NYSE$HEI

Heico Corporation · Q1 2022 earnings

Q1 2022 earnings · · Investor relations

Briefing

Reported a 23% increase in quarterly operating income and 13% quarterly organic net sales growth.

HEICO Corporation reported a strong first quarter of fiscal 2022, with a 23% increase in net income to $86.9 million and a 17% increase in net sales to $490.3 million. Operating income also rose by 23% to $98.8 million. The results reflect a rebound in demand for commercial aerospace products and services, driving 13% organic growth in net sales.

  • Net income increased by 23% to $86.9 million, or $0.63 per diluted share.
  • Net sales increased by 17% to $490.3 million.
  • Operating income increased by 23% to $98.8 million.
  • The company's consolidated operating margin improved to 20.2%.

Headline financials

Total Revenue

$490M

Previous: $418M+17.3%
EPS (adj)

$0.63

Previous: $0.51+23.5%
Operating Margin

20.2%

Previous: 19.2%+5.2%
EBITDA

$122M

Previous: $104M+17.6%
Capital Expenditures

-$8.69M

Previous: -$15.5M+44.0%
Free Cash Flow

$69.3M

Previous: $91.7M-24.4%
Net Income

$86.9M

Previous: $70.6M+23.1%
Operating Income

$98.8M

Previous: $80.3M+23.1%
Gross Profit

$190M

Previous: $158M+20.1%
Cash & Equivalents

$125M

Previous: $399M-68.7%
Total Assets

$3.51B

Previous: $3.57B-1.4%

Revenue & EPS history

Heico · Revenue · Quarterly

$490M

Q1 2022+17.3%vs Q1 2021
Beat estimate in 13 of 16 quarters(81%)
ActualEstimate

Revenue by segment

Heico · $495M total across 2 segments · Q1 2022

  • Flight Support Group
    $273M+36.8%
  • Electronic Technologies Group
    $222M-0.5%

Forward guidance

HEICO expects global commercial air travel to continue on a path to recovery despite the potential for additional Pandemic variants. The company believes that its conservative policies, strong balance sheet, and high degree of liquidity enable it to continuously invest in new research and development, take advantage of periodic strategic inventory purchasing opportunities, and execute on its successful acquisition program.

Tailwinds

  • Ongoing worldwide rollout of Pandemic vaccines, including boosters, will continue to positively influence global commercial air travel and benefit the markets HEICO serves.
  • Strong balance sheet
  • High degree of liquidity
  • Continuously invest in new research and development
  • Execute on our successful acquisition program

Headwinds

  • Potential for additional Pandemic variants, such as Omicron's recent emergence.
  • Potential supply chain disruptions
  • Inflation
  • Impact on key markets
  • Difficult to predict the Pandemic's path and effect, including factors like new variants and vaccination rates

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q1 2022

Historical avgQ1 2022

+0.9%

Avg return

Earnings day

+1.0%

Avg return

5 days after

+1.0%

Avg return

30 days after

54%

37 / 68 earnings

Positive

+13.9%

Q1 2025

Best reaction

-13.2%

Q1 2020

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q2 2026
Q1 2026-9.2%-5.2%-20.7%
Q4 2025+5.8%+9.5%+14.2%
Q3 2025+8.7%+2.2%+4.1%
Q2 2025+7.5%+9.8%+18.9%
Q1 2025+13.9%+16.7%+17.0%
Q4 2024-9.7%-9.1%-10.4%
Q3 2024+0.3%+4.0%+6.5%
Q2 2024-2.0%+2.1%+4.4%
Q1 2024-2.8%-2.7%-2.4%
Q4 2023+1.1%-1.1%-5.3%
Q3 2023-0.5%+1.8%-3.7%
Q2 2023-6.9%-10.0%-2.7%
Q1 2023-5.3%-0.2%-3.0%
Q4 2022+1.0%+1.5%+7.1%
Q3 2022-2.0%-2.4%-7.1%
Q2 2022+2.1%+9.0%-1.6%
Q1 2022+0.1%+4.6%+9.6%
Q4 2021-2.1%-2.5%+9.5%
Q3 2021+0.1%-0.6%+3.1%
Q2 2021+0.3%+4.0%+6.1%
Q1 2021+2.7%-2.9%-5.5%
Q4 2020-3.0%-1.4%+2.7%
Q3 2020-4.1%-0.1%-8.3%
Q2 2020+11.9%+7.2%+5.5%
Q1 2020-13.2%-9.4%-26.8%
Q4 2019-4.4%-7.5%-3.7%
Q3 2019-0.4%+0.3%-11.7%
Q2 2019+12.5%+16.8%+26.4%
Q1 2019-1.4%-0.5%+0.1%
Q4 2018-0.8%-9.2%-2.6%
Q3 2018+11.6%+12.8%+13.4%
Q2 2018+2.6%+2.2%+0.5%
Q1 2018+4.6%+5.5%+6.1%
Q4 2017+1.1%-2.5%+0.8%
Q3 2017+1.6%+1.5%+10.2%
Q2 2017-2.8%+0.2%-3.5%
Q1 2017+3.9%+3.8%+5.3%
Q4 2016-4.8%-3.4%-2.7%
Q3 2016-2.3%-5.8%-5.9%
Q2 2016+1.5%+1.1%-2.5%
Q1 2016+5.9%
Q4 2015+3.2%
Q3 2015-2.2%
Q2 2015+7.4%
Q1 2015-6.0%
Q4 2014+4.7%
Q3 2014-2.3%
Q2 2014-5.9%
Q1 2014+8.1%
Q4 2013+2.8%
Q3 2013+1.0%
Q2 2013+6.2%
Q1 2013-4.5%
Q4 2012+5.3%
Q3 2012+6.4%
Q2 2012+10.9%
Q1 2012-4.4%
Q2 2011-0.5%
Q4 2011-0.5%
Q3 2011-6.4%
Q1 2011+6.4%
Q1 2010+6.4%
Q4 2008-1.2%
Q2 2010-1.2%
Q4 2010-1.2%
Q3 2009+2.8%
Q3 2010+2.8%
Q4 2009+2.8%

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