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Franchise Holdings International (Worksport Tonneau Covers) announces record 2019 revenues

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Worksport

U.S. revenues, helped by securing minimum 10-year rights to Worksport brand and logo, jumped a record 347% in 2019 to $1,860,563 from $416,331 in same period last year

Non-competing private label sales also advanced 619%

Highlights of year ending December 31, 2019 (all amounts in US$)

  • 2019 sales up 300% over comparable period last year:

$1,926,405, compared to $481,521 in 2018

  • U.S. 2019 revenue jumped 347% to $1,860,563 from $416,331 in same period last year

(Higher share of existing customer sales, more product available, intellectual property secured)

  • Company now owns sole U.S. rights for a minimum of 10 years to the Worksport name for light truck tonneau covers; also secured three U.S. patents in 2019 and applied for others internationally
  • Non-competing private label sales increased 619% to $1,912,401 from $265,969 in same period last year
  • Online sales increased to $174,793 in 2019 from $151,285, a 16% increase, year over year, now accounting for 8% of revenue, when compared with 32% for the year ended Dec. 31, 2018.
  • Net loss decreased 76% to $414,607, compared with $1,763,038 in the same period last year, due to decreases in operating expenses and non-recurring items, including gain on debt settlement – and paving the way for future earnings. Gross profit increased to $292,840 in the year ended Dec. 31, 2019, when compared with $96,614 in the same period last year, an increase of $196,226 or 203%.

Toronto, Ontario, May 15, 2020 – Steven Rossi, CEO Franchise Holdings International Inc. (OTC: FNHI), and its Worksport subsidiary (“the Company”), announced that for the year ended December 31, 2019, revenue from the entire line of Worksport tonneau covers for the light truck market jumped a record 300% to $1,926,405, as compared to $481,521 for the same period last year. In addition, U.S. 2019 revenue increased a record 347% to $1,860,563 from $416,331 in same period last year, due to higher share of existing customer sales, more Worksport product available, and exclusive 10-year rights to Worksport name and logo granted by U.S. Patent Office (USPO).

“To say the least, we are very pleased by achieving these record revenues for the 12-month period. A 300% increase is really impressive,” said Rossi. “It clearly demonstrates that we have successfully executed on and greatly exceeded our highly ambitious strategic plan to accomplish record growth and profitability for the company. With issues like the gain on debt settlement behind us, we are zeroing in on profitability, with lien operations. With anticipated forthcoming funding, we believe the results would be even stronger, with faster development of the exciting

new high tech tonneau cover products in the pipeline and increased inventory and distribution. It’s just the beginning, as we build towards becoming a cornerstone middle-market U.S brand.”

Private Label Strategy Advances

Rossi cited Worksport’s surge in private label sales as a major growth engine for the company. “Private label sales of non-competing customized product proved to be a runaway success, accounting for the upward trajectory and the majority of our sales. Meanwhile, we are focused on ramping up the Worksport brand, after finally securing complete U.S. patent office protection of our name and logo, after a long and hard effort,” Rossi said. “The ratio of Worksport branded product to private label tonneau covers is expected to even out in the future, with both driving the company’s growth in the U.S., our primary market.”

Worksport expects to continue to grow private label sales as it invents unique and non-competing tonneau covers to offer other prospective clients in the U.S. and Canadian markets, Rossi said. “The Company acquired more share of sales to existing customers and achieved more consistent product availability to fill orders in both the U.S. and Canada,” said Rossi.

Online Retail Also Grows

Worksport believes that the trend of increasing sales through online retailers will continue to outpace traditional distribution business models. Moreover, reputable online retailer customers tend to provide larger sales volumes, greater profit margins as well as greater protection against price erosion, Rossi said.

Sales from online Worksport retailers increased to $174,793 in 2019 from $151,285, a 16% increase, year over year, and now accounting for 8% of revenue, when compared with 32% for the year ended Dec. 31, 2018. These revenues occurred before the coming of the global COVID-19 Pandemic. “Worksport’s foresight in developing an online sales channel positions the Company to thrive in the ‘social distancing’ environment,” Rossi added.

Intellectual Property Secured

In addition to the flood of private label sales, Rossi cited a number of important factors that resulted in Worksport’s dramatic record growth. “First of all, securing Worksport’s intellectual property has significantly transformed the Company. Winning three USPO patents in one year and being granted final exclusive rights to our trademark has enabled the 347% leap in U.S. revenues as we can freely operate and develop our U.S market. Secondly, we now operate through three sales channels: online, largely through Amazon.com, Worksport-branded product sold via distributors, and non-competitive private label products that are exclusive to several important national retailers and distributors.

COVID-19

“Our hearts go out to COVID-19 victims all around the globe. We urge everyone to stay safe,” Rossi said. “Although the virus is having devastating global effects, Worksport’s factories in China, after a very brief pause, are again back in operation as of the week of March 16, 2020, subsequent

to the year end. Rossi said that the Company’s supply chain is fully intact and working on new and future products for the booming light truck market.

Net Loss Decreases, Gross Profit Rises

The Company’s net loss dropped 76% to $414,607, compared with $1,763,038 in the same period last year, due to decreases in operating expenses from $1,307,741 for 2018 to $831,973 for 2019, a decrease of $475,768 or 36%. Also factored into the net loss were non-recurring items, including gain on debt settlement as well as a 38% decrease in professional services including accounting, legal, consulting, listing and filing fees, which decreased to $531,694 for the year ended December 31, 2019 from $864,160 in the comparable period last year. Gross profit increased to $292,840 in the year ended Dec. 31, 2019, when compared with $96,614 in the same period last year, an increase of $196,226 or 203%.

Debt Settlement

To provide additional detail concerning the debt settlement, during the year ended December 31, 2019, the Company reached a legal settlement agreement (the “unwinding”) with an individual investor to dissolve the Debt Settlement and Mutual Release Agreement entered into on January 12, 2018. In accordance to the settlement agreement:

  • 19,055,551 pre-stock split, reserved shares were released and returned to the Company
  • 5,944,449 pre-stock split (990,742 post stock split) shares already issued were also returned to and cancelled
  • Issued and outstanding shares were reduced accordingly
  • A gain on debt settlement of $250,778 was then recorded.

The company closed the unwinding in August 2019.

Cost of Sales

Keeping pace with Worksport’s year of large-scale growth in revenues, cost of sales increased by 339% from $384,908 for the year ended December 31, 2018 to $1,687,857 for the year ended December 31, 2019. Worksport’s cost of sales, as a percentage of sales, was approximately 88% and 80% for the years ended December 31, 2019 and 2018, respectively. The decrease in percentage of sales resulted in a gross margin decrease from 20% for the year ended December 31, 2018 to 12% for the year ended December 31, 2019. This decrease in gross margin is related to the fluctuation in foreign exchange rates used to translate Canadian dollar sales into U.S. dollars for purposes of financial reporting as well as the increased cost for cost of goods sold and cost associated with warehousing inventory, to fulfil just in time sales, in the U.S. market.

“When looking at a growth company like Worksport, which is experiencing significant revenue increases, the cost of sales and how they are controlled can be a key determinant of future profitability,” Rossi said. “The task ahead is to increase gross margins consistently to the previously enjoyed 20% or greater range and keep these margins commensurate with anticipated future growth in each sales channel.”

General Outlook

“Everything is coming together rapidly for Worksport, and it’s happening much faster than anyone expected,” Rossi concluded. “We have the products, secure intellectual property and the incredible global team to make a great leap forward in the U.S., our principal market, and also in Canada, our home. In the year ahead, we hope to achieve profitability and greater penetration of the U.S. market, while focussing on improving our revenues sustainably with a keen focus on profitability and building the Worksport brand. The Pandemic will affect us, as it will be a tough year for everyone, but we are confident that as we continue to open up again, Worksport will be there providing much-needed, technologically advanced products for its branded, online and private label markets.”

##

About Worksport Ltd.

Worksport Ltd., a fully owned subsidiary of Franchise Holdings International. Inc. is an innovative manufacturer of high quality, functional, and aggressively priced tonneau/truck bed covers for light trucks like the F150, Sierra, Silverado (NYSE: GM), Canyon, RAM (MUTF: DODGX), and Ford F-Series (NYSE: F). For more information please visit www.worksport.com

About Franchise Holdings International

Listed on the OTCQB Market under the trading symbol “FNHI” and currently in the process of a dual listing on a Canadian Stock Exchange, Franchise Holdings International’s strategy is to acquire business in the fastest growing business segments and to create shareholder value in the process. Once a business of interest is acquired, our mission is to further develop and accelerate the growth for all of our acquired subsidiaries. Currently the Corporation has one fully owned subsidiary, Worksport Ltd.

For further information please contact:

Mr. Steven Rossi CEO & Director Franchise Holdings International

T: 1-888-554-8789 E: Investors@franchiseholdingsinternational.com

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Worksport™ Announces Supply Partnership with Hercules Electric Mobility for its TerraVis™ Solar Truck Bed Tonneau System

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Worksport

TORONTO – Oct. 19, 2020 (IAM NEWSWIRE) – Worksport Ltd,, (OTC:WKSP) (or the “Company”) has signed an agreement with Hercules Electric Mobility Inc., Detroit, Michigan, for Worksport’s groundbreaking TerraVis™ tonneau cover solar charging system to become the Tier One OEM supply partner for Hercules’ forthcoming Alpha Electric Pickup, with over US $27 million in early customer reservations .

The announcement today reveals Hercules as Worksport’s partner in an agreement between the two companies that is expected to generate up to US$70 million in future revenues for Worksport™. A Sept. 3 news release and a subsequent follow up story on Sept. 15 had said that ‘the terms of the agreement are expected to be disclosed in mid-September.’ However, since then, causing a delay in the announcement, the two companies have broadened their discussions, relating to additional deployments for the TerraVis system, merging and up-listing on a senior exchange, and manufacturing collaboration.

“Although we understand the delay of over one month is challenging in today’s volatile market, we appreciate shareholders patience in allowing us to arrive at today’s milestone,” said Worksport CEO Steven Rossi. “We will continue to work tirelessly in progressing our business and keeping our valued shareholders up to date.”

“The economic value of this one relationship is expected to be of profound significance for Worksport and its future growth and development,” added Rossi. “The announced $70 million in projected revenues in the first contract is just the beginning, and it is likely to expand over the longer-term. We’re proud to work with Hercules because of its management’s long history with developing and launching major vehicle platforms.”

The TerraVis™ system will be exclusively configured and uniquely crafted for Hercules’ highly innovative EV pickup Truck, the Alpha. The durable and technologically advanced TerraVis™ system will be the very first to provide a meaningful source of recharge, multiple configurations for work and sport and a fusion of cutting edge solar power, storage, and delivery. The platform takes advantage of a standard pick-up truck’s practical capabilities, while also utilizing the power of more sustainable and renewable energy. Proprietary, high efficiency solar panels built into the rugged tonneau cover—the likes of which Worksport has become widely known for—will collect the sun’s rays and store energy in multiple portable battery banks.

The anticipated Hercules and Worksport long-term partnership, a pioneering automotive industry agreement, combines factory installed solar charging and structural tonneau covers with a new type of performance electric pickup truck. The companies will co-develop TerraVis™ technology on the Hercules Alpha with deployment on future SUVs and marine applications. Hercules is developing and deploying high-technology solutions integrating clean power and mobility, to create better products in a multitude of customer-selected configurations.  Worksport is working towards a similar goal to reduce pickup drivers’ carbon footprint through use of its TerraVis™ solar tonneau cover and battery/inverter module for existing light trucks, as well as a number of useful accessories.  Hercules and Worksport look forward to jointly launching the Hercules Alpha solar charging.

“We are pleased to be working with the team at Worksport to bring solar charging to our Hercules products,” said Hercules CEO James Breyer, who co-founded the company in 2018 after a successful career in the automotive industry. “It will be part of a luxury experience without plug-anxiety, due to the solar charging truck bed cover. With the Worksport solar solution, our customers can enjoy their on- and off-road activities while adding to their electric charge at the same time.”

“Hercules is taking an unconventional approach, using available services, expertise, and industry capacity to launch products quickly and efficiently,” Breyer added. “This allows Hercules to bring eco-utility vehicles to market faster and with higher levels of personalization and craftsmanship. It also means we don’t have to add redundant manufacturing capacity where it isn’t needed. The Worksport partnership is an example of this approach. Worksport developed a unique product and it is something that will make our electric trucks distinct from all others. We will collaborate on cost optimization and continuous improvement for projects that achieve performance and price advantages against the other industry available cover options.”

Hercules will integrate the solar charging tonneau cover into its core architecture to give freedom to Hercules drivers, specifically “plug freedom.” The solar cover’s overall charging is similar power to a level 1 cord plugged into a standard 110VAC outlet.”

“In Hercules we have found the ideal development partner for the TerraVis™ system,” Rossi said. “James Breyer is one of the automotive industry’s most respected executives, with achievements that include perfecting electric vehicles at the two largest Detroit auto manufacturers. We will mutually pursue necessary funding, investment, and working capital for overall project success, including cross-introductions to investment partners. The partnership and products are so innovative that we have no doubts that we will secure financing in the near term. Discussions with financial institutions have already begun.”

While at Ford Research Lab, Breyer was instrumental in launching fuel-cell, hybrid, and electric vehicles, including the Fuel-Cell Focus and others.  He also led development of the Volt powertrain and global EV powertrains such as Spark EV. He is complimented by co-founders Julie Tolley and Greg Weber.

“With the recent TerraVis™ reveal, Worksport enters the most exciting period since inception,” said Worksport CEO Steven Rossi. “We now have the perfect, well established partner and a project that will quickly demonstrate the TerraVis™ system’s attractive and leading-edge approach to providing solar power to the light truck industry. At the same time, Worksport will continue to focus on growth as the lead innovator and manufacturer in the Global Automotive Market for tonneau covers for electric and conventional light trucks. Other important announcements are expected soon.”

Worksport

Any interested investors or shareholders are encouraged to follow the company’s social media accounts on Twitter, Facebook, LinkedIn, and Instagram as well as sign up for the company’s newsletters on both www.worksport.com and www.goterravis.com, to stay up to date on all of the latest news.

About Worksport Ltd.

Worksport Ltd., an innovative manufacturer of high quality, functional, and aggressively priced tonneau/truck bed covers for light trucks like the F150, Sierra, Silverado, Canyon, RAM, and Ford F-Series. For more information please visit www.worksport.com. Currently listed on the OTCQB Market under the trading symbol “WKSP.”

Connect with Worksport:

LinkedIn

Facebook

Twitter

Instagram

For further information please contact:

Mr. Steven Rossi
CEO & Director

LinkedIn

Twitter
Worksport, Ltd

T: 1-888-554-8789
E: srossi@worksport.com

Forward-Looking Statements

This document may contain forward-looking statements, relating to Worksport, Ltd. operations or to the environment in which it operates, which are based on Franchise Holdings International Inc. operations, estimates, forecasts and projections. These statements are not guarantees of future performance and involve risks and uncertainties that are difficult to predict, and/or are beyond Worksport, Ltd’s ’s control. A number of important factors could cause actual outcomes and results to differ materially from those expressed in these forward-looking statements. Consequently, readers should not place any undue reliance on such forward-looking statements. Worksport, Ltd. disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. No Stock Exchange or Regulation Services Provider accepts responsibility for the adequacy or accuracy of this release.

 

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Ideanomics Announces MEG September and Q3 Sales Activity

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Ideanomics

  • A total of 423 units Delivered in September
  • A total of 626 units Delivered in Q3
  • An additional 440 units were invoiced in Q3 and are pending delivery

New York October 15, 2020/IAMNewswire/ – Ideanomics (NASDAQ: IDEX) (“Ideanomics” or the “Company”) is pleased to announce its Mobile Energy Global (MEG) division’s sales activities for the month of September and Q3 2020. For the period starting September 1, 2020, through September 30, 2020, MEG delivered a total of 423 units. For 3Q 2020, the period starting July 1, 2020, through September 30, 2020, MEG delivered a total of 626 units. The company also invoiced an additional 440 units in Q3, which are pending expected delivery.

 

Total Units Delivered – Q3 2020

NASDAQ:IDEX

 

NASDAQ:IDEX

 

Units Invoiced Pending Expected Delivery – Q3 2020

NASDAQ:IDEX

“We are very pleased that our MEG business experienced sequential growth, month over month, throughout Q3, and the 440 units pending delivery gets Q4 off to a strong start. This growth, fueled by a combination of previously announced deals and new deal origination, along with improvements in our operational efficiency, helps us achieve our goals for 2020 and sets the stage for growth at scale going into 2021,” said Alf Poor, CEO of Ideanomics.

About Ideanomics

Ideanomics is a global company that facilitates the adoption of commercial electric vehicles and supports next-generation financial services and fintech products. Our electric vehicle division, Mobile Energy Global (MEG) provides group purchasing discounts on commercial electric vehicles, EV batteries and electricity, as well as financing and charging solutions; we refer to this business model as sales to financing to charging (S2F2C). Ideanomics Capital provides fintech services that include intelligent and innovative solutions powered by AI and blockchain. Together, MEG and Ideanomics Capital provide our global customers and partners with more efficient solutions for a greener economy.

The company is headquartered in New York, NY, with offices in Beijing, Guangzhou, and Qingdao, and operations in the U.S., China, Ukraine, and Malaysia.

Safe Harbor Statement

This press release contains certain statements that may include “forward looking statements”. All statements other than statements of historical fact included herein are “forward-looking statements.” These forward-looking statements are often identified by the use of forward-looking terminology such as “believes,” “expects” or similar expressions, involve known and unknown risks and uncertainties, and include statements regarding our intention to transition our business model to become a next-generation financial technology company, our business strategy and planned product offerings, our intention to phase out our oil trading and consumer electronics businesses, and potential future financial results. Although the Company believes that the expectations reflected in such forward-looking statements are reasonable, they do involve assumptions, risks and uncertainties, and these expectations may prove to be incorrect. You should not place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company’s actual results could differ materially from those anticipated in these forward-looking statements as a result of a variety of risks and uncertainties, such as risks related to: our ability to continue as a going concern; our ability to raise additional financing to meet our business requirements; the transformation of our business model; fluctuations in our operating results; strain to our personnel management, financial systems and other resources as we grow our business; our ability to attract and retain key employees and senior management; competitive pressure; our international operations; and other risks and uncertainties disclosed under the sections entitled “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in our most recent Form 10-K and Form 10-Q filed with the Securities and Exchange Commission, and similar disclosures in subsequent reports filed with the SEC, which are available on the SEC website at www.sec.gov..  All forward-looking statements attributable to the Company or persons acting on its behalf are expressly qualified in their entirety by these risk factors. Other than as required under the securities laws, the Company does not assume a duty to update these forward-looking statements.

Investor Relations and Media Contact

Tony Sklar, VP of Communications

55 Broadway, 19th Floor New York, New York 10006

Email: ir@ideanomics.com

 

Valerie Christopherson / Lora Wilson

Global Results Communications (GRC)

+1 949 306 6476

valeriec@globalresultspr.com

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Worksport™ & Atlis Motor Vehicles form Collaborative Partnership

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Atlis Partnered with Worksport OTC:WKSP

TORONTO – Sept. 22, 2020 — Worksport Ltd (OTC: WKSP) (or the “Company”) has entered into an agreement with Atlis Motor Vehicles, Mesa, Ariz., aimed at configuring the TerraVis solar charging system as an OE accessory for the highly anticipated, technologically advanced Atlis XT electric pickup truck. Atlis and Worksport will begin working together immediately to integrate their engineering and design departments. They will uniquely configure the TerraVis’™ Solar Truck Bed Power System to provide the Atlis XT Truck with a meaningful source of recharge power from its integrated Solar Panels.

This is the second recent agreement that Worksport has struck with a U.S. based EV Truck manufacturer to become its OEM partner and create a customized TerraVis’ solar panel tonneau cover for the company’s forthcoming all-electric pick up truck.

The aggressively priced Atlis XT truck comprises many market-leading features including 15-minute charge time, 500-mile range, and 35,000lb towing capacity with an estimated million mile working life.

“This new collaboration agreement with a market-leading manufacturer continues to prove out our business model and demonstrate our bright future and large upside,” said Worksport CEO Steven Rossi. “It follows closely on our previous announcement to be the OEM partner for a customized solar truck bed power system.”

Worksport recently made the first public disclosure of details about TerraVis , the very first advanced folding truck bed tonneau cover system to be a fusion of cutting edge solar power, storage, and delivery. The platform takes advantage of a standard pick-up truck’s practical capabilities, while also utilizing the power of more sustainable and renewable energy. Proprietary, high efficiency solar panels built into the rugged tonneau cover—the likes of which Worksport has become widely known for—will collect the sun’s rays and store energy in multiple battery banks.

In addition to Atlis, Worksport has been fielding a number of inquiries from other manufacturers, the media and investment community as well as business interest from organizations in Holland, Germany, Australia, Spain, multiple U.S. and Canadian companies.

“TerraVis’™ Solar Truck Bed Power System introduction not only has rewarded the hard work in developing a technological breakthrough, but it is also transforming the company’s future almost immediately,” Rossi said. “It is a real and meaningful game-changer. However, we wish to assure customers and investors that Worksport will continue to focus on growth as the lead innovator and manufacturer in the Global Automotive Market for tonneau covers for electric and conventional light trucks.”

As it did with its open investor Q&A September 21, the Company will continue to update shareholders, supporters, and investors to maintain the highest level of disclosure and information dissemination as Worksport continues to grow and develop at a very rapid pace.

Any interested investors or shareholders are encouraged to follow the company’s social media accounts on Twitter, Facebook, LinkedIn, and Instagram as well as sign up for the company’s newsletters on both www.worksport.com and www.goterravis.com, to stay up to date on all of the latest news.

About Worksport Ltd.

Worksport Ltd., an innovative manufacturer of high quality, functional, and aggressively priced tonneau/truck bed covers for light trucks like the F150, Sierra, Silverado, Canyon, RAM, and Ford F-Series. For more information please visit www.worksport.com. Currently listed on the OTCQB Market under the trading symbol “WKSP.”

Connect with Worksport:

LinkedIn
Facebook
Twitter
Instagram
YouTube

For further information please contact:

Mr. Steven Rossi
CEO & Director

LinkedIn

Twitter
Worksport, Ltd

T: 1-888-554-8789
E: srossi@worksport.com

Forward-Looking Statements

This document may contain forward-looking statements, relating to Worksport, Ltd. operations or to the environment in which it operates, which are based on Franchise Holdings International Inc. operations, estimates, forecasts and projections. These statements are not guarantees of future performance and involve risks and uncertainties that are difficult to predict, and/or are beyond Worksport, Ltd’s ’s control. A number of important factors could cause actual outcomes and results to differ materially from those expressed in these forward-looking statements. Consequently, readers should not place any undue reliance on such forward-looking statements. Worksport, Ltd. disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. No Stock Exchange or Regulation Services Provider accepts responsibility for the adequacy or accuracy of this release.

 

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