XPEL, Inc. Q3 2026 Earnings Recap

XPEL’s shares slipped 0.8% after earnings, a roughly flat reaction. Revenue grew 9.9%, but the U.S. dealership channel remained roughly flat, and management described a late-quarter slowdown in the aftermarket amid regulatory uncertainty and some consumer weakness.

Key Takeaways

• Q3 revenue increased 9.9% to $137.8 million; U.S. revenue rose 7% to $76.7 million.
• U.S. installer-channel aftermarket revenue grew a little over 9%, while dealership revenue was roughly flat. Management said dealer sales processes are adapting to new regulatory requirements and sees Q4 as the trough in dealer sentiment.
• Management also reported a slowdown among U.S. aftermarket customers late in Q3 and early in Q4, citing both dealer sell-through and some consumer weakness.
• Canada revenue rose 17.9% to $15.3 million, and China revenue rose 52% to $15.4 million; the China comparison reflects the shift from indirect to direct sales after the September 2025 acquisition.
• EU, U.K., and Africa revenue declined about 2% to $16.2 million.