SAN ANTONIO, Texas--(BUSINESS WIRE)--XPEL Technologies Corp. (TSXV:DAP.U), a leading supplier of automotive paint and headlamp protection films, announced results for the quarter and six months ended June 30, 2015.
Mr. Ryan Pape, President and Chief Executive Officer of XPEL, commented, “We have seen continued momentum in the second quarter with solid growth and the completion of the integration of Parasol Canada, which we acquired in the first quarter.”
For the Quarter Ended June 30, 2015:
Revenue: Revenue in the second quarter of fiscal 2015 was $11.3 million, a 35% increase as compared to revenue of $8.3 million in the same prior year quarter and a 40% increase sequentially as compared to the first quarter.
Gross Margin: Gross profit as a percentage of sales remained unchanged at 30%.
Expenses: Selling, general and administrative expenses as a percentage of revenue was 21%, up slightly as compared to 18% in the second quarter of 2014 and a sequential decline as compared to 25% in the first quarter of 2015.
Net Earnings: Net income for the fiscal 2015 second quarter was $605,653 or $0.02 per basic and diluted share based on 25,784,950 shares outstanding, compared with net income of $595,229, or $0.02 per basic and diluted share based on 25,784,950 shares outstanding, for the corresponding prior year period.
For the Six Months Ended June 30, 2015:
Revenue: Revenue in the first six months of fiscal 2015 was $19.4 million, a 42% increase as compared to revenue of $13.6 million in the same prior year period.
Gross Margin: Gross profit as a percentage of revenue increased slightly to 32% from 31% in the same prior year period.
Expenses: Selling, general and administrative expenses as a percentage of revenue was 23%, up from 19% in the same prior year period.
Net Earnings: Net income for the first six months of fiscal 2015 was $1,277,861, or $0.05 per basic and diluted share based on 25,784,950 shares outstanding, compared with net income of $1,054,514, or $0.04 per basic and diluted share based on 25,784,950 shares outstanding, for the corresponding prior year period.
Mr. Pape continued, “In addition to good growth in the U.S., our direct presence in Canada and Europe generated strong revenue growth in both regions, despite pressure from the U.S. Dollar. Elsewhere, the impact of foreign currency on our distributors and the reorganization of our distribution in China reduced growth in the quarter. Across our international subsidiaries, net income would have increased over $300,000 if the relevant exchange rates were at their prior year rates."
“The continued expansion of our U.S. sales and marketing programs combined with the distribution changes in Canada and China position us well to continue our differentiated, premium offering as the business grows and we introduce additional products and services.”
CONFERENCE CALL INFORMATION
The Company will host a conference call to discuss the second quarter and six month results today, August 31, 2015 at 11:00 a.m. Eastern Time.
To access the live webcast, log onto the XPEL Technologies website at http://www.xpel.com, and click on “Investor Relations”.
To participate in the call by phone, dial (877) 407-8033 approximately five minutes prior to the scheduled start time. International callers please dial (201) 689-8033.
A replay of the teleconference will be available until October 1, 2015 and may be accessed by dialing (877) 660-6853. International callers may dial (201) 612-7415. Callers should use conference ID: 13618384.
About XPEL Technologies Corp.
XPEL is the leading supplier of automotive paint and headlamp protection films with over 70,000 vehicle-specific applications and a worldwide network of trained installers. XPEL is the developer of the Design Access Program software, and manufacturer of XPEL™ Automotive Paint and Headlamp Protection Products. XPEL has forged the cutting-edge of automotive protection technology, and leads the industry in quality, technical support and customer service.
Additional information can be found on the Company's website at www.xpel.com
Safe harbor statement
This release includes forward-looking statements regarding XPEL Technologies Corp. and its business, which may include, but is not limited to, anticipated use of proceeds from capital transactions, expansion into new markets, and execution of the company's growth strategy. Often, but not always, forward-looking statements can be identified by the use of words such as "plans," "is expected," "expects," "scheduled," "intends," "contemplates," "anticipates," "believes," "proposes" or variations (including negative variations) of such words and phrases, or state that certain actions, events or results "may," "could," "would," "might" or "will" be taken, occur or be achieved. Such statements are based on the current expectations of the management of XPEL. The forward-looking events and circumstances discussed in this release may not occur by certain specified dates or at all and could differ materially as a result of known and unknown risk factors and uncertainties affecting the company, performance and acceptance of the company's products, economic factors, competition, the equity markets generally and many other factors beyond the control of XPEL. Although XPEL has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results to differ from those anticipated, estimated or intended. No forward-looking statement can be guaranteed. Except as required by applicable securities laws, forward-looking statements speak only as of the date on which they are made and XPEL undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events, or otherwise.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
|XPEL TECHNOLOGIES CORP.|
|Statement of Comprehensive Income|
|(Expressed in United States Dollars)|
|Three Months Ended||Six Months Ended|
|June 30,||June 30,|
|Selling, general and administrative||2,378,526||1,494,582||4,403,057||2,627,755|
|Unrealized foreign currency gain||(36,774)||-||(31,640)||-|
|Income from operations||1,015,390||972,090||1,831,762||1,618,052|
|Loss on sale of property, plant and equipment||2,037||-||2,037||(865)|
|Net income before income tax||950,653||967,229||1,728,861||1,611,514|
|Provision for income tax|
|Deferred income tax expense||153,000||40,000||259,000||27,000|
|Current income tax expense||192,000||332,000||192,000||530,000|
|Exchange differences on translating foreign operations||45,849||-||(71,389)||-|
|Total comprehensive income||$||651,502||$||595,229||$||1,206,472||$||1,054,514|
|Net income attributable to equity holders of the Company||610,139||595,229||1,307,582||1,054,514|
|Earnings per share|
|Basic and diluted||$||0.023||$||0.023||$||0.050||$||0.041|
|Weighted average number of common shares outstanding||25,784,950||25,784,950||25,784,950||25,784,950|
|XPEL TECHNOLOGIES CORP.|
|Condensed Consolidated Balance Sheet|
|(Expressed in United States Dollars)|
|June 30,||December 31,|
|Cash and cash equivalents||$||2,624,017||$||1,474,130|
|Prepaid expenses and sundry assets||688,358||347,472|
|Total current assets||12,816,424||10,344,081|
|Property, plant and equipment||1,019,685||790,343|
|Deferred tax asset||--||163,000|
|Bank operating facility||$||1,600,000||$||900,000|
|Accounts payable and accrued liabilities||3,458,544||4,121,590|
|Income Tax Payable||192,000||--|
|Vehicle notes payable||101,670||90,413|
|Current portion of Promissory note||388,650||-|
|Current portion of Bank loan payable||380,000||-|
|Total current liabilities||6,133,214||5,124,353|
|Bank loan payable||1,393,334||-|
|Deferred tax liability||553,994||-|
|Accumulated other comprehensive income||(87,110||)||(15,721||)|
|Total liabilities and equity||$||18,038,077||$||12,608,177|