Worksport Ltd. (NASDAQ:WKSP) stock surged more than 26% on Monday after the clean energy and automotive accessories company reported improving margins, expanded its distribution network and outlined a path toward positive operating cash flow in 2026.
The company reported a preliminary May gross margin of about 35%. That was up from 28.4% in the first quarter, driven by efficiency, cost discipline, pricing, and scale.
Path To Positive Cash Flow
Worksport would need roughly $9 million in quarterly revenue to achieve positive operating cash flow. That estimate assumes a 35% gross margin and targets initial positive operational cash flow in 2026.
Worksport secured Meyer Distributing as its first multinational distribution partner.
