Company: WKSP
Filing Date: 2025-11-14
Form Type: S-3
Source: 0001493152-25-023663
Chunk: 17

Company: Worksport Ltd
Filing Date: 2025-11-14
Form: S-3
Chunk 17
---
 reliable indicator of future performance, and historical trends should not be used to anticipate results or trends in future periods. If any of these risks actually occur, our business, financial condition, results of operations or cash flow could be harmed. This could cause the trading price of our securities to decline, resulting in a loss of all or part of your investment. Please also read carefully the section above titled “Cautionary Note Regarding Forward-Looking Statements.”

Risks Related to Our Business

Our independent registered public accounting firm’s report contains an explanatory paragraph expressing substantial doubt about our ability to continue as a “going concern.”

For the nine months ended September 30, 2025, we had a net loss of approximately $13.1 million (compared to approximately $11.9 million for the nine months ended September 30, 2024). As of September 30, 2025, we had approximately $3.8 million in cash and cash equivalents (compared to $4.9 million at December 31, 2024) and an accumulated deficit of approximately $77.6 million (compared to $64.5 million as of December 31, 2024). Our independent registered public accounting firm’s report on our audited financial statements for the fiscal year ended December 31, 2024 included an explanatory paragraph expressing substantial doubt about our ability to continue as a going concern due, in part, to our historical losses, accumulated deficit, and having never generated profit.

To date, we have primarily relied on capital raised through equity offerings and our equity line to fund operations and our growth strategy. Most recently, in October 2025, we completed a $10 million Regulation A offering, which significantly strengthened our balance sheet. Although management believes these proceeds have alleviated near-term liquidity concerns, until our independent registered public accounting firm issues an audit opinion without a going-concern qualification, investors should continue to consider our historical liquidity risks. Our continuation as a going concern depends on our ability to generate positive cash flows from operations and to secure additional sources of equity and/or debt financing as needed. This going concern risk may materially limit our ability to raise additional funds through the issuance of new debt or equity or may adversely affect the terms upon which such capital may be available. Our inability to obtain sufficient financing on acceptable terms could have a material adverse effect on our financial condition, results of operations, and business prospects. Investors should consider the substantial risks and uncertainties inherent in the Company’s business before investing in the Company’s securities.

We