Company: WKSP
Filing Date: 2025-03-27
Form Type: 10-K
Source: 0001641172-25-000850
Chunk: 157

Company: Worksport Ltd
Filing Date: 2025-03-27
Form: 10-K
Item: Item 1
Chunk 157
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 for planned operations or future business developments.
Future business development and demands may lead to cash utilization at levels greater than recently experienced. The Company may need
to raise additional capital in the future. However, the Company cannot provide assurances it will be able to raise additional capital
on acceptable terms, or at all.

The
Company has evaluated whether there are conditions and events, considered in the aggregate, that raise substantial doubt about the Company’s
ability to continue as a going concern within one year after the date the financial statements are issued. Still, certain factors indicate
the existence of a material uncertainty that cast substantial doubt about the Company’s ability to continue as a going concern.
The accompanying financial statements do not include any adjustments that might result from the outcome of this uncertainty. These adjustments
could be material.

    52

Worksport
Ltd.

Notes
to the Consolidated Financial Statements

December
31, 2024 and 2023

3.
Inventories

Inventory
consists of the following at December 31, 2024 and 2023:

Schedule of Inventory

    2024  
    2023 
  
    Raw materials 
    $3,373,704  
    $1,812,163 
  
    Finished goods 
     1,343,006  
     1,717,669 
  
    Work in progress 
     473,344  
     101,660 
  
    Inventories, net 
    $5,190,054  
    $3,631,492 

4.
Property and Equipment

Major
classes of property and equipment at December 31, 2024 and 2023 are as follows:

Schedule of Property and Equipment

    2024  
    2023 
  
    Building 
    $6,079,410  
    $6,079,410 
  
    Manufacturing equipment 
     5,830,999  
     5,390,014 
  
    Land 
     2,239,405  
     2,239,405 
  
    Leasehold improvements 
     862,504  
     861,332 
  
    Product molds 
     524,476  
     524,476 
  
    Warehouse equipment 
     512,700  
     469,502 
  
    Electrical equipment 
     185,261  
     185,261 
  
    Automobile 
     172,645