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DAP-u.v/XPLT: XPEL Reports Record First Quarter Revenue Growth of 99.5% to $25.2 Million and EPS of $0.07
Business Wire Business Wire
May 23, 2018
SAN ANTONIO--(BUSINESS WIRE)--

XPEL Technologies Corp. (TSXV: DAP.U), a leading supplier of automotive paint protection and window films, announced results for the first quarter ended March 31, 2018.

First Quarter Highlights:

Revenues increased 99.5% to $25.2 million compared to first quarter 2017; Sequential revenue growth of 24.5% compared to fourth quarter of 2018
Gross margin improved to 29.7% compared to 26.4% in first quarter 2017
Selling, general and administrative expenses decreased to 19.4% as a percentage of revenue
Earnings per share of $0.07 compared to a loss of ($0.002) per share in first quarter 2017
Revenues for the quarter grew 99.5% to $25.2 million. Gross profit as a percentage of sales was 29.7% as compared to 26.4% in the prior quarter. Selling, general and administrative expenses increased to $4.9 million, or 19.4% of revenue, as compared to $3.3 million, or 26.3% of revenue, in the prior year quarter. Earnings Before Interest, Taxes, Depreciation and Amortization (EBITDA) increased $2.7 million to $3.1 million compared to $0.4 million in the prior year quarter. Net income was $2.0 million or $0.07 per basic and diluted share, compared to a net loss of ($.06) million or a loss of ($0.002) per basic and diluted share in the prior year quarter.

Mr. Ryan Pape, President and Chief Executive Officer of XPEL, commented, “First quarter 2018 is the strongest quarter in our Company’s history, with record revenues reflecting strong demand across all of our product lines. Revenue grew by almost 100% over the first quarter of 2017 and by 25% sequentially, illustrating considerable momentum in our business. We also saw strong improvement in our gross margin percentage as the margin enhancement initiatives we began in Q3 last year have started to take hold.

“We are energized by the tremendous growth achieved in the first quarter and the increased demand for our products and unique services. We remain focused on continuing to drive profitable growth as we expand our presence in both domestic and international markets, capture new customers and grow our market share,” Mr. Pape concluded.

For the Quarter Ended March 31, 2018:

Revenues. Revenues increased approximately $12.6 million to $25.2 million, or 99.5% over the prior year period.

Gross Margin. Gross profit for the quarter grew 124.85% vs prior year quarter and increased as a percentage of sales to 29.7% from 26.4%.

Expenses. Selling, general and administrative expenses increased $1.6 million or 47.7% vs. prior year period but decreased as a percentage of sales to 19.4% of sales from 26.3% of sales in the prior year. This increase was due mainly to increases in personnel, occupancy, sales and marketing and information technology related costs to support the ongoing growth of the business.

EBITDA. EBITDA increased $2.7 million to $3.1 million vs prior year quarter.

Net income. Net income for the quarter increased to $2.0 million versus a loss of $.06 million in the prior year quarter.

Conference Call Information

The Company will host a conference call to discuss the first quarter results today, May 23, 2018, at 11:00 a.m. Eastern Time.

To access the live webcast, please visit the XPEL Technologies website at www.xpel.com/investor.

To participate in the call by phone, dial [phone] approximately five minutes prior to the scheduled start time. International callers please dial [phone].

A replay of the teleconference will be available until June 23, 2018 and may be accessed by dialing [phone]. International callers may dial [phone]. Callers should use conference ID: 28532.

About XPEL Technologies Corp.

XPEL leads the industry in designing, manufacturing and distributing high-performance automotive paint and headlamp protection film technologies. Using XPEL’s proprietary software and materials, our professional design team develops products that deliver the ultimate in vehicle protection, meeting the demands of a broad range of makes and models. With more than 70,000 vehicle-specific applications and a global network of trained installers, XPEL is dedicated to exceeding customer expectations in providing high-quality products, customer service and technical support. XPEL Technologies Corp. (TSXV: DAP.U) is publicly traded on the TSXV Exchange. Visit www.xpel.com for more information.