Core Insights - Worksport Ltd. has reported a significant increase in revenue and is targeting cash flow positive operations by year-end 2025 [1][3][6] Financial Performance - For Q1 2025, Worksport reported net sales of $2.24 million, a 337% increase from $512,000 in Q1 2024 [6] - Gross margin improved to approximately 18%, up from 7% in Q1 2024 and 11% in Q4 2024, with a target of 25-30% gross margins by year-end 2025 [6][9] - The company recorded a net loss of $4.46 million for Q1 2025, compared to a net loss of $3.71 million in Q1 2024 [9] Revenue Guidance - Worksport is projecting full-year revenue guidance of $20 million to $25 million for 2025, indicating a 2.5x to 3x increase over 2024 results [3][6] - The company anticipates strong sequential growth in Q2 2025, driven by the launch of its high-margin AL4 cover [6] Working Capital and Assets - As of the end of Q1 2025, Worksport reported a working capital balance of $7.94 million, with $5.1 million in cash availability [6][8] - Total assets increased to $26.66 million as of March 31, 2025, compared to $25.74 million at the end of 2024 [8] Future Outlook - The company aims to achieve cash flow breakeven by year-end 2025, supported by a stronger margin profile and operational leverage [6] - Preliminary outlook for 2026 includes sustained double-digit revenue growth and first full-year profitability, driven by expanded product availability and market share [6]

Core Insights - Worksport Ltd. has reported significant growth in its dealer network and B2B sales, indicating strong market adoption of its U.S.-made AL4 tonneau cover [2][4][7] - The company emphasizes the advantages of manufacturing in the U.S., including mitigating tariff risks and supporting American jobs, which resonates well with dealers [7][8] Dealer Network and Sales Growth - The dealer network has expanded by 64%, increasing from 92 dealers at the end of 2024 to 151 active dealers [7] - March 2025 B2B sales grew nearly 70% compared to February, highlighting robust demand for the AL4 cover [7] - Worksport added 35 new dealer accounts in March, following 24 additions in January and February, showcasing a strong growth trajectory [7] Strategic Initiatives - The company plans to further expand its dealer network by partnering with distributors and purchasing groups that prioritize American-made quality [5] - Worksport aims to launch new products, including the SOLIS solar-integrated tonneau cover and COR modular portable energy system, to capture additional revenue streams in sustainable power solutions [12] - Management is focused on achieving cash-flow positivity through B2B growth, direct-to-consumer sales, and disciplined cost control [12]