XPEL Q3 Revenue Climbs 9.9% to $137.8 Million as Net Income Rises 26.3%

XPEL, Inc., a provider of protective films and coatings, announced preliminary, unaudited revenue of $137.809 million for the third quarter ended Sept. 30, up 9.9% from a year earlier. Net income attributable to stockholders increased 26.3% to $16.341 million.

U.S. revenue rose 7% to $76.719 million and accounted for 55.7% of quarterly revenue. Window film revenue increased 11.8% and made up 22.4% of the total.

Gross margin was 44.6%, compared with 41.8% in the year-earlier quarter. Cash provided by operating activities fell to $21.083 million from $33.154 million, a 36.4% decline.

GAAP diluted earnings per share were $0.59, while adjusted diluted earnings per share were $0.62. XPEL excludes pre-capacity launch and ramp-up costs at its San Antonio facility from its adjusted earnings measures.

“We delivered a solid third quarter in a challenging environment,” President and CEO Ryan Pape said.

XPEL expects fourth-quarter revenue of about $125 million to $127 million. The company said its preliminary third-quarter figures could require material adjustments and anticipated including complete financial information in its Form 10-Q on or before Nov. 6.