XPEL, Inc. (NASDAQ:XPEL) Q2 2024 Earnings Conference Call August 8, 2024 11:00 AM ET

Company Participants

John Nesbett - IMS Investor Relations
Ryan Pape - Chairman, President & CEO
Barry Wood - SVP & CFO

Conference Call Participants

Steve Dyer - Craig-Hallum
Jeff Van Sinderen - B. Riley

Operator

Welcome to XPEL, Inc. Second Quarter 2024 Earnings Call. At this time, all participants are in a listen-only mode. And a question-and-answer session will follow the formal presentation. [Operator Instructions]. Please note, this conference is being recorded.

I will now turn the conference over to your host, John Nesbett, IMS Investor Relations. You may begin.

John Nesbett

Good morning, and welcome to our conference call to discuss XPEL's financial results for the second quarter of 2024. On the call today, Ryan Pape, XPEL's President and Chief Executive Officer; and Barry Wood, XPEL's Senior Vice President and Chief Financial Officer, will provide an overview of the business operations and review the company's financial results. Immediately after the prepared comments, we will take questions from our call participants.

I'll take a moment to read the safe harbor statement. During the course of this call, we will make certain forward-looking statements regarding XPEL, Inc. and its business, which may include, but not be limited to, anticipated use of proceeds from capital transactions, expansion into new markets and execution of the company's growth strategy.

Such statements are based on our current expectations and assumptions, which are subject to known and unknown risk factors and uncertainties that could cause actual results to be materially different from those expressed in these statements. Some of these factors are discussed in detail in our most recent Form 10-K, including under Item 1A Risk Factors filed with the Securities and Exchange Commission. XPEL undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events, or otherwise.

Okay. With that, I will now turn the call over to Ryan. Please go ahead, Ryan.

Ryan Pape

Thank you, John, and good morning from me as well. Welcome to the second quarter 2024 call. Q2 was a record revenue quarter for us, revenue growing 7.5% to $109.9 million. Our U.S. business grew just under 10% to $64.9 million. While this was a significant improvement from the 1.9% year-over-year growth in the first quarter for the U.S.

Overall, the aftermarket remains off its trend from the prior year, as we discussed in the first quarter. However, while the sentiment was universally negative in the first quarter, the second quarter has been a bit more positive. We saw April up more significantly given some of the headwinds in the first quarter, and the feedback from our customers has definitely been more mixed versus all negative to start the year. So I think that's good.