Worksport Stock Climbs After-Hours On Reporting Second Straight Month Of Record Sales
Synopsis
The company said April and May revenues have already exceeded its total Q1 2025 sales, with gross margins improving 25% from Q1 levels.
Worksport moved higher in after-hours trading on Monday after the company said its unaudited May sales reached $1.28 million, marking its second consecutive month of record-breaking revenue.
The stock rose 3.9% to close at $2.91 on Monday, then added another 4.1% in after-hours trading to $3.03.
April and May revenues together have exceeded the company’s total revenue for the first quarter (Q1).
The company, which develops hybrid and clean energy solutions for the light truck, overlanding, and global consumer goods sectors, reported a 25% improvement in gross margins in May compared to Q1 2025, bringing margins closer to 23%.
Worksport attributed the increase to a shift toward higher-value branded products and operational efficiency gains at its New York manufacturing facility, which uses more than 90% domestic content.
The company projects gross margins to approach 30% by year-end and expects to achieve cash flow positivity toward the end of 2025.
Worksport also said its active dealer network has grown from 94 in Q4 2024 to over 550 dealers, including two national distributors added this spring.
The company expects June to be another strong month as these national distributors ramp up ordering.
CEO Steven Rossi said May’s results reflect growth in the company’s American-made tonneau cover segment and B2B expansion.
Worksport reaffirmed its 2025 revenue outlook of approximately $20 million, up from $8.5 million in 2024 and $1.5 million in 2023.
The company said its current market capitalization remains below projected 2025 revenue.
It also highlighted its plans to launch the SOLIS solar-powered tonneau cover and COR portable nano-grid system in fall 2025.
Worksport described both as high-margin, IP-protected products targeting the clean energy and portable power sectors.
On Stocktwits, retail sentiment was ‘bearish’ amid ‘low’ message volume.
The stock has declined 69.8% so far in 2025.
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