XPEL earnings analysis
What we found in XPEL's 10-Q: the parts that mattered, the offsets in the same document, and what the company said about what comes next.
Our reading of the filing · Free to read, no account needed
XPEL reported strong Q1 2026 results, achieving revenues of $117.4 million, a 13.1% increase year-over-year, and an EPS of $0.37, exceeding expectations. The performance was driven by significant growth in window film sales and increased EBITDA. Cash flow from operations improved markedly, while management signaled optimism in their outlook for the upcoming quarter.
The parts that mattered.
Pulled out of the filing itself, with the figures the company reported.
- Revenue Exceeds Estimates
- Actual Q1 2026 revenue was $117.4 million, beating estimates of $112.9 million.
- Strong EPS Growth
- Q1 2026 EPS was $0.37, surpassing expectations of $0.36, representing a 19.4% year-over-year increase.
- Improved Gross Margin
- Gross margin increased to 43.7% in Q1 2026 from 42.3% in Q1 2025.
- Operating Cash Flow Improvement
- Operating cash flow rose to $7.4 million for Q1 2026, up from $3.2 million in Q1 2025.
- Notable Growth in Window Film Segment
- Window film revenue grew 24.8% year-over-year, accounting for 19.8% of total revenue.
- Increased EBITDA
- EBITDA rose to $16.973 million for Q1 2026, a 17.8% increase compared to Q1 2025.
And the other side of it.
The offsets in the same document — the things a summary that only listed the good news would have left out.
- High Dependency on Automotive Sector
- Continued reliance on the automotive market may expose XPEL to sales risks.
- Rising Operating Expenses
- Operating expenses increased 16.6% year-over-year, potentially impacting margins.
- Supply Chain Vulnerabilities
- Ongoing supply chain issues could affect product availability and costs.
What they reported.
What the company itself reported, taken out of the document.
- Earnings per share
- $0.37
- Gross margin
- 43.7%
- Operating margin
- 11.1%
- Segment
- Paint protection film
- Segment
- Window film
- Segment
- Other
What they said about what is next.
Management expects Q2 2026 revenue to be between $135 million and $137 million.
The filing reads better than the one before it.
What came before.
- 10-K · February 27, 2026
- XPEL positions itself as a global supplier of paint and surface protection films with a services-led moat (DAP software, training, dealer support) and is expanding via acquisitions and a shift from an asset-light model…
- 10-Q · May 9, 2025
- XPEL reported Q1 revenue of $103,805,000 (up $13,701,000 or +15.2% YoY from $90,104,000) and diluted EPS of $0.31 (up $0.07 YoY). Operating income improved to $11,120,000 and operating cash flow turned positive at…
- 10-K · February 28, 2025
- XPEL emphasizes a product-plus-services strategy centered on its proprietary DAP pattern database (>80,000 vehicle applications), a channel-first approach (63.8% of 2024 revenue via independent installers) and global…
- 10-Q · May 9, 2024
- XPEL reported Q1 revenue of $90.104M, up $4.262M (5.0%) versus Q1 2023, with service revenue driving growth. Gross profit was $37.876M (~42.0% gross margin) but operating income fell to $9.229M (10.2% operating margin)…
This is our reading of a public filing, not the filing. Read the original on SEC.gov · Educational only. Nothing here is investment advice.
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