Company: WKSP
Filing Date: 2025-03-27
Form Type: 10-K
Source: 0001641172-25-000850
Chunk: 126

Company: Worksport Ltd
Filing Date: 2025-03-27
Form: 10-K
Item: Item 1
Chunk 126
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 Item 11, Executive Compensation” of this report which is incorporated herein by reference.

32

ITEM
6. [RESERVED].

ITEM
7. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

Prospective
investors should read the following discussion and analysis of our financial condition and results of operations together with our financial
statements and the related notes and other financial information included elsewhere in this Annual Report on Form 10-K. Some of the information
contained in this discussion and analysis or set forth elsewhere in this annual report, including information with respect to our plans
and strategy for our business, includes forward-looking statements that involve risks and uncertainties. See “Cautionary Note Regarding
Forward-Looking Statements.” This discussion should be read in conjunction with our audited consolidated financial statements and
the notes thereto included elsewhere in this Annual Report on Form 10-K.

Overview

Worksport
Ltd., through its subsidiaries, designs, develops, manufactures, and owns the Intellectual Property on a portfolio of tonneau cover,
solar integration, portable power station, and NP (Non-Parasitic), Hydrogen-based green energy products and solutions for the automotive
aftermarket accessories, power storage, residential heating, and electric vehicle-charging industries. We seek to provide consumers with
next-generation automotive aftermarket accessories while capitalizing on growing consumer interest in clean energy solutions and power
grid independence.

Rising
Popularity of Electric Vehicles

Electric
Vehicles (EVs) have been increasing in consumer interest, whether that interest takes the form of vehicle pre-orders, sales, or investments.
As we begin marketing our Worksport SOLIS and COR, we plan to market the SOLIS as a must-have accessory for electric light duty vehicle
owners while simultaneously riding the coattails of EV popularity to promote our other products (COR and conventional tonneau covers)
to the very large population of Americans that have an interest in EVs without the funds to purchase them. Further, participating in
the EV space allows us to target consumers with an interest in cutting-edge technologies – a great market in which to promote our
COR portable power system.

Regulatory
Environment Favoring Electric Vehicles

The
Build Back Better Bill was a strong indication of upcoming and favorable U.S. regulations. Many regulations that improve North America’s
EV charging infrastructure or provide grants to businesses operating in the EV space would benefit us. While we are primarily focused
on the light duty vehicle market, our energy products are particularly