WKSPW Q2 Margin +870 bps; Operating Loss Improves 15% QoQ

Rhea-AI Filing Summary

Worksport Ltd. issued a press release on August 13, 2025 announcing Q2 2025 operational improvements: gross profit increased 173%, revenue rose 83%, gross margin expanded 870 basis points, and operating loss improved 15% quarter‑over‑quarter. Those percentage changes indicate substantial top‑line growth and a notable expansion in margins, while the operating loss metric shows the company narrowed losses compared with the prior quarter.

The press release is attached as Exhibit 99.1 to this Current Report and is furnished under Regulation FD. The filing states the release is not deemed "filed" under Section 18 and therefore is not incorporated by reference into other filings except by specific reference.

Positive

• Gross profit increased 173% in Q2 2025 as stated in the press release.
• Revenue rose 83% in Q2 2025 according to the disclosed release.
• Gross margin expanded 870 basis points, indicating improved unit economics.
• Operating loss improved 15% QoQ, showing a reduction in operating losses quarter‑over‑quarter.

Negative

• The company still reports an operating loss (the disclosure states the operating loss "improved" 15%, implying a continuing loss position).
• The Current Report includes only percentage changes and does not provide absolute dollar amounts for revenue, gross profit, margins or operating loss.
• The press release is furnished under Regulation FD and the filing states it is not "filed" under Section 18, limiting its incorporation by reference into other filings.

Insights

Financial Analyst

Strong quarterly operational improvement: large revenue and margin gains, with reduced operating loss.

The reported +83% revenue and +173% gross profit along with an 870 bps margin expansion are material percentage moves that suggest meaningful quarter‑over‑quarter operational progress. The 15% improvement in operating loss indicates the company narrowed its losses, improving operating leverage. Because the filing provides percentage deltas but not absolute dollar amounts or segment detail, the magnitude of these results in dollar terms cannot be assessed from this disclosure alone. The inclusion of the press release as Exhibit 99.1 and the Regulation FD furnishing is appropriate for broad market disclosure.

Risk Analyst

Positive trend shown, but limited disclosure constrains risk assessment.

The headline metrics point to improved performance, however the filing does not provide absolute revenue, profit, cash, balance sheet or guidance figures, which limits evaluation of liquidity, runway, and sustainability of the improvement. The filing also explicitly states the press release is furnished and not "filed" under Section 18, which is a legal limitation on incorporation by reference. From a risk perspective, more detailed financial statements and context are required to determine whether the improvements are durable or one‑time.

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UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): August 13, 2025

WORKSPORT LTD.

(Exact name of registrant as specified in its charter)

Nevada		001-40681		35-2696895
(State or other jurisdiction of incorporation)		(Commission File Number)		(IRS Employer Identification No.)

2500 N America Dr

West Seneca, New York 14224
(Address of principal executive offices) (ZIP Code)

(888) 554-8789

Registrant’s telephone number, including area code

Not Applicable
(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐	Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐	Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐	Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐	Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

Title of each class		Trading Symbols		Name of each exchange on which registered
Common		WKSP		The Nasdaq Stock Market LLC

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§ 230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§ 240.12b -2 of this chapter).

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Item 7.01 Regulation FD Disclosure.

On August 13, 2025, Worksport Ltd. (the “Company”) issued a press release: “Worksport Posts Q2 2025 Results: Gross Profit Increases 173%, Revenue Jumps 83%, Margin Expands 870 bps, Operating Loss Improves 15% [QoQ]”. A copy of the press release is attached hereto as Exhibit 99.1.

The information under Item 7.01 of this Current Report on Form 8-K and the exhibit attached hereto shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that section, or incorporated by reference into any of the Company’s filings under the Securities Act of 1933, as amended, except as shall be expressly set forth by specific reference in any such filing.

Item 9.01 Financial Statements and Exhibits.

(d) Exhibits.

Exhibit No.		Description
99.1		Press Release dated August 13, 2025, “Worksport Posts Q2 2025 Results: Gross Profit Increases 173%, Revenue Jumps 83%, Margin Expands 870 bps, Operating Loss Improves 15% [QoQ].”
104		Cover Page Interactive Data File (embedded within the Inline XBRL document).

SIGNATURES

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 hereunto duly authorized.

	WORKSPORT LTD.
Date: August 13, 2025	By:	/s/ Steven Rossi
	Name:	Steven Rossi
	Title:	Chief Executive Officer (Principal Executive Officer)

FAQ

What did Worksport (WKSPW) report for Q2 2025 in this filing?

The Current Report references a press release stating Q2 2025 results: gross profit +173%, revenue +83%, margin +870 bps, and operating loss improved 15% QoQ.

Where can I find the full press release referenced in the 8-K for Worksport?

The press release is attached to the Current Report as Exhibit 99.1 dated August 13, 2025.

Does this 8-K file the press release under Section 18?

No. The filing explicitly states the press release is furnished under Regulation FD and is not deemed "filed" under Section 18 of the Exchange Act.

Are there dollar figures for revenue or profit in this Current Report?

No. The Current Report includes only percentage changes and does not disclose absolute dollar amounts

What is the date of the disclosure for Worksport's Q2 2025 results?

The Current Report and attached press release are dated August 13, 2025.