XPEL Reports Record Revenue of $112.9 Million in Third Quarter 2024
XPEL reported record revenue of $112.9 million for Q3 2024, a 9.9% increase YoY. The company achieved a gross margin of 42.5% and net income of $14.9 million, or $0.54 per share, up 9.1% YoY. EBITDA grew 10.0% to $21.7 million, maintaining a margin of 19.2%. For the first nine months of 2024, revenue rose 7.6% to $312.9 million, with a gross margin of 42.7%. However, net income declined to $36.6 million from $40.8 million YoY. Regional performance varied, with notable growth in Canada (25.7%) and the Middle East/Africa (35.2%), while China saw an 11.6% decline. Operating expenses rose 23.6% YoY, driven by increased marketing and international expansion costs. XPEL forecasts Q4 2024 revenue between $105 - $107 million, with expected US growth offset by a decline in China sales.
XPEL ha riportato un fatturato record di 112,9 milioni di dollari per il terzo trimestre del 2024, con un aumento del 9,9% rispetto all'anno precedente. L'azienda ha raggiunto un margine lordo del 42,5% e un reddito netto di 14,9 milioni di dollari, pari a 0,54 dollari per azione, in crescita del 9,1% su base annua. EBITDA è aumentato del 10,0% a 21,7 milioni di dollari, mantenendo un margine del 19,2%. Nei primi nove mesi del 2024, il fatturato è aumentato del 7,6% a 312,9 milioni di dollari, con un margine lordo del 42,7%. Tuttavia, il reddito netto è diminuito a 36,6 milioni di dollari rispetto ai 40,8 milioni di dollari dell'anno precedente. Le performance regionali sono variate, con una crescita notevole in Canada (25,7%) e in Medio Oriente/Africa (35,2%), mentre la Cina ha registrato una diminuzione dell'11,6%. Le spese operative sono aumentate del 23,6% su base annua, a causa dei maggiori costi di marketing e di espansione internazionale. XPEL prevede un fatturato per il quarto trimestre del 2024 compreso tra 105 e 107 milioni di dollari, con una crescita attesa negli Stati Uniti compensata da un calo delle vendite in Cina.
XPEL reportó ingresos récord de 112,9 millones de dólares para el tercer trimestre de 2024, un aumento del 9,9% en comparación interanual. La compañía logró un margen bruto del 42,5% y una ganancia neta de 14,9 millones de dólares, o 0,54 dólares por acción, un incremento del 9,1% respecto al año anterior. EBITDA creció un 10,0% hasta 21,7 millones de dólares, manteniendo un margen del 19,2%. Durante los primeros nueve meses de 2024, los ingresos aumentaron un 7,6% hasta 312,9 millones de dólares, con un margen bruto del 42,7%. Sin embargo, la ganancia neta disminuyó a 36,6 millones de dólares desde 40,8 millones de dólares en comparación interanual. El desempeño regional varió, con un crecimiento notable en Canadá (25,7%) y en Oriente Medio/África (35,2%), mientras que China experimentó una disminución del 11,6%. Los gastos operativos aumentaron un 23,6% en comparación interanual, impulsados por mayores costos de marketing y expansión internacional. XPEL pronostica ingresos para el cuarto trimestre de 2024 entre 105 y 107 millones de dólares, con un crecimiento esperado en EE. UU. compensado por una disminución en las ventas en China.
XPEL은 2024년 3분기에 1억 1,290만 달러의 기록적인 매출을 보고하며, 전년 대비 9.9% 증가했습니다. 회사는 42.5%의 총 이익률과 1,490만 달러의 순이익을 기록했으며, 주당 0.54달러로 전년 대비 9.1% 증가했습니다. EBITDA는 10.0% 증가하여 2,170만 달러에 도달하며, 19.2%의 마진을 유지했습니다. 2024년 첫 9개월 동안 매출은 7.6% 증가한 3억 1,290만 달러이며, 총 이익률은 42.7%입니다. 그러나 순이익은 전년의 4,080만 달러에서 3,660만 달러로 감소했습니다. 지역별 성과는 달랐으며, 캐나다(25.7%)와 중동/아프리카(35.2%)에서显著한 성장률을 보였고, 중국은 11.6% 감소했습니다. 운영 비용은 마케팅 및 국제 확장 비용 증가로 인해 전년 대비 23.6% 증가했습니다. XPEL은 2024년 4분기 매출이 1억 5-7 백만 달러 사이가 될 것으로 예상하며, 미국의 성장은 중국 판매 감소로 상쇄될 것입니다.
XPEL a annoncé un chiffre d'affaires record de 112,9 millions de dollars pour le troisième trimestre 2024, soit une augmentation de 9,9 % par rapport à l'année précédente. L'entreprise a réalisé une marge brute de 42,5 % et un bénéfice net de 14,9 millions de dollars, soit 0,54 dollar par action, en hausse de 9,1 % par rapport à l'année dernière. EBITDA a augmenté de 10,0 % pour atteindre 21,7 millions de dollars, maintenant une marge de 19,2 %. Pour les neuf premiers mois de 2024, le chiffre d'affaires a crû de 7,6 % pour atteindre 312,9 millions de dollars, avec une marge brute de 42,7 %. Cependant, le bénéfice net a diminué à 36,6 millions de dollars contre 40,8 millions de dollars l'année précédente. La performance régionale a varié, avec une croissance notable au Canada (25,7 %) et au Moyen-Orient/Afrique (35,2 %), tandis que la Chine a enregistré une baisse de 11,6 %. Les dépenses d'exploitation ont augmenté de 23,6 % par rapport à l'année dernière, en raison de la hausse des coûts de marketing et d'expansion internationale. XPEL prévoit un chiffre d'affaires pour le quatrième trimestre 2024 compris entre 105 et 107 millions de dollars, la croissance attendue aux États-Unis étant compensée par une baisse des ventes en Chine.
XPEL berichtete von einem Rekordumsatz von 112,9 Millionen US-Dollar für das 3. Quartal 2024, was einem Anstieg von 9,9 % im Vergleich zum Vorjahr entspricht. Das Unternehmen erzielte eine Bruttomarge von 42,5 % und einen Nettogewinn von 14,9 Millionen US-Dollar, was 0,54 US-Dollar pro Aktie bedeutet, ein Anstieg von 9,1 % im Jahresvergleich. EBITDA wuchs um 10,0 % auf 21,7 Millionen US-Dollar und hatte eine Marge von 19,2 %. In den ersten neun Monaten des Jahres 2024 stieg der Umsatz um 7,6 % auf 312,9 Millionen US-Dollar, mit einer Bruttomarge von 42,7 %. Der Nettogewinn ging jedoch von 40,8 Millionen US-Dollar im Vorjahr auf 36,6 Millionen US-Dollar zurück. Die regionale Leistung variierte, mit bemerkenswertem Wachstum in Kanada (25,7 %) und im Nahen Osten/Afrika (35,2 %), während China einen Rückgang von 11,6 % verzeichnete. Die Betriebskosten stiegen um 23,6 % im Jahresvergleich, bedingt durch gestiegene Marketing- und internationale Expansionskosten. XPEL prognostiziert für das 4. Quartal 2024 einen Umsatz zwischen 105 und 107 Millionen US-Dollar, wobei das erwartete Wachstum in den USA durch einen Rückgang der Verkäufe in China ausgeglichen werden dürfte.
- Revenue for Q3 2024 grew 9.9% YoY to $112.9 million.
- Net income for Q3 2024 increased 9.1% YoY to $14.9 million.
- EBITDA for Q3 2024 grew 10.0% to $21.7 million.
- Gross margin improved to 42.5% in Q3 2024 from 40.4% YoY.
- Net income for the first nine months of 2024 declined to $36.6 million from $40.8 million YoY.
- Operating expenses increased 23.6% YoY in Q3 2024.
- Revenue in China declined 11.6% YoY in Q3 2024.
Insights
XPEL delivered a strong third quarter with
Key growth drivers include window film revenue increasing
However, increased operating expenses, up
The automotive aftermarket sector's resilience is evident in XPEL's performance, particularly in mature markets like the US where revenue hit record levels. The company's strategic pivot to window film and installation services is proving successful, now representing
The geographical revenue mix shows promising diversification, reducing dependency on any single market. Despite China's
Third Quarter 2024 Overview:
-
Revenue increased
9.9% to in the third quarter of 2024.$112.9 million -
Gross margin of
42.5% in the third quarter of 2024. -
Net income grew
9.1% to , or$14.9 million per basic and diluted share, versus net income of$0.54 , or$13.7 million per basic and diluted share in the third quarter of 2023.$0.49 -
EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) grew
10.0% to , or$21.7 million 19.2% of revenue, compared to , or$19.7 million 19.2% of revenue in the third quarter of 2023. 2
First Nine Months 2024 Overview:
-
Revenue increased
7.6% to in the first nine months of 2024.$312.9 million -
Gross margin of
42.7% in the first nine months of 2024. -
Net income of
, or$36.6 million per basic and diluted share, versus net income of$1.32 , or$40.8 million per basic and diluted share in the first nine months of 2023.$1.48 -
EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) of
, or$55.2 million 17.6% of revenue, compared to , or$59.2 million 20.4% of revenue in the first nine months of 2023.2
Ryan Pape, President and Chief Executive Officer of XPEL, commented, "We saw good performance in the third quarter with solid top and bottom line growth, particularly in the US region where we had record revenue. We look forward to capitalizing on this momentum to close out the year."
Financial Highlights for the Third Quarter 2024:
Summary consolidated financial information for the three months ended September 30, 2024 and 2023 (unaudited, dollars in thousands):
|
Three Months Ended September 30, |
|
% Change |
||||||||||||
|
2024 |
|
% of Total Revenue |
|
2023 |
|
% of Total Revenue |
|
2024 vs. 2023 |
||||||
Total revenue |
$ |
112,852 |
|
100.0 |
% |
|
$ |
102,677 |
|
100.0 |
% |
|
9.9 |
% |
|
Gross margin |
|
47,916 |
|
42.5 |
% |
|
|
41,529 |
|
40.4 |
% |
|
15.4 |
% |
|
Operating Expenses |
|
29,529 |
|
26.2 |
% |
|
|
23,900 |
|
23.3 |
% |
|
23.6 |
% |
|
Operating income |
|
18,387 |
|
16.3 |
% |
|
|
17,629 |
|
17.2 |
% |
|
4.3 |
% |
|
Net income |
|
14,892 |
|
13.2 |
% |
|
|
13,656 |
|
13.3 |
% |
|
9.1 |
% |
|
EBITDA2 |
|
21,698 |
|
19.2 |
% |
|
|
19,718 |
|
19.2 |
% |
|
10.0 |
% |
|
Net cash provided by operating activities |
$ |
19,559 |
|
n/a |
|
$ |
11,128 |
|
n/a |
|
n/a |
Geographical Revenue Summary
|
Three Months Ended September 30, |
|
% Change |
|
% of Total Revenue |
||||||||||
|
2024 |
|
2023 |
|
Inc (Dec) |
|
2024 |
|
2023 |
||||||
|
$ |
64,565 |
|
$ |
59,002 |
|
9.4 |
% |
|
57.2 |
% |
|
57.5 |
% |
|
|
|
14,415 |
|
|
11,471 |
|
25.7 |
% |
|
12.8 |
% |
|
11.2 |
% |
|
|
|
9,058 |
|
|
10,242 |
|
(11.6 |
)% |
|
8.0 |
% |
|
10.0 |
% |
|
Continental |
|
9,058 |
|
|
8,705 |
|
4.1 |
% |
|
8.0 |
% |
|
8.5 |
% |
|
|
|
3,548 |
|
|
3,499 |
|
1.4 |
% |
|
3.2 |
% |
|
3.4 |
% |
|
|
|
5,286 |
|
|
3,909 |
|
35.2 |
% |
|
4.7 |
% |
|
3.8 |
% |
|
|
|
4,095 |
|
|
3,233 |
|
26.7 |
% |
|
3.6 |
% |
|
3.1 |
% |
|
|
|
2,827 |
|
|
2,325 |
|
21.6 |
% |
|
2.5 |
% |
|
2.3 |
% |
|
Other |
|
— |
|
|
291 |
|
(100.0 |
)% |
|
0.0 |
% |
|
0.2 |
% |
|
Total |
$ |
112,852 |
|
$ |
102,677 |
|
9.9 |
% |
|
100.0 |
% |
|
100.0 |
% |
Overall Revenue
-
Total revenue grew
9.9% compared to third quarter 2023 ("YoY") and2.7% over the second quarter 2024 ("QoQ"). ExcludingChina , total revenue increased12.3% YoY and declined1.6% QoQ. -
US revenue grew
9.4% YoY and was flat QoQ. -
All other revenue (excluding US and
China ) grew17.3% YoY and declined3.4% QoQ.
Product and Service Revenue
-
Total product revenue increased
7.2% YoY and4.5% QoQ. This increase was due to growth in most geographical regions, offset by a decline in sales to ourChina distributor. ExcludingChina , total product revenue increased9.9% YoY. -
Total window film increased
20.6% YoY and increased2.8% QoQ and represented20.1% of total revenue. -
Total service revenue increased
20.2% YoY and declined3.1% QoQ. The increase was mainly due to increases in the Company's dealership services and OEM businesses. -
Total installation revenue (labor and product combined) grew
27.4% YoY and declined2.7% QoQ and represented20.0% of total revenue. Organic installation revenue grew11.3% YoY. -
Adjusted product revenue (combining cutbank credits revenue and product revenue) increased
6.8% YoY and3.9% QoQ. ExcludingChina , adjusted product revenue grew9.3% YoY.
Other Financial Information
-
Gross margin percentage was
42.5% and40.4% in the third quarter, 2024 and 2023, respectively. -
Total operating expenses increased
23.6% YoY and increased3.0% QoQ. -
Sales and marketing expenses increased
37.6% YoY and increased3.5% QoQ and represented9.4% of revenue. This increase was driven primarily by enhanced marketing efforts to support our increased dealership focus and international expansion. -
General and administrative expenses increased
16.8% YoY and increased2.7% QoQ and represented16.7% of revenue. -
Net income increased
9.1% YoY and was flat QoQ. -
EBITDA increased
10.0% YoY2 and was flat QoQ. -
Cash flows provided by operations increased
YoY and declined$8.4 million QoQ to$7.3 million in the third quarter 2024.$19.6 million
Fourth Quarter 2024 Outlook
-
Fourth quarter revenue is estimated at
-$105 . This assumes Q4 YoY US growth of approximately$107 million 10% partially offset by Q4 YoY decline inChina sales.
Please see the information under "Forward-looking Statements" below regarding certain cautionary statements relating to our 2024 Outlook.
Conference Call Information
The Company will host a conference call and webcast today, November 7, 2024 at 11:00 a.m. Eastern Time to discuss the Company’s third quarter 2024 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: 861781.
A replay of the teleconference will be available until December 7, 2024 and may be accessed by dialing (877) 481-4010. International callers may dial (919) 882-2331. Callers should use conference ID: 51306.
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 2024 are preliminary and unaudited. As the Company completes its quarter-end financial close processes and finalizes its financial statements for the third quarter of 2024, 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 third quarter 2024 financial information will be included in the filing of the Company’s Quarterly Report on Form 10-Q with the Securities and Exchange Commission which is anticipated on or prior to November 8, 2024.
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 September 30, |
|
Nine Months Ended September 30, |
||||||||||
|
2024 |
|
2023 |
|
2024 |
|
2023 |
||||||
Revenue |
|
|
|
|
|
|
|
||||||
Product revenue |
$ |
86,950 |
|
|
$ |
81,125 |
|
$ |
237,002 |
|
$ |
229,339 |
|
Service revenue |
|
25,902 |
|
|
|
21,552 |
|
|
75,871 |
|
|
61,416 |
|
Total revenue |
|
112,852 |
|
|
|
102,677 |
|
|
312,873 |
|
|
290,755 |
|
|
|
|
|
|
|
|
|
||||||
Cost of Sales |
|
|
|
|
|
|
|
||||||
Cost of product sales |
|
53,967 |
|
|
|
51,876 |
|
|
147,376 |
|
|
143,613 |
|
Cost of service |
|
10,969 |
|
|
|
9,272 |
|
|
31,840 |
|
|
25,660 |
|
Total cost of sales |
|
64,936 |
|
|
|
61,148 |
|
|
179,216 |
|
|
169,273 |
|
Gross Margin |
|
47,916 |
|
|
|
41,529 |
|
|
133,657 |
|
|
121,482 |
|
|
|
|
|
|
|
|
|
||||||
Operating Expenses |
|
|
|
|
|
|
|
||||||
Sales and marketing |
|
10,637 |
|
|
|
7,730 |
|
|
31,308 |
|
|
22,554 |
|
General and administrative |
|
18,892 |
|
|
|
16,170 |
|
|
55,547 |
|
|
46,180 |
|
Total operating expenses |
|
29,529 |
|
|
|
23,900 |
|
|
86,855 |
|
|
68,734 |
|
|
|
|
|
|
|
|
|
||||||
Operating Income |
|
18,387 |
|
|
|
17,629 |
|
|
46,802 |
|
|
52,748 |
|
|
|
|
|
|
|
|
|
||||||
Interest expense |
|
97 |
|
|
|
85 |
|
|
962 |
|
|
946 |
|
Foreign currency exchange (gain)/loss |
|
(332 |
) |
|
|
398 |
|
|
216 |
|
|
419 |
|
|
|
|
|
|
|
|
|
||||||
Income before income taxes |
|
18,622 |
|
|
|
17,146 |
|
|
45,624 |
|
|
51,383 |
|
Income tax expense |
|
3,730 |
|
|
|
3,490 |
|
|
9,033 |
|
|
10,553 |
|
Net income |
$ |
14,892 |
|
|
$ |
13,656 |
|
$ |
36,591 |
|
$ |
40,830 |
|
|
|
|
|
|
|
|
|
||||||
Earnings per share |
|
|
|
|
|
|
|
||||||
Basic |
$ |
0.54 |
|
|
$ |
0.49 |
|
$ |
1.32 |
|
$ |
1.48 |
|
Diluted |
$ |
0.54 |
|
|
$ |
0.49 |
|
$ |
1.32 |
|
$ |
1.48 |
|
Weighted Average Number of Common Shares |
|
|
|
|
|
|
|
||||||
Basic |
|
27,642 |
|
|
|
27,623 |
|
|
27,636 |
|
|
27,620 |
|
Diluted |
|
27,644 |
|
|
|
27,644 |
|
|
27,639 |
|
|
27,634 |
|
XPEL, Inc. Consolidated Balance Sheets (In thousands except share and per share data) |
||||||||
|
(Unaudited) |
|
(Audited) |
|||||
|
September 30, 2024 |
|
December 31, 2023 |
|||||
Assets |
|
|
|
|||||
Current |
|
|
|
|||||
Cash and cash equivalents |
$ |
20,986 |
|
|
$ |
11,609 |
|
|
Accounts receivable, net |
|
29,583 |
|
|
|
24,111 |
|
|
Inventory, net |
|
101,592 |
|
|
|
106,509 |
|
|
Prepaid expenses and other current assets |
|
6,296 |
|
|
|
3,529 |
|
|
Income tax receivable |
|
264 |
|
|
|
696 |
|
|
Total current assets |
|
158,721 |
|
|
|
146,454 |
|
|
Property and equipment, net |
|
17,851 |
|
|
|
16,980 |
|
|
Right-of-use lease assets |
|
18,380 |
|
|
|
15,459 |
|
|
Intangible assets, net |
|
33,601 |
|
|
|
34,905 |
|
|
Other non-current assets |
|
1,141 |
|
|
|
782 |
|
|
Goodwill |
|
43,347 |
|
|
|
37,461 |
|
|
Total assets |
$ |
273,041 |
|
|
$ |
252,041 |
|
|
Liabilities |
|
|
|
|||||
Current |
|
|
|
|||||
Current portion of notes payable |
$ |
66 |
|
|
$ |
62 |
|
|
Current portion lease liabilities |
|
4,820 |
|
|
|
3,966 |
|
|
Accounts payable and accrued liabilities |
|
31,634 |
|
|
|
32,444 |
|
|
Total current liabilities |
|
36,520 |
|
|
|
36,472 |
|
|
Deferred tax liability, net |
|
1,252 |
|
|
|
2,658 |
|
|
Other long-term liabilities |
|
1,077 |
|
|
|
890 |
|
|
Borrowings on line of credit |
|
— |
|
|
|
19,000 |
|
|
Non-current portion of lease liabilities |
|
15,205 |
|
|
|
12,715 |
|
|
Non-current portion of notes payable |
|
260 |
|
|
|
317 |
|
|
Total liabilities |
|
54,314 |
|
|
|
72,052 |
|
|
Commitments and Contingencies (Note 11) |
|
|
|
|||||
Stockholders’ equity |
|
|
|
|||||
Preferred stock, |
|
— |
|
|
|
— |
|
|
Common stock, |
|
28 |
|
|
|
28 |
|
|
Additional paid-in-capital |
|
14,700 |
|
|
|
12,546 |
|
|
Accumulated other comprehensive loss |
|
(1,216 |
) |
|
|
(1,209 |
) |
|
Retained earnings |
|
205,215 |
|
|
|
168,624 |
|
|
Total stockholders’ equity |
|
218,727 |
|
|
|
179,989 |
|
|
Total liabilities and stockholders’ equity |
$ |
273,041 |
|
|
$ |
252,041 |
|
|
XPEL, Inc. Consolidated Statements of Cash Flows (Unaudited) (In thousands) |
||||||||||||||||
|
Three Months Ended September 30, |
|
Nine Months Ended September 30, |
|||||||||||||
|
2024 |
|
2023 |
|
2024 |
|
2023 |
|||||||||
Cash flows from operating activities |
|
|
|
|
|
|
|
|||||||||
Net income |
$ |
14,892 |
|
|
$ |
13,656 |
|
|
$ |
36,591 |
|
|
$ |
40,830 |
|
|
Adjustments to reconcile net income to net cash provided by operating activities: |
|
|
|
|
|
|
|
|||||||||
Depreciation of property, plant and equipment |
|
1,504 |
|
|
|
1,199 |
|
|
|
4,308 |
|
|
|
3,229 |
|
|
Amortization of intangible assets |
|
1,476 |
|
|
|
1,288 |
|
|
|
4,327 |
|
|
|
3,660 |
|
|
Gain on sale of property and equipment |
|
(6 |
) |
|
|
(1 |
) |
|
|
(35 |
) |
|
|
(11 |
) |
|
Stock compensation |
|
862 |
|
|
|
486 |
|
|
|
2,329 |
|
|
|
1,144 |
|
|
Provision for credit losses |
|
91 |
|
|
|
60 |
|
|
|
279 |
|
|
|
216 |
|
|
Deferred income tax |
|
(553 |
) |
|
|
(250 |
) |
|
|
(1,414 |
) |
|
|
(844 |
) |
|
|
|
|
|
|
|
|
|
|||||||||
Changes in assets and liabilities: |
|
|
|
|
|
|
|
|||||||||
Accounts receivable, net |
|
279 |
|
|
|
(462 |
) |
|
|
(5,475 |
) |
|
|
(9,483 |
) |
|
Inventory, net |
|
(3,592 |
) |
|
|
(10,000 |
) |
|
|
5,174 |
|
|
|
(11,583 |
) |
|
Prepaid expenses and other current assets |
|
(1,477 |
) |
|
|
(6,313 |
) |
|
|
(2,785 |
) |
|
|
(7,288 |
) |
|
Income taxes receivable and payable |
|
957 |
|
|
|
457 |
|
|
|
370 |
|
|
|
320 |
|
|
Accounts payable and accrued liabilities |
|
5,127 |
|
|
|
11,008 |
|
|
|
(2,172 |
) |
|
|
18,311 |
|
|
Net cash provided by operating activities |
|
19,559 |
|
|
|
11,128 |
|
|
|
41,497 |
|
|
|
38,501 |
|
|
Cash flows used in investing activities |
|
|
|
|
|
|
|
|||||||||
Purchase of property, plant and equipment |
|
(1,257 |
) |
|
|
(1,434 |
) |
|
|
(5,085 |
) |
|
|
(4,741 |
) |
|
Proceeds from sale of property and equipment |
|
40 |
|
|
|
(4 |
) |
|
|
40 |
|
|
|
20 |
|
|
Acquisition of businesses, net of cash acquired |
|
(592 |
) |
|
|
(240 |
) |
|
|
(6,520 |
) |
|
|
(4,697 |
) |
|
Development of intangible assets |
|
(580 |
) |
|
|
(281 |
) |
|
|
(1,421 |
) |
|
|
(798 |
) |
|
Net cash used in investing activities |
|
(2,389 |
) |
|
|
(1,959 |
) |
|
|
(12,986 |
) |
|
|
(10,216 |
) |
|
Cash flows from financing activities |
|
|
|
|
|
|
|
|||||||||
Net payments on revolving line of credit |
|
(11,000 |
) |
|
|
(13,000 |
) |
|
|
(19,000 |
) |
|
|
(26,000 |
) |
|
RSUs withheld in lieu of payroll taxes |
|
(88 |
) |
|
|
(138 |
) |
|
|
(175 |
) |
|
|
(167 |
) |
|
Repayments of notes payable |
|
(13 |
) |
|
|
— |
|
|
|
(44 |
) |
|
|
(77 |
) |
|
Net cash used in financing activities |
|
(11,101 |
) |
|
|
(13,138 |
) |
|
|
(19,219 |
) |
|
|
(26,244 |
) |
|
Net change in cash and cash equivalents |
|
6,069 |
|
|
|
(3,969 |
) |
|
|
9,292 |
|
|
|
2,041 |
|
|
Foreign exchange impact on cash and cash equivalents |
|
(67 |
) |
|
|
45 |
|
|
|
85 |
|
|
|
277 |
|
|
Increase/(Decrease) in cash and cash equivalents during the period |
|
6,002 |
|
|
|
(3,924 |
) |
|
|
9,377 |
|
|
|
2,318 |
|
|
Cash and cash equivalents at beginning of period |
|
14,984 |
|
|
|
14,298 |
|
|
|
11,609 |
|
|
|
8,056 |
|
|
Cash and cash equivalents at end of period |
$ |
20,986 |
|
|
$ |
10,374 |
|
|
$ |
20,986 |
|
|
$ |
10,374 |
|
|
|
|
|
|
|
|
|
|
|||||||||
Supplemental schedule of non-cash activities |
|
|
|
|
|
|
|
|||||||||
Non-cash lease financing |
$ |
1,172 |
|
|
$ |
36 |
|
|
$ |
6,210 |
|
|
$ |
1,847 |
|
|
Issuance of common stock for vested restricted stock units |
|
438 |
|
|
|
740 |
|
|
|
900 |
|
|
|
874 |
|
|
Supplemental cash flow information |
|
|
|
|
|
|
|
|||||||||
Cash paid for income taxes |
$ |
3,458 |
|
|
$ |
3,334 |
|
|
$ |
10,256 |
|
|
$ |
11,144 |
|
|
Cash paid for interest |
$ |
151 |
|
|
$ |
111 |
|
|
$ |
995 |
|
|
$ |
1,000 |
|
|
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) |
||||||||||||
|
(Unaudited) |
|
(Unaudited) |
|||||||||
|
Three Months Ended September 30, |
|
Nine Months Ended September 30, |
|||||||||
|
2024 |
|
2023 |
|
2024 |
|
2023 |
|||||
Net Income |
$ |
14,892 |
|
$ |
13,656 |
|
$ |
36,591 |
|
$ |
40,830 |
|
Interest |
|
97 |
|
|
85 |
|
|
962 |
|
|
946 |
|
Taxes |
|
3,730 |
|
|
3,490 |
|
|
9,033 |
|
|
10,553 |
|
Depreciation |
|
1,504 |
|
|
1,199 |
|
|
4,308 |
|
|
3,229 |
|
Amortization |
|
1,475 |
|
|
1,288 |
|
|
4,327 |
|
|
3,660 |
|
EBITDA |
$ |
21,698 |
|
$ |
19,718 |
|
$ |
55,221 |
|
$ |
59,218 |
View source version on businesswire.com: https://www.businesswire.com/news/home/20241107387812/en/
For more information:
Investor Relations:
John Nesbett/Jennifer Belodeau
IMS Investor Relations
Phone: (203) 972-9200
Email: xpel@imsinvestorrelations.com
Source: XPEL, Inc.
FAQ
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