XPEL Reports Revenue Growth of 13.7% to $122.3 million, EBITDA Growth of 37.6% to $19.6 million in Fourth Quarter 2025
SAN ANTONIO--( BUSINESS WIRE)--XPEL, Inc. (Nasdaq: XPEL) (the "Company"), a global provider of protective films and coatings, announced consolidated results 1 for the fourth quarter and year end 2025.
Fourth Quarter 2025 Overview:
Year End 2025 Overview:
Ryan Pape, President and Chief Executive Officer of XPEL, commented, "We saw good top and bottom line performance in the fourth quarter. In 2025, we largely completed the development of our international footprint and, going forward, we will focus on driving sales growth and operating leverage in all our regions."
Financial Highlights for the Fourth Quarter 2025:
Summary consolidated financial information for the fourth quarter ended December 31, 2025 and 2024 (unaudited, dollars in thousands):
Three Months Ended December 31,
% Change
2025
%
of Total Revenue
2024
%
of Total Revenue
2025 vs. 2024
Total revenue
$
122,267
100.0
%
$
107,527
100.0
%
13.7
%
Gross margin
51,183
41.9
%
43,703
40.6
%
17.1
%
Operating Expenses
35,703
29.2
%
31,358
29.2
%
13.9
%
Net income attributable to stockholders of the Company
13,410
11.0
%
8,898
8.3
%
50.7
%
EBITDA 2
19,610
16.0
%
14,250
13.3
%
37.6
%
Net cash provided by operating activities
$
2,667
n/a
$
6,327
n/a
(57.8
)%
Geographical Revenue Summary
Three Months Ended
December 31,
% Change
% of Total Revenue
2025
2024
Inc (Dec)
2025
2024
United States
$
65,571
$
59,054
11.0
%
53.6
%
54.9
%
Canada
12,889
13,370
(3.6
)%
10.5
%
12.4
%
North America
78,460
72,424
8.3
%
64.1
%
67.3
%
China
14,035
9,238
51.9
%
11.5
%
8.6
%
Asia Other
5,372
5,262
2.1
%
4.4
%
4.9
%
Asia Pacific
19,407
14,500
33.8
%
15.9
%
13.5
%
EU, UK, and Africa
15,196
11,981
26.8
%
12.4
%
11.1
%
India and Middle East
6,443
5,875
9.7
%
5.3
%
5.5
%
Latin America
2,761
2,747
0.5
%
2.3
%
2.6
%
Total
$
122,267
$
107,527
13.7
%
100.0
%
100.0
%
Overall Revenue
Product and Service Revenue
Other Financial Information
Cash Flows from Operations
Financial Summary 2025:
Summary consolidated financial information for the years ended December 31, 2025 and 2024 (unaudited, dollars in thousands):
Year Ended December 31,
% Change
2025
%
of Total Revenue
2024
%
of Total Revenue
2025 vs. 2024
Total revenue
$
476,200
100.0
%
$
420,400
100.0
%
13.3
%
Gross margin
201,019
42.2
%
177,360
42.2
%
13.3
%
Operating Expenses
138,370
29.1
%
118,213
28.1
%
17.1
%
Net income attributable to stockholders of the Company
51,226
10.8
%
45,489
10.8
%
12.6
%
EBITDA 2
77,398
16.3
%
69,471
16.5
%
11.4
%
Net cash provided by operating activities
$
66,938
n/a
$
47,824
n/a
40.0
%
Geographical Revenue Summary
Year Ended
December 31,
% Change
% of Total Revenue
2025
2024
Inc (Dec)
2025
2024
United States
$
265,756
$
240,569
10.5
%
55.8
%
57.2
%
Canada
49,545
52,139
(5.0
)%
10.4
%
12.4
%
North America
315,301
292,708
7.7
%
66.2
%
69.6
%
China
39,921
24,148
65.3
%
8.4
%
5.7
%
Asia Other
20,895
16,825
24.2
%
4.4
%
4.0
%
Asia Pacific
60,816
40,973
48.4
%
12.8
%
9.7
%
EU, UK, and Africa
64,095
53,983
18.7
%
13.5
%
12.9
%
India and Middle East
24,984
21,072
18.6
%
5.2
%
5.0
%
Latin America
11,004
11,664
(5.7
)%
2.3
%
2.8
%
Total
$
476,200
$
420,400
13.3
%
100.0
%
100.0
%
2026 First Quarter Outlook
Please see the information under "Forward-looking Statements" below regarding certain cautionary statements relating to our 2026 First Quarter Outlook.
Conference Call Information
The Company will host a conference call and webcast today, February 25, 2026 at 11:00 a.m. Eastern Time to discuss the Company’s fourth quarter and annual 2025 results.
To access the live webcast, please visit the XPEL, Inc. website at www.xpel.com/events-presentations.
To participate in the call by phone, dial (888) 506-0062 approximately five minutes prior to the scheduled start time. International callers please dial (973) 528-0011. Callers should use access code: 101941.
A replay of the teleconference will be available until March 27, 2026 and may be accessed by dialing (877) 481-4010. International callers may dial (919) 882-2331. Callers should use conference ID: 53542.
About XPEL, Inc.
XPEL is a leading provider of protective films and coatings, including automotive paint protection film, surface protection film, automotive and architectural window films, and ceramic coatings. With a global footprint, a network of trained installers and proprietary DAP software, XPEL is dedicated to exceeding customer expectations by providing high-quality products, leading customer service, expert technical support and world-class training. XPEL, Inc. is publicly traded on Nasdaq under the symbol “XPEL”.
1 The results summarized above for 2025 are preliminary and unaudited. As the Company completes its quarter-end financial close processes and finalizes its financial statements for the fourth quarter and year end of 2025, it is possible that the Company may identify items that require it to make adjustments to the preliminary information set forth above, and those adjustments could be material. Full year end 2025 financial information will be included in the filing of the Company’s Annual Report on Form 10-K with the Securities and Exchange Commission which is anticipated on or prior to March 2, 2026.
2 See "Non-GAAP Financial Measure" and "Reconciliation of Non-GAAP Financial Measure" below.
Forward-looking Statements
This release includes forward-looking statements (within the meaning of Section 27A of the Securities act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended) regarding XPEL, Inc. and its business, which may include, but is not limited to, anticipated use of proceeds from capital transactions, expansion into new markets, execution of the company's growth strategy and outlook. Often, but not always, forward-looking statements can be identified by the use of words such as "plans," "is expected," "expects," "scheduled," "intends," "contemplates," "anticipates," "believes," "proposes" or variations (including negative variations) of such words and phrases, or state that certain actions, events or results "may," "could," "would," "might" or "will" be taken, occur or be achieved. Such statements are based on the current expectations and assumptions of the management of XPEL. Forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause our actual results, performance or achievements expressed or implied by the forward-looking statements. These risks, uncertainties and other factors relate to, among others: competition, a prolonged or material contraction in automotive sales and production volumes, disruption in our supply chain, technology that could render our products obsolete, changes in the way vehicles are sold, damage to our brand and reputation, cyber events and other legal and regulatory developments. There are several risks, uncertainties, and other important factors, many of which are beyond the Company’s control, that could cause its actual results to differ materially from the forward-looking statements contained in this press release, including those described in the “Risk Factors” section of Annual Report on Form 10-K. Although XPEL has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results to differ from those anticipated, estimated or intended. No forward-looking statement can be guaranteed. Except as required by applicable securities laws, forward-looking statements speak only as of the date on which they are made and XPEL undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events, or otherwise.
Non-GAAP Financial Measure
To aid in the understanding of XPEL's ongoing business performance, XPEL uses EBITDA, a non-GAAP financial measure. EBITDA is defined as net income (loss) plus interest expense, net, plus income tax expense plus depreciation and amortization expense. EBITDA should be considered in addition to, not as a substitute for, or superior to, financial measures calculated in accordance with GAAP. It is not a measurement of XPEL's financial performance under GAAP and should not be considered as an alternative to revenue or net income, as applicable, or any other performance measures derived in accordance with GAAP and may not be comparable to other similarly title measures. For a full reconciliation of EBITDA to comparable GAAP measure, refer to the reconciliation titled "Reconciliation of Non-GAAP Financial Measure."
XPEL, Inc.
Consolidated Statements of Income (Unaudited)
(In thousands except per share data)
Three Months Ended December 31,
Year Ended
December 31,
(Unaudited)
(Unaudited)
(Unaudited)
2025
2024
2025
2024
Revenue
Product revenue
$
90,889
$
81,847
$
359,855
$
318,849
Service revenue
31,378
25,680
116,345
101,551
Total revenue
122,267
107,527
476,200
420,400
Cost of Sales
Cost of product sales
57,499
52,415
223,967
199,791
Cost of service
13,585
11,409
51,214
43,249
Total cost of sales
71,084
63,824
275,181
243,040
Gross Margin
51,183
43,703
201,019
177,360
Operating Expenses
Sales and marketing
13,607
11,509
51,138
42,817
General and administrative
22,096
19,849
87,232
75,396
Total operating expenses
35,703
31,358
138,370
118,213
Operating Income
15,480
12,345
62,649
59,147
Interest expense
—
34
83
996
Foreign currency exchange (gain)/loss
(331
)
1,157
(1,495
)
1,373
Income before income taxes
15,811
11,154
64,061
56,778
Income tax expense
2,151
2,256
12,472
11,289
Net Income
$
13,660
$
8,898
$
51,589
$
45,489
Net income attributed to non-controlling interest
250
—
363
—
Net income attributable to stockholders of the Company
$
13,410
$
8,898
$
51,226
$
45,489
Earnings per share attributable to stockholders of the Company
Basic
$
0.49
$
0.32
$
1.85
$
1.65
Diluted
$
0.48
$
0.32
$
1.85
$
1.65
Weighted Average Number of Common Shares Outstanding
Basic
27,635
27,649
27,657
27,639
Diluted
27,684
27,656
27,683
27,643
XPEL, Inc.
Consolidated Balance Sheets
(In thousands except share and per share data)
(Unaudited)
December 31, 2025
December 31, 2024
Assets
Current
Cash and cash equivalents
$
50,864
$
22,087
Accounts receivable, net
49,846
29,146
Inventory, net
122,755
110,904
Prepaid expenses and other current assets
6,651
5,314
Income tax receivable
581
893
Total current assets
230,697
168,344
Property and equipment, net
15,797
17,735
Right-of-use lease assets
21,561
19,490
Intangible assets, net
49,620
34,562
Other non-current assets
5,574
1,350
Goodwill
59,277
44,126
Total assets
$
382,526
$
285,607
Liabilities
Current
Current portion of notes payable
$
59
$
63
Current portion of lease liabilities
6,094
4,666
Accounts payable and accrued liabilities
54,289
36,138
Other short-term liabilities
10,558
651
Total current liabilities
71,000
41,518
Deferred tax liability, net
120
469
Other long-term liabilities
9,511
1,810
Non-current portion of lease liabilities
16,710
16,126
Non-current portion of notes payable
—
229
Total liabilities
97,341
60,152
Stockholders’ equity
Preferred stock, $0.001 par value; authorized 10,000,000; none issued and outstanding
—
—
Common stock, $0.001 par value; 100,000,000 shares authorized; 27,682,807 and 27,651,773 issued, respectively
28
28
Additional paid-in-capital
18,049
15,550
Accumulated other comprehensive loss
(135
)
(4,236
)
Retained earnings
265,339
214,113
Treasury stock, 78,624 shares at cost
(2,999
)
—
Stockholders’ equity
280,282
225,455
Non-controlling interest
4,903
—
Total stockholders’ equity
285,185
225,455
Total liabilities and stockholders’ equity
$
382,526
$
285,607
XPEL, Inc.
Consolidated Statements of Cash Flows (Unaudited)
(In thousands)
Three Months Ended December 31,
Year Ended December 31,
(Unaudited)
(Unaudited)
(Unaudited)
2025
2024
2025
2024
Cash flows from operating activities
Net income
$
13,660
$
8,898
$
51,589
$
45,489
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation of property, plant and equipment
1,531
1,512
6,264
5,820
Amortization of intangible assets
2,268
1,550
6,990
5,877
Gain on sale of property and equipment
(2
)
(14
)
(13
)
(49
)
Stock compensation
(23
)
868
2,753
3,197
Provision for credit losses
63
111
922
390
Deferred income tax
2,428
(1,367
)
(299
)
(2,745
)
Changes in assets and liabilities:
Accounts receivable, net
(13,058
)
(129
)
(20,444
)
(5,604
)
Inventory, net
6,281
(9,959
)
11,476
(4,785
)
Prepaid expenses and other current assets
(3,579
)
631
(3,887
)
(2,154
)
Income taxes receivable and payable
(2,705
)
(637
)
249
(267
)
Accounts payable and accrued liabilities
(4,197
)
4,863
11,338
2,655
Net cash provided by operating activities
2,667
6,327
66,938
47,824
Cash flows used in investing activities
Purchases of property, plant and equipment
(1,074
)
(1,628
)
(4,008
)
(6,713
)
Proceeds from sale of property and equipment
14
—
48
40
Acquisition of businesses, net of cash acquired
(11,003
)
(3,335
)
(26,168
)
(9,855
)
Purchases of long term investments
(415
)
—
(2,100
)
—
Development of intangible assets
(514
)
(455
)
(1,550
)
(1,876
)
Net cash used in investing activities
(12,992
)
(5,418
)
(33,778
)
(18,404
)
Cash flows from financing activities
Net payments on revolving line of credit
—
—
—
(19,000
)
Restricted stock withholding taxes paid in lieu of issued shares
(93
)
(18
)
(254
)
(193
)
Repayments of notes payable
(126
)
(16
)
(243
)
(60
)
Payments of deferred acquisition consideration
(14
)
—
(161
)
—
Purchases of treasury shares
(2,999
)
—
(2,999
)
—
Net cash used in financing activities
(3,232
)
(34
)
(3,657
)
(19,253
)
Net change in cash and cash equivalents
(13,557
)
875
29,503
10,167
Foreign exchange impact on cash and cash equivalents
(76
)
226
(726
)
311
(Decrease) increase in cash and cash equivalents during the period
(13,633
)
1,101
28,777
10,478
Cash and cash equivalents at beginning of period
64,497
20,986
22,087
11,609
Cash and cash equivalents at end of period
$
50,864
$
22,087
$
50,864
$
22,087
Supplemental schedule of non-cash activities
Non-cash acquisition consideration
$
—
$
1,600
$
24,094
$
1,600
Non-cash lease financing
$
2,235
$
2,491
$
6,631
$
8,701
Issuance of Common Stock for vested restricted stock units
$
323
$
210
$
1,171
$
1,110
Non-cash minority interest contribution
$
78
$
—
$
4,540
$
—
Supplemental cash flow information
Cash paid for income taxes
$
2,418
$
3,361
$
12,540
$
13,617
Cash paid for interest
$
—
$
31
$
89
$
1,026
Reconciliation of Non-GAAP Financial Measure
EBITDA is a non-GAAP financial measure. EBITDA is defined as net income (loss) plus interest expense, net, plus income tax expense plus depreciation expense and amortization expense. EBITDA should be considered in addition to, not as a substitute for, or superior to, financial measures calculated in accordance with GAAP. It is not a measurement of our financial performance under GAAP and should not be considered as alternatives to revenue or net income, as applicable, or any other performance measures derived in accordance with GAAP and may not be comparable to other similarly titled measures of other businesses. EBITDA has limitations as an analytical tool, and you should not consider it in isolation or as a substitute for analysis of our operating results as reported under GAAP.
EBITDA does not reflect the impact of certain cash charges resulting from matters we consider not to be indicative of ongoing operations and other companies in our industry may calculate EBITDA differently than we do, limiting its usefulness as a comparative measure.
EBITDA Reconciliation (in thousands)
Three Months Ended December 31,
Year Ended December 31,
(Unaudited)
(Unaudited)
(Unaudited)
2025
2024
2025
2024
Net Income
$
13,660
$
8,898
$
51,589
$
45,489
Interest
—
34
83
996
Taxes
2,151
2,256
12,472
11,289
Depreciation
1,531
1,512
6,264
5,820
Amortization
2,268
1,550
6,990
5,877
EBITDA
$
19,610
$
14,250
$
77,398
$
69,471