Company: WKSP
Filing Date: 2025-08-13
Form Type: 10-Q
Source: 0001641172-25-023334
Chunk: 73

Company: Worksport Ltd
Filing Date: 2025-08-13
Form: 10-Q
Item: Part I, Item 8
Chunk 73
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Company has evaluated subsequent events through August 13, 2025. The following events occurred after the period ended
June 30, 2025:

On July 12, 2025, the Company granted employees an aggregate of 91,940
stock options priced at the closing stock price on July 11, 2025, vesting 50% at the end of the following two annual anniversaries from
the grant date, and expiring 10 years from grant date. Under these same terms, the Company granted directors an aggregate of 10,000 stock
options.

On July 12, 2025, the Company granted Steven Rossi 215,000 stock options
priced at the closing stock price on July 11, 2025, vesting 50% at the end of the following two annual anniversaries from the grant date,
and expiring 10 years from grant date.

On July 12, 2025, the Company granted a director 50,000 stock options priced
at the closing stock price on July 11, 2025, vesting pursuant to a performance milestone, and expiring 10 years from the grant date.

On July 12, 2025, the Company granted a consultant 76,500 stock options
priced at the closing stock price on July 11, 2025, vesting pursuant to performance milestones, and expiring 10 years from the grant date.

On July 14, 2025, the Company signed a lease agreement for 1,992 square feet of office space to be used as an R&D
facility for its Terravis Energy subsidiary pursuant to a two-year lease effective July 18,2025 for an average monthly rent of $3,154.

On August 1, 2025, the Company submitted a $3 million purchase order and placed a deposit with an established manufacturing
equipment supplier for additional machinery, with delivery currently expected in the second quarter of 2026. This additional equipment
is expected to meaningfully increase production capacity at the Company’s West Seneca, NY manufacturing facility, enabling the Company
to meet anticipated customer demand more efficiently, improve operational throughput, and support future revenue growth.

21

Item
2. Management’s Discussion and Analysis of Financial Condition and Results of Operations

This
section and other parts of this Quarterly Report on Form 10-Q (“Form 10-Q”) contain forward-looking statements, within the
meaning of the Private Securities Litigation Reform