Loading...
•
Jan 31, 2020
Heico Q1 2020 Earnings Report
HEICO reported a record net income with increases in net sales and operating income.
Key Takeaways
HEICO Corporation reported a strong first quarter with a 54% increase in net income, a 13% increase in operating income, and a 9% increase in net sales. The company's Flight Support Group and Electronic Technologies Group both contributed to the positive results.
Net income increased 54% to a record $121.9 million, or 89 cents per diluted share.
Operating income increased 13% to $111.0 million.
Net sales increased 9% to $506.3 million.
EBITDA increased 13% to $132.8 million.
Revenue by Segment
Forward Guidance
HEICO anticipates continued net sales growth and is raising its full year net income growth estimate.
Positive Outlook
- Continued net sales growth within the Flight Support Group's commercial aviation and defense product lines.
- Growth within the Electronic Technologies Group, principally driven by demand for the majority of products.
- Commitments to developing new products and services.
- Further market penetration.
- Aggressive acquisition strategy.
Challenges Ahead
- Potential impact from the recent coronavirus outbreak as the impact to our businesses is uncertain and difficult to predict.
- Lower demand for commercial air travel or airline fleet changes or airline purchasing decisions.
- Product specification costs and requirements.
- Governmental and regulatory demands, export policies and restrictions, reductions in defense, space or homeland security spending by U.S. and/or foreign customers or competition from existing and new competitors.
Revenue & Expenses
Visualization of income flow from segment revenue to net income
Historical Earnings Impact
Analyze how earnings announcements historically affect stock price performance
Avg. Return Before/After Earnings
Loading earnings performance data...
Loading earnings reaction data...