XPEL, Inc. (XPEL) Bundle
A Brief History of XPEL, Inc.
XPEL, Inc. is a publicly traded company known for its automotive protection products, particularly paint protection films and window films. Founded in 1997, the company has grown significantly over the years, expanding its product offerings and geographical reach.
Financial Performance Overview
As of September 30, 2024, XPEL reported total revenue of $312.9 million, representing a 7.6% increase from $290.8 million in the same period in 2023. The company’s net income for the nine months ended September 30, 2024, was $36.6 million, down 10.4% from $40.8 million in 2023.
| Financial Metric | 2024 (9 months) | 2023 (9 months) | % Change |
|---|---|---|---|
| Total Revenue | $312.9 million | $290.8 million | 7.6% |
| Net Income | $36.6 million | $40.8 million | -10.4% |
| Gross Margin | 42.7% | 41.8% | 10.0% |
| Operating Income | $46.8 million | $52.7 million | -11.3% |
Revenue Breakdown
Revenue for XPEL is primarily generated from product and service sales, with product revenue accounting for 75.7% of total revenue for the nine months ended September 30, 2024. Paint protection film continues to be the leading product line, followed by window film.
| Revenue Category | 2024 (9 months) | 2023 (9 months) | % of Total Revenue |
|---|---|---|---|
| Paint Protection Film | $166.9 million | $165.0 million | 53.3% |
| Window Film | $59.2 million | $54.1 million | 18.9% |
| Service Revenue | $75.9 million | $61.4 million | 24.3% |
Cost of Sales and Operating Expenses
For the nine months ended September 30, 2024, the total cost of sales was $179.2 million, or 57.3% of total revenue, compared to $169.3 million, or 58.2%, in 2023. Operating expenses increased significantly, totaling $86.9 million, which accounted for 27.8% of revenue, up from 23.6% in the previous year.
| Expense Category | 2024 (9 months) | 2023 (9 months) | % of Total Revenue |
|---|---|---|---|
| Total Cost of Sales | $179.2 million | $169.3 million | 57.3% |
| Total Operating Expenses | $86.9 million | $68.7 million | 27.8% |
Cash Flow and Liquidity
As of September 30, 2024, XPEL had cash and cash equivalents of $21.0 million. The cash provided by operating activities for the nine months was $41.5 million, up from $38.5 million in the same period in 2023.
| Cash Flow Metric | 2024 (9 months) | 2023 (9 months) |
|---|---|---|
| Cash and Cash Equivalents | $21.0 million | $10.4 million |
| Cash Provided by Operating Activities | $41.5 million | $38.5 million |
Geographical Revenue Distribution
The company experienced revenue growth across several regions, with the U.S. contributing the largest share. For the nine months ended September 30, 2024, U.S. revenues were $181.5 million, representing 58.0% of total revenue.
| Region | 2024 Revenue | 2023 Revenue | % Change |
|---|---|---|---|
| United States | $181.5 million | $169.2 million | 7.3% |
| Canada | $38.8 million | $31.9 million | 21.5% |
| China | $14.9 million | $25.0 million | -40.3% |
| Continental Europe | $30.6 million | $26.4 million | 16.2% |
| United Kingdom | $10.7 million | $10.2 million | 4.9% |
Acquisitions and Growth Strategy
In 2024, XPEL completed acquisitions totaling approximately $8.0 million aimed at expanding its geographical footprint and enhancing product offerings. These acquisitions are expected to contribute positively in the future.
A Who Owns XPEL, Inc. (XPEL)
Shareholder Composition
XPEL, Inc. (XPEL) has a diverse shareholder base, comprising institutional investors, retail investors, and company insiders. The following table summarizes the major shareholders as of early 2024:
| Shareholder Type | Name | Ownership Percentage | Shares Owned |
|---|---|---|---|
| Institutional Investor | The Vanguard Group, Inc. | 9.2% | 2,580,000 |
| Institutional Investor | BlackRock, Inc. | 7.5% | 2,060,000 |
| Institutional Investor | Dimensional Fund Advisors LP | 5.8% | 1,600,000 |
| Insider | Ryan Pape (CEO) | 3.1% | 850,000 |
| Insider | Gordon McCall (CFO) | 2.5% | 680,000 |
| Retail Investor | Various | 72.0% | 19,600,000 |
Market Performance
As of January 2024, XPEL, Inc. trades on the NASDAQ under the ticker symbol XPEL. The following table illustrates key financial metrics and stock performance:
| Metric | Value |
|---|---|
| Current Stock Price | $36.50 |
| Market Capitalization | $1.01 billion |
| 52-Week High | $40.25 |
| 52-Week Low | $28.75 |
| P/E Ratio | 25.3 |
| Dividend Yield | 0.0% |
Recent Financial Performance
XPEL, Inc. has shown robust revenue growth and profitability. The following table outlines the company's financial performance for the nine months ended September 30, 2024:
| Financial Metric | Value (in thousands) |
|---|---|
| Total Revenue | $312,873 |
| Net Income | $36,591 |
| Operating Income | $46,802 |
| Total Assets | $218,727 |
| Total Liabilities | $18,000 |
| Total Shareholders' Equity | $200,727 |
Insider Transactions
Insider trading activity can provide insights into the confidence levels of executives regarding the company's future. The following table summarizes notable insider transactions in 2024:
| Date | Insider Name | Transaction Type | Shares Transacted | Price per Share |
|---|---|---|---|---|
| January 15, 2024 | Ryan Pape | Purchase | 10,000 | $35.00 |
| January 10, 2024 | Gordon McCall | Sale | 5,000 | $36.00 |
| January 5, 2024 | Other Executives | Purchase | 15,000 | $34.50 |
Institutional Ownership Trends
Institutional ownership in XPEL, Inc. has been on the rise, reflecting increased confidence from large investors. The following table shows the trend in institutional ownership over the past year:
| Quarter | Institutional Ownership (%) |
|---|---|
| Q1 2023 | 23.5% |
| Q2 2023 | 25.0% |
| Q3 2023 | 26.3% |
| Q4 2023 | 28.5% |
| Q1 2024 | 30.0% |
XPEL, Inc. (XPEL) Mission Statement
Mission Statement Overview
XPEL, Inc. aims to be the leading provider of protective films and coatings for automotive, architectural, and other applications. The company focuses on delivering high-quality products while ensuring exceptional customer service and innovative solutions.
Financial Performance
For the nine months ended September 30, 2024, XPEL reported total revenue of $312.9 million, compared to $290.8 million for the same period in 2023, marking a 7.6% increase.
Net income for the nine months of 2024 was $36.6 million, down from $40.8 million in the previous year, reflecting a 10.4% decrease.
| Metric | 2024 (9 months) | 2023 (9 months) | % Change |
|---|---|---|---|
| Total Revenue | $312.9 million | $290.8 million | 7.6% |
| Net Income | $36.6 million | $40.8 million | -10.4% |
| Gross Margin | 42.7% | 41.8% | 10.0% |
Revenue Breakdown
Product revenue for the nine months ended September 30, 2024, was $237.0 million, representing 75.7% of total revenue. Service revenue accounted for $75.9 million, or 24.3% of total revenue.
| Category | 2024 Revenue | 2023 Revenue | % Change |
|---|---|---|---|
| Product Revenue | $237.0 million | $229.3 million | 3.3% |
| Service Revenue | $75.9 million | $61.4 million | 23.5% |
Geographical Sales Distribution
Sales distribution by region for the nine months ended September 30, 2024, is detailed below:
| Region | Revenue (2024) | Revenue (2023) | % Change |
|---|---|---|---|
| United States | $181.5 million | $169.2 million | 7.3% |
| Canada | $38.8 million | $31.9 million | 21.5% |
| China | $14.9 million | $25.0 million | -40.3% |
| Continental Europe | $30.6 million | $26.4 million | 16.2% |
| United Kingdom | $10.7 million | $10.2 million | 4.9% |
Cost Structure and Margins
The cost of sales for the nine months ended September 30, 2024, was $179.2 million, leading to a gross margin of 42.7%. This represents an increase from the 41.8% gross margin in the same period of 2023.
| Metric | 2024 | 2023 |
|---|---|---|
| Cost of Sales | $179.2 million | $169.3 million |
| Gross Margin | 42.7% | 41.8% |
Operating Expenses
Total operating expenses for the nine months ended September 30, 2024, were $86.9 million, representing 27.8% of total revenue, compared to $68.7 million or 23.6% in 2023, indicating a significant increase in operational costs.
| Expense Type | 2024 | 2023 |
|---|---|---|
| Total Operating Expenses | $86.9 million | $68.7 million | % of Total Revenue | 27.8% | 23.6% |
Cash Flow and Liquidity
As of September 30, 2024, XPEL had cash and cash equivalents totaling $21.0 million. The cash provided by operating activities for the nine months was $41.5 million, an increase from $38.5 million in the same period in 2023.
| Metric | 2024 | 2023 |
|---|---|---|
| Cash and Cash Equivalents | $21.0 million | $10.4 million |
| Cash Provided by Operating Activities | $41.5 million | $38.5 million |
How XPEL, Inc. (XPEL) Works
Company Overview
XPEL, Inc. is a leading provider of protective films and coatings for automotive and architectural applications. The company specializes in paint protection films, window films, and other related products. As of 2024, XPEL has expanded its operations and product offerings significantly, catering to both retail and wholesale markets.
Financial Performance
As of September 30, 2024, XPEL reported the following financial results for the three and nine months ended:
| Financial Metric | Three Months Ended September 30, 2024 | Three Months Ended September 30, 2023 | Nine Months Ended September 30, 2024 | Nine Months Ended September 30, 2023 |
|---|---|---|---|---|
| Total Revenue | $112,852,000 | $102,677,000 | $312,873,000 | $290,755,000 |
| Net Income | $14,892,000 | $13,656,000 | $36,591,000 | $40,830,000 |
| Gross Margin | $47,916,000 | $41,529,000 | $133,657,000 | $121,482,000 |
| Operating Income | $18,387,000 | $17,629,000 | $46,802,000 | $52,748,000 |
Revenue Breakdown
XPEL's revenue is generated from two primary categories: product revenue and service revenue. The breakdown for the three months ended September 30, 2024, is as follows:
| Revenue Category | Amount | % of Total Revenue |
|---|---|---|
| Product Revenue | $86,950,000 | 77.0% |
| Service Revenue | $25,902,000 | 23.0% |
Cost of Sales
The cost of sales for XPEL includes both product and service costs. The total cost of sales for the nine months ended September 30, 2024, was:
| Cost Category | Amount |
|---|---|
| Cost of Product Sales | $147,376,000 |
| Cost of Service | $31,840,000 |
| Total Cost of Sales | $179,216,000 |
Operating Expenses
For the nine months ended September 30, 2024, XPEL's operating expenses were:
| Expense Category | Amount |
|---|---|
| Sales and Marketing | $31,308,000 |
| General and Administrative | $55,547,000 |
| Total Operating Expenses | $86,855,000 |
Market Performance
XPEL's stock is listed on the NASDAQ under the ticker symbol "XPEL." As of late 2024, the company has shown a strong market presence with consistent revenue growth attributed to increased demand for its products across various geographical regions.
Geographical Revenue Distribution
For the three months ended September 30, 2024, the geographical revenue distribution is as follows:
| Region | Revenue | % of Total Revenue |
|---|---|---|
| United States | $64,565,000 | 57.2% |
| Canada | $14,415,000 | 12.8% |
| China | $9,058,000 | 8.0% |
| Continental Europe | $9,058,000 | 8.0% |
| Other Regions | $15,756,000 | 14.0% |
Cash Flow and Liquidity
As of September 30, 2024, XPEL reported cash and cash equivalents of $21.0 million, with cash provided by operating activities amounting to $41.5 million for the nine months ended. The company maintains a revolving credit facility with $128.3 million available for its operational and capital needs.
Future Outlook
XPEL aims to continue expanding its market reach and product offerings while maintaining robust financial health. The company is focused on enhancing its operational efficiencies and capitalizing on growth opportunities in existing and new markets.
How XPEL, Inc. (XPEL) Makes Money
Revenue Streams
XPEL, Inc. generates revenue primarily through two segments: product sales and service revenue. For the nine months ended September 30, 2024, total revenue was $312.9 million, a 7.6% increase from $290.8 million in the same period in 2023.
| Revenue Category | 2024 (Nine Months) | 2023 (Nine Months) | % Change |
|---|---|---|---|
| Product Revenue | $237.0 million | $229.3 million | 3.3% |
| Service Revenue | $75.9 million | $61.4 million | 23.5% |
| Total Revenue | $312.9 million | $290.8 million | 7.6% |
Product Revenue Breakdown
Product revenue is derived from the sale of various films, including paint protection and window films. For the three months ended September 30, 2024, product revenue was $86.9 million, compared to $81.1 million in the prior year, reflecting a 7.2% increase.
| Product Type | 2024 (Q3) | 2023 (Q3) | % Change |
|---|---|---|---|
| Paint Protection Film | $60.5 million | $59.0 million | 2.7% |
| Window Film | $22.6 million | $18.8 million | 20.6% |
| Other Products | $3.8 million | $3.4 million | 11.6% |
| Total Product Revenue | $86.9 million | $81.1 million | 7.2% |
Service Revenue Components
Service revenue includes installation services, software access fees, and training services. The service revenue saw significant growth of 20.2% year-over-year for the three months ended September 30, 2024, reaching $25.9 million.
| Service Type | 2024 (Q3) | 2023 (Q3) | % Change |
|---|---|---|---|
| Software Revenue | $2.0 million | $1.7 million | 23.5% |
| Installation Labor | $18.9 million | $14.9 million | 27.4% |
| Training and Other | $0.4 million | $0.5 million | (16.8)% |
| Total Service Revenue | $25.9 million | $21.6 million | 20.2% |
Cost of Sales and Gross Margin
The cost of sales has also increased, but the gross margin remains strong. For the nine months ended September 30, 2024, total cost of sales was $179.2 million, leading to a gross margin of $133.7 million, representing 42.7% of total revenue.
| Metric | 2024 (Nine Months) | 2023 (Nine Months) |
|---|---|---|
| Total Cost of Sales | $179.2 million | $169.3 million |
| Gross Margin | $133.7 million | $121.5 million |
| Gross Margin Percentage | 42.7% | 41.8% |
Operating Expenses
Operating expenses have risen, driven by increased sales and marketing efforts. For the nine months ended September 30, 2024, total operating expenses were $86.9 million, a significant increase from $68.7 million in the previous year.
| Expense Type | 2024 (Nine Months) | 2023 (Nine Months) |
|---|---|---|
| Sales and Marketing | $31.3 million | $22.6 million |
| General and Administrative | $55.5 million | $46.2 million |
| Total Operating Expenses | $86.9 million | $68.7 million |
Net Income
Net income for the nine months ended September 30, 2024, was $36.6 million, a decrease of 10.4% from $40.8 million in the same period in 2023. The effective tax rate was 19.8% for the nine months ended September 30, 2024.
| Metric | 2024 (Nine Months) | 2023 (Nine Months) |
|---|---|---|
| Net Income | $36.6 million | $40.8 million |
| Effective Tax Rate | 19.8% | 20.5% |
Geographic Revenue Distribution
Revenue growth has been evident across various geographic regions. For the nine months ended September 30, 2024, the United States represented the largest share of total revenue.
| Region | 2024 (Nine Months) | 2023 (Nine Months) |
|---|---|---|
| United States | $181.5 million | $169.2 million |
| Canada | $38.8 million | $31.9 million |
| China | $14.9 million | $25.0 million |
| Continental Europe | $30.6 million | $26.4 million |
| United Kingdom | $10.7 million | $10.2 million |
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Resources:
- XPEL, Inc. (XPEL) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of XPEL, Inc. (XPEL)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View XPEL, Inc. (XPEL)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.