Worksport Ltd. announced its financial results for the second quarter ended June 30, 2026, highlighting record quarterly net sales and significant improvements in profitability and cash flow. The company reported a 27.4% year-over-year increase in revenue, expanded gross margins, and a 58% sequential reduction in cash used for operations, signaling a transition from investment to operating leverage.
Key Details
- Record Revenue: Q2 net sales reached a record $5.23 million, up 27.4% from $4.10 million in Q2 2025 and up 57.9% from Q1 2026.
- Improved Profitability: Net loss narrowed 32% sequentially to $3.97 million, or $0.33 per share. Gross profit grew 52.5% year-over-year to $1.65 million, with gross margin expanding to 31.5% from 26.4% in the prior-year period.
- Reduced Cash Burn & Outlook: Net cash used in operating activities decreased by approximately 58% sequentially to $3.44 million. The company is targeting positive cash flow from operations within the remainder of 2026.