Steven Rossi Thank you for joining Worksport's Fiscal Year 2024 and Q4 2024 Earnings Call. I'm Steven Rossi, Chief Executive Officer of Worksport. With me is our Chief Financial Officer, Mike Johnston. Today, we will review our 2024 performance, discuss key operational milestones and share an updated outlook for 2025. Fiscal year 2024 was a transformative year for Worksport. We achieved significant revenue growth, expanded our product lineup and strengthened our financial foundation. We will be reviewing th ...

Company Outlines Strong Momentum in Margins, Revenue, and Business Growth Entering 2025 West Seneca, New York, March 27, 2025 (GLOBE NEWSWIRE) -- Worksport Ltd. (NASDAQ: WKSP) (“Worksport” or the “Company”), a U.S.-based manufacturer and innovator of hybrid and clean energy solutions for the light truck, overlanding, and global consumer goods sectors, today announced financial results and significant operational achievements for fiscal year 2024. Marking a transformational year with record revenue growth, e ...

Intellectual Property and Technology - Worksport Ltd. has a growing intellectual property portfolio, including patents for solar integrated tonneau covers and hydrogen-based green energy systems[22]. - The company has a patent portfolio that includes 11 issued utility patents in the U.S. and 37 pending utility patent applications worldwide as of December 31, 2024[61]. - The company has 18 utility patents, 23 design registrations, and 79 pending patent applications worldwide as of December 31, 2024, but faces challenges in protecting its intellectual property[113]. - The company’s intellectual property rights may not adequately protect against competitors developing similar technologies[126]. - The company may face claims challenging the ownership of its patents, which could result in costly litigation and loss of intellectual property rights[123]. Financial Performance and Capital Raising - The company raised approximately $6.73 million from the exercise of existing warrants at an exercise price of $5.198 per share, with potential gross proceeds of $9.3 million from new warrants[24]. - The company increased its at-the-market offering program by an additional $4.134 million[25]. - A private offering resulted in the sale of 95,000 shares at $4.00 per share, along with warrants for 190,000 shares[27]. - The company received net proceeds of approximately $2.59 million from a registered direct offering of 237,224 shares at $7.40 each[33]. - The company has incurred a net loss of $16,163,789 for the year ended December 31, 2024, with an accumulated deficit of $64,476,966[94]. - For the twelve months ended December 31, 2024 and 2023, the company incurred operating losses of $16,163,789 and $14,928,958, respectively, with an accumulated deficit of $64,476,966 as of December 31, 2024[99]. - Cash and cash equivalents increased by $1,517,321 or 45%, from $3,365,778 at December 31, 2023 to $4,883,099 at December 31, 2024[219]. - Net cash used by operating activities decreased from $11,930,580 in 2023 to $10,138,798 in 2024[220]. Sales and Market Growth - For the year ended December 31, 2024, net sales were $8,484,379, a 455% increase compared to $1,529,632 for the year ended December 31, 2023[201]. - Net sales in the U.S. for 2024 were $8,397,570, up 451% from $1,522,821 in 2023[201]. - Net sales in Canada increased by 891%, reaching $67,519 in 2024 compared to $6,811 in 2023[201]. - The increase in net sales was attributed to higher sales of tonneau covers to private label partners, dealers, distributors, and end users via the online marketplace[202]. - Net sales from online retailers increased from $104,352 in 2023 to $4,930,822 in 2024, a growth of 4,625%[203]. - Distributor sales surged 6,120% from $6,811 in 2023 to $423,627 in 2024[203]. - Private label sales accounted for 37% of net sales, totaling $3,129,930 in 2024[203]. Production and Manufacturing - On November 22, 2024, the company announced a significant expansion in production capacity to meet increasing demand for the SOLIS Solar Tonneau Cover and AL4 Premium Tonneau Cover[40]. - The company has expanded its manufacturing capabilities in North America, utilizing a 152,847 square foot facility in West Seneca, New York, to enhance quality control and production efficiency[57]. - The company is strategically beginning domestic manufacturing operations in Western New York to mitigate risks associated with climate change and supply chain issues[186]. - The company is closely monitoring international shipping costs and is transitioning towards domestic manufacturing to offset higher costs[192]. Research and Development - The company is committed to ongoing research and development, focusing on innovative tonneau cover designs and portable energy storage solutions[80]. - Research and development expenses rose by $620,622, from $1,669,318 in 2023 to $2,289,940 in 2024[211]. - The company is actively researching ways to lower environmental impacts associated with battery recycling and precious metal demand[187]. Strategic Partnerships and Collaborations - A strategic partnership with KULR Technology Group was announced to advance battery technology and domestic manufacturing[38]. - The company has formed strategic partnerships, including a collaboration with Infineon Technologies AG to use GaN power semiconductors in its portable power stations[40]. Operational Risks and Challenges - The company relies on two suppliers for the production of its soft tonneau covers, which may hinder its ability to grow if there are delays or losses of these suppliers[110]. - The company has limited experience in domestic manufacturing, which could lead to higher production costs and compliance challenges[129]. - The company sources soft tonneau covers and some raw materials from China, making it vulnerable to changes in U.S. trade regulations and tariffs[136]. - The company may not be able to accurately estimate the demand for its tonneau covers, leading to inefficiencies in production and hindering profit generation[108]. - Continued uncertain economic conditions, including inflation and the risk of a global recession, could impair the company's ability to forecast and harm its business[103]. - The company anticipates that high interest rates may affect its ability to finance additional machinery and equipment purchases, impacting its operational capacity[102]. Cybersecurity and Insurance - The company has cybersecurity insurance coverage of $1,000,000 per annual policy period to mitigate risks associated with potential cyberattacks[107]. - The company acknowledges the increasing importance of cybersecurity and recognizes potential vulnerabilities due to the absence of a formalized cybersecurity framework[161]. - The company is evaluating its cybersecurity needs and intends to invest more resources into improving its cybersecurity posture[162]. Market Trends and Projections - The U.S. pickup truck market is projected to grow at a compound annual growth rate (CAGR) of 4.6% from 2023 to 2028, with approximately 61 million pickup trucks in operation as of Q3 2024[65]. - The tonneau cover market in the U.S. is estimated to be $2.56 billion in 2024, with an expected CAGR of 7.1% from 2025 to 2030[67]. - The electric pickup truck market in North America is anticipated to grow at a CAGR of 31.15% from 2024 to 2029, despite challenges related to charging infrastructure[66]. - The global Portable Power Station Market is expected to grow at a CAGR of 5.39% from 2024 to 2032[71]. Company Strategy and Future Outlook - The company aims to maximize market share by focusing on competitive pricing and exploring integration opportunities[69]. - The company is expanding its distribution network through wholesalers, private labels, and online retail channels, with plans for increased distribution in 2025[72]. - The company is focusing on establishing new business-to-consumer and business-to-business channels while enhancing customer support to improve satisfaction and product turnover[202]. - The company plans to lower customer acquisition costs throughout 2025 and is assembling a strong sales team to present products to various dealers, wholesalers, and retailers[202]. - The company may pursue acquisitions and strategic alliances to expand its product offerings and geographic presence, but integration risks exist[130].

Worksport Sets Fourth Quarter and Full Year 2024 Financial Results Release Date and Conference CallMarch 24, 2025 8:05 AM EDT | Source: Worksport Ltd.West Seneca, New York--(Newsfile Corp. - March 24, 2025) - Worksport Ltd. (NASDAQ: WKSP) ("Worksport" or the "Company"), a U.S.-based innovator and manufacturer of hybrid and clean energy solutions primarily for the light truck, overlanding, and global consumer goods markets, today announced that it will release its financial results for the four ...

West Seneca, New York, March 18, 2025 (GLOBE NEWSWIRE) -- Worksport Ltd. (NASDAQ: WKSP) (“Worksport” or the “Company”), a U.S. based manufacturer and innovator of hybrid and clean energy solutions for the light truck, overlanding, and global consumer goods sectors, today shares proactive business commentary and outlines key catalyst events projected for 2025. Corporate Valuation and Growth Outlook Stock Valuation: Worksport Ltd. holds more than 170 registered and pending patents and trademarks, maintains $6 ...

CEO Shares Confidence And Emphasizes Catalyst Events To Come West Seneca, New York, March 14, 2025 (GLOBE NEWSWIRE) -- Worksport Ltd. (NASDAQ: WKSP) (“Worksport” or the “Company”), a U.S. based manufacturer and innovator of hybrid and clean energy solutions for the light truck, overlanding, and global consumer goods sectors, today announced that it will effect a 1-for-10 reverse stock split of its common stock. The reverse stock split will become effective at 12:01 a.m. Eastern Time on Tuesday, March 18, 20 ...

Worksport Highlights Strong Reception Of Terravis Energy’s AetherLux Product Reveal, And Shares Additional Testing Data West Seneca, New York, March 06, 2025 (GLOBE NEWSWIRE) -- Worksport Ltd. (NASDAQ: WKSP) (“Worksport”), a U.S. based manufacturer and innovator of hybrid and clean energy solutions for the light truck, overlanding, and global consumer goods sectors, is pleased to provide an update on its subsidiary, Terravis Energy, Inc. (“TVE” or the “Company”). TVE proudly announces a strong positive rece ...

Core Insights - Worksport Ltd. has expanded its dealer network by 30% in the first two months of 2025 and has launched its AL4 Premium Tonneau Cover for direct purchase online [1][2][4] - The company has increased sales from $1.5 million in 2023 to a run rate of approximately $1 million per month in 2024, with expectations that the AL4 cover will be its best-selling product in 2025 [3][5] Sales and Product Launch - The AL4 Tonneau Cover features premium materials and design for enhanced durability and user-friendliness, with five models expected to be available by the end of February 2025 [2][4] - The company plans to introduce new models to the AL4 lineup every month, enhancing its direct-to-consumer sales strategy [2][5] Future Growth and Innovations - Worksport aims to leverage the success of the AL4 cover to support future product launches, including the SOLIS solar tonneau cover and the COR portable nano-grid system, which are planned for later in the year [4][5] - The expansion of the dealer network and the introduction of the AL4 cover are seen as critical steps in bolstering the company's revenue growth and shareholder value [5]

HOUSTON, Feb. 13, 2025 (GLOBE NEWSWIRE) -- KULR Technology Group, Inc. (NYSE American: KULR) (the "Company" or "KULR"), a leader in advanced energy management platforms, and Worksport Ltd. (Nasdaq: WKSP), a pioneer in solar-integrated tonneau covers and portable energy storage, have announced a strategic partnership focused on advancing battery technology and strengthening domestic manufacturing. The collaboration centers on three key areas: joint battery pack development, thermal runaway protection, and AI ...

Core Insights - Worksport Ltd. has announced the launch of its subsidiary Terravis Energy's AetherLux™ heat pump system, which operates efficiently in extreme temperatures from -57°F to +131°F, eliminating the need for defrost cycles [1][2][4] - The global heat pump market is projected to exceed $148 billion by 2030, growing at a CAGR of 9.4%, indicating significant market potential for the AetherLux system [2] Product Features - AetherLux features ZeroFrost technology, which prevents ice buildup and eliminates energy-draining defrost cycles, enhancing operational lifespan and efficiency [3][4] - The system is designed to operate in extreme temperatures, with a targeted range of -50°F to +131°F, and is expected to deliver a coefficient of performance (COP) of 3.0 to 3.5 at -57°F [5][6] - The AetherLux Pro variant is built for ultra-performance, ensuring uninterrupted heating even in harsh winter conditions [6] Environmental Impact - The AetherLux heat pump utilizes R32 refrigerant, compliant with the 2025 Clean Air Act regulations, aligning with evolving environmental standards and reducing the risk of carbon monoxide poisoning [5] Market Positioning - The innovative design and eco-compliant technology of the AetherLux system are expected to accelerate heat pump adoption, reduce climate impact, and lower energy costs for consumers [4][5] - The product's performance metrics are considered virtually unmatched in the current market, positioning Worksport and Terravis Energy as leaders in the HVAC sector [7]