XPEL, Inc.

DEBT REVOLVING FACILITIES On September 11, 2025, the Company entered into the First Amendment (the First Amendment ) to its Credit Agreement, dated April 6, 2023 (as amended, the Credit Agreement ) with Wells Fargo Bank, N.

SEC original ↗XPEL, Inc. — 10-Q Quarterly report10-QAug 7, 2026

Borrowings under the Credit Agreement bear interest, at XPEL s option, at a rate equal to either (a) Base Rate or (b) Adjusted Term SOFR.

SEC original ↗XPEL, Inc. — 10-Q Quarterly report10-QAug 7, 2026

Obligations under the Credit Agreement are secured by a first priority perfected security interest, subject to certain permitted encumbrances, in all of XPEL s material property and assets, other than the assets which secure the Term Loan.

SEC original ↗XPEL, Inc. — 10-Q Quarterly report10-QAug 7, 2026

(the "Credit Facility Amendment ).

SEC original ↗XPEL, Inc. — 10-Q Quarterly report10-QAug 7, 2026

The Credit Facility Amendment permits Harvest to incur indebtedness under the term loan described below (the "Term Loan") and the Company to (a) guarantee the Term Loan, (b) assign the real estate purchase agreement for the properties to Harvest, and (c) make an equity investment of up to $ 18.0 million in Harvest and in Harvest Industrial Corporation (a wholly-owned subsidiary of the Company formed to hold an air permit required by the Texas Commission on Environmental Quality) in connection with the acquisition of the Properties and certain other expenditures related to the Properties.

SEC original ↗XPEL, Inc. — 10-Q Quarterly report10-QAug 7, 2026

The Company also has a CAD $ 4.5 million (approximately $ 3.2 million USD as of June 30, 2026) revolving credit facility through a financial institution in Canada, and is maintained by XPEL Canada Corp.

SEC original ↗XPEL, Inc. — 10-Q Quarterly report10-QAug 7, 2026

2 The Company incurred approximately $1.6 million in one-time charges related to restructuring costs, legal and due diligence costs related to the Company's acquisition strategy and other costs.

SEC original ↗XPEL, Inc. — Earnings release (8-K exhibit)EX-99Aug 6, 2025

and its business, which may include, but is not limited to, anticipated use of proceeds from capital transactions, expansion into new markets, execution of the company's growth strategy and outlook.

SEC original ↗XPEL, Inc. — Earnings release (8-K exhibit)EX-99Aug 6, 2025

Obligations under the Credit Agreement are secured by a first priority perfected security interest, subject to certain permitted encumbrances, in all of XPEL s material property and assets, other than the assets which secure the Term Loan.

SEC original ↗XPEL, Inc. — 10-Q Quarterly report10-QAug 7, 2026

FAIR VALUE MEASUREMENTS ASC 820 prioritizes the inputs to valuation techniques used to measure fair value into the following hierarchy: Level 1 Observable inputs such as quoted prices (unadjusted) in active markets for identical assets or liabilities.

SEC original ↗XPEL, Inc. — 10-Q Quarterly report10-QAug 7, 2026

The CODM uses gross margin and income from operations to evaluate return on total assets in deciding whether to invest in the development and expansion of our condensed consolidated operations or into strategic transactions, such as acquisitions.

SEC original ↗XPEL, Inc. — 10-Q Quarterly report10-QAug 7, 2026

Forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause our actual results, performance or achievements expressed or implied by the forward-looking statements.

SEC original ↗XPEL, Inc. — Earnings release (8-K exhibit)EX-99Aug 6, 2025

These risks, uncertainties and other factors relate to, among others competition, a prolonged or material contraction in automotive sales and production volumes, disruption in our supply chain, technology that could render our products obsolete, changes in the way vehicles are sold, damage to our brand and reputation, cyber events and other legal and regulatory developments.

SEC original ↗XPEL, Inc. — Earnings release (8-K exhibit)EX-99Aug 6, 2025

There are several risks, uncertainties, and other important factors, many of which are beyond the Company s control, that could cause its actual results to differ materially from the forward-looking statements contained in this press release, including those described in the Risk Factors section of Annual Report on Form 10-K.

SEC original ↗XPEL, Inc. — Earnings release (8-K exhibit)EX-99Aug 6, 2025

Legal Proceedings 39 Item 1A.

SEC original ↗XPEL, Inc. — 10-Q Quarterly report10-QAug 7, 2026

COMMITMENTS AND CONTINGENCIES In the ordinary course of business activities, the Company may be contingently liable for litigation and claims including those pertaining to customers, suppliers and former employees.

SEC original ↗XPEL, Inc. — 10-Q Quarterly report10-QAug 7, 2026

Management also has determined that the likelihood of any class action or other litigation and claims having a material impact on our results of operations, cash flows or financial position is remote.

SEC original ↗XPEL, Inc. — 10-Q Quarterly report10-QAug 7, 2026