipment of €1,996 and €19,333, respectively. During the six months ended June 30, 2024 and 2023, the Company recorded depreciation expense of €5,829 and €10,051, respectively.

 

NOTE 9 – INTANGIBLE ASSETS

 

Intangible assets as of June 30, 2024 and December 31, 2023 are summarized as follows:

 

		June 30, 2024				December 31, 2023
Software development		€	1,066,679			€	636,970
Software SKN1			248,419				248,419
Computer application			33,755				33,755
Web page			6,010				6,010
			1,354,863				925,154
Amortization			(114,290	)			(89,448	)
		€	1,240,573			€	835,706

 

During the six months ended June 30, 2024 and 2023, the Company acquired software development and software of €429,709 and €217,834, respectively. As of June 30, 2024, since the software is still in the development process, no amortization was incurred during the six months ended June 30, 2024.

 

During the six months ended June 30, 2024 and 2023, the Company recorded amortization expense of €24,842 and €25,141, respectively, and no impairment loss was incurred on the intangible assets.

 

NOTE 10 – ACCOUNTS PAYABLE AND ACCRUED LIABILITIES

 

Accounts payable and accrued labilities as of June 30, 2024 and December 31, 2023 are summarized as follows:

 

		June 30, 2024				December 31, 2023
Trade payable		€	1,667,141			€	1,847,575
VAT payable			81,551				69,426
Payroll taxes payable			61,119				56,419
Customer deposits			246,251				70,139
		€	2,056,062			€	2,043,559

 

F-16

 

 

NOTE 11 – RELATED PARTY TRANSACTIONS

 

Amount due from (to) as of June 30, 2024 are summarized as follows:

 

Due from related parties: 

 

		Ultimate				Senior				Other group
		partner				partner				companies				Total
Credits pending collection		€	250			€	-			€	177,571			€	177,821
Long-term investment			-				-				2,550				2,550
Trade receivables			-				-				4,512				4,512
Total		€	250			€	-			€	184,633			€	184,883

 

Due to related parties: 

 

		Ultimate				Senior				Other group
		partner				partner				companies				Total
Credits pending to pay		€	-			€	(2,427,823	)		€	-			€	(2,427,823	)
Credits pending collection			-				-				(784	)			(784	)
Trade payable			-				(109,729	)			-				(109,729	)
Total		€	-			€	(2,537,552	)		€	(784	)		€	(2,538,336	)

 

Amount due from (to) as of December 31, 2023 are summarized as follows:

 

Due from related parties: 

 

		Ultimate				Senior				Other group
		partner				partner				companies				Total
Credits pending collection		€	-			€	-			€	175,771			€	175,771
Long-term investment			-				-				2,550				2,550
Trade receivables			-				-				1,422,952				1,422,952
Total		€	-			€	-			€	1,601,273			€	1,601,273

 

Due to related parties: 

 

		Ultimate				Senior				Other group
		partner				partner				companies				Total
Credits pending to pay		€	-			€	(3,800,000	)		€	-			€	(3,800,000	)
Credits pending collection			-				72,444				(784	)			71,660
Trade payable			-				(119,610	)			-				(119,610	)
Total		€	-			€	(3,847,166	)		€	(784	)		€	(3,847,950	)

 

All the amounts due to and from related parties are unsecured, non-interest bearing and due on demand, except for the loan agreement from Umbrella Global of €3,800,000. This loan was formalized and signed on June 30, 2023 for a period of five years and an amount of €3,800,000, bearing a market interest rate of 6.25% per year, payable bi-annually. As on June 30, 2024, Turbo Energy has repaid €1,372,177, so the remaining amount of the loan agreement, as of June 30 2024, is €2,427,823.

 

During the six months ended June 30, 2024 and 2023, a total amount of € 107,277 and €0 has been paid for interest.

 

F-17

 

 

Transactions with related parties during the six months ended June 30, 2024 and 2023 were summarized as follows:

 

Six Months Ended June 30, 2024

 

		Senior				Other group
		partner				companies				Total
Sales		€	-			€	68,980			€	68,980
*Services received			467,410				-				467,410
Purchases			-				-				-
		€	467,410			€	68,980			€	536,390

 

*	Comprised of selling and administrative–related parties of €426,545 and salaries and benefits–related parties of €40,865, which includes stock-based compensation of €32,911 relating to an RSU grant.

 

Six Months Ended June 30, 2023 

 

		Senior				Other group
		partner				companies				Total
Sales		€	-			€	184,362			€	184,362
Services received			508,590				-				508,590
		€	508,590			€	184,362			€	692,952

 

Our related-party transactions during the six months ended June 30, 2024 include sales of products or services made to or purchases of products or services from affiliated group companies that are under common control and to associates of such group companies. These transactions include income accrued from the commercial activities of the Company. The purchases relate to merchandise that the Company sells in its normal course of commercial operations.

 

Umbrella Global, as the holding company of the group, assumes all structural costs such as those related to the human resources, licenses, legal, tax, labor, marketing and other generic structural costs. A margin of 13% is applied to these costs and the resulting amount is distributed to the four most significant companies in the group based on their estimated revenue in the monthly management fees.

 

During the six months ended June 30, 2024 and 2023, the Company incurred management fees to Umbrella Global of €420,000 and €508,590, respectively.

 

No compensation has been paid to the executives of Crocodile Investment SLU. The Company expects to continue with the same allocation structure in the future.

 

NOTE 12 – BANK LOANS

 

Bank loans as of June 30, 2024 and December 31, 2023 are summarized as follows:

 

		June 30, 2024				December 31, 2023
Bank loans		€	211,757			€	328,236
Lines of credit			2,595,127				3,661,662
			2,806,884				3,989,898
less: current portion			(2,806,884	)			(3,895,585	)
		€	-			€	94,313

 

The terms and conditions of outstanding bank loans are as follows:

 

						Nominal								June 30, 2024								December 31, 2023
Bank Loans		Currency				interest rate				Year of maturity				Face Value				Carrying Amount				Face Value				Carrying Amount
Bankia SA			EUR				1.50	%			2025				400,000				85,705				400,000				136,379
Targobank SA			EUR				1.87	%			2025				100,000				25,659				100,000				38,322
Banco de Sabadell SA			EUR				1.50	%			2025				250,000				53,327				250,000				85,004
Liberbank			EUR				1.55	%			2025				170,000				47,067				170,000				68,532
														€	920,000			€	211,757			€	920,000			€	328,236

 

During the six months ended June 30, 2024 and 2023, the Company incurred bank loan interest expense of €4,085 and €4,132, respectively.

 

The Company’s obligations are secured by substantially all of the assets of the Company.

 

F-18

 

 

Principal repayments to maturity by fiscal year are as follows:

 

Year ended December 31,
2024 (excluding the six months ended June 30, 2024)		€	117,447
2025			94,310
Thereafter			-
Total		€	211,757

 

In addition, the Company maintains the following lines of credit:

 

As of June 30, 2024,

 

														June 30,
														2024
Line of credit		Credit Limit				Nominal interest rate				Maturity				Carrying Value
Caixabank		€	2,500,000				0.60% + Euribor				3/25/2025			€	1,087,467
Sabadell			2,400,000				1.20% + Euribor				2/28/2025				-
BBVA			1,000,000				1.90% + Euribor				12/22/2025				-
BBVA			570,000				1.90% + Euribor				12/22/2025				-
Santander			4,000,000				0.45% + Euribor				2/28/2025				1,507,660
Abanca			700,000				2.00% + Euribor				11/30/2024				-
		€	11,170,000											€	2,595,127

 

As of December 31, 2023, 

 

														December 31,
														2023
Line of credit		Credit Limit				Nominal interest rate				Maturity				Carrying Value
Caixabank		€	2,500,000				2.00% + Euribor				4/25/2024			€	2,308,058
Sabadell			2,700,000				2.75% + Euribor				5/28/2024				-
BBVA			1,500,000				1.65% + Euribor				12/22/2024				270,866
Santander			4,000,000				1.65% + Euribor				6/28/2024				1,012,738
Abanca			700,000				2.00% + Euribor				11/30/2024				-
Bankinter ICO			700,000				1.40% + Euribor				6/21/2024				70,000
		€	12,100,000											€	3,661,662

 

The Company has a €2.6 million facility that is unsecured and can be drawn down to meet short-term financing needs. The facility has a maturity of one to three years for the ICO credit lines that renews automatically at the option of the Company. Interest is payable at an average rate of Euribor plus 2.11 basis points. During the six months ended June 30, 2024 and 2023, the Company incurred interest expense from line of credit of €42,095 and €133,977, respectively.

 

NOTE 13 – SHARE CAPITAL

 

Authorized

 

The Company has authorized 75,085,700 ordinary shares with a par value of €0.05.

 

F-19

 

 

Issuances

 

On September 22, 2023, the Company announced an IPO of 1,000,000 American Depositary Shares (“ADSs”), representing 5,000,000 ordinary shares, at a price of $5.00 per ADS to the public for a total of $5,000,000 of gross proceeds to the Company, before deducting underwriting discounts and offering expenses (the “Offering”). The ADSs began trading on the Nasdaq Capital Market under the symbol “TURB.” During December 2023, the Company issued 5,000,000 ordinary shares from the IPO for proceeds of €3,354,781, net of share offering costs and underwriting cost of €1,350,200.

 

During December 2022, we issued 50,000,000 ordinary shares (pre-stock split: 2,500,000 shares) for proceeds of €2,500,000, to our parent company, who is also our sole shareholder.

 

The Company has reflected this issuance of ordinary shares for all periods presented due to their nominal value, relative to the IPO. The Company accounted for the proceeds as share capital in the year ended December 31, 2022. Earnings per share and ordinary shares outstanding have been retroactively reflected to show this issuance from the earliest period reported.

 

Stock Split

 

In February 2023, the Company approved a forward stock split of the issued and outstanding ordinary shares on a 20-for-1 basis. We increased our issued and outstanding share capital from 2,504,285 ordinary shares to 50,085,700 ordinary shares. The approval, from the Commercial Registry of Valencia, for the forward stock split was approved on February 1, 2023. The consolidated financial statements retrospectively reflected the forward stock split.

 

Issued and outstanding

 

As of June 30, 2024 and December 31, 2023, the total issued and outstanding share capital consists of 50,085,700 ordinary shares at €2,754,285, all subscribed and paid up.

 

RSUs

 

On April 5, 2024, the compensation committee and the board of directors of the Company approved the grant of 1,780,330 RSUs, which can be converted into 356,067 American Depositary Shares of the Company, representing 1,780,330 ordinary shares of the Company, to certain officers, directors and employees of the Company with the vesting date of January 1, 2027. During the six months ended June 30, 2024, the Company recorded €32,911 stock-based compensation expense. The stock-based compensation incurred from ordinary shares awarded was reported under salaries and benefits–related parties in the statements of operations with share-based payment reserve of €32,911 recognized under reserve in the balance sheets.

 

The 1,780,330 RSUs were valued at €383,064 based on the stock price of the Company at €1.08 per share on the grant date of April 5, 2024.

 

A summary of activity regarding the RSUs issued is as follows:

 

						Weighted Average
		Original Common				Grant Date Fair Value
		Shares				Per Share
Balance, December 31, 2023			-			€	-
Granted			1,780,330				0.22
Vested			-				-
Forfeited			-				-
Balance, June 30, 2024			1,780,330			€	0.22

 

As of June 30, 2024, the unrecognized stock-based compensation of €350,153 is expected to be recognized over a weighted-average period of 2.5 years.

 

F-20

 

 

NOTE 14 – RESERVE

 

As of June 30, 2024 and December 31, 2023, reserve was €1,444,757 and €1,411,846, respectively, and was comprised of legal reserves, share-based payment reserve and other reserves.

 

Legal Reserve

 

In accordance with the capital company law, companies must allocate an amount equal to 10% of the profit for the year to the legal reserve until it reaches 20% of the share capital. The legal reserve may only be used to increase the share capital. Except for the above purpose and as long as it does not exceed 20% of the share capital, the legal reserve can only be used to offset losses, provided there are no other reserves available sufficient for this purpose. As of June 30, 2024 and December 31, 2023, it was partially constituted after the aforementioned capital increase. As of June 30, 2024 and December 31, 2023, legal reserve was €500,857.

 

Share-Based Payment Reserve

 

During the six months ended June 30, 2024, the Company recognized share-based payment reserve of €32,911 from the grant of 1,780,330 RSUs on April 5, 2024 with a vesting date of January 1, 2027. (See Note 13)

 

Other Reserve

 

The Company maintains unrestricted reserve for undistributed profits from previous years. As of June 30, 2024 and December 31, 2023, the other reserves were €910,989.

 

NOTE 15 – LEASES

 

As of June 30, 2024 and December 31, 2023, the Company had the following lease obligations:  

 

Discount				June 30,				December 31,
Rate		Maturity		2024				2023
1.5 % - 3.0%		2024-2025		€	56,094			€	37,579
1.5 % - 3.0%		2024-2025			10,307				18,487
				€	66,401			€	56,066

 

Balance - December 31, 2022		€	95,059
Lease liability additions			19,353
Repayment of Lease liability			(60,523	)
Interest expense on lease liabilities			2,177
Balance - December 31, 2023		€	56,066
Lease liability additions from lease modification			41,946
Repayment of Lease liability			(32,665	)
Interest expense on lease liabilities			1,054
Balance - June 30, 2024		€	66,402

 

On September 8, 2020, the Company entered into a vehicle lease agreement under a four-year term and monthly lease payment of €527.

 

On January 1, 2021, the Company entered into an office lease agreement under a five-year term and monthly lease payment of €827 for the first year with an escalation rate of Consumer Price Index (CPI) plus 2% per annum. On June 30, 2022, the Company terminated the office lease contract.

 

On June 1, 2022, the Company entered into an office lease agreement under a two-year term, but extendable for three years upon expiry, and a monthly lease payment of €3,384 during the first year and €3,492 during the second year. On April 1, 2024, the Company extended the office lease for one additional year starting from June 2024 through May 2025 with monthly payment at €3,618.

 

F-21

 

 

On September 26, 2022, the Company entered into a vehicle lease agreement under a three-year term and monthly lease payment of €420.

 

On November 15, 2022, the Company entered into a vehicle lease agreement under a three-year term and monthly lease payment of €417.

 

On August 17, 2023, the Company entered into a vehicle lease agreement under a three-year term and monthly lease payment of €572.

 

The following table summarizes the maturity of our lease liabilities as of June 30, 2024:

 

Year Ended December 31,

 

2024 (excluding six months ended June 30, 2024)		€	31,334
2025			33,020
2026			4,000
Total lease payments			68,354
Less: financing cost			(1,953	)
Lease liabilities		€	66,401

 

As of June 30, 2024 and December 31, 2023, the Company has right-of-use assets as follows:

 

Balance - December 31, 2022		€	94,106
Additions			19,353
Depreciation			(58,524	)
Balance - December 31, 2023		€	54,935
Additions from lease modification			41,946
Depreciation			(31,571	)
Balance - June 30, 2024		€	65,310

 

NOTE 16 – FINANCIAL INSTRUMENTS AND RISK MANAGEMENT

 

Set out below are categories of financial instruments and fair value measurements as of June 30, 2024 and December 31, 2023:

 

		June 30,				December 31,
		2024				2023
Financial assets at fair value
Cash		€	495,877			€	620,531
Financial assets at amortized cost
Accounts receivable and other receivables		€	1,261,252			€	2,221,080
Amount due from related parties		€	184,883			€	1,601,273
Financial liabilities at amortized cost
Accounts payable and accrued liabilities		€	2,056,062			€	2,043,559
Amount due to related parties		€	2,538,336			€	3,847,950
Lease liabilities		€	66,401			€	56,066
Bank loans		€	2,806,884			€	3,989,898

 

F-22

 

 

Liquidity Risk

 

Liquidity risk is the risk that the Company will not have sufficient cash resources to meet its financial obligations as they come due in the normal course of business. Liquidity risk also includes the risk of not being able to liquidate assets in a timely manner at a reasonable price. Difficulty accessing capital markets could impair the Company’s capacity to grow, execute its business model and generate financial returns. The Company manages its liquidity risk by monitoring its operating requirements to ensure financial resources are available, actively monitoring market conditions and by diversifying its sources of funding and maintaining a diversified maturity profile of its debt obligations.

 

Credit Risk

 

Credit risk is the risk that one party to a financial instrument will cause a financial loss for the other party by failing to discharge an obligation. The Company’s main credit risk relates to its cash and accounts receivable. The Company’s credit risk is reduced by a broad customer base and a review of customer credit profiles.

 

The Company’s maximum exposure to credit risk corresponds to the carrying amount for all cash and accounts receivable. Cash is held with prominent financial institutions. Accounts receivable are held with vendors in which the Company has a historically strong relationship with or related to VAT receivable.

 

The Company mitigates credit risk associated with its trade receivables through established credit approvals, limits and a regular monitoring process. The Company generally considers the credit quality of its financial assets that are neither past due nor impaired to be solid. Credit risk is further mitigated due to the large number of customers and their dispersion across geographic areas.

 

As of June 30, 2024 and December 31, 2023, there was one customer and one customer with amount outstanding that exceed 10% of the Company’s revenue that totaled 11% and 13% in aggregate, respectively. The Company assessed credit risk as low.

 

Market Risk

 

Market risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market prices. Market risk comprises three types of risk: currency risk, interest rate risk and other price risk.

 

Currency Risk

 

Currency risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in foreign exchange rates. The Company is not exposed to significant currency risk.

 

Interest Risk

 

Interest rate risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in market interest rates. The Company is exposed to interest rate risk on its lines of credit due to fluctuations in interest rates. The Company’s bank loans and leases have fixed rates of interest resulting in limited interest rate fair value risk for the Company. The Company manages interest rate risk by seeking financing terms in individual arrangements that are most advantageous taking into account all relevant factors, including credit margin, term and basis. The risk management objective is to minimize the potential for changes in interest rates to cause adverse changes in cash flows to the Company.

 

Other Price Risk

 

Other price risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market prices (other than those arising from interest rate risk or currency risk), whether those changes are caused by factors specific to the individual financial instrument or its issuer, or factors affecting all similar financial instruments traded in the market. The Company is not exposed to other price risk.

 

F-23

 

 

Capital Management

 

The Company’s capital consists of share capital and reserve. The Company’s capital management is designed to ensure that it has sufficient financial flexibility both in the short and long-term to support its financial obligations and the future development of the business.

 

The Company manages its capital with the following objectives:

 

(i)

Ensuring sufficient liquidity is available to support its financial obligations and to execute its operating strategic plans;

 

(ii)

Maintaining financial capacity and flexibility through access to capital to support future development of the business;

 

(iii)

Minimizing its cost of capital and considering current and future industry, market and economic risks and conditions; and

 

(iv)

Utilizing short-term funding sources to manage its working capital requirements and long- term funding sources to match the long-term nature of the property, plant and equipment of the business.

 

There were no changes to the Company’s approach to capital management during the six months ended June 30, 2024 and 2023. The Company is not subject to externally imposed capital requirements.

 

NOTE 17 – REVENUE

 

The Company’s sales derived from sales of smart energy storage solutions. The following is the Company’s revenue by geographical markets during the six months ended June 30, 2024 and 2023:

 

		Six Months Ended June 30,
		2024				2023
Spain		€	3,660,964			€	5,839,373
Europe			1,162,753				1,083,065
Rest of the world			53,756				281,051
		€	4,877,473			€	7,203,489

 

During the six months ended June 30, 2024 and 2023, the Company recognized revenue of €4,877,473 and €7,203,489, of which €68,980 and €184,362 derived from related parties, respectively.

 

We consider related parties those Companies that are part of Umbrella Global.

 

NOTE 18 – COST OF REVENUE

 

		Six Months Ended June 30,
		2024				2023
Purchase of finished goods		€	5,375,537			€	6,012,282
Purchase of raw materials			1,056				927
Outsourcing service			2,550				504
Inventory adjustment			(263,201	)			-
		€	5,115,942			€	6,013,713

 

During the six months ended June 30, 2024 and 2023, the Company incurred cost of sales of €5,115,942 and €6,013,713, of which €0 and €0 derived from related parties, respectively.

 

F-24

 

 

NOTE 19 – SELLING AND ADMINISTRATIVE EXPENSES

 

The Company incurred the following selling and administrative expenses during the six months ended June 30, 2024 and 2023.

 

		Six Months Ended June 30,
		2024				2023
Professional fees		€	903,531			€	566,062
Shipping and handling expenses			100,251				148,720
Warehouse handling			35,667				44,539
Miscellaneous operating expenses			133,704				45,596
Marketing and advertising			125,336				242,940
Leases and royalties			84,491				66,409
Insurance premiums			104,674				38,167
Repair and conservation			6,004				19,831
Supplies			2,244				1,506
Depreciation of property and equipment			5,829				10,051
Amortization of intangible assets			24,842				25,141
Amortization of right-of-use assets			31,571				27,957
		€	1,558,144			€	1,236,919

 

During the six months ended June 30, 2024 and 2023, the Company incurred selling and administrative expenses of €1,558,144 and €1,236,919, of which €426,545 and €508,590 derived from related parties, respectively.

 

NOTE 20 – SUPPLEMENTAL CASH FLOW INFORMATION

 

Set out below are non-cash investing and financing activities during the six months ended June 30, 2024 and 2023:

 

Non-cash investing and financing activities:

 

		Six Months Ended
		2024				2023
Reallocation of opening deficit to reserve		€	-			€	(1,028,578	)
Recognition of right-of-use assets from lease modification		€	41,946			€	(1,028,578	)

 

During the six months ended June 30, 2024 and 2023, the Company paid interest of € 60,065 and €158,321 and income taxes of €252 and €0, respectively.

 

NOTE 21 – SUBSEQUENT EVENTS

 

Enerfip Agreement

 

On August 26, 2024, Turbo Energy entered into an agreement with Enerfip, a leading France-based crowdfunding platform, providing for the Company to explore, through Enerfip’s crowdfunding platform, financing from European individual investors, namely investors residing in France and Spain. If Turbo Energy’s project receives acceptance and interest among investors on Enerfip’s platform, the form agreed between the parties to carry out the financing would be to raise €2,000,000 on a first tranche through a 36-month simple debt bond, with an interest rate of 8.75% (“Crowd Bond”). The interest will be repaid semiannually. October 28, 2024, the Company closed the issuance of the first tranche and reported on Form 6-K filed with the SEC that the yielded subscriptions amounting to gross proceeds of €914,110.

 

F-25

 

 

Connection Holdings Agreement

 

On October 18, 2024, the Company into a non-exclusive Strategic Advisory Agreement (the “Agreement”) with Connection Holdings, LLC, a Nevada limited liability company. Pursuant to the Agreement, Connection Holdings will collaborate with the Company to expand Turbo Energy’s solar energy storage business into the United States through implementation of a phased commercialization strategy involving the introduction of the Company’s SUNBOX Split Phase Series 10.0, Split Phase Hybrid Series 48V 10.0 Inverter with Back-Up Mode, Lithium Series Pro 5.1kWH Battery and related cloud-based, software-as-a-solution technology powered by Artificial Intelligence (“AI”), collectively referred to hereafter as “Turbo Energy Products.” The term of the Agreement shall be bifurcated into two phases, with Phase 1 commencing on July 15, 2024 and continuing through February 28, 2025; and Phase 2 commencing on January 1, 2025 and terminating on December 31, 2025. However, the term of Phase 2 may be renewed every six months thereafter at the sole discretion of Turbo. In accordance with the terms and conditions of the Agreement, Connection Holdings will be entitled to earn commissions equal to 2% of all Turbo Product net sales up to $10 million (after discounts and excluding taxes) made to customers located within the United States. In the Company’s sole discretion, commissions earned by Connection Holdings may be paid in either cash or in equity consideration equal to a number of ADSs valued at 100% of the payable commission and factored at $5.00 per ADR.  

 

Subject to Connection Holdings achieving predetermined sales quotas and other key performance indicators as defined in the Agreement, Connection Holdings is also eligible to earn warrants in up to four tranches to purchase in aggregate up to 2.5% of the Company’s total outstanding ordinary shares, as converted to ADSs that are issued and outstanding on October 18, 2024, or up to 275,428 ADSs. The issuance of the ADSs will be made in reliance on an exemption from the registration requirements of Section 5 of the Securities Act of 1933, as amended, contained in Section 4(a)(2) thereof and Regulations D and/or S thereunder. The Agreement also provides for Connection Holdings to be reimbursed for all expenses pre-approved by the Company.

  

Flash Flooding in Southern Spain

 

On October 29, 2024, southern regions of Spain suffered one of the country’s deadliest natural disasters in recent history, with heavy downpours resulting in severe flash flooding that claimed the lives of over 200 people and left Valencia, Spain and other neighboring regions in ruins. Turbo Energy is headquartered in Valencia. While the Company confirmed that all of its employees and their families were safe and accounted for and our production systems and supply chain resources remain fully functional, management is still evaluating the impact on its business operations, namely damage that may have affected some of its inventory.

 

F-26

 

Exhibit 99.2

 

OPERATING AND FINANCIAL REVIEW AND PROSPECTS

 

The following discussion and analysis of Turbo Energy, S.A. (“we,” “us,” the “Company” or “Turbo Energy”)’s financial condition as of June 30, 2024 and results of operations for the six months ended June 30, 2024 and June 30, 2023 should be read together with our interim consolidated financial statements and the related notes included elsewhere in this filing and our audited consolidated financial statements included in our Annual Report on Form 20-F for the year ended December 31, 2023. The following discussion contains forward-looking statements that reflect our current plans, estimates and beliefs and involve risks and uncertainties. Our actual results may differ materially from those discussed in the forward-looking statements and our past results may not be indicative of future results. Factors that could cause or contribute to such differences include those discussed below and elsewhere in this filing and in our Annual Report on Form 20-F and other filings with the U.S. Securities and Exchange Commission, or SEC. The forward-looking statements made in this discussion relate only to events or information as of the date on which the statements are made in this discussion. Except as required by law, we undertake no obligation to update or revise publicly any forward-looking statements, whether as a result of new information, future events or otherwise, after the date on which the statements are made or to reflect the occurrence of unanticipated events. You should read this discussion and the documents that we reference in this discussion completely and with the understanding that our actual future results or performance may be materially different from what we expect.

 

Background

 

Founded in 2013, Turbo Energy is a globally recognized pioneer of proprietary solar energy storage technologies and solutions managed through Artificial Intelligence (“AI”). Turbo Energy’s elegant all-in-one and scalable, modular energy storage systems empower residential, commercial and industrial users expanding across Europe, North America and South America to materially reduce dependence on traditional energy sources, helping to lower electricity costs, provide peak shaving and uninterruptible power supply and realize a more sustainable, energy-efficient future. A testament to the Company’s commitment to innovation and industry disruption, Turbo Energy's introduction of its flagship SUNBOX – unveiled to the market in the fourth quarter of 2022 – represents one of the world’s first high performance, competitively priced, all-in-one home solar energy storage systems, which also incorporates patented EV charging capability and powerful AI processes to optimize solar energy management delivered in the form of an intuitive, easy to use, cloud-based mobile app.

 

Our primary near-term growth objectives are centered on exploiting our competitively differentiated :

 

●

elevating global awareness and appreciation for the clean, elegant aesthetic and robust functionality, scalability and customization of SUNBOX solar energy storage solutions pioneered by Turbo Energy to support residential installations (SUNBOX Home), commercial and industrial installations (SUNBOX Industry) and utility companies (SUNBOX Utility); as well as the ease of SUNBOX installations with limited training required;

 

●

increasing global awareness and appreciation for the cloud-based Turbo Energy mobile app powered by AI that allows for SUNBOX users worldwide to benefit from intelligent data collection, optimized stored energy management and predictive analytics which provide real-time insight into weather and electricity price forecasts, solar panel performance, energy consumption and material cost saving opportunities, among other metrics.

 

●

implementing global market penetration and geographic expansion initiatives with concentration in North America, South America and Europe; and

 

●

focusing on achieving fundamental financial strength through increased revenue, expense discipline and positive cash flow on a subsequent quarter-over-quarter basis; strengthen balance sheet through smart capital formation strategies.

 

Turbo Energy is a proud subsidiary of Umbrella Global Energy, S.A., a vertically integrated, global collective of solar energy-focused companies, which is traded on the Spanish Stock Exchange under symbol “UMB.”

 

1

 

 

We were organized under the laws of the Kingdom of Spain in September 2013. Our American Depository Shares (ADSs) are presently listed on the Nasdaq Capital Market under the symbol “TURB.”

 

General

 

The unaudited condensed interim consolidated financial statements of Turbo Energy have been prepared in accordance with International Financial Reporting Standards (“IFRS”) and interpretations issued by the IFRS Interpretations Committee (“IFRS IC”) applicable to companies reporting under IFRS. The consolidated financial statements comply with IFRS as issued by the International Accounting Standards Board (“IASB”). The consolidated financial statements of the Company were prepared on a historical cost basis except where certain financial instruments that are required to be measured at fair value. These consolidated financial statements have been prepared using the accrual basis of accounting, except for cash flow information.

 

The unaudited condensed interim consolidated financial statements are presented in Euro, which is the Company’s functional currency. Transactions in currencies other than the functional currency are recorded in accordance with the policies stated under Foreign Currency Transaction in Note 2 of the accompanying financial statements.

 

Recent Developments

 

Enerfip Crowdfunding Platform

 

On August 26, 2024, Turbo Energy entered into an agreement with Enerfip, a leading France-based crowdfunding platform, providing for the Company to explore, through Enerfip’s crowdfunding platform, financing from European individual investors, namely investors residing in France and Spain. If Turbo Energy’s project receives acceptance and interest among investors on Enerfip’s platform, the form agreed between the parties to carry out the financing would be to raise up to €2,000,000 on a first tranche through a 36-month simple debt bond, with an interest rate of 8.75% (“Crowd Bond”). The interest will be repaid semiannually. On October 28, 2024, the Company closed the issuance of the first tranche and reported on Form 6-K filed with the SEC that the yielded subscriptions amounting to gross proceeds of €914,110. The second tranche is expected to be launched prior to the end of 2024, pursuant to the same terms as the first tranche, with a goal of raising up to another €1,000,000.

 

U.S. Expansion Initiative

 

On October 22, 2024, the Company announced that it has partnered with U.S.-based Connection Holdings to employ its award-winning market penetration capabilities and to leverage its extensive nationwide network of leading U.S. solar installation companies to assist Turbo Energy in introducing and winning U.S. market share for the Company’s proprietary, all-in-one, AI-optimized SUNBOX Home solar energy storage system designed specifically for residential applications. According to the Q3 2024 industry research report released by the Solar Energy Industries Association and Wood Mackenzie, homeowners and businesses are increasingly demanding solar systems that are paired with battery storage. California's shift in net metering policy and state incentives for solar-plus-storage in other markets have driven attachment rates up in recent quarters. The report further states that by 2028, 28% of all new distributed solar capacity will be paired with storage, compared to under 12% in 2023. (Source: https://seia.org/research-resources/solar-industry-research-data/)

 

Turbo Energy's U.S. market launch will be led by a multi-month beta test, whereby Connection Holdings will coordinate the deployment of several SUNBOX Home system installations in residences located in key, high growth markets across the nation. Following the conclusion of the beta test and analysis of collected data and feedback from installers and homeowners, Connection Holdings is tasked with implementing a national marketing campaign designed to ramp sales of SUNBOX Home and help to define and refine, as necessary, the U.S.-based infrastructure needed to support anticipated market demand in the months and years to come.

 

Flash Flooding in Southern Spain

 

On October 29, 2024, southern regions of Spain suffered one of the country’s deadliest natural disasters in recent history, with heavy downpours resulting in severe flash flooding that claimed the lives of over 200 people and left Valencia, Spain and other neighboring regions in ruins. Turbo Energy is headquartered in Valencia. While the Company confirmed that all of its employees and their families were safe and accounted for and our production systems and supply chain resources remain fully functional, management is still evaluating the impact on its business operations, namely damage that may have affected some of its inventory.

 

2

 

 

Results of Operations (Expressed in Euros)

 

The following table presents certain financial data for the periods indicated:

 

		Six Months Ended June 30,
		2024				2023				€ Change				% Change
Revenue, net		€	4,953,433			€	7,211,916			€	(2,258,483	)			-31.32
Cost of Revenues			5,115,942				6,013,713				(897,771	)			-14.93
Gross profit			(162,509	)			487,933				(650,442	)			-133.31
Total operating expenses			2,576,698				1,688,735				887,963				52.58
Operating loss			(2,739,207	)			(490,532	)			(2,248,675	)			458.42
Total other (income) expense			(122,124	)			(206,781	)			84,657				-40.94
Net loss		€	(2,861,331	)		€	(697,313	)		€	(2,164,018	)			310.34

 

Six Months Ended June 30, 2024 Compared to Six Months Ended June 30, 2023

 

Revenue

 

For the first half of 2024, our net revenues declined 31.32% to €4,953,433 as compared to €7,211,916 reported for the same six month period in the prior year, inclusive of revenues received from related parties. The decrease was affected by the sector’'s external factors, and by our Company’s high dependence on the Spanish market, where most of its sales are concentrated. The continued slowdown in solar installations in Spain, which began in 2022, coupled with recent factors like lower electricity prices, increased self-consumption through rooftop solar, and grid congestion issues, created a situation where the Spanish market has been saturated with solar power generation exceeding demand.

 

Sales and cost of revenues were also negatively impacted by the Company’s decision to lower the cost on legacy products in inventory to accommodate the global market launch of its next generation solar energy storage solutions – an initiative which began in the second half of 2023. As of June 30, 2024, the Company finalized its strategy relating to the liquidation of legacy products. in order to focus on the higher value-added products that now underpin the Company's short- and long-term strategies

 

For the six months ended June 30, 2024 and 2023, net revenue to customers in Spain declined 42.65% to €3,349,192 from €5,839,373, respectively. Sales to customers in Europe, excluding Spain, for the same periods increased 11.51% to €1,162,753 from €1,083,065, respectively; and revenues generated from sales to the rest of the world decreased 80.87% to €53,756 from €281,051, respectively.

 

Net revenues generated in connection to sales to related parties, or those sister companies which comprise Umbrella Global Energy, S.A., our parent company, totaled €68,980 and €184,362 for the respective six-month periods in 2024 and 2023.

 

Cost of Revenues

 

Cost of revenues for the six months ended June 30, 2024 totaled €5,115,942 compared to €6,013,713 posted for the same six-month period in 2023. The decline was attributable to lower sales in the first half of 2024 compared to the first half of 2023 due the aforementioned reasons above. Gross profit on revenues totaled a negative €162,509, representing a gross profit margin of negative 3.28% for the six months ended June 30, 2024. This compared to a gross profit on revenues of €487,933, and a gross profit margin of 6.77%, for the six months ended June 30, 2023.

 

Operating Expenses

 

For the six months ended June 30, 2024 and 2023, operating expenses climbed 52.58% to €2,576,698 from €1,688,735, respectively, primarily due to higher legal and accounting expenses associated with becoming a public company (in September 2023), workforce expansion, higher research and development costs and accounting for non-cash stock-based compensation and higher bad debt expense in the current year.

 

Other Income and Expense

 

Total other expense fell 40.94% to €122,124 for the first six months of 2024, compared to total other expense of €206,781 reported for the first half of 2023. The decrease was attributable to higher interest expense and interest income earned on short-term investments posted for the first six months of 2024. The improvement was also attributable to a foreign exchange gain of €13,825 in the first six months of 2024 – up from a foreign exchange loss of €47,584 for the same six months in the previous year.

 

3

 

 

Net Loss

 

For all the aforementioned reasons, net loss for the six months ended June 30, 2024 rose 310.34% to €2,861,331, or €0.05 loss per share, compared to a net loss of €697,313, or €0.01 loss per share, reported for the six months ended June 30, 2023.

 

Liquidity and Capital Resources

 

Turbo Energy measures liquidity in terms of its ability to fund the cash requirements of its business operations, including working capital and capital expenditure needs, contractual obligations and other commitments, with cash flows from operations and other sources of funding. Our current working capital needs relate mainly to launching our new product offerings, supporting our global expansion initiatives, establishing relationships with key business partners and customers, becoming and maintaining compliance with regulatory requirements and compensation and benefits for our employees. Our recurring capital expenditures consist primarily of internally developed software costs and supporting our inventory requirements to meet the growing demand for our SUNBOX energy storage systems. We expect our capital expenditures and working capital requirements to increase as we expand our product offerings, acquire new customers, form partnerships in key geographic expansion regions and incur significant legal, accounting, audit, insurance and other incremental costs related to continued operations as a public company. Our ability to expand and grow our business will depend on many factors, including our working capital needs, our ability to raise additional capital and the evolution of our cash flows.

 

As of June 30, 2024, we had €495,877 in cash and €1,500,000 in short-term investments in bank deposits. In the pursuit of our long-term growth strategy and the ongoing development of and enhancements to our solar energy storage hardware and software solutions, we sustained continuing operating losses. During the six months ended June 30, 2024, we had a net loss of €2,861,331. To fund continued losses from operations, we recently raised €914,110 in gross proceeds in connection with Enerfip, a European crowdfunding platform, through which we completed the first of what is expected to be a minimum of two rounds of debt financing. We believe we have sufficient capital on hand, coupled with positive cash flow from our operations, to effectively fund our business for the next 12 months. However, we are evaluating strategies to obtain additional funding to support our long-term growth strategies and future operations. These strategies include, but are not limited to, obtaining equity financing, issuing or restructuring debt, entering into other alternative financing arrangements and continuing to structure our operations to optimize revenue growth on a global basis. We may be unable to access further equity or debt financing when needed. As such, there can be no assurance that we will be able to obtain additional liquidity when needed or under acceptable terms, if at all. If the financing needed is not available, or if the terms of the financing are less desirable than expected, we may be forced to decrease our level of investment in new product launches, or scale back our existing operations, which could have an adverse impact on our business and financial prospects.

 

Cash Flows

 

The following table summarizes our cash flows for the six-month periods ended June 30, 2024 and 2023:

 

		For the Six Months Ended June 30,
		2024				2023
Net cash provided by operating activities		€	2,332,261			€	949,935
Net cash provided by (used in) investing activities			60,295				(237,166	)
Net cash used in financing activities			(2,517,210	)			(717,255	)
Net change in cash and restricted cash			(124,654	)			(4,486	)
Cash and restricted cash, beginning of period			620,531				502,585
Cash and restricted cash, end of period		€	495,877			€	498,099

 

Discussion of Critical Accounting Policies and Estimations

 

The preparation of the financial statements in conformity with IFRS and interpretations issued by the IFRS IC applicable to companies reporting under IFRS requires us to make estimates and judgements that affect the reported amount of assets, liabilities, revenues and expenses, and related disclosure of contingent assets and liabilities. On an ongoing basis, we evaluate our estimates, mainly related to accounts receivables, contract assets and liabilities, fixed assets, intangibles and goodwill, accrued expenses, revenues, stock-based compensation and contingencies. We base our estimates on historical experience and on various assumptions that are believed to be reasonable under the circumstances, the results of which form the basis for making judgements about the carrying values of assets and liabilities that are not readily available from other sources. Actual results may differ from these estimates. Please refer to our discussion of critical accounting policies in our Annual Report on Form 20-F for the fiscal year ended December 31, 2023 for a discussion about those policies that we believe are the most important to the understanding of our financial condition and results of operations as such policies affect our more significant judgements and estimated used in the preparation of the financial statements included in this interim report.

 

 

4

 

 

Document And Entity Information	6 Months Ended
	Jun. 30, 2024
Document Information Line Items
Entity Registrant Name	TURBO ENERGY, S.A.
Document Type	6-K
Current Fiscal Year End Date	--12-31
Amendment Flag	false
Entity Central Index Key	0001963439
Document Period End Date	Jun. 30, 2024
Document Fiscal Year Focus	2024
Document Fiscal Period Focus	Q2
Entity File Number	001-41813

Condensed Interim Consolidated Statements of Financial Position (Unaudited) - EUR (€)	Jun. 30, 2024	Dec. 31, 2023
Current
Cash	€ 495,877	€ 620,531
Accounts receivable and other receivables, net	1,261,252	2,221,080
Inventories, net	2,674,957	5,585,959
Amount due from related parties	184,883	1,601,273
Prepaid expense	1,242,409	1,048,154
Investments	1,552,050	2,044,050
Total Current Assets	7,411,428	13,121,047
Non- Current Assets
Property and equipment, net	155,251	159,084
Intangible assets, net	1,240,573	835,706
Right-of-use assets	65,310	54,935
Deferred tax assets	1,056,608	1,056,608
Total Assets	9,929,170	15,227,380
Current Liabilities
Accounts payable and accrued liabilities	2,056,062	2,043,559
Amount due to related parties	38,336	47,950
Lease liabilities - current portion	56,094	37,579
Bank loans - current portion	2,806,884	3,895,585
Total Current Liabilities	4,957,376	6,024,673
Non-Current Liabilities
Amount due to related party	2,500,000	3,800,000
Lease liabilities	10,307	18,487
Bank loans		94,313
Deferred tax liabilities	32,783	32,783
Total Liabilities	7,500,466	9,970,256
Shareholders’ Equity
Share Capital	2,754,285	2,754,285
Additional paid-in capital	3,104,781	3,104,781
Reserve	1,444,757	1,411,846
Accumulated Deficit	(4,875,119)	(2,013,788)
Total Shareholders’ Equity	2,428,704	5,257,124
Total Liabilities and Shareholders’ Equity	€ 9,929,170	€ 15,227,380

Condensed Interim Consolidated Statements of Operations (Unaudited) - EUR (€)	6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023
Total Revenue	€ 4,953,433	€ 7,211,916
Cost and Expenses
Cost of revenues	5,115,942	6,013,713
Selling and administrative	1,131,599	728,329
Selling and administrative - related parties	426,545	508,590
Salaries and benefits	834,206	447,282
Salaries and benefits - related parties	40,865
Bad debt expense	143,483	4,534
Total Cost and Expenses	7,692,640	7,702,448
Income (Loss) from operations	(2,739,207)	(490,532)
Other Income (Expense)
Interest income	32,525
Interest expense	(168,474)	(159,197)
Foreign exchange gain (loss)	13,825	(47,584)
Total Other Income (Expense)	(122,124)	(206,781)
Net Loss Before Income Tax	(2,861,331)	(697,313)
Income tax Expense (Recovery)
- Current
- Deferred
Net Loss	€ (2,861,331)	€ (697,313)
Basic Net Loss per Ordinary Share (in Euro per share)	€ (0.05)	€ (0.01)
Diluted Net Loss per Ordinary Share (in Euro per share)	€ (0.05)	€ (0.01)
Weighted Average Number of Ordinary Shares Outstanding - Basic (in Shares)	55,085,700	50,085,700
Weighted Average Number of Ordinary Shares Outstanding - Diluted (in Shares)	55,085,700	50,085,700
Revenue
Total Revenue	€ 4,808,493	€ 7,019,127
Revenue - related parties
Total Revenue	68,980	184,362
Other operating income
Total Revenue	€ 75,960	€ 8,427

Condensed Interim Consolidated Statements of Changes in Shareholders’ Equity (Unaudited) - EUR (€)	Number of Outstanding Shares	Share Capital	Additional Paid In Capital	Reserve	Accumulated Deficit	Total
Balance at Dec. 31, 2022		€ 2,504,285		€ 383,268	€ 1,028,578	€ 3,916,131
Balance (in Shares) at Dec. 31, 2022	50,085,700
Transfer from retained earnings to reserve				1,028,578	(1,028,578)
Net loss for the period					(697,313)	(697,313)
Balance at Jun. 30, 2023		2,504,285		1,411,846	(697,313)	3,218,818
Balance (in Shares) at Jun. 30, 2023	50,085,700
Balance at Dec. 31, 2023		€ 2,754,285	€ 3,104,781	1,411,846	(2,013,788)	5,257,124
Balance (in Shares) at Dec. 31, 2023	55,085,700	50,085,700
Stock-based compensation				32,911		32,911
Net loss for the period					(2,861,331)	(2,861,331)
Balance at Jun. 30, 2024		€ 2,754,285	€ 3,104,781	€ 1,444,757	€ (4,875,119)	€ 2,428,704
Balance (in Shares) at Jun. 30, 2024	55,085,700	50,085,700

Condensed Interim Consolidated Statements of Cash Flows (Unaudited) - EUR (€)	6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023
Operating Activities
Net loss before income tax	€ (2,861,331)	€ (697,313)
Items not affecting cash:
Stock-based compensation	32,911
Bad debt expense	143,483	4,534
Depreciation of property and equipment	5,829	10,051
Amortization of intangible assets	24,842	25,141
Amortization of right-of-use assets	31,571	27,957
Accretion of lease liabilities	1,054	874
Provision for inventory reserves	(263,202)
Changes in non-cash working capital items:
Inventories	3,174,204	1,363,321
Accounts receivable	816,345	1,402,608
Due from related parties	1,418,189	59,636
Due to related parties	(9,882)	(236,205)
Prepaid expense	(194,255)	(179,373)
Deferred offering costs		(409,710)
Accounts payable and accrued liabilities	12,503	(421,586)
Net cash provided by operating activities	2,332,261	949,935
Investing Activities
Short-term investments	(8,000)
Proceeds from return of short-term investments	500,000
Purchase of equipment	(1,996)	(19,332)
Purchase of intangible assets	(429,709)	(217,834)
Net cash provided by (used in) investing activities	60,295	(237,166)
Financing Activities
Repayment of bank loans	(116,479)	(116,216)
Net repayment from lines of credit	(1,066,535)	(4,373,584)
Repayment of lease liabilities	(32,665)	(28,553)
Payments to related parties	(1,701,854)	(25,085)
Proceeds from related parties	400,323	3,826,183
Net cash used in financing activities	(2,517,210)	(717,255)
Net change in cash	(124,654)	(4,486)
Cash - beginning of period	620,531	502,585
Cash - end of period	€ 495,877	€ 498,099

Entity Information	6 Months Ended
	Jun. 30, 2024
Entity Information [Abstract]
ENTITY INFORMATION	NOTE 1 – ENTITY INFORMATION   Turbo Energy, S.A. was incorporated under the name of Distritech Solutions S.L. on September 18, 2013 under the laws of the Kingdom of Spain. The Company then changed its name to Solar Rocket S.L. on October 7, 2013. On April 8, 2021, Solar Rocket S.L. merged with Spanish corporation Turbo Energy S.L.U (“Turbo Energy S.L.U.”). Turbo Energy S.L.U then became a wholly-owned subsidiary of Solar Rocket S.L. This merger was approved by the Board of Directors of both companies. Following the merger, the Company changed its name to Turbo Energy S.L. on April 8, 2021. On February 8, 2023, we changed the Company from a Spanish unipersonal limited company to a Spanish limited stock company. As such, our Company’s name was changed to Turbo Energy, S.A. (“Turbo Energy” or the “Company).   The corporate purpose of the Company, in accordance with its bylaws, consists of the acquisition, distribution and sale of electrical and electronic material for the development of renewable energy projects, such as solar panels, inverters, chargers, regulators, batteries and structures, among others. We design, develop, and distribute equipment for the generation, management, and storage of photovoltaic energy. Our energy storage products are managed, from the cloud and through the inverter of the installation, by an advanced software system which is optimized by artificial intelligence (“AI”). The key advantage is that our products, when compared to conventional battery storage systems, reduce electricity bills and protect the installation from power outages. Currently, we primarily sell inverters, batteries and photovoltaic modules to installers and other distributors for residential consumers located throughout Europe with concentration in Spain.   The Company is a subsidiary of publicly traded Umbrella Global Energy, S.A. (“Umbrella Global”), whose main shareholder is Crocodile Investment, S.L.U, (hereinafter, the “Ultimate Partner”), with a registered office in Valencia. The majority shareholder of Turbo Energy is Umbrella Global.   On November 8, 2022, Turbo Energy embarked on a new business related to pioneering new solutions for self-consumption of electricity, thus paid total consideration of €2,250 to acquire 100% of the ordinary shares of IM2 Energía Solar Proyecto 35 S.L.U. (“IM2”), a company under common control by Turbo Energy’s chief executive officer and established under the laws of the Kingdom of Spain on August 1, 2019. Following the transaction, IM2 became a wholly-owned subsidiary of Turbo Energy. On November 29, 2022, IM2 changed its name to Turbo Energy Solutions S.L.U. Since its incorporation, this subsidiary has had insignificant activity.   On September 21, 2023, Turbo Energy entered into an Underwriting Agreement with Titan Partners Group, a division of American Capital Partners, LLC, and Boustead Securities, LLC as the as the representative (“Representative”) of the underwriters named on Schedule 1 thereto, relating to the Company’s firm commitment underwritten initial public offering (the “Offering”) of ADSs, each representing five ordinary shares of the Company, par value five cents of euro per share. Pursuant to the Underwriting Agreement, the Company agreed to sell 1,000,000 ADSs to the underwriters at a public offering price of $5.00 per ADS (the “Offering Price”), before underwriting discounts and commissions, and granted the Representative a 45-day over-allotment option to purchase up to an additional 150,000 ADSs, equivalent to 15% of the ADSs sold in the Offering, at the Offering Price per ADS, pursuant to the Company’s registration statement on Form F-1, as amended (File No. 333-273198), that was filed with the U.S. Securities and Exchange Commission (“SEC”) and became effective on September 21, 2023 under the Securities Act of 1933, as amended (the “Securities Act”). The Offering was closed on September 26, 2023.   Merger by Absorption Process   On April 8, 2021, the merger of Solar Rocket, S.L. (“Absorbing Company”) and Turbo Energy, S.L.U. (“Absorbed Company”) was formalized in a public deed registered in the Mercantile Registry of Valencia on August 9, 2021. The merger process, approved by the respective shareholders’ meetings on June 30, 2020, consisted of the extinction without liquidation of the Absorbed Company, transferring its assets and liabilities en bloc to the Absorbing Company, which acquired, by universal succession, the rights and obligations of the Absorbed Company. The Company recorded the assets and liabilities contributed by the Absorbed Company at the value established in the accounting regulations in force at that time. The consolidated financial statements for the year 2021 include the information required by the regulations in relation to the aforementioned absorption process.   On the same date of the merger described above, the Absorbing Company changed its corporate name to Turbo Energy, S.L.U. as described above.

Material Accounting Policies	6 Months Ended
	Jun. 30, 2024
Material Accounting Policies [Abstract]
MATERIAL ACCOUNTING POLICIES	NOTE 2 – MATERIAL ACCOUNTING POLICIES   Statement of Compliance   The unaudited condensed interim consolidated financial statements of Turbo Energy have been prepared in accordance with International Financial Reporting Standards (“IFRS”) and interpretations issued by the IFRS Interpretations Committee (“IFRS IC”) applicable to companies reporting under IFRS. The consolidated financial statements comply with IFRS as issued by the International Accounting Standards Board (“IASB”).   These consolidated financial statements were approved by the board of directors (the “Board”) of the Company on October 29, 2024.   Basis of Presentation   The consolidated financial statements of the Company were prepared on a historical cost basis except where certain financial instruments that are required to be measured at fair value. These consolidated financial statements have been prepared using the accrual basis of accounting, except for cash flow information.   The consolidated financial statements are presented in Euro, which is the Company’s functional currency. Transactions in currencies other than the functional currency are recorded in accordance with the policies stated under Foreign Currency Transaction in Note 2.   Reclassification     Certain amounts from prior period have been reclassified to conform to the current period presentation. These reclassifications had no impact on reported operating and net loss.   Revenue Recognition   The Company designs, develops, and distributes equipment for the generation, management, and storage of photovoltaic energy. Our energy storage products are managed, from the cloud and through the inverter of the installation, by an advanced software system which is optimized by artificial intelligence (“AI”). The key advantage is that our products, when compared to conventional battery storage systems, reduce electricity bills and protect the installation from power outages.   The Company’s revenue is primarily generated from sales of inverters, batteries and photovoltaic modules to installers and other distributors for residential consumers under individual customer purchase orders, some of which have underlying master sales agreements that specify terms governing the product sales.   The Company recognizes such revenue at the point in time when control of the products is transferred to the customer at the estimated net consideration for which collection is probable, taking into account the customer’s rights to unit rebates and rights to return unsold products.   Transfer of control occurs either when products are shipped to or received by the distributor or direct customer, based on the terms of the specific agreement with the customer, if the Company has a present right to payment and transfer of legal title and the risks and rewards of ownership to the customer has occurred. For most of the Company’s product sales, transfer of control occurs upon shipment to the distributor or direct customer. In assessing whether collection of consideration from a customer is probable, the Company considers the customer’s ability and intention to pay that amount of consideration when it is due. Payment of invoices is due as specified in the underlying customer agreement, which is typically 30 to 60 days from the invoice date, which occurs on the date of transfer of control of the products to the customer.   Since payment terms are less than a year, the Company has elected the practical expedient and does not assess whether a customer contract has a significant financing component.   A five-step approach is applied in the recognition of revenue: (1) identify the contract with a customer, (2) identify the performance obligations in the contract, (3) determine the transaction price, (4) allocate the transaction price to the performance obligations in the contract, and (5) recognize revenue when the Company satisfies a performance obligation. Customer purchase orders, plus the underlying master sales agreements, are considered to be contracts with the customer for purposes of applying the five-step approach.   Returns under the Company’s general assurance warranty of products have not been material historically and warranty-related services are not considered a separate performance obligation under the customer orders.   Each distinct promise to transfer products is considered to be an identified performance obligation for which revenue is recognized upon transfer of control of the products to the customer. The Company has also elected to record sales commissions when incurred, as the period over which the sales commission asset that would have been recognized is less than one year.   Concentration of Revenue by Customer   For the six months ended June 30, 2024, there were zero customers which comprised greater than 10% of the Company’s revenue; and for the six months ended June 30, 2023, there was one customer which represented 12% of the Company’s revenue.    Cash and Cash Equivalents   Cash consists of highly liquid instruments purchased with an original maturity of three months or less. As of June 30, 2024 and December 31, 2023, the Company had cash of €495,877 and €620,531, respectively. The Company does not have any cash equivalents.   The Company minimizes the concentration of credit risk associated with its cash by maintaining its cash with high-quality insured financial institutions. However, cash balances in excess of the Spanish government insured limit (Fondo de Garantía de Depósitos (FDG)) of €100,000 are at risk.   Accounts Receivable   Accounts receivable are recorded at the invoiced amount and do not bear interest. The allowance for doubtful accounts is the Company’s best estimate of the amount of probable credit losses in its existing accounts receivable.   The Company conducts credit checks on all customers that request term payments.   Inventories   Inventories are valued at their acquisition cost, production cost or net realizable value, whichever is lower. Discounts for prompt payment are included as a lower price, whether or not they appear on the invoice, and assigning value to its inventories. The Company adopts the weighted average price method.   Net realizable value represents the estimated sales price less all estimated costs that will be incurred in the process of commercialization, sales and distribution.   The Company makes the appropriate valuation adjustments, recording impairment expense when the net realizable value of the inventories is less than their acquisition cost.   Property and Equipment   Property and equipment is recognized and subsequently measured at cost less accumulated depreciation and any accumulated impairment losses, if any. When components of property and equipment have different useful lives, they are accounted for separately. Depreciation is provided at rates which are calculated to write off the assets over their estimated useful lives as follows:   Furniture     10 years straight line   Tools and machinery     4 years straight line   Right-of-use assets     Over term of the lease     Intangible Assets   Acquired intangible assets are initially measured at cost. Following the initial recognition, intangible assets are measured at cost less any accumulated amortization and any impairment losses. The useful lives of intangible assets are either definite or indefinite. Intangible assets that have a finite useful life are amortized over the assessed useful economic life and are assessed for impairment when there are any indicators present that the intangible asset may be impaired. The Company reviews the amortization period and method at least annually, and any changes are treated as changes in accounting estimates and applied prospectively.   Computer application and webpage are amortized over estimated useful lives of three years and Software is amortized over estimated useful lives of five years.   Leases   The determination of whether an arrangement is, or contains, a lease is based on the substance of the agreement on the inception date.   As a lessee, the Company recognizes a lease obligation and a right-of-use asset in the statements of financial position on a present-value basis at the date when the leased asset is available for use. Each lease payment is apportioned between a finance charge and a reduction of the lease obligation. Finance charges are recognized in finance cost in the statements of income and comprehensive income. The right of-use assets are depreciated over the shorter of their estimated useful life and the lease term on a straight-line basis.   Lease obligations are initially measured at the net present value of the following lease payments:     ● fixed payments (including in-substance fixed payments), less any lease incentives;     ● variable lease payments that are based on an index or a rate;     ● amounts expected to be payable under residual value guarantees;     ● the exercise price of a purchase option if the Company is reasonably certain to exercise that option; and     ● payments of penalties for terminating the lease, if the lease term reflects the Company exercising that option.   Lease payments are discounted using the interest rate implicit in the lease, or if this rate cannot be determined, the Company’s incremental borrowing rate. Right-of-use assets are initially measured at cost comprising the following:     ● the amount of the initial measurement of the lease obligation;     ● any lease payments made at or before the commencement date less any lease incentives received; and     ● any initial direct costs and rehabilitation costs.   Payments associated with short-term leases and leases of low-value assets are recognized on a straight-line basis as an expense in the statements of income and comprehensive income. Short-term leases are leases with a lease term of 12 months or less.   Share Capital   Ordinary shares are classified as equity, net of transaction costs directly attributable to the issuance of ordinary shares.   Ordinary shares issued for consideration other than cash are based on their market value as of the date the ordinary shares are issued.   Restricted Stock Units   The plan administrator may award restricted stock units (“RSUs”) which represent the right to receive ordinary shares at a future date in accordance with the terms of such grant upon the attainment of certain conditions specified by the plan administrator. Restrictions or conditions could include, but are not limited to, the attainment of performance goals, continuous service with the Company or its subsidiaries, the passage of time or other restrictions or conditions. The plan administrator determines the persons to whom grants of RSUs are made, the number of RSUs to be awarded, the time or times within which awards of RSUs may be subject to forfeiture, the vesting schedule, and rights to acceleration thereof, and all other terms and conditions of the RSU awards. The value of the RSUs may be paid in ordinary shares, cash, other securities, other property or a combination of the foregoing, as determined by the plan administrator.   Share-Based Compensation   The Company accounts for share-based compensation under the fair value method in accordance with IFRS 2, “Share-based Payment,” which requires all such compensation to employees and non-employees to be calculated based on its fair value of the equity instrument at the grant date and recognized in the earnings over the requisite service or vesting period. (See Note 13)   Share-Based Payment Reserves   The share-based payment reserve record items are recognized as share-based compensation expense and other share-based payments until such time that the RSUs are vested, at which time the corresponding amount will be transferred to share capital.   Liquidity   The Company incurred a net loss of €2,861,331 during the six-month period ended June 30, 2024. However, the Company successfully completed its Initial Public Offering (“IPO”) and commenced trading on The Nasdaq Stock Market on September 22, 2023, thereby raising €3.8 million, net of expenses related to the IPO process; and it has retained a large portion of those cash funds as of the day of this report. As of June 30, 2024, the Company had positive working capital of €2,454,052.   The Company finds itself in a sector – the energy storage market – which many industry research studies and forecasts have predicted will experience significant, exponential growth in the coming years. Also, Turbo Energy is a consolidated company with more than ten years of industry experience. In recent years, the Company has been making significant investments in development and research, which is expected to allow it to position itself as a company offering a highly differentiated value proposition to customers when compared to other companies in the sector.   Turbo Energy is focused on carefully balancing investments in continued innovation and systemic cost discipline to deliver affordable, high performance solar energy storage technologies and solutions adaptable to every home, business, industrial plant and government facility across the globe. The Company’s existing cash resources are expected to provide sufficient working capital to allow Turbo Energy to execute its planned operations and expansion plan for more than 12 months. Also, the Company’s majority shareholder, Umbrella Global, has explicitly expressed its full support to Turbo Energy, indicating that it is prepared to provide additional financial support and resources to the Company in the event that it is needed by Turbo Energy to successfully execute its operations and expansion plan.   Provisions   Provisions are recognized when there is a present legal or constructive obligation as a result of a past event, for which it is probable that a transfer of economic benefits will be required to settle the obligation, and where a reliable estimate can be made of the amount of the obligation. Provisions are discounted using a pre-tax discount rate that reflects the current market assessments of the time value of money and the risks specific to the liability, if material. Where discounting is used, the increase in the provision due to passage of time (“accretion expense”) is recognize as an expense on the statements of operations.   Foreign currency transactions   The functional currency used by the Company is the euro. Consequently, operations in currencies other than the euro are considered to be denominated in foreign currency and are recorded at the exchange rates in force on the dates of the operations.   At period-end, monetary assets and liabilities denominated in foreign currency are converted by applying the exchange rate on the balance sheet date. The profits or losses revealed are charged directly to the profit and loss account for the period in which they occur.   On each balance sheet date, monetary assets and liabilities in foreign currency are converted at the rates in force on the closing date. Non-monetary items in foreign currency measured in terms of historical cost are converted at the exchange rate on the date of the transaction.   The exchange differences of the monetary items that arise both when liquidating them and when converting them at the closing exchange rate, are recognized in the results of the period, except those that are part of the investment of a business abroad, which are recognized directly in equity net of taxes until the time of its disposal.   Income per share   Basic income per share is calculated by dividing the income attributable to ordinary shareholders by the weighted average number of ordinary shares outstanding in the period. For all periods presented, the income attributable to ordinary shareholders equals the reported income attributable to owners of the Company.   Diluted income per share is calculated by the treasury stock method. Under the treasury stock method, the weighted average number of ordinary shares outstanding for the calculation of diluted income per share assumes that the proceeds to be received on the exercise of dilutive share options and warrants are used to repurchase ordinary shares at the average market price during the period.   For the six months ended June 30, 2024 and 2023, RSUs were potentially instruments and were not included in the calculation of diluted loss per share as their effect would be antidilutive.       June 30, 2024     June 30, 2023       (Ordinary Shares)     (Ordinary Shares)   RSUs     1,780,330       -     Impairment of non-financial assets   At the end of each reporting period, the Company reviews the carrying amounts of its non-financial assets to determine whether there is any indication that the carrying amount is not recoverable. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Management assesses impairment of non-financial assets such as property and equipment and intangible assets. In assessing impairment, management estimates the recoverable amount of each asset or cash generating unit (“CGU”) based on expected future cash flows. The Company has applied judgment in its assessment of the appropriateness of the determination of CGU’s. When measuring expected future cash flows, management makes assumptions about future growth of profits which relate to future events and circumstances. Actual results could vary from these estimated future cash flows. Estimation uncertainty relates to assumptions about future operating results and the application of an appropriate discount rate.   Financial Instruments   Financial Assets   Financial assets are classified as either financial assets at fair value through profit and loss (“FVTPL”), amortized cost, or fair value through other comprehensive income (“FVTOCI”). The Company determines the classification of its financial assets at initial recognition.   Classification and Measurement   Classification determines how financial assets and financial liabilities are accounted for in financial statements and, in particular, how they are measured on an ongoing basis. IFRS 9 Financial Instruments approach for the classification of financial assets is driven by cash flow characteristics and the business model in which an asset is held. This single, principle-based approach replaces prior rule-based requirements. The model also results in a single impairment model being applied to all financial instruments.   Financial Assets at FVTPL   Financial assets carried at FVTPL are initially recorded at fair value and transaction costs are expensed in the statements of income and comprehensive income. Realized and unrealized gains and income arising from changes in the fair value of the financial asset held at FVTPL are included in the statements of income and comprehensive income in the period in which they arise. The Company has classified cash as FVTPL.   Financial Assets at FVTOCI   Financial assets at FVTOCI are initially recognized at fair value plus transaction costs. Subsequently they are measured at fair value, with gains and losses arising from changes in fair value recognized in other comprehensive income. There is no subsequent reclassification of fair value gains and losses to profit or loss following the derecognition of the investment. There are no financial assets classified as FVTOCI.   Financial Assets at Amortized Cost   Financial assets at amortized cost are initially recognized at fair value, net of transaction costs, and subsequently carried at amortized cost less any impairment. They are classified as current assets or non- current assets based on their maturity date. The Company has classified accounts receivable and amounts due from related parties at amortized cost.   Financial assets are derecognized when they mature or are sold, and substantially all the risks and rewards of ownership have been transferred.   Financial Liabilities   Financial liabilities are classified as either financial liabilities at FVTPL or at amortized cost. The Company determines the classification of its financial liabilities at initial recognition.   Financial liabilities are classified as measured at amortized cost, net of transaction costs unless classified as FVTPL. The Company’s accounts payable and accrued liabilities, amounts due to related parties, lease liabilities and bank loans are classified as measured at amortized cost.   The Company’s bank loans were classified as measured at amortized cost at June 30, 2024 and December 31, 2023. During the six months ended June 30, 2024 and 2023, the Company incurred €46,180 and €138,109 interest on bank loans, respectively.   Fair Value Measurements   Fair value measurements are made using a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value:     ● Level 1 – defined as observable inputs such as quoted prices in active markets;     ● Level 2 – defined as inputs other than quoted prices in active markets that are either directly or indirectly observable; and     ● Level 3 – defined as unobservable inputs in which little or no market data exists, therefore requiring an entity to develop its own assumptions.   The fair value measurement is categorized in its entirety by reference to its lowest level of significant input. Fair value is based on estimated cash flows, discounted at interest rates for similar instruments.   The carrying amounts shown of the Company’s financial instruments including cash, accounts receivable, inventories, accounts payable and accrued liabilities approximate their fair value (Level 1) due to the short-term maturities of these instruments.   Impairment of Financial Assets   The Company assesses at each statement of financial position date whether there is objective evidence that a financial asset or group of financial assets is impaired.   The Company recognizes expected credit losses (“ECL”) for accounts receivable based on the simplified approach. The simplified approach to the recognition of expected losses does not require the Company to track the changes in credit risk; rather, the Company recognizes a loss allowance based on lifetime expected credit losses at each reporting date from the date of the account receivable.   The Company measures expected credit loss by considering the risk of default over the contract period and incorporates forward-looking information into its measurement. ECLs are a probability-weighted estimate of credit losses.   ECLs are measured as the difference in the present value of the contractual cash flows that are due to the Company under the contract, and the cash flows that the Company expects to receive. The Company assesses all information available, including past due status, and forward looking macro- economic factors in the measurement of the ECLs associated with its assets carried at amortized cost.   The maximum period considered when estimating ECLs is the maximum contractual period over which the Company is exposed to credit risk.   New Accounting Pronouncements   Adoption of New Accounting Policies   Classification of Liabilities as Current or Non-current (Amendments to IAS 1)   The amendments to IAS 1 provide a more general approach to the classification of liabilities based on the contractual arrangements in place at the reporting date. These amendments are effective for reporting periods beginning on or after January 1, 2024. The adoption of these amendments did not have a material impact on the Company’s consolidated financial statements.   New Standards and Amendments Issued But Not Yet Effective   Presentation and Disclosure in Financial Statements — IFRS 18   In April 2024, the IASB issued IFRS 18, which will replace IAS 1 - Presentation of Financial Statements. The standard aims to improve the manner in which companies communicate in their financial statements, with a focus on information about financial performance in the statement of profit or loss, specifically introducing additional defined subtotals, disclosures about management-defined performance measures and new principles for aggregation and disaggregation of information. IFRS 18 is accompanied by limited amendments to the requirements in IAS 7 Statement of Cash Flows. IFRS 18 is effective from 1 January 2027. Companies are permitted to apply IFRS 18 before that date. The Company is evaluating the impact of the above amendments on its consolidated financial statements.

Summary of Significant Accounting Judgements, Estimates and Assumptions	6 Months Ended
	Jun. 30, 2024
Summary of Significant Accounting Judgements, Estimates and Assumptions [Abstract]
SUMMARY OF SIGNIFICANT ACCOUNTING JUDGEMENTS, ESTIMATES AND ASSUMPTIONS	NOTE 3 – SUMMARY OF SIGNIFICANT ACCOUNTING JUDGEMENTS, ESTIMATES AND ASSUMPTIONS   The preparation of these consolidated financial statements in accordance with IFRS requires management to make estimates and judgments that affect the recognition, measurement and disclosure of amounts reported in these consolidated financial statements and accompanying notes. The reported amounts and note disclosures are determined using management’s best estimates based on assumptions that reflect the most probable set of economic conditions and planned courses of action. Actual results may differ from such estimates. These judgments, estimates and assumptions are reviewed regularly.   The following are significant management judgments, estimates and assumptions used in applying the accounting policies of the Company that have the most significant effect on recognition and measurement of assets, liabilities, income and expenses:   Leases   The Company exercises judgment in determining the approximate lease term on a lease by lease basis. The Company considers all facts and circumstances that may create an economic incentive to exercise renewal options and also evaluates the economic incentive related to continuation of existing leaseholds. The Company is also required to estimate specific criteria in order to estimate the carrying amount of right-of-use assets and lease liabilities, including the incremental borrowing rate, effective interest rate and lease term.    Valuation of Accounts Receivable   Management monitors the financial stability of its customers and the environment in which they operate to make estimates regarding the likelihood that the individual trade balances will be paid. Credit risks for outstanding customer receivables are regularly assessed and allowances are recorded for estimated losses, if required.   Valuation of Inventories   Management makes estimates of future customer demand for products when establishing appropriate provisions for inventory obsolescence. In making these estimates, management considers the age of inventory and profitability of recent sales.   Recoverability of Income Taxes   The measurement and assessment of income tax assets and liabilities requires management to make judgments in the interpretation and application of the relevant tax laws and estimates of the Company’s abilities to utilize losses carried forward to offset taxes payable on future taxable income. The actual amount of income taxes only becomes final upon filing and acceptance of the tax return by the relevant tax authorities, which occurs subsequent to the issuance of the financial statements.   Useful Life of Property and Equipment   Changes in the intended use of property and equipment, as well as changes in technology or economic conditions, may cause the estimated useful life of these assets to change. The change in useful lives could impact the depreciation expense and carrying value of property and equipment.   Useful Life of Intangible Assets   Changes in the intended use of intangible assets with determinable useful lives as well as changes in technology or economic conditions may cause the estimated useful life of these assets to change. The change in useful lives could impact the amortization expense and carrying value of intangible assets.   Terms and Conditions of RSUs   Management determines the terms and conditions of RSUs, including the vesting criteria, the form and timing of payment, the time within which RSUs may be subject to forfeiture and rights to acceleration thereof.

Accounts Receivable and Other Receivables, Net	6 Months Ended
	Jun. 30, 2024
Accounts Receivable and Other Receivables, Net [Abstract]
ACCOUNTS RECEIVABLE AND OTHER RECEIVABLES, NET	NOTE 4 – ACCOUNTS RECEIVABLE AND OTHER RECEIVABLES, NET   Accounts receivable and other receivables as of June 30, 2024 and December 31, 2023 are summarized as below:       June 30,     December 31,       2024     2023   Customers by sales provision of services   € 1,636,960     € 2,505,194   VAT receivable     103,873       46,106   Others     26,255       87,702       € 1,767,088     € 2,639,002   Allowance for doubtful accounts     (505,836 )     (417,922 )     € 1,261,252     € 2,221,080     As of June 30, 2024 and December 31, 2023, the allowance for doubtful accounts was €505,836 and €417,922, respectively. During the six months ended June 30, 2024 and 2023, the Company recorded bad debt expense of €143,483 and €4,534 and bad debt recovery of €0 and €10,859, respectively.

Inventories	6 Months Ended
	Jun. 30, 2024
Inventories [Abstract]
INVENTORIES	NOTE 5 – INVENTORIES   As of June 30, 2024 and December 31, 2023, the Company had finished goods of €2,674,957 and €5,585,959, respectively. During the six months ended June 30, 2024 and 2023, the Company recorded a provision for slow moving inventory in the statements of operations of €49,362 and €0, respectively, and recovery on the provision for slow moving inventory in the statements of operations of €312,563 and €0, respectively. As of June 30, 2024 and December 31, 2023, there was a provision for obsolescence of €139,707 and €402,908, respectively.   The Company outsourced the management of inventories to a third party with all inventories located in warehouses owned by the third parties. The Company pays a monthly fee to the warehouse company for insurance coverage of the inventories, as stated in the agreement between both parties.

Prepaid Expense	6 Months Ended
	Jun. 30, 2024
Prepaid Expense [Abstract]
PREPAID EXPENSE	NOTE 6 – PREPAID EXPENSE   Prepaid expense as of June 30, 2024 and December 31, 2023 are summarized as below:       June 30,     December 31,       2024     2023   Advancement to suppliers for inventory   € 1,036,166     € 788,622   Advancement for PP&E under construction     11,683       11,683   Conferences and international fairs     176,728       230,027   Security deposits and others     17,832       17,822       € 1,242,409     € 1,048,154

Investments	6 Months Ended
	Jun. 30, 2024
Investments [Abstract]
INVESTMENTS	NOTE 7 – INVESTMENTS   As of June 30, 2024 and December 31, 2023, the Company had short-term investment of €1,552,050 and €2,044,050, respectively, comprised of two short-term investments in the bank for an aggregate amount of €2,000,000 with repayment terms ranging from six to seven months and an annual interest rate ranging from 3.54%-3.37% and a short-term commercial deposit of €44,050 with an assembling vendor. During the six months ended June 30, 2024, the Company received €500,000 from the return of short-term investments and made a short-term investment of €8,000. During the six months ended June 30, 2024 and 2023, the Company recognized interest income of €32,525 and €0 from the investments, respectively.

Property and Equipment	6 Months Ended
	Jun. 30, 2024
Property and Equipment [Abstract]
PROPERTY AND EQUIPMENT	NOTE 8 – PROPERTY AND EQUIPMENT   Property and equipment as of June 30, 2024 and December 31, 2023 are summarized as follows:       June 30, 2024     December 31, 2023   Furniture   € 56,724     € 56,232   Laboratory Photovoltaic Installation     116,912       116,912   Tools and Machinery     7,530       6,026   Computer     14,915       14,915         196,081       194,085   Accumulated depreciation     (40,830 )     (35,001 )     € 155,251     € 159,084     During the six months ended June 30, 2024 and 2023, the Company acquired property and equipment of €1,996 and €19,333, respectively. During the six months ended June 30, 2024 and 2023, the Company recorded depreciation expense of €5,829 and €10,051, respectively.

Intangible Assets	6 Months Ended
	Jun. 30, 2024
Intangible Assets [Abstract]
INTANGIBLE ASSETS	NOTE 9 – INTANGIBLE ASSETS   Intangible assets as of June 30, 2024 and December 31, 2023 are summarized as follows:       June 30, 2024     December 31, 2023   Software development   € 1,066,679     € 636,970   Software SKN1     248,419       248,419   Computer application     33,755       33,755   Web page     6,010       6,010         1,354,863       925,154   Amortization     (114,290 )     (89,448 )     € 1,240,573     € 835,706     During the six months ended June 30, 2024 and 2023, the Company acquired software development and software of €429,709 and €217,834, respectively. As of June 30, 2024, since the software is still in the development process, no amortization was incurred during the six months ended June 30, 2024.   During the six months ended June 30, 2024 and 2023, the Company recorded amortization expense of €24,842 and €25,141, respectively, and no impairment loss was incurred on the intangible assets.

Accounts Payable and Accrued Liabilities	6 Months Ended
	Jun. 30, 2024
Accounts Payable and Accrued Liabilities [Abstract]
ACCOUNTS PAYABLE AND ACCRUED LIABILITIES	NOTE 10 – ACCOUNTS PAYABLE AND ACCRUED LIABILITIES   Accounts payable and accrued labilities as of June 30, 2024 and December 31, 2023 are summarized as follows:       June 30, 2024     December 31, 2023   Trade payable   € 1,667,141     € 1,847,575   VAT payable     81,551       69,426   Payroll taxes payable     61,119       56,419   Customer deposits     246,251       70,139       € 2,056,062     € 2,043,559

Related Party Transactions	6 Months Ended
	Jun. 30, 2024
Related Party Transactions [Abstract]
RELATED PARTY TRANSACTIONS	NOTE 11 – RELATED PARTY TRANSACTIONS   Amount due from (to) as of June 30, 2024 are summarized as follows:   Due from related parties:        Ultimate     Senior     Other group             partner     partner     companies     Total   Credits pending collection   € 250     €         -     € 177,571     € 177,821   Long-term investment     -       -       2,550       2,550   Trade receivables     -       -       4,512       4,512   Total   € 250     € -     € 184,633     € 184,883     Due to related parties:        Ultimate     Senior     Other group             partner     partner     companies     Total   Credits pending to pay   €         -     € (2,427,823 )   € -     € (2,427,823 ) Credits pending collection     -       -       (784 )     (784 ) Trade payable     -       (109,729 )     -       (109,729 ) Total   € -     € (2,537,552 )   € (784 )   € (2,538,336 )   Amount due from (to) as of December 31, 2023 are summarized as follows:   Due from related parties:        Ultimate     Senior     Other group             partner     partner     companies     Total   Credits pending collection   €         -     €         -     € 175,771     € 175,771   Long-term investment     -       -       2,550       2,550   Trade receivables     -       -       1,422,952       1,422,952   Total   € -     € -     € 1,601,273     € 1,601,273     Due to related parties:        Ultimate     Senior     Other group             partner     partner     companies     Total   Credits pending to pay   €         -     € (3,800,000 )   € -     € (3,800,000 ) Credits pending collection     -       72,444       (784 )     71,660   Trade payable     -       (119,610 )     -       (119,610 ) Total   € -     € (3,847,166 )   € (784 )   € (3,847,950 )   All the amounts due to and from related parties are unsecured, non-interest bearing and due on demand, except for the loan agreement from Umbrella Global of €3,800,000. This loan was formalized and signed on June 30, 2023 for a period of five years and an amount of €3,800,000, bearing a market interest rate of 6.25% per year, payable bi-annually. As on June 30, 2024, Turbo Energy has repaid €1,372,177, so the remaining amount of the loan agreement, as of June 30 2024, is €2,427,823.   During the six months ended June 30, 2024 and 2023, a total amount of € 107,277 and €0 has been paid for interest.   Transactions with related parties during the six months ended June 30, 2024 and 2023 were summarized as follows:   Six Months Ended June 30, 2024       Senior     Other group             partner     companies     Total   Sales   € -     € 68,980     € 68,980   *Services received     467,410       -       467,410   Purchases     -       -       -       € 467,410     € 68,980     € 536,390     * Comprised of selling and administrative–related parties of €426,545 and salaries and benefits–related parties of €40,865, which includes stock-based compensation of €32,911 relating to an RSU grant.   Six Months Ended June 30, 2023        Senior     Other group             partner     companies     Total   Sales   € -     € 184,362     € 184,362   Services received     508,590       -       508,590       € 508,590     € 184,362     € 692,952     Our related-party transactions during the six months ended June 30, 2024 include sales of products or services made to or purchases of products or services from affiliated group companies that are under common control and to associates of such group companies. These transactions include income accrued from the commercial activities of the Company. The purchases relate to merchandise that the Company sells in its normal course of commercial operations.   Umbrella Global, as the holding company of the group, assumes all structural costs such as those related to the human resources, licenses, legal, tax, labor, marketing and other generic structural costs. A margin of 13% is applied to these costs and the resulting amount is distributed to the four most significant companies in the group based on their estimated revenue in the monthly management fees.   During the six months ended June 30, 2024 and 2023, the Company incurred management fees to Umbrella Global of €420,000 and €508,590, respectively.   No compensation has been paid to the executives of Crocodile Investment SLU. The Company expects to continue with the same allocation structure in the future.

Bank Loans	6 Months Ended
	Jun. 30, 2024
Bank Loans [Abstract]
BANK LOANS	NOTE 12 – BANK LOANS   Bank loans as of June 30, 2024 and December 31, 2023 are summarized as follows:       June 30, 2024     December 31, 2023   Bank loans   € 211,757     € 328,236   Lines of credit     2,595,127       3,661,662         2,806,884       3,989,898   less: current portion     (2,806,884 )     (3,895,585 )     € -     € 94,313     The terms and conditions of outstanding bank loans are as follows:             Nominal           June 30, 2024     December 31, 2023   Bank Loans   Currency     interest rate     Year of maturity     Face Value     Carrying Amount     Face Value     Carrying Amount   Bankia SA     EUR       1.50 %     2025       400,000       85,705       400,000       136,379   Targobank SA     EUR       1.87 %     2025       100,000       25,659       100,000       38,322   Banco de Sabadell SA     EUR       1.50 %     2025       250,000       53,327       250,000       85,004   Liberbank     EUR       1.55 %     2025       170,000       47,067       170,000       68,532                               € 920,000     € 211,757     € 920,000     € 328,236     During the six months ended June 30, 2024 and 2023, the Company incurred bank loan interest expense of €4,085 and €4,132, respectively.   The Company’s obligations are secured by substantially all of the assets of the Company.   Principal repayments to maturity by fiscal year are as follows:   Year ended December 31,       2024 (excluding the six months ended June 30, 2024)   € 117,447   2025     94,310   Thereafter     -   Total   € 211,757     In addition, the Company maintains the following lines of credit:   As of June 30, 2024,                         June 30,                         2024   Line of credit   Credit Limit     Nominal interest rate     Maturity     Carrying Value   Caixabank   € 2,500,000       0.60% + Euribor       3/25/2025     € 1,087,467   Sabadell     2,400,000       1.20% + Euribor       2/28/2025       -   BBVA     1,000,000       1.90% + Euribor       12/22/2025       -   BBVA     570,000       1.90% + Euribor       12/22/2025       -   Santander     4,000,000       0.45% + Euribor       2/28/2025       1,507,660   Abanca     700,000       2.00% + Euribor       11/30/2024       -       € 11,170,000                     € 2,595,127     As of December 31, 2023,                          December 31,                         2023   Line of credit   Credit Limit     Nominal interest rate     Maturity     Carrying Value   Caixabank   € 2,500,000       2.00% + Euribor       4/25/2024     € 2,308,058   Sabadell     2,700,000       2.75% + Euribor       5/28/2024       -   BBVA     1,500,000       1.65% + Euribor       12/22/2024       270,866   Santander     4,000,000       1.65% + Euribor       6/28/2024       1,012,738   Abanca     700,000       2.00% + Euribor       11/30/2024       -   Bankinter ICO     700,000       1.40% + Euribor       6/21/2024       70,000       € 12,100,000                     € 3,661,662     The Company has a €2.6 million facility that is unsecured and can be drawn down to meet short-term financing needs. The facility has a maturity of one to three years for the ICO credit lines that renews automatically at the option of the Company. Interest is payable at an average rate of Euribor plus 2.11 basis points. During the six months ended June 30, 2024 and 2023, the Company incurred interest expense from line of credit of €42,095 and €133,977, respectively.

Share Capital	6 Months Ended
	Jun. 30, 2024
Share Capital [Abstract]
SHARE CAPITAL	NOTE 13 – SHARE CAPITAL   Authorized   The Company has authorized 75,085,700 ordinary shares with a par value of €0.05.   Issuances   On September 22, 2023, the Company announced an IPO of 1,000,000 American Depositary Shares (“ADSs”), representing 5,000,000 ordinary shares, at a price of $5.00 per ADS to the public for a total of $5,000,000 of gross proceeds to the Company, before deducting underwriting discounts and offering expenses (the “Offering”). The ADSs began trading on the Nasdaq Capital Market under the symbol “TURB.” During December 2023, the Company issued 5,000,000 ordinary shares from the IPO for proceeds of €3,354,781, net of share offering costs and underwriting cost of €1,350,200.   During December 2022, we issued 50,000,000 ordinary shares (pre-stock split: 2,500,000 shares) for proceeds of €2,500,000, to our parent company, who is also our sole shareholder.   The Company has reflected this issuance of ordinary shares for all periods presented due to their nominal value, relative to the IPO. The Company accounted for the proceeds as share capital in the year ended December 31, 2022. Earnings per share and ordinary shares outstanding have been retroactively reflected to show this issuance from the earliest period reported.   Stock Split   In February 2023, the Company approved a forward stock split of the issued and outstanding ordinary shares on a 20-for-1 basis. We increased our issued and outstanding share capital from 2,504,285 ordinary shares to 50,085,700 ordinary shares. The approval, from the Commercial Registry of Valencia, for the forward stock split was approved on February 1, 2023. The consolidated financial statements retrospectively reflected the forward stock split.   Issued and outstanding   As of June 30, 2024 and December 31, 2023, the total issued and outstanding share capital consists of 50,085,700 ordinary shares at €2,754,285, all subscribed and paid up.   RSUs   On April 5, 2024, the compensation committee and the board of directors of the Company approved the grant of 1,780,330 RSUs, which can be converted into 356,067 American Depositary Shares of the Company, representing 1,780,330 ordinary shares of the Company, to certain officers, directors and employees of the Company with the vesting date of January 1, 2027. During the six months ended June 30, 2024, the Company recorded €32,911 stock-based compensation expense. The stock-based compensation incurred from ordinary shares awarded was reported under salaries and benefits–related parties in the statements of operations with share-based payment reserve of €32,911 recognized under reserve in the balance sheets.   The 1,780,330 RSUs were valued at €383,064 based on the stock price of the Company at €1.08 per share on the grant date of April 5, 2024.   A summary of activity regarding the RSUs issued is as follows:             Weighted Average       Original Common     Grant Date Fair Value       Shares     Per Share   Balance, December 31, 2023     -     € -   Granted     1,780,330       0.22   Vested     -       -   Forfeited     -       -   Balance, June 30, 2024     1,780,330     € 0.22     As of June 30, 2024, the unrecognized stock-based compensation of €350,153 is expected to be recognized over a weighted-average period of 2.5 years.

Reserve	6 Months Ended
	Jun. 30, 2024
Reserve [Abstract]
RESERVE	NOTE 14 – RESERVE   As of June 30, 2024 and December 31, 2023, reserve was €1,444,757 and €1,411,846, respectively, and was comprised of legal reserves, share-based payment reserve and other reserves.   Legal Reserve   In accordance with the capital company law, companies must allocate an amount equal to 10% of the profit for the year to the legal reserve until it reaches 20% of the share capital. The legal reserve may only be used to increase the share capital. Except for the above purpose and as long as it does not exceed 20% of the share capital, the legal reserve can only be used to offset losses, provided there are no other reserves available sufficient for this purpose. As of June 30, 2024 and December 31, 2023, it was partially constituted after the aforementioned capital increase. As of June 30, 2024 and December 31, 2023, legal reserve was €500,857.   Share-Based Payment Reserve   During the six months ended June 30, 2024, the Company recognized share-based payment reserve of €32,911 from the grant of 1,780,330 RSUs on April 5, 2024 with a vesting date of January 1, 2027. (See Note 13)   Other Reserve   The Company maintains unrestricted reserve for undistributed profits from previous years. As of June 30, 2024 and December 31, 2023, the other reserves were €910,989.

Leases	6 Months Ended
	Jun. 30, 2024
Leases [Abstract]
LEASES	NOTE 15 – LEASES   As of June 30, 2024 and December 31, 2023, the Company had the following lease obligations:     Discount       June 30,     December 31,   Rate   Maturity   2024     2023   1.5 % - 3.0%   2024-2025   € 56,094     € 37,579   1.5 % - 3.0%   2024-2025     10,307       18,487           € 66,401     € 56,066     Balance - December 31, 2022   € 95,059   Lease liability additions     19,353   Repayment of Lease liability     (60,523 ) Interest expense on lease liabilities     2,177   Balance - December 31, 2023   € 56,066   Lease liability additions from lease modification     41,946   Repayment of Lease liability     (32,665 ) Interest expense on lease liabilities     1,054   Balance - June 30, 2024   € 66,402     On September 8, 2020, the Company entered into a vehicle lease agreement under a four-year term and monthly lease payment of €527.   On January 1, 2021, the Company entered into an office lease agreement under a five-year term and monthly lease payment of €827 for the first year with an escalation rate of Consumer Price Index (CPI) plus 2% per annum. On June 30, 2022, the Company terminated the office lease contract.   On June 1, 2022, the Company entered into an office lease agreement under a two-year term, but extendable for three years upon expiry, and a monthly lease payment of €3,384 during the first year and €3,492 during the second year. On April 1, 2024, the Company extended the office lease for one additional year starting from June 2024 through May 2025 with monthly payment at €3,618.   On September 26, 2022, the Company entered into a vehicle lease agreement under a three-year term and monthly lease payment of €420.   On November 15, 2022, the Company entered into a vehicle lease agreement under a three-year term and monthly lease payment of €417.   On August 17, 2023, the Company entered into a vehicle lease agreement under a three-year term and monthly lease payment of €572.   The following table summarizes the maturity of our lease liabilities as of June 30, 2024:   Year Ended December 31,   2024 (excluding six months ended June 30, 2024)   € 31,334   2025     33,020   2026     4,000   Total lease payments     68,354   Less: financing cost     (1,953 ) Lease liabilities   € 66,401     As of June 30, 2024 and December 31, 2023, the Company has right-of-use assets as follows:   Balance - December 31, 2022   € 94,106   Additions     19,353   Depreciation     (58,524 ) Balance - December 31, 2023   € 54,935   Additions from lease modification     41,946   Depreciation     (31,571 ) Balance - June 30, 2024   € 65,310

Financial Instruments and Risk Management	6 Months Ended
	Jun. 30, 2024
Financial Instruments and Risk Management [Abstract]
FINANCIAL INSTRUMENTS AND RISK MANAGEMENT	NOTE 16 – FINANCIAL INSTRUMENTS AND RISK MANAGEMENT   Set out below are categories of financial instruments and fair value measurements as of June 30, 2024 and December 31, 2023:       June 30,     December 31,       2024     2023   Financial assets at fair value             Cash   € 495,877     € 620,531                     Financial assets at amortized cost                 Accounts receivable and other receivables   € 1,261,252     € 2,221,080   Amount due from related parties   € 184,883     € 1,601,273                     Financial liabilities at amortized cost                 Accounts payable and accrued liabilities   € 2,056,062     € 2,043,559   Amount due to related parties   € 2,538,336     € 3,847,950   Lease liabilities   € 66,401     € 56,066   Bank loans   € 2,806,884     € 3,989,898     Liquidity Risk   Liquidity risk is the risk that the Company will not have sufficient cash resources to meet its financial obligations as they come due in the normal course of business. Liquidity risk also includes the risk of not being able to liquidate assets in a timely manner at a reasonable price. Difficulty accessing capital markets could impair the Company’s capacity to grow, execute its business model and generate financial returns. The Company manages its liquidity risk by monitoring its operating requirements to ensure financial resources are available, actively monitoring market conditions and by diversifying its sources of funding and maintaining a diversified maturity profile of its debt obligations.   Credit Risk   Credit risk is the risk that one party to a financial instrument will cause a financial loss for the other party by failing to discharge an obligation. The Company’s main credit risk relates to its cash and accounts receivable. The Company’s credit risk is reduced by a broad customer base and a review of customer credit profiles.   The Company’s maximum exposure to credit risk corresponds to the carrying amount for all cash and accounts receivable. Cash is held with prominent financial institutions. Accounts receivable are held with vendors in which the Company has a historically strong relationship with or related to VAT receivable.   The Company mitigates credit risk associated with its trade receivables through established credit approvals, limits and a regular monitoring process. The Company generally considers the credit quality of its financial assets that are neither past due nor impaired to be solid. Credit risk is further mitigated due to the large number of customers and their dispersion across geographic areas.   As of June 30, 2024 and December 31, 2023, there was one customer and one customer with amount outstanding that exceed 10% of the Company’s revenue that totaled 11% and 13% in aggregate, respectively. The Company assessed credit risk as low.   Market Risk   Market risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market prices. Market risk comprises three types of risk: currency risk, interest rate risk and other price risk.   Currency Risk   Currency risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in foreign exchange rates. The Company is not exposed to significant currency risk.   Interest Risk   Interest rate risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in market interest rates. The Company is exposed to interest rate risk on its lines of credit due to fluctuations in interest rates. The Company’s bank loans and leases have fixed rates of interest resulting in limited interest rate fair value risk for the Company. The Company manages interest rate risk by seeking financing terms in individual arrangements that are most advantageous taking into account all relevant factors, including credit margin, term and basis. The risk management objective is to minimize the potential for changes in interest rates to cause adverse changes in cash flows to the Company.   Other Price Risk   Other price risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market prices (other than those arising from interest rate risk or currency risk), whether those changes are caused by factors specific to the individual financial instrument or its issuer, or factors affecting all similar financial instruments traded in the market. The Company is not exposed to other price risk.   Capital Management   The Company’s capital consists of share capital and reserve. The Company’s capital management is designed to ensure that it has sufficient financial flexibility both in the short and long-term to support its financial obligations and the future development of the business.   The Company manages its capital with the following objectives:     (i) Ensuring sufficient liquidity is available to support its financial obligations and to execute its operating strategic plans;     (ii) Maintaining financial capacity and flexibility through access to capital to support future development of the business;     (iii) Minimizing its cost of capital and considering current and future industry, market and economic risks and conditions; and     (iv) Utilizing short-term funding sources to manage its working capital requirements and long- term funding sources to match the long-term nature of the property, plant and equipment of the business.   There were no changes to the Company’s approach to capital management during the six months ended June 30, 2024 and 2023. The Company is not subject to externally imposed capital requirements.

Revenue	6 Months Ended
	Jun. 30, 2024
Revenue [Abstract]
REVENUE	NOTE 17 – REVENUE   The Company’s sales derived from sales of smart energy storage solutions. The following is the Company’s revenue by geographical markets during the six months ended June 30, 2024 and 2023:       Six Months Ended June 30,       2024     2023   Spain   € 3,660,964     € 5,839,373   Europe     1,162,753       1,083,065   Rest of the world     53,756       281,051       € 4,877,473     € 7,203,489     During the six months ended June 30, 2024 and 2023, the Company recognized revenue of €4,877,473 and €7,203,489, of which €68,980 and €184,362 derived from related parties, respectively.   We consider related parties those Companies that are part of Umbrella Global.

Cost of Revenue	6 Months Ended
	Jun. 30, 2024
Cost of Revenue [Abstract]
COST OF REVENUE	NOTE 18 – COST OF REVENUE       Six Months Ended June 30,       2024     2023   Purchase of finished goods   € 5,375,537     € 6,012,282   Purchase of raw materials     1,056       927   Outsourcing service     2,550       504   Inventory adjustment     (263,201 )     -       € 5,115,942     € 6,013,713     During the six months ended June 30, 2024 and 2023, the Company incurred cost of sales of €5,115,942 and €6,013,713, of which €0 and €0 derived from related parties, respectively.

Selling and Administrative Expenses	6 Months Ended
	Jun. 30, 2024
Selling and Administrative Expenses[Abstract]
SELLING AND ADMINISTRATIVE EXPENSES	NOTE 19 – SELLING AND ADMINISTRATIVE EXPENSES   The Company incurred the following selling and administrative expenses during the six months ended June 30, 2024 and 2023.       Six Months Ended June 30,       2024     2023   Professional fees   € 903,531     € 566,062   Shipping and handling expenses     100,251       148,720   Warehouse handling     35,667       44,539   Miscellaneous operating expenses     133,704       45,596   Marketing and advertising     125,336       242,940   Leases and royalties     84,491       66,409   Insurance premiums     104,674       38,167   Repair and conservation     6,004       19,831   Supplies     2,244       1,506   Depreciation of property and equipment     5,829       10,051   Amortization of intangible assets     24,842       25,141   Amortization of right-of-use assets     31,571       27,957       € 1,558,144     € 1,236,919     During the six months ended June 30, 2024 and 2023, the Company incurred selling and administrative expenses of €1,558,144 and €1,236,919, of which €426,545 and €508,590 derived from related parties, respectively.

Supplemental Cash Flow Information	6 Months Ended
	Jun. 30, 2024
Supplemental Cash Flow Information [Abstract]
SUPPLEMENTAL CASH FLOW INFORMATION	NOTE 20 – SUPPLEMENTAL CASH FLOW INFORMATION   Set out below are non-cash investing and financing activities during the six months ended June 30, 2024 and 2023:   Non-cash investing and financing activities:       Six Months Ended       2024     2023   Reallocation of opening deficit to reserve   € -     € (1,028,578 ) Recognition of right-of-use assets from lease modification   € 41,946     € (1,028,578 )   During the six months ended June 30, 2024 and 2023, the Company paid interest of € 60,065 and €158,321 and income taxes of €252 and €0, respectively.

Subsequent Events	6 Months Ended
	Jun. 30, 2024
Subsequent Events [Abstract]
SUBSEQUENT EVENTS	NOTE 21 – SUBSEQUENT EVENTS   Enerfip Agreement   On August 26, 2024, Turbo Energy entered into an agreement with Enerfip, a leading France-based crowdfunding platform, providing for the Company to explore, through Enerfip’s crowdfunding platform, financing from European individual investors, namely investors residing in France and Spain. If Turbo Energy’s project receives acceptance and interest among investors on Enerfip’s platform, the form agreed between the parties to carry out the financing would be to raise €2,000,000 on a first tranche through a 36-month simple debt bond, with an interest rate of 8.75% (“Crowd Bond”). The interest will be repaid semiannually. October 28, 2024, the Company closed the issuance of the first tranche and reported on Form 6-K filed with the SEC that the yielded subscriptions amounting to gross proceeds of €914,110.   Connection Holdings Agreement   On October 18, 2024, the Company into a non-exclusive Strategic Advisory Agreement (the “Agreement”) with Connection Holdings, LLC, a Nevada limited liability company. Pursuant to the Agreement, Connection Holdings will collaborate with the Company to expand Turbo Energy’s solar energy storage business into the United States through implementation of a phased commercialization strategy involving the introduction of the Company’s SUNBOX Split Phase Series 10.0, Split Phase Hybrid Series 48V 10.0 Inverter with Back-Up Mode, Lithium Series Pro 5.1kWH Battery and related cloud-based, software-as-a-solution technology powered by Artificial Intelligence (“AI”), collectively referred to hereafter as “Turbo Energy Products.” The term of the Agreement shall be bifurcated into two phases, with Phase 1 commencing on July 15, 2024 and continuing through February 28, 2025; and Phase 2 commencing on January 1, 2025 and terminating on December 31, 2025. However, the term of Phase 2 may be renewed every six months thereafter at the sole discretion of Turbo. In accordance with the terms and conditions of the Agreement, Connection Holdings will be entitled to earn commissions equal to 2% of all Turbo Product net sales up to $10 million (after discounts and excluding taxes) made to customers located within the United States. In the Company’s sole discretion, commissions earned by Connection Holdings may be paid in either cash or in equity consideration equal to a number of ADSs valued at 100% of the payable commission and factored at $5.00 per ADR.     Subject to Connection Holdings achieving predetermined sales quotas and other key performance indicators as defined in the Agreement, Connection Holdings is also eligible to earn warrants in up to four tranches to purchase in aggregate up to 2.5% of the Company’s total outstanding ordinary shares, as converted to ADSs that are issued and outstanding on October 18, 2024, or up to 275,428 ADSs. The issuance of the ADSs will be made in reliance on an exemption from the registration requirements of Section 5 of the Securities Act of 1933, as amended, contained in Section 4(a)(2) thereof and Regulations D and/or S thereunder. The Agreement also provides for Connection Holdings to be reimbursed for all expenses pre-approved by the Company.    Flash Flooding in Southern Spain   On October 29, 2024, southern regions of Spain suffered one of the country’s deadliest natural disasters in recent history, with heavy downpours resulting in severe flash flooding that claimed the lives of over 200 people and left Valencia, Spain and other neighboring regions in ruins. Turbo Energy is headquartered in Valencia. While the Company confirmed that all of its employees and their families were safe and accounted for and our production systems and supply chain resources remain fully functional, management is still evaluating the impact on its business operations, namely damage that may have affected some of its inventory.

Accounting Policies, by Policy (Policies)	6 Months Ended
	Jun. 30, 2024
Accounting Policies [Abstract]
Statement of compliance	Statement of Compliance The unaudited condensed interim consolidated financial statements of Turbo Energy have been prepared in accordance with International Financial Reporting Standards (“IFRS”) and interpretations issued by the IFRS Interpretations Committee (“IFRS IC”) applicable to companies reporting under IFRS. The consolidated financial statements comply with IFRS as issued by the International Accounting Standards Board (“IASB”). These consolidated financial statements were approved by the board of directors (the “Board”) of the Company on October 29, 2024.
Basis of presentation	Basis of Presentation The consolidated financial statements of the Company were prepared on a historical cost basis except where certain financial instruments that are required to be measured at fair value. These consolidated financial statements have been prepared using the accrual basis of accounting, except for cash flow information. The consolidated financial statements are presented in Euro, which is the Company’s functional currency. Transactions in currencies other than the functional currency are recorded in accordance with the policies stated under Foreign Currency Transaction in Note 2.
Reclassification	Reclassification Certain amounts from prior period have been reclassified to conform to the current period presentation. These reclassifications had no impact on reported operating and net loss.
Revenue Recognition	Revenue Recognition The Company designs, develops, and distributes equipment for the generation, management, and storage of photovoltaic energy. Our energy storage products are managed, from the cloud and through the inverter of the installation, by an advanced software system which is optimized by artificial intelligence (“AI”). The key advantage is that our products, when compared to conventional battery storage systems, reduce electricity bills and protect the installation from power outages. The Company’s revenue is primarily generated from sales of inverters, batteries and photovoltaic modules to installers and other distributors for residential consumers under individual customer purchase orders, some of which have underlying master sales agreements that specify terms governing the product sales. The Company recognizes such revenue at the point in time when control of the products is transferred to the customer at the estimated net consideration for which collection is probable, taking into account the customer’s rights to unit rebates and rights to return unsold products. Transfer of control occurs either when products are shipped to or received by the distributor or direct customer, based on the terms of the specific agreement with the customer, if the Company has a present right to payment and transfer of legal title and the risks and rewards of ownership to the customer has occurred. For most of the Company’s product sales, transfer of control occurs upon shipment to the distributor or direct customer. In assessing whether collection of consideration from a customer is probable, the Company considers the customer’s ability and intention to pay that amount of consideration when it is due. Payment of invoices is due as specified in the underlying customer agreement, which is typically 30 to 60 days from the invoice date, which occurs on the date of transfer of control of the products to the customer.   Since payment terms are less than a year, the Company has elected the practical expedient and does not assess whether a customer contract has a significant financing component. A five-step approach is applied in the recognition of revenue: (1) identify the contract with a customer, (2) identify the performance obligations in the contract, (3) determine the transaction price, (4) allocate the transaction price to the performance obligations in the contract, and (5) recognize revenue when the Company satisfies a performance obligation. Customer purchase orders, plus the underlying master sales agreements, are considered to be contracts with the customer for purposes of applying the five-step approach. Returns under the Company’s general assurance warranty of products have not been material historically and warranty-related services are not considered a separate performance obligation under the customer orders. Each distinct promise to transfer products is considered to be an identified performance obligation for which revenue is recognized upon transfer of control of the products to the customer. The Company has also elected to record sales commissions when incurred, as the period over which the sales commission asset that would have been recognized is less than one year.
Concentration of Revenue by Customer	Concentration of Revenue by Customer For the six months ended June 30, 2024, there were zero customers which comprised greater than 10% of the Company’s revenue; and for the six months ended June 30, 2023, there was one customer which represented 12% of the Company’s revenue.
Cash and Cash Equivalents	Cash and Cash Equivalents Cash consists of highly liquid instruments purchased with an original maturity of three months or less. As of June 30, 2024 and December 31, 2023, the Company had cash of €495,877 and €620,531, respectively. The Company does not have any cash equivalents. The Company minimizes the concentration of credit risk associated with its cash by maintaining its cash with high-quality insured financial institutions. However, cash balances in excess of the Spanish government insured limit (Fondo de Garantía de Depósitos (FDG)) of €100,000 are at risk.
Accounts Receivable	Accounts Receivable Accounts receivable are recorded at the invoiced amount and do not bear interest. The allowance for doubtful accounts is the Company’s best estimate of the amount of probable credit losses in its existing accounts receivable. The Company conducts credit checks on all customers that request term payments.
Inventories	Inventories Inventories are valued at their acquisition cost, production cost or net realizable value, whichever is lower. Discounts for prompt payment are included as a lower price, whether or not they appear on the invoice, and assigning value to its inventories. The Company adopts the weighted average price method. Net realizable value represents the estimated sales price less all estimated costs that will be incurred in the process of commercialization, sales and distribution. The Company makes the appropriate valuation adjustments, recording impairment expense when the net realizable value of the inventories is less than their acquisition cost.
Property and Equipment	Property and Equipment Property and equipment is recognized and subsequently measured at cost less accumulated depreciation and any accumulated impairment losses, if any. When components of property and equipment have different useful lives, they are accounted for separately. Depreciation is provided at rates which are calculated to write off the assets over their estimated useful lives as follows: Furniture     10 years straight line   Tools and machinery     4 years straight line   Right-of-use assets     Over term of the lease
Intangible Assets	Intangible Assets Acquired intangible assets are initially measured at cost. Following the initial recognition, intangible assets are measured at cost less any accumulated amortization and any impairment losses. The useful lives of intangible assets are either definite or indefinite. Intangible assets that have a finite useful life are amortized over the assessed useful economic life and are assessed for impairment when there are any indicators present that the intangible asset may be impaired. The Company reviews the amortization period and method at least annually, and any changes are treated as changes in accounting estimates and applied prospectively. Computer application and webpage are amortized over estimated useful lives of three years and Software is amortized over estimated useful lives of five years.
Leases	Leases The determination of whether an arrangement is, or contains, a lease is based on the substance of the agreement on the inception date. As a lessee, the Company recognizes a lease obligation and a right-of-use asset in the statements of financial position on a present-value basis at the date when the leased asset is available for use. Each lease payment is apportioned between a finance charge and a reduction of the lease obligation. Finance charges are recognized in finance cost in the statements of income and comprehensive income. The right of-use assets are depreciated over the shorter of their estimated useful life and the lease term on a straight-line basis. Lease obligations are initially measured at the net present value of the following lease payments:   ● fixed payments (including in-substance fixed payments), less any lease incentives;   ● variable lease payments that are based on an index or a rate;   ● amounts expected to be payable under residual value guarantees;   ● the exercise price of a purchase option if the Company is reasonably certain to exercise that option; and   ● payments of penalties for terminating the lease, if the lease term reflects the Company exercising that option. Lease payments are discounted using the interest rate implicit in the lease, or if this rate cannot be determined, the Company’s incremental borrowing rate. Right-of-use assets are initially measured at cost comprising the following:   ● the amount of the initial measurement of the lease obligation;   ● any lease payments made at or before the commencement date less any lease incentives received; and   ● any initial direct costs and rehabilitation costs. Payments associated with short-term leases and leases of low-value assets are recognized on a straight-line basis as an expense in the statements of income and comprehensive income. Short-term leases are leases with a lease term of 12 months or less.
Share Capital	Share Capital Ordinary shares are classified as equity, net of transaction costs directly attributable to the issuance of ordinary shares. Ordinary shares issued for consideration other than cash are based on their market value as of the date the ordinary shares are issued.
Restricted Stock Units	Restricted Stock Units The plan administrator may award restricted stock units (“RSUs”) which represent the right to receive ordinary shares at a future date in accordance with the terms of such grant upon the attainment of certain conditions specified by the plan administrator. Restrictions or conditions could include, but are not limited to, the attainment of performance goals, continuous service with the Company or its subsidiaries, the passage of time or other restrictions or conditions. The plan administrator determines the persons to whom grants of RSUs are made, the number of RSUs to be awarded, the time or times within which awards of RSUs may be subject to forfeiture, the vesting schedule, and rights to acceleration thereof, and all other terms and conditions of the RSU awards. The value of the RSUs may be paid in ordinary shares, cash, other securities, other property or a combination of the foregoing, as determined by the plan administrator.
Share-Based Compensation	Share-Based Compensation The Company accounts for share-based compensation under the fair value method in accordance with IFRS 2, “Share-based Payment,” which requires all such compensation to employees and non-employees to be calculated based on its fair value of the equity instrument at the grant date and recognized in the earnings over the requisite service or vesting period. (See Note 13)
Share-Based Payment Reserves	Share-Based Payment Reserves The share-based payment reserve record items are recognized as share-based compensation expense and other share-based payments until such time that the RSUs are vested, at which time the corresponding amount will be transferred to share capital.
Liquidity	Liquidity The Company incurred a net loss of €2,861,331 during the six-month period ended June 30, 2024. However, the Company successfully completed its Initial Public Offering (“IPO”) and commenced trading on The Nasdaq Stock Market on September 22, 2023, thereby raising €3.8 million, net of expenses related to the IPO process; and it has retained a large portion of those cash funds as of the day of this report. As of June 30, 2024, the Company had positive working capital of €2,454,052. The Company finds itself in a sector – the energy storage market – which many industry research studies and forecasts have predicted will experience significant, exponential growth in the coming years. Also, Turbo Energy is a consolidated company with more than ten years of industry experience. In recent years, the Company has been making significant investments in development and research, which is expected to allow it to position itself as a company offering a highly differentiated value proposition to customers when compared to other companies in the sector. Turbo Energy is focused on carefully balancing investments in continued innovation and systemic cost discipline to deliver affordable, high performance solar energy storage technologies and solutions adaptable to every home, business, industrial plant and government facility across the globe. The Company’s existing cash resources are expected to provide sufficient working capital to allow Turbo Energy to execute its planned operations and expansion plan for more than 12 months. Also, the Company’s majority shareholder, Umbrella Global, has explicitly expressed its full support to Turbo Energy, indicating that it is prepared to provide additional financial support and resources to the Company in the event that it is needed by Turbo Energy to successfully execute its operations and expansion plan.
Provisions	Provisions Provisions are recognized when there is a present legal or constructive obligation as a result of a past event, for which it is probable that a transfer of economic benefits will be required to settle the obligation, and where a reliable estimate can be made of the amount of the obligation. Provisions are discounted using a pre-tax discount rate that reflects the current market assessments of the time value of money and the risks specific to the liability, if material. Where discounting is used, the increase in the provision due to passage of time (“accretion expense”) is recognize as an expense on the statements of operations.
Foreign currency transactions	Foreign currency transactions The functional currency used by the Company is the euro. Consequently, operations in currencies other than the euro are considered to be denominated in foreign currency and are recorded at the exchange rates in force on the dates of the operations. At period-end, monetary assets and liabilities denominated in foreign currency are converted by applying the exchange rate on the balance sheet date. The profits or losses revealed are charged directly to the profit and loss account for the period in which they occur. On each balance sheet date, monetary assets and liabilities in foreign currency are converted at the rates in force on the closing date. Non-monetary items in foreign currency measured in terms of historical cost are converted at the exchange rate on the date of the transaction. The exchange differences of the monetary items that arise both when liquidating them and when converting them at the closing exchange rate, are recognized in the results of the period, except those that are part of the investment of a business abroad, which are recognized directly in equity net of taxes until the time of its disposal.
Income per share	Income per share Basic income per share is calculated by dividing the income attributable to ordinary shareholders by the weighted average number of ordinary shares outstanding in the period. For all periods presented, the income attributable to ordinary shareholders equals the reported income attributable to owners of the Company. Diluted income per share is calculated by the treasury stock method. Under the treasury stock method, the weighted average number of ordinary shares outstanding for the calculation of diluted income per share assumes that the proceeds to be received on the exercise of dilutive share options and warrants are used to repurchase ordinary shares at the average market price during the period. For the six months ended June 30, 2024 and 2023, RSUs were potentially instruments and were not included in the calculation of diluted loss per share as their effect would be antidilutive.     June 30, 2024     June 30, 2023       (Ordinary Shares)     (Ordinary Shares)   RSUs     1,780,330       -
Impairment of non-financial assets	Impairment of non-financial assets At the end of each reporting period, the Company reviews the carrying amounts of its non-financial assets to determine whether there is any indication that the carrying amount is not recoverable. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Management assesses impairment of non-financial assets such as property and equipment and intangible assets. In assessing impairment, management estimates the recoverable amount of each asset or cash generating unit (“CGU”) based on expected future cash flows. The Company has applied judgment in its assessment of the appropriateness of the determination of CGU’s. When measuring expected future cash flows, management makes assumptions about future growth of profits which relate to future events and circumstances. Actual results could vary from these estimated future cash flows. Estimation uncertainty relates to assumptions about future operating results and the application of an appropriate discount rate.
Financial Instruments	Financial Instruments Financial Assets Financial assets are classified as either financial assets at fair value through profit and loss (“FVTPL”), amortized cost, or fair value through other comprehensive income (“FVTOCI”). The Company determines the classification of its financial assets at initial recognition.   Classification and Measurement Classification determines how financial assets and financial liabilities are accounted for in financial statements and, in particular, how they are measured on an ongoing basis. IFRS 9 Financial Instruments approach for the classification of financial assets is driven by cash flow characteristics and the business model in which an asset is held. This single, principle-based approach replaces prior rule-based requirements. The model also results in a single impairment model being applied to all financial instruments. Financial Assets at FVTPL Financial assets carried at FVTPL are initially recorded at fair value and transaction costs are expensed in the statements of income and comprehensive income. Realized and unrealized gains and income arising from changes in the fair value of the financial asset held at FVTPL are included in the statements of income and comprehensive income in the period in which they arise. The Company has classified cash as FVTPL. Financial Assets at FVTOCI Financial assets at FVTOCI are initially recognized at fair value plus transaction costs. Subsequently they are measured at fair value, with gains and losses arising from changes in fair value recognized in other comprehensive income. There is no subsequent reclassification of fair value gains and losses to profit or loss following the derecognition of the investment. There are no financial assets classified as FVTOCI. Financial Assets at Amortized Cost Financial assets at amortized cost are initially recognized at fair value, net of transaction costs, and subsequently carried at amortized cost less any impairment. They are classified as current assets or non- current assets based on their maturity date. The Company has classified accounts receivable and amounts due from related parties at amortized cost. Financial assets are derecognized when they mature or are sold, and substantially all the risks and rewards of ownership have been transferred. Financial Liabilities Financial liabilities are classified as either financial liabilities at FVTPL or at amortized cost. The Company determines the classification of its financial liabilities at initial recognition. Financial liabilities are classified as measured at amortized cost, net of transaction costs unless classified as FVTPL. The Company’s accounts payable and accrued liabilities, amounts due to related parties, lease liabilities and bank loans are classified as measured at amortized cost. The Company’s bank loans were classified as measured at amortized cost at June 30, 2024 and December 31, 2023. During the six months ended June 30, 2024 and 2023, the Company incurred €46,180 and €138,109 interest on bank loans, respectively.
Fair Value Measurements	Fair Value Measurements Fair value measurements are made using a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value:   ● Level 1 – defined as observable inputs such as quoted prices in active markets;   ● Level 2 – defined as inputs other than quoted prices in active markets that are either directly or indirectly observable; and   ● Level 3 – defined as unobservable inputs in which little or no market data exists, therefore requiring an entity to develop its own assumptions.   The fair value measurement is categorized in its entirety by reference to its lowest level of significant input. Fair value is based on estimated cash flows, discounted at interest rates for similar instruments. The carrying amounts shown of the Company’s financial instruments including cash, accounts receivable, inventories, accounts payable and accrued liabilities approximate their fair value (Level 1) due to the short-term maturities of these instruments.
Impairment of Financial Assets	Impairment of Financial Assets The Company assesses at each statement of financial position date whether there is objective evidence that a financial asset or group of financial assets is impaired. The Company recognizes expected credit losses (“ECL”) for accounts receivable based on the simplified approach. The simplified approach to the recognition of expected losses does not require the Company to track the changes in credit risk; rather, the Company recognizes a loss allowance based on lifetime expected credit losses at each reporting date from the date of the account receivable. The Company measures expected credit loss by considering the risk of default over the contract period and incorporates forward-looking information into its measurement. ECLs are a probability-weighted estimate of credit losses. ECLs are measured as the difference in the present value of the contractual cash flows that are due to the Company under the contract, and the cash flows that the Company expects to receive. The Company assesses all information available, including past due status, and forward looking macro- economic factors in the measurement of the ECLs associated with its assets carried at amortized cost. The maximum period considered when estimating ECLs is the maximum contractual period over which the Company is exposed to credit risk.
New Accounting Pronouncements	New Accounting PronouncementsAdoption of New Accounting PoliciesClassification of Liabilities as Current or Non-current (Amendments to IAS 1)The amendments to IAS 1 provide a more general approach to the classification of liabilities based on the contractual arrangements in place at the reporting date. These amendments are effective for reporting periods beginning on or after January 1, 2024. The adoption of these amendments did not have a material impact on the Company’s consolidated financial statements.New Standards and Amendments Issued But Not Yet EffectivePresentation and Disclosure in Financial Statements — IFRS 18In April 2024, the IASB issued IFRS 18, which will replace IAS 1 - Presentation of Financial Statements. The standard aims to improve the manner in which companies communicate in their financial statements, with a focus on information about financial performance in the statement of profit or loss, specifically introducing additional defined subtotals, disclosures about management-defined performance measures and new principles for aggregation and disaggregation of information. IFRS 18 is accompanied by limited amendments to the requirements in IAS 7 Statement of Cash Flows. IFRS 18 is effective from 1 January 2027. Companies are permitted to apply IFRS 18 before that date. The Company is evaluating the impact of the above amendments on its consolidated financial statements.

Material Accounting Policies (Tables)	6 Months Ended
	Jun. 30, 2024
Material Accounting Policies [Abstract]
Schedule of Estimated Useful Lives	Depreciation is provided at rates which are calculated to write off the assets over their estimated useful lives as follows: Furniture     10 years straight line   Tools and machinery     4 years straight line   Right-of-use assets     Over term of the lease
Schedule of Diluted Loss Per Share as their Effect would be Antidilutive	For the six months ended June 30, 2024 and 2023, RSUs were potentially instruments and were not included in the calculation of diluted loss per share as their effect would be antidilutive.     June 30, 2024     June 30, 2023       (Ordinary Shares)     (Ordinary Shares)   RSUs     1,780,330       -

Accounts Receivable and Other Receivables, Net (Tables)	6 Months Ended
	Jun. 30, 2024
Accounts Receivable and Other Receivables, Net [Abstract]
Schedule of Accounts Receivable and Other Receivables	Accounts receivable and other receivables as of June 30, 2024 and December 31, 2023 are summarized as below:     June 30,     December 31,       2024     2023   Customers by sales provision of services   € 1,636,960     € 2,505,194   VAT receivable     103,873       46,106   Others     26,255       87,702       € 1,767,088     € 2,639,002   Allowance for doubtful accounts     (505,836 )     (417,922 )     € 1,261,252     € 2,221,080

Prepaid Expense (Tables)	6 Months Ended
	Jun. 30, 2024
Prepaid Expense [Abstract]
Schedule of Prepaid Expense	Prepaid expense as of June 30, 2024 and December 31, 2023 are summarized as below:     June 30,     December 31,       2024     2023   Advancement to suppliers for inventory   € 1,036,166     € 788,622   Advancement for PP&E under construction     11,683       11,683   Conferences and international fairs     176,728       230,027   Security deposits and others     17,832       17,822       € 1,242,409     € 1,048,154

Property and Equipment (Tables)	6 Months Ended
	Jun. 30, 2024
Property and Equipment [Abstract]
Schedule of Property and Equipment	Property and equipment as of June 30, 2024 and December 31, 2023 are summarized as follows:     June 30, 2024     December 31, 2023   Furniture   € 56,724     € 56,232   Laboratory Photovoltaic Installation     116,912       116,912   Tools and Machinery     7,530       6,026   Computer     14,915       14,915         196,081       194,085   Accumulated depreciation     (40,830 )     (35,001 )     € 155,251     € 159,084

Intangible Assets (Tables)	6 Months Ended
	Jun. 30, 2024
Intangible Assets [Abstract]
Schedule of Intangible Assets	Intangible assets as of June 30, 2024 and December 31, 2023 are summarized as follows:     June 30, 2024     December 31, 2023   Software development   € 1,066,679     € 636,970   Software SKN1     248,419       248,419   Computer application     33,755       33,755   Web page     6,010       6,010         1,354,863       925,154   Amortization     (114,290 )     (89,448 )     € 1,240,573     € 835,706

Accounts Payable and Accrued Liabilities (Tables)	6 Months Ended
	Jun. 30, 2024
Accounts Payable and Accrued Liabilities [Abstract]
Schedule of Accounts Payable and Accrued Liabilities	Accounts payable and accrued labilities as of June 30, 2024 and December 31, 2023 are summarized as follows:     June 30, 2024     December 31, 2023   Trade payable   € 1,667,141     € 1,847,575   VAT payable     81,551       69,426   Payroll taxes payable     61,119       56,419   Customer deposits     246,251       70,139       € 2,056,062     € 2,043,559

Related Party Transactions (Tables)	6 Months Ended
	Jun. 30, 2024
Related Party Transactions [Abstract]
Schedule of Due from Related Parties	Due from related parties:     Ultimate     Senior     Other group             partner     partner     companies     Total   Credits pending collection   € 250     €         -     € 177,571     € 177,821   Long-term investment     -       -       2,550       2,550   Trade receivables     -       -       4,512       4,512   Total   € 250     € -     € 184,633     € 184,883   Due from related parties:     Ultimate     Senior     Other group             partner     partner     companies     Total   Credits pending collection   €         -     €         -     € 175,771     € 175,771   Long-term investment     -       -       2,550       2,550   Trade receivables     -       -       1,422,952       1,422,952   Total   € -     € -     € 1,601,273     € 1,601,273
Schedule of Due to Related Parties	Due to related parties:     Ultimate     Senior     Other group             partner     partner     companies     Total   Credits pending to pay   €         -     € (2,427,823 )   € -     € (2,427,823 ) Credits pending collection     -       -       (784 )     (784 ) Trade payable     -       (109,729 )     -       (109,729 ) Total   € -     € (2,537,552 )   € (784 )   € (2,538,336 ) Due to related parties:     Ultimate     Senior     Other group             partner     partner     companies     Total   Credits pending to pay   €         -     € (3,800,000 )   € -     € (3,800,000 ) Credits pending collection     -       72,444       (784 )     71,660   Trade payable     -       (119,610 )     -       (119,610 ) Total   € -     € (3,847,166 )   € (784 )   € (3,847,950 )
Schedule of Transactions with Related Parties	Transactions with related parties during the six months ended June 30, 2024 and 2023 were summarized as follows:     Senior     Other group             partner     companies     Total   Sales   € -     € 68,980     € 68,980   *Services received     467,410       -       467,410   Purchases     -       -       -       € 467,410     € 68,980     € 536,390   * Comprised of selling and administrative–related parties of €426,545 and salaries and benefits–related parties of €40,865, which includes stock-based compensation of €32,911 relating to an RSU grant.     Senior     Other group             partner     companies     Total   Sales   € -     € 184,362     € 184,362   Services received     508,590       -       508,590       € 508,590     € 184,362     € 692,952

Bank Loans (Tables)	6 Months Ended
	Jun. 30, 2024
Bank Loans [Abstract]
Schedule of Bank Loans	Bank loans as of June 30, 2024 and December 31, 2023 are summarized as follows:     June 30, 2024     December 31, 2023   Bank loans   € 211,757     € 328,236   Lines of credit     2,595,127       3,661,662         2,806,884       3,989,898   less: current portion     (2,806,884 )     (3,895,585 )     € -     € 94,313
Schedule of Terms and Conditions of Outstanding Bank Loans	The terms and conditions of outstanding bank loans are as follows:           Nominal           June 30, 2024     December 31, 2023   Bank Loans   Currency     interest rate     Year of maturity     Face Value     Carrying Amount     Face Value     Carrying Amount   Bankia SA     EUR       1.50 %     2025       400,000       85,705       400,000       136,379   Targobank SA     EUR       1.87 %     2025       100,000       25,659       100,000       38,322   Banco de Sabadell SA     EUR       1.50 %     2025       250,000       53,327       250,000       85,004   Liberbank     EUR       1.55 %     2025       170,000       47,067       170,000       68,532                               € 920,000     € 211,757     € 920,000     € 328,236
Schedule of Principal Repayments to Maturity by Fiscal Year	Principal repayments to maturity by fiscal year are as follows: Year ended December 31,       2024 (excluding the six months ended June 30, 2024)   € 117,447   2025     94,310   Thereafter     -   Total   € 211,757
Schedule of Company Maintains the Following Lines of Credit	In addition, the Company maintains the following lines of credit:                       June 30,                         2024   Line of credit   Credit Limit     Nominal interest rate     Maturity     Carrying Value   Caixabank   € 2,500,000       0.60% + Euribor       3/25/2025     € 1,087,467   Sabadell     2,400,000       1.20% + Euribor       2/28/2025       -   BBVA     1,000,000       1.90% + Euribor       12/22/2025       -   BBVA     570,000       1.90% + Euribor       12/22/2025       -   Santander     4,000,000       0.45% + Euribor       2/28/2025       1,507,660   Abanca     700,000       2.00% + Euribor       11/30/2024       -       € 11,170,000                     € 2,595,127   As of December 31, 2023                       December 31,                         2023   Line of credit   Credit Limit     Nominal interest rate     Maturity     Carrying Value   Caixabank   € 2,500,000       2.00% + Euribor       4/25/2024     € 2,308,058   Sabadell     2,700,000       2.75% + Euribor       5/28/2024       -   BBVA     1,500,000       1.65% + Euribor       12/22/2024       270,866   Santander     4,000,000       1.65% + Euribor       6/28/2024       1,012,738   Abanca     700,000       2.00% + Euribor       11/30/2024       -   Bankinter ICO     700,000       1.40% + Euribor       6/21/2024       70,000       € 12,100,000                     € 3,661,662

Share Capital (Tables)	6 Months Ended
	Jun. 30, 2024
Share Capital [Abstract]
Schedule of Regarding the RSUs Issued	A summary of activity regarding the RSUs issued is as follows:           Weighted Average       Original Common     Grant Date Fair Value       Shares     Per Share   Balance, December 31, 2023     -     € -   Granted     1,780,330       0.22   Vested     -       -   Forfeited     -       -   Balance, June 30, 2024     1,780,330     € 0.22

Leases (Tables)	6 Months Ended
	Jun. 30, 2024
Leases [Abstract]
Schedule of Lease Obligations	As of June 30, 2024 and December 31, 2023, the Company had the following lease obligations: Discount       June 30,     December 31,   Rate   Maturity   2024     2023   1.5 % - 3.0%   2024-2025   € 56,094     € 37,579   1.5 % - 3.0%   2024-2025     10,307       18,487           € 66,401     € 56,066
Schedule of Lease Liabilities	Balance - December 31, 2022   € 95,059   Lease liability additions     19,353   Repayment of Lease liability     (60,523 ) Interest expense on lease liabilities     2,177   Balance - December 31, 2023   € 56,066   Lease liability additions from lease modification     41,946   Repayment of Lease liability     (32,665 ) Interest expense on lease liabilities     1,054   Balance - June 30, 2024   € 66,402
Schedule of Maturity Lease Liabilities	The following table summarizes the maturity of our lease liabilities as of June 30, 2024: 2024 (excluding six months ended June 30, 2024)   € 31,334   2025     33,020   2026     4,000   Total lease payments     68,354   Less: financing cost     (1,953 ) Lease liabilities   € 66,401
Schedule of Right-of-Use Assets	As of June 30, 2024 and December 31, 2023, the Company has right-of-use assets as follows: Balance - December 31, 2022   € 94,106   Additions     19,353   Depreciation     (58,524 ) Balance - December 31, 2023   € 54,935   Additions from lease modification     41,946   Depreciation     (31,571 ) Balance - June 30, 2024   € 65,310

Financial Instruments and Risk Management (Tables)	6 Months Ended
	Jun. 30, 2024
Financial Instruments and Risk Management [Abstract]
Schedule of Financial Instruments and Fair Value Measurement	Set out below are categories of financial instruments and fair value measurements as of June 30, 2024 and December 31, 2023:     June 30,     December 31,       2024     2023   Financial assets at fair value             Cash   € 495,877     € 620,531                     Financial assets at amortized cost                 Accounts receivable and other receivables   € 1,261,252     € 2,221,080   Amount due from related parties   € 184,883     € 1,601,273                     Financial liabilities at amortized cost                 Accounts payable and accrued liabilities   € 2,056,062     € 2,043,559   Amount due to related parties   € 2,538,336     € 3,847,950   Lease liabilities   € 66,401     € 56,066   Bank loans   € 2,806,884     € 3,989,898

Revenue (Tables)	6 Months Ended
	Jun. 30, 2024
Revenue [Abstract]
Schedule of Revenue by Geographical Markets	The following is the Company’s revenue by geographical markets during the six months ended June 30, 2024 and 2023:     Six Months Ended June 30,       2024     2023   Spain   € 3,660,964     € 5,839,373   Europe     1,162,753       1,083,065   Rest of the world     53,756       281,051       € 4,877,473     € 7,203,489

Cost of Revenue (Tables)	6 Months Ended
	Jun. 30, 2024
Cost of Revenue [Abstract]
Schedule of Cost of Revenue	Six Months Ended June 30,       2024     2023   Purchase of finished goods   € 5,375,537     € 6,012,282   Purchase of raw materials     1,056       927   Outsourcing service     2,550       504   Inventory adjustment     (263,201 )     -       € 5,115,942     € 6,013,713

Selling and Administrative Expenses (Tables)	6 Months Ended
	Jun. 30, 2024
Selling and Administrative Expenses[Abstract]
Schedule of Selling and Administrative Expenses	The Company incurred the following selling and administrative expenses during the six months ended June 30, 2024 and 2023.     Six Months Ended June 30,       2024     2023   Professional fees   € 903,531     € 566,062   Shipping and handling expenses     100,251       148,720   Warehouse handling     35,667       44,539   Miscellaneous operating expenses     133,704       45,596   Marketing and advertising     125,336       242,940   Leases and royalties     84,491       66,409   Insurance premiums     104,674       38,167   Repair and conservation     6,004       19,831   Supplies     2,244       1,506   Depreciation of property and equipment     5,829       10,051   Amortization of intangible assets     24,842       25,141   Amortization of right-of-use assets     31,571       27,957       € 1,558,144     € 1,236,919

Supplemental Cash Flow Information (Tables)	6 Months Ended
	Jun. 30, 2024
Supplemental Cash Flow Information [Abstract]
Schedule of Non-Cash Investing and Financing Activities	Non-cash investing and financing activities:     Six Months Ended       2024     2023   Reallocation of opening deficit to reserve   € -     € (1,028,578 ) Recognition of right-of-use assets from lease modification   € 41,946     € (1,028,578 )

Entity Information (Details) - Nov. 08, 2022	EUR (€) shares	$ / shares
Entity Information [Line Items]
Consumption of electricity | €	€ 2,250
Ordinary share percentage	100.00%
Public offering price per shares | $ / shares		$ 5
Purchase to additional ads	150,000
Percentage of equivalent of ads	15.00%
Underwriting Agreement [Member]
Entity Information [Line Items]
Number of share sold	1,000,000

Material Accounting Policies (Details) - EUR (€)	6 Months Ended		12 Months Ended
	Jun. 30, 2024	Jun. 30, 2023	Dec. 31, 2023
Material Accounting Policies [Line Items]
Cash	€ 495,877		€ 620,531
Incurred net loss	2,861,331		€ 3,800,000
Working capital	2,454,052
Interest on bank loan	€ 46,180	€ 138,109
One Customer [Member]
Material Accounting Policies [Line Items]
Revenue percentage	0.00%	12.00%
Insurance risk [member]
Material Accounting Policies [Line Items]
Cash	€ 100,000

Material Accounting Policies (Details) - Schedule of Estimated Useful Lives	6 Months Ended
	Jun. 30, 2024
Right-of-use assets [Member]
Schedule of Estimated Useful Lives [Line Items]
Estimated useful lives	Over term of the lease
Furniture [Member]
Schedule of Estimated Useful Lives [Line Items]
Estimated useful lives	10 years
Tools and machinery [Member]
Schedule of Estimated Useful Lives [Line Items]
Estimated useful lives	4 years

Material Accounting Policies (Details) - Schedule of Diluted Loss Per Share as their Effect would be Antidilutive - shares	6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023
Restricted share units [member]
Schedule of Diluted Loss Per Share as their Effect would be Antidilutive [Line Items]
RSUs	1,780,330

Accounts Receivable and Other Receivables, Net (Details) - EUR (€)	6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023	Dec. 31, 2023
Accounts Receivable and Other Receivables, Net [Abstract]
Allowance for doubtful accounts	€ 505,836		€ 417,922
Bad debt expense	143,483	€ 4,534
Bad debt recovery	€ 0	€ 10,859

Accounts Receivable and Other Receivables, Net (Details) - Schedule of Accounts Receivable and Other Receivables - EUR (€)	Jun. 30, 2024	Dec. 31, 2023
Schedule of Accounts Receivable and Other Receivables [Abstract]
Customers by sales provision of services	€ 1,636,960	€ 2,505,194
VAT receivable	103,873	46,106
Others	26,255	87,702
Accounts receivable and other receivables, gross	1,767,088	2,639,002
Allowance for doubtful accounts	(505,836)	(417,922)
Accounts receivable and other receivables, net	€ 1,261,252	€ 2,221,080

Inventories (Details)	6 Months Ended			12 Months Ended
	Jun. 30, 2024 EUR (€)	Jun. 30, 2023 EUR (€)	Jun. 30, 2023 USD ($)	Dec. 31, 2023 EUR (€)
Inventories [Line Items]
Finished goods	€ 2,674,957			€ 5,585,959
Inventory in the statements of operations	312,563		$ 0
Provision for obsolescence	139,707			€ 402,908
Top of range [member]
Inventories [Line Items]
Inventory in the statements of operations	€ 49,362
Bottom of range [member]
Inventories [Line Items]
Inventory in the statements of operations		€ 0

Prepaid Expense (Details) - Schedule of Prepaid Expense - EUR (€)	Jun. 30, 2024	Dec. 31, 2023
Schedule of Prepaid Expense [Abstract]
Advancement to suppliers for inventory	€ 1,036,166	€ 788,622
Advancement for PP&E under construction	11,683	11,683
Conferences and international fairs	176,728	230,027
Security deposits and others	17,832	17,822
Total	€ 1,242,409	€ 1,048,154

Investments (Details) - EUR (€)	6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023	Dec. 31, 2023
Investments [Line Items]
Short term investment	€ 1,552,050		€ 2,044,050
Bank aggregate amount	2,000,000
Short term deposit	44,050
Return of short term investments	500,000
Short term investment	8,000
Interest income	€ 32,525	€ 0
Top of range [Member]
Investments [Line Items]
Annual interest rate percentage	3.54%
Bottom of range [member]
Investments [Line Items]
Annual interest rate percentage	3.37%

Property and Equipment (Details) - EUR (€)	6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023
Property and Equipment [Abstract]
Purchase of property and equipment	€ 1,996	€ 19,333
Depreciation of property and equipment	€ 5,829	€ 10,051

Property and Equipment (Details) - Schedule of Property and Equipment - EUR (€)	Jun. 30, 2024	Dec. 31, 2023
Schedule of Property and Equipment [Line Items]
Property and equipment, gross	€ 196,081	€ 194,085
Accumulated depreciation	(40,830)	(35,001)
Property and equipment	155,251	159,084
Furniture [Member]
Schedule of Property and Equipment [Line Items]
Property and equipment, gross	56,724	56,232
Laboratory Photovoltaic Installation [Member]
Schedule of Property and Equipment [Line Items]
Property and equipment, gross	116,912	116,912
Tools and Machinery [Member]
Schedule of Property and Equipment [Line Items]
Property and equipment, gross	7,530	6,026
Computer [Member]
Schedule of Property and Equipment [Line Items]
Property and equipment, gross	€ 14,915	€ 14,915

Intangible Assets (Details) - EUR (€)	6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023	Dec. 31, 2023
Intangible Assets [Line Items]
Intangible assets	€ 1,240,573		€ 835,706
Amortization expense	24,842	€ 25,141
Intangible Assets [Member]
Intangible Assets [Line Items]
Intangible assets	€ 429,709	€ 217,834

Intangible Assets (Details) - Schedule of Intangible Assets - EUR (€)	6 Months Ended
	Jun. 30, 2024	Dec. 31, 2023
Schedule of Intangible Assets [Line Items]
Intangible Assets Gross	€ 1,354,863	€ 925,154
Amortization	(114,290)	(89,448)
Intangible Assets Net	1,240,573	835,706
Software Development [Member]
Schedule of Intangible Assets [Line Items]
Intangible Assets Gross	1,066,679	636,970
Software SKN1 [Member]
Schedule of Intangible Assets [Line Items]
Intangible Assets Gross	248,419	248,419
Computer Application [Member]
Schedule of Intangible Assets [Line Items]
Intangible Assets Gross	33,755	33,755
Web Page [Member]
Schedule of Intangible Assets [Line Items]
Intangible Assets Gross	€ 6,010	€ 6,010

Accounts Payable and Accrued Liabilities (Details) - Schedule of Accounts Payable and Accrued Liabilities - EUR (€)	Jun. 30, 2024	Dec. 31, 2023
Schedule of Accounts Payable and Accrued Liabilities [Abstract]
Trade payable	€ 1,667,141	€ 1,847,575
VAT payable	81,551	69,426
Payroll taxes payable	61,119	56,419
Customer deposits	246,251	70,139
Total	€ 2,056,062	€ 2,043,559

Related Party Transactions (Details) - EUR (€)	6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023	Dec. 31, 2023
Related Party Transactions [Line Items]
Due from related party	€ 3,800,000
Term loan	5 years
Amount due to related party	€ 2,500,000		€ 3,800,000
Repaid	116,479	€ 116,216
Amount paid for interest	107,277	0
Selling and administrative expenses	1,131,599	728,329
Stock-based compensation	€ 32,911
Percentage of margin applied	13.00%
Incurred management fees	€ 420,000	€ 508,590
Related Party [Member]
Related Party Transactions [Line Items]
Amount due to related party	€ 3,800,000
Market interest rate	6.25%
Repaid	€ 1,372,177
Loan agreement	2,427,823
Selling and administrative expenses	426,545
Salaries and benefits	€ 40,865

Related Party Transactions (Details) - Schedule of Due from Related Parties - EUR (€)	Jun. 30, 2024	Dec. 31, 2023
Schedule of Due from Related Parties [Line Items]
Due from related parties	€ 184,883	€ 1,601,273
Ultimate partner [Member]
Schedule of Due from Related Parties [Line Items]
Due from related parties	250
Senior partner [Member]
Schedule of Due from Related Parties [Line Items]
Due from related parties
Other group companies [Member]
Schedule of Due from Related Parties [Line Items]
Due from related parties	184,633	1,601,273
Credits Pending Collection [Member]
Schedule of Due from Related Parties [Line Items]
Due from related parties	177,821	175,771
Credits Pending Collection [Member] | Ultimate partner [Member]
Schedule of Due from Related Parties [Line Items]
Due from related parties	250
Credits Pending Collection [Member] | Senior partner [Member]
Schedule of Due from Related Parties [Line Items]
Due from related parties
Credits Pending Collection [Member] | Other group companies [Member]
Schedule of Due from Related Parties [Line Items]
Due from related parties	177,571	175,771
Long-term investment [Member]
Schedule of Due from Related Parties [Line Items]
Due from related parties	2,550	2,550
Long-term investment [Member] | Ultimate partner [Member]
Schedule of Due from Related Parties [Line Items]
Due from related parties
Long-term investment [Member] | Senior partner [Member]
Schedule of Due from Related Parties [Line Items]
Due from related parties
Long-term investment [Member] | Other group companies [Member]
Schedule of Due from Related Parties [Line Items]
Due from related parties	2,550	2,550
Trade receivables [Member]
Schedule of Due from Related Parties [Line Items]
Due from related parties	4,512	1,422,952
Trade receivables [Member] | Ultimate partner [Member]
Schedule of Due from Related Parties [Line Items]
Due from related parties
Trade receivables [Member] | Senior partner [Member]
Schedule of Due from Related Parties [Line Items]
Due from related parties
Trade receivables [Member] | Other group companies [Member]
Schedule of Due from Related Parties [Line Items]
Due from related parties	€ 4,512	€ 1,422,952

Related Party Transactions (Details) - Schedule of Due to Related Parties - EUR (€)	Jun. 30, 2024	Dec. 31, 2023
Schedule of Due to Related Parties [Line Items]
Due to related parties	€ (38,336)	€ (47,950)
Ultimate partner [Member]
Schedule of Due to Related Parties [Line Items]
Due to related parties
Senior partner [Member]
Schedule of Due to Related Parties [Line Items]
Due to related parties	(2,537,552)	(3,847,166)
Other group companies [Member]
Schedule of Due to Related Parties [Line Items]
Due to related parties	(784)	(784)
Related Party [Member]
Schedule of Due to Related Parties [Line Items]
Due to related parties	(2,538,336)	(3,847,950)
Credits Pending to Pay [Member]
Schedule of Due to Related Parties [Line Items]
Due to related parties	(2,427,823)	(3,800,000)
Credits Pending to Pay [Member] | Ultimate partner [Member]
Schedule of Due to Related Parties [Line Items]
Due to related parties
Credits Pending to Pay [Member] | Senior partner [Member]
Schedule of Due to Related Parties [Line Items]
Due to related parties	(2,427,823)	(3,800,000)
Credits Pending to Pay [Member] | Other group companies [Member]
Schedule of Due to Related Parties [Line Items]
Due to related parties
Credits Pending Collection [Member]
Schedule of Due to Related Parties [Line Items]
Due to related parties	(784)	71,660
Credits Pending Collection [Member] | Ultimate partner [Member]
Schedule of Due to Related Parties [Line Items]
Due to related parties
Credits Pending Collection [Member] | Senior partner [Member]
Schedule of Due to Related Parties [Line Items]
Due to related parties		72,444
Credits Pending Collection [Member] | Other group companies [Member]
Schedule of Due to Related Parties [Line Items]
Due to related parties	(784)	(784)
Trade Payable [Member]
Schedule of Due to Related Parties [Line Items]
Due to related parties	(109,729)	(119,610)
Trade Payable [Member] | Ultimate partner [Member]
Schedule of Due to Related Parties [Line Items]
Due to related parties
Trade Payable [Member] | Senior partner [Member]
Schedule of Due to Related Parties [Line Items]
Due to related parties	(109,729)	(119,610)
Trade Payable [Member] | Other group companies [Member]
Schedule of Due to Related Parties [Line Items]
Due to related parties

Related Party Transactions (Details) - Schedule of Transactions with Related Parties - EUR (€)	6 Months Ended
	Jun. 30, 2024		Jun. 30, 2023
Schedule of Transactions with Related Parties [Line Items]
Transactions with related parties	€ 536,390		€ 692,952
Senior Partner [Member]
Schedule of Transactions with Related Parties [Line Items]
Transactions with related parties	467,410		508,590
Other Group Companies [Member]
Schedule of Transactions with Related Parties [Line Items]
Transactions with related parties	68,980		184,362
Sales [Member]
Schedule of Transactions with Related Parties [Line Items]
Transactions with related parties	68,980		184,362
Sales [Member] | Senior Partner [Member]
Schedule of Transactions with Related Parties [Line Items]
Transactions with related parties
Sales [Member] | Other Group Companies [Member]
Schedule of Transactions with Related Parties [Line Items]
Transactions with related parties	68,980		184,362
Services Received [Member]
Schedule of Transactions with Related Parties [Line Items]
Transactions with related parties	467,410	[1]	508,590
Services Received [Member] | Senior Partner [Member]
Schedule of Transactions with Related Parties [Line Items]
Transactions with related parties	467,410	[1]	508,590
Services Received [Member] | Other Group Companies [Member]
Schedule of Transactions with Related Parties [Line Items]
Transactions with related parties		[1]
Purchases [Member]
Schedule of Transactions with Related Parties [Line Items]
Transactions with related parties
Purchases [Member] | Senior Partner [Member]
Schedule of Transactions with Related Parties [Line Items]
Transactions with related parties
Purchases [Member] | Other Group Companies [Member]
Schedule of Transactions with Related Parties [Line Items]
Transactions with related parties
[1] Comprised of selling and administrative–related parties of €426,545 and salaries and benefits–related parties of €40,865, which includes stock-based compensation of €32,911 relating to an RSU grant.

Bank Loans (Details) - EUR (€)	6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023
Bank Loans (Details) [Line Items]
Bank loan interest expense	€ 168,474	€ 159,197
Unsecured bank loans	€ 2,600,000
Interest payable average rate	2.11%
Description of maturity period	one to three years
Bank Loan [Member]
Bank Loans (Details) [Line Items]
Bank loan interest expense	€ 4,085	4,132
Line of Credit [Member]
Bank Loans (Details) [Line Items]
Bank loan interest expense	€ 42,095	€ 133,977

Bank Loans (Details) - Schedule of Bank Loans - EUR (€)	Jun. 30, 2024	Dec. 31, 2023
Schedule of Bank Loans [Line Items]
Total loan	€ 2,806,884	€ 3,989,898
less: current portion	(2,806,884)	(3,895,585)
Total bank loan		94,313
Bank Loans [Member]
Schedule of Bank Loans [Line Items]
Total loan	211,757	328,236
Lines of Credit [Member]
Schedule of Bank Loans [Line Items]
Total loan	€ 2,595,127	€ 3,661,662

Bank Loans (Details) - Schedule of Terms and Conditions of Outstanding Bank Loans - EUR (€)	6 Months Ended
	Jun. 30, 2024	Dec. 31, 2023
Bank Loans (Details) - Schedule of Terms and Conditions of Outstanding Bank Loans [Line Items]
Year of maturity	one to three years
Face Value	€ 920,000	€ 920,000
Carrying Amount	€ 211,757	328,236
Bankia SA [Member]
Bank Loans (Details) - Schedule of Terms and Conditions of Outstanding Bank Loans [Line Items]
Nominal interest rate	1.50%
Year of maturity	2025
Face Value	€ 400,000	400,000
Carrying Amount	€ 85,705	136,379
Targobank SA [Member]
Bank Loans (Details) - Schedule of Terms and Conditions of Outstanding Bank Loans [Line Items]
Nominal interest rate	1.87%
Year of maturity	2025
Face Value	€ 100,000	100,000
Carrying Amount	€ 25,659	38,322
Banco de Sabadell SA [Member]
Bank Loans (Details) - Schedule of Terms and Conditions of Outstanding Bank Loans [Line Items]
Nominal interest rate	1.50%
Year of maturity	2025
Face Value	€ 250,000	250,000
Carrying Amount	€ 53,327	85,004
Liberbank [Member]
Bank Loans (Details) - Schedule of Terms and Conditions of Outstanding Bank Loans [Line Items]
Nominal interest rate	1.55%
Year of maturity	2025
Face Value	€ 170,000	170,000
Carrying Amount	€ 47,067	€ 68,532

Bank Loans (Details) - Schedule of Principal Repayments to Maturity by Fiscal Year	Jun. 30, 2024 EUR (€)
Schedule of Principal Repayments to Maturity by Fiscal Year [Abstract]
2024 (excluding the six months ended June 30, 2024)	€ 117,447
2025	94,310
Thereafter
Total	€ 211,757

Bank Loans (Details) - Schedule of Company Maintains the Following Lines of Credit - EUR (€)	Jun. 30, 2024	Dec. 31, 2023
Schedule of Company Maintains the Following Lines of Credit [Line Items]
Credit Limit	€ 11,170,000	€ 12,100,000
Carrying Value	2,595,127	3,661,662
Caixabank [Member]
Schedule of Company Maintains the Following Lines of Credit [Line Items]
Credit Limit	€ 2,500,000	€ 2,500,000
Nominal interest rate	0.60%	2.00%
Maturity	3/25/2025	4/25/2024
Carrying Value	€ 1,087,467	€ 2,308,058
Sabadell [Member]
Schedule of Company Maintains the Following Lines of Credit [Line Items]
Credit Limit	€ 2,400,000	€ 2,700,000
Nominal interest rate	1.20%	2.75%
Maturity	2/28/2025	5/28/2024
Carrying Value
BBVA [Member]
Schedule of Company Maintains the Following Lines of Credit [Line Items]
Credit Limit	€ 1,000,000	€ 1,500,000
Nominal interest rate	1.90%	1.65%
Maturity	12/22/2025	12/22/2024
Carrying Value		€ 270,866
BBVA One [Member]
Schedule of Company Maintains the Following Lines of Credit [Line Items]
Credit Limit	€ 570,000
Nominal interest rate	1.90%
Maturity	12/22/2025
Carrying Value
Santander [Member]
Schedule of Company Maintains the Following Lines of Credit [Line Items]
Credit Limit	€ 4,000,000	€ 4,000,000
Nominal interest rate	0.45%	1.65%
Maturity	2/28/2025	6/28/2024
Carrying Value	€ 1,507,660	€ 1,012,738
Abanca [Member]
Schedule of Company Maintains the Following Lines of Credit [Line Items]
Credit Limit	€ 700,000	€ 700,000
Nominal interest rate	2.00%	2.00%
Maturity	11/30/2024	11/30/2024
Carrying Value
Bankinter ICO [Member]
Schedule of Company Maintains the Following Lines of Credit [Line Items]
Credit Limit		€ 700,000
Nominal interest rate		1.40%
Maturity		6/21/2024
Carrying Value		€ 70,000

Share Capital (Details)			6 Months Ended			12 Months Ended
	Apr. 05, 2024 EUR (€) € / shares shares	Sep. 22, 2023 USD ($) $ / shares shares	Jun. 30, 2024 EUR (€) € / shares shares	Jun. 30, 2024 EUR (€) € / shares $ / shares shares	Jun. 30, 2023 EUR (€)	Dec. 31, 2023 EUR (€) shares	Dec. 31, 2022 EUR (€) shares	Feb. 28, 2023 shares
Share Capital [Line Items]
Number of shares authorized			75,085,700	75,085,700
Par value per share | (per share)		$ 5	€ 0.05	€ 0.05
Ordinary shares		5,000,000
Proceeds of issuances | $		$ 5,000,000
Offering costs (in Euro) | €						€ 1,350,200
Ordinary shares, outstanding								50,085,700
Share capital (in Euro) | €			€ 2,754,285	€ 2,754,285		€ 2,754,285
Grant restrict stock unit			1,780,330	1,780,330
Stock-based compensation expense (in Euro) | €			€ 32,911
Share-based payment reserve (in Euro) | €			32,911	€ 32,911
Grant price (in Euro per share) | $ / shares				€ 0.22
Unrecognized stock-based compensation (in Euro) | €			€ 350,153
Weighted-average period			2 years 6 months
American Depositary Shares [Member]
Share Capital [Line Items]
Issuance of ordinary shares		1,000,000
Restricted share units [member]
Share Capital [Line Items]
Issuance of ordinary shares	1,780,330
Grant restrict stock unit	1,780,330		1,780,330	1,780,330
Number of shares issued on conversion	356,067
Stock-based compensation expense (in Euro) | €	€ 383,064		€ 32,911
Share-based payment reserve (in Euro) | €			€ 32,911	€ 32,911
Grant price (in Euro per share) | € / shares	€ 1.08
Ordinary shares [member]
Share Capital [Line Items]
Issuance of ordinary shares						5,000,000	50,000,000
Proceeds of issuances | €						€ 3,354,781	€ 2,500,000
Pre-stock split							2,500,000
Stock Split [Member]
Share Capital [Line Items]
Issuance of ordinary shares								2,504,285
Share capital [member]
Share Capital [Line Items]
Issuance of ordinary shares			50,085,700	50,085,700		50,085,700
Ordinary shares, outstanding			50,085,700	50,085,700		50,085,700
Share capital (in Euro) | €			€ 2,754,285	€ 2,754,285		€ 2,754,285

Share Capital (Details) - Schedule of Regarding the RSUs Issued	6 Months Ended
	Jun. 30, 2024 $ / shares
Schedule of Regarding the RSUs Issued [Abstract]
Original Common Shares, Beginning Balance
Weighted Average Grant Date Fair Value Per Share, Beginning Balance
Original Common Shares, Granted	1,780,330
Weighted Average Grant Date Fair Value Per Share, Granted	$ 0.22
Original Common Shares, Vested
Weighted Average Grant Date Fair Value Per Share, Vested
Original Common Shares, Forfeited
Weighted Average Grant Date Fair Value Per Share, Forfeited
Original Common Shares, Ending Balance	1,780,330
Weighted Average Grant Date Fair Value Per Share, Ending Balance	$ 0.22

Reserve (Details)		6 Months Ended	12 Months Ended
	Apr. 05, 2024	Jun. 30, 2024 EUR (€)	Dec. 31, 2023 EUR (€)
Reserve [Line Items]
Reserve		€ 1,444,757	€ 1,411,846
Percentage of legal reserve		10.00%
Percentage of share capital		20.00%
Percentage of exceed share capital		20.00%
Legal reserve		€ 500,857	500,857
Share-based payment reserve		€ 32,911
Restricted stock unit grant		1,780,330
Other Reserves [Member]		€ 1,444,757	1,411,846
Restricted share units [member]
Reserve [Line Items]
Share-based payment reserve		32,911
Restricted stock unit grant	1,780,330
Other Reserves [Member]
Reserve [Line Items]
Other Reserves [Member]		€ 910,989	€ 910,989

Leases (Details) - EUR (€)	Apr. 01, 2024	Aug. 17, 2023	Nov. 15, 2022	Sep. 26, 2022	Jun. 01, 2022	Jan. 01, 2021	Sep. 08, 2020
Leases [Line Items]
Monthly lease payment	€ 3,618	€ 572	€ 417	€ 420		€ 827	€ 527
Percentage of customer price index						2.00%
Lease agreement term					3 years
Extended additional lease term	1 year
First Year [Member]
Leases [Line Items]
Monthly lease payment					€ 3,384
Second Year [Member]
Leases [Line Items]
Monthly lease payment					€ 3,492

Leases (Details) - Schedule of Lease Obligations - EUR (€)	6 Months Ended
	Jun. 30, 2024	Dec. 31, 2023
Schedule of Lease Obligations [Line Items]
Current lease	€ 56,094	€ 37,579
Non-current lease	10,307	18,487
Total lease	€ 66,401	€ 56,066
Botton of Range [Member]
Schedule of Lease Obligations [Line Items]
Discount Rate	1.50%
Maturity	2024
Top of Range [Member]
Schedule of Lease Obligations [Line Items]
Discount Rate	3.00%
Maturity	2025

Leases (Details) - Schedule of Lease Liabilities - EUR (€)	6 Months Ended	12 Months Ended
	Jun. 30, 2024	Dec. 31, 2023
Schedule of Lease Liabilities [Abstract]
Balance beginning	€ 56,066	€ 95,059
Lease liability additions from lease modification	41,946	19,353
Repayment of Lease liability	(32,665)	(60,523)
Interest expense on lease liabilities	1,054	2,177
Balance ending	€ 66,402	€ 56,066

Leases (Details) - Schedule of Maturity Lease Liabilities - EUR (€)	6 Months Ended
	Jun. 30, 2024	Dec. 31, 2023
Schedule of Maturity Lease Liabilities [Abstract]
2024 (excluding six months ended June 30, 2024)	€ 31,334
2025	33,020
2026	4,000
Total lease payments	68,354
Less: financing cost	(1,953)
Lease liabilities	€ 66,401	€ 56,066

Leases (Details) - Schedule of Right-of-Use Assets - EUR (€)	6 Months Ended	12 Months Ended
	Jun. 30, 2024	Dec. 31, 2023
Schedule of Right-of-Use Assets [Abstract]
Balance beginning	€ 54,935	€ 94,106
Additions from lease modification	41,946	19,353
Depreciation	(31,571)	(58,524)
Balance ending	€ 65,310	€ 54,935

Financial Instruments and Risk Management (Details)	6 Months Ended	12 Months Ended
	Jun. 30, 2024	Dec. 31, 2023
One Customer [Member]
Financial Instruments and Risk Management [Line Items]
Total revenue	11.00%	13.00%

Financial Instruments and Risk Management (Details) - Schedule of Financial Instruments and Fair Value Measurement - Financial Assets at Fair Value [Member] - EUR (€)	Jun. 30, 2024	Dec. 31, 2023
Financial assets at fair value
Cash	€ 495,877	€ 620,531
Financial assets at amortized cost
Accounts receivable and other receivables	1,261,252	2,221,080
Amount due from related parties	184,883	1,601,273
Financial liabilities at amortized cost
Accounts payable and accrued liabilities	2,056,062	2,043,559
Amount due to related parties	2,538,336	3,847,950
Lease liabilities	66,401	56,066
Bank loans	€ 2,806,884	€ 3,989,898

Revenue (Details) - EUR (€)	6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023
Revenue [Line Items]
Revenue	€ 4,953,433	€ 7,211,916
Revenue derived from related parties	68,980	184,362
Geographical Markets [Member]
Revenue [Line Items]
Revenue	€ 4,877,473	€ 7,203,489

Revenue (Details) - Schedule of Revenue by Geographical Markets - EUR (€)	6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023
Schedule of Revenue by Geographical Markets [Line Items]
Total revenue by geographical markets	€ 4,877,473	€ 7,203,489
Spain [Member]
Schedule of Revenue by Geographical Markets [Line Items]
Total revenue by geographical markets	3,660,964	5,839,373
Europe [Member]
Schedule of Revenue by Geographical Markets [Line Items]
Total revenue by geographical markets	1,162,753	1,083,065
Rest of the world [Member]
Schedule of Revenue by Geographical Markets [Line Items]
Total revenue by geographical markets	€ 53,756	€ 281,051

Cost of Revenue (Details) - EUR (€)	6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023
Cost of Revenue [Line Items]
Cost of sales	€ 5,115,942	€ 6,013,713
Related Parties [Member]
Cost of Revenue [Line Items]
Cost of revenue derived from related parties	€ 0	€ 0

Cost of Revenue (Details) - Schedule of Cost of Revenue - EUR (€)	6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023
Schedule of Cost of Revenue [Abstract]
Purchase of finished goods	€ 5,375,537	€ 6,012,282
Purchase of raw materials	1,056	927
Outsourcing service	2,550	504
Inventory adjustment	(263,201)
Total	€ 5,115,942	€ 6,013,713

Selling and Administrative Expenses (Details) - EUR (€)	6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023
Selling and Administrative Expenses [Line Items]
Selling and administrative expenses	€ 1,558,144	€ 1,236,919
Related Party [Member]
Selling and Administrative Expenses [Line Items]
Selling and administrative expenses related party	€ 426,545	€ 508,590

Selling and Administrative Expenses (Details) - Schedule of Selling and Administrative Expenses - EUR (€)	6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023
Schedule of Selling And Administrative Expenses [Abstract]
Professional fees	€ 903,531	€ 566,062
Shipping and handling expenses	100,251	148,720
Warehouse handling	35,667	44,539
Miscellaneous operating expenses	133,704	45,596
Marketing and advertising	125,336	242,940
Leases and royalties	84,491	66,409
Insurance premiums	104,674	38,167
Repair and conservation	6,004	19,831
Supplies	2,244	1,506
Depreciation of property and equipment	5,829	10,051
Amortization of intangible assets	24,842	25,141
Amortization of right-of-use assets	31,571	27,957
Total	€ 1,558,144	€ 1,236,919

Supplemental Cash Flow Information (Details) - EUR (€)	6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023
Supplemental Cash Flow Information [Abstract]
Paid interest	€ 60,065	€ 158,321
Income taxes	€ 252	€ 0

Supplemental Cash Flow Information (Details) - Schedule of Non-Cash Investing and Financing Activities - EUR (€)	6 Months Ended
	Jun. 30, 2024	Jun. 30, 2023
Schedule of Non-Cash Investing and Financing Activities [Abstract]
Reallocation of opening deficit to reserve		€ (1,028,578)
Recognition of right-of-use assets from lease modification	€ 41,946	€ (1,028,578)

Subsequent Events (Details) - Forecast [Member] $ / shares in Units, $ in Millions	Oct. 28, 2024 EUR (€)	Oct. 18, 2024 USD ($) $ / shares shares	Aug. 26, 2024 EUR (€)
Subsequent Events [Line Items]
Financing amount raised on first tranche (in Euro)			€ 2,000,000
Gross proceeds (in Euro)	€ 914,110
Commissions percentage		2.00%
Turbo product net sales (in Dollars) | $		$ 10
Percentage of ADs value		100.00%
Pricer per ADR (in Dollars per share) | $ / shares		$ 5
Outstanding ordinary shares percentage		2.50%
Issued and outstanding ADSs (in Shares) | shares		275,428
Crowd Bond [Member]
Subsequent Events [Line Items]
Interest rate			8.75%

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