Fri, Feb 28, 9:38 PM (57 days ago)
HEICO Corporation (HEI) reported robust quarterly performance for the period ending January 31, 2025. Net sales surged 15% to $1,030,222, driven by strong demand across both the Flight Support Group (FSG) and Electronic Technologies Group (ETG). Operating income rose 26% to $226,805, reflecting improved gross profit margins of 39.4%. The FSG's organic growth was notable, contributing to a $30 million increase in operating income, while the ETG saw a 38% rise. Cash flow from operations was strong at $203,034, an 82% increase year-over-year, despite a $59.7 million rise in working capital. Acquisitions accounted for significant cash outflows totaling $254,763. The company maintained a solid financial position, with total assets increasing to $7,890,711 and long-term debt at $2,349,681. HEICO's effective tax rate decreased to 7.0%, enhancing net income attributable to HEICO shareholders, which rose 46% to $167,955. The outlook remains positive, with expectations for continued sales growth, particularly in defense products, supported by strategic acquisitions. The company is focused on maximizing shareholder value while maintaining a strong liquidity position.