Open the filing on EDGARXPEL 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, TX - February 25, 2026 - XPEL, Inc. (Nasdaq: XPEL) (the "Company"), a global provider of protective films and coatings, announced consolidated results for the fourth quarter and year end 2025.
Fourth Quarter 2025 Overview:
- Revenue increased 13.7% to $122.3 million in the fourth quarter of 2025 compared to $107.5 million in the fourth quarter of 2024.
- Gross margin of 41.9% in the fourth quarter of 2025 compared to 40.6% in the same quarter last year.
- EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) increased 37.6% to $19.6 million, or 16.0% of revenue, compared to $14.3 million, or 13.3% of revenue in the fourth quarter of 2024.
- Net income attributable to stockholders of the company increased 50.7% to $13.4 million, or $0.49 per basic and $0.48 per diluted share, respectively, versus net income attributable to stockholders of the company of $8.9 million, or $0.32 per basic and diluted share in the fourth quarter of 2024.
Year End 2025 Overview:
- Revenue increased 13.3% to $476.2 million compared to $420.4 million in the prior year.
- Gross margin of 42.2% in 2025, consistent with 2024 gross margin.
- Net income attributable to stockholders of the company of $51.2 million, or $1.85 per basic and diluted share, versus net income attributable to stockholders of the company of $45.5 million, or $1.65 per basic and diluted share in 2024.
- EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) of $77.4 million, or 16.3% of revenue, compared to $69.5 million, or 16.5% of revenue in 2024.
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 | 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
- Total revenue grew 13.7% compared to fourth quarter 2024 ("YoY"). Excluding China, total revenue increased 10.1% YoY.
- US revenue increased 11.0%YoY.
Product and Service Revenue
- Total product revenue grew 11.0% YoY.
- Total window film revenue increased 10.0% YoY and represented 16.6% of total revenue.
- Total service revenue increased 22.2% YoY.
- Total installation revenue (labor and product combined) grew 17.2% YoY.
- Adjusted product revenue (combining cutbank credits revenue and product revenue) increased 11.0% YoY.
Other Financial Information
- Gross margin was 41.9% and 40.6% in the fourth quarter of 2025 and 2024, respectively.
- Total operating expenses increased 13.9% YoY.
- Sales and marketing expenses increased 18.2% YoY and represented 11.1% of revenue.
- General and administrative expenses increased 11.3% YoY and represented 18.1% of revenue.
- Net income increased 53.5% YoY.
- EBITDA increased 37.6% YoY.
Cash Flows from Operations
- Cash flows provided by operations were $2.7 million in the fourth quarter 2025.
- Cash flows provided by operations were $66.9 million in 2025.
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 | 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 EndedDecember 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
- The Company expects first quarter 2026 revenue of approximately $112 - $114 million.
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”.
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.
See "Non-GAAP Financial Measure" and "Reconciliation of Non-GAAP Financial Measure" below.
Forward-looking Statements
Forward-looking statements notice
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."
For more information, contact:
Investor Relations:John Nesbett/Jennifer BelodeauIMS Investor RelationsPhone: (203) 972-9200Email: xpel@imsinvestorrelations.com
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 | |
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 |
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 | |