Xpel Q3 profit beats estimates on window film sales, margin expansion
Overview
Protective films provider's preliminary Q3 revenue rose 9.9%, slightly missing analyst expectations
Adjusted EPS for preliminary Q3 beat analyst expectations
Company reported higher gross margin compared to a year earlier
Outlook
XPEL expects Q4 2026 revenue of $125 mln to $127 mln
Company says manufacturing investments in San Antonio and China expected to support future margin expansion
Company notes challenging environment continues to impact operations
Result Drivers
MARGIN EXPANSION - Co said gross margin increased for third consecutive qtr
WINDOW FILM SALES - Co said growth in window film revenue contributed to overall revenue increase
MANUFACTURING INVESTMENTS - Co said investments in San Antonio and China manufacturing facilities are expected to support margin expansion
Company press release:
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q3 Revenue | Slight Miss* | $137.80 mln | $138.73 mln (3 Analysts) |
Q3 Adjusted EPS | Beat | $0.62 | $0.60 (3 Analysts) |
Q3 Net Income | $16.30 mln | ||
Q3 Gross Margin | 44.60% | ||
Q3 EBITDA | $25.60 mln |
*Applies to a deviation of less than 1%; not applicable for per-share numbers.
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"
The average consensus recommendation for the auto, truck & motorcycle parts peer group is "buy"
Wall Street's median 12-month price target for XPEL, Inc. is $60.00, about 41.2% above its November 3 closing price of $42.49
The stock recently traded at 16 times the next 12-month earnings vs. a P/E of 18 three months ago
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For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)