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Heico shares dip as revenue falls short of expectations

EditorRachael Rajan
Published 08/26/2024, 04:49 PM
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HEI
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NEW YORK - Heico Corporation (NYSE:HEI) reported third-quarter earnings that beat analyst estimates, but revenue came in slightly below expectations, sending shares down 2.4% in after-hours trading.

The aerospace and electronics company posted earnings per share of $0.97, surpassing the consensus estimate of $0.92. However, revenue of $992.2 million fell short of analysts' projections of $996.16 million.

Net income jumped 34% to a record $136.6 million in Q3, compared to $102.0 million in the same period last year. Net sales increased 37% year-over-year to $992.2 million.

"We are very pleased to report strong record quarterly consolidated net sales driven by record quarterly operating results at the Flight Support Group, as well as strong contributions from our fiscal 2023 and 2024 acquisitions," said Laurans A. Mendelson, HEICO (NYSE:HEI)'s Chairman and CEO.

The Flight Support Group saw net sales surge 68% YoY to $681.6 million, reflecting 15% organic growth and contributions from recent acquisitions. Meanwhile, the Electronic Technologies Group's net sales dipped slightly to $322.1 million from $325.9 million a year ago.

Looking ahead, management remains optimistic about achieving net sales growth in both segments for the remainder of fiscal 2024, driven by recent acquisitions and sustained demand for most products.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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