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Investing.com -- XPEL, Inc. (NASDAQ:XPEL), a global provider of protective films and coatings, reported first-quarter earnings that surpassed analyst expectations, sending its stock soaring 18.1% in trading following the announcement.
The company posted adjusted earnings per share of $0.31 for the first quarter of 2025, beating the analyst consensus of $0.27. Revenue came in at $103.8 million, exceeding estimates of $97.34 million and representing a 15.2% increase YoY.
XPEL also provided upbeat guidance for the second quarter, projecting revenue between $117 million and $119 million, compared to analyst expectations of $118.8 million.
Ryan Pape, President and CEO of XPEL, commented, "We are off to a good start in 2025 with both solid top line and bottom line performance. We will remain focused on delivering outstanding products and services to our customers as we navigate the ongoing tariff uncertainty."
The company’s gross margin improved slightly to 42.3% from 42.0% in the same quarter last year. Net income rose 28.8% to $8.6 million, while EBITDA increased 23.2% to $14.4 million.
XPEL saw strong growth across most geographical segments, with China standing out with a 459.1% YoY revenue increase. The U.S., the company’s largest market, grew 11.6% YoY.
In a notable development, XPEL’s Board of Directors authorized a $50 million stock repurchase program, allowing the company to buy back shares based on market conditions and other factors.
The company’s shares jumped 18.1% following the earnings release, reflecting investors’ positive reaction to the better-than-expected results and optimistic outlook.
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