DOCUMENT INFORMATION
DOCUMENT INFORMATION | 12 Months Ended |
Oct. 31, 2021 | |
Document Information [Line Items] | |
Amendment Flag | false |
Document Type | 10-K |
Document Annual Report | true |
Document Period End Date | Oct. 31, 2021 |
Document Fiscal Period Focus | FY |
Document Transition Report | false |
Document Fiscal Year Focus | 2021 |
ICFR Auditor Attestation Flag | true |
ENTITY INFORMATION
ENTITY INFORMATION - USD ($) | 12 Months Ended | |
Oct. 31, 2021 | Apr. 30, 2021 | |
Entity Information [Line Items] | ||
Entity Central Index Key | 0000046619 | |
Current Fiscal Year End Date | --10-31 | |
Entity File Number | 001-04604 | |
Entity Registrant Name | HEICO CORPORATION | |
Entity Incorporation, State or Country Code | FL | |
Entity Tax Identification Number | 65-0341002 | |
Entity Address, Address Line One | 3000 Taft Street | |
Entity Address, City or Town | Hollywood | |
Entity Address, State or Province | FL | |
Entity Address, Postal Zip Code | 33021 | |
City Area Code | 954 | |
Local Phone Number | 987-4000 | |
Entity Well-known Seasoned Issuer | Yes | |
Entity Voluntary Filers | No | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Public Float | $ 16,584,854,000 |
ENTITY LISTING INFORMATION
ENTITY LISTING INFORMATION - $ / shares | 12 Months Ended | |
Oct. 31, 2021 | Dec. 20, 2021 | |
Heico Common Stock [Member] | ||
Entity Listings [Line Items] | ||
Title of 12(b) Security | Common Stock, $.01 par value per share | |
Trading Symbol | HEI | |
Security Exchange Name | NYSE | |
Entity Listing, Par Value Per Share | $ 0.01 | |
Entity Common Stock, Shares Outstanding | 54,264,412 | |
Common Class A [Member] | ||
Entity Listings [Line Items] | ||
Title of 12(b) Security | Class A Common Stock, $.01 par value per share | |
Trading Symbol | HEI.A | |
Security Exchange Name | NYSE | |
Entity Listing, Par Value Per Share | $ 0.01 | |
Entity Common Stock, Shares Outstanding | 81,249,094 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Oct. 31, 2021 | Oct. 31, 2020 |
Current assets: | ||
Cash and cash equivalents | $ 108,298 | $ 406,852 |
Accounts receivable, net | 244,919 | 210,433 |
Contract assets | 80,073 | 60,429 |
Inventories, net | 478,050 | 463,205 |
Prepaid expenses and other current assets | 26,045 | 24,706 |
Total current assets | 937,385 | 1,165,625 |
Property, plant and equipment, net | 193,638 | 168,848 |
Goodwill | 1,450,395 | 1,383,167 |
Intangible assets, net | 582,307 | 579,041 |
Other assets | 334,682 | 251,030 |
Total assets | 3,498,407 | 3,547,711 |
Current liabilities: | ||
Current maturities of long-term debt | 1,515 | 1,045 |
Trade accounts payable | 85,544 | 76,237 |
Accrued expenses and other current liabilities | 206,857 | 162,232 |
Income taxes payable | 964 | 1,647 |
Total current liabilities | 294,880 | 241,161 |
Long-term debt, net of current maturities | 234,983 | 738,786 |
Deferred income taxes | 40,761 | 55,658 |
Other long-term liabilities | 378,257 | 280,291 |
Total liabilities | 948,881 | 1,315,896 |
Commitments and contingencies | ||
Redeemable noncontrolling interests | 252,587 | 221,208 |
Shareholders' equity: | ||
Preferred Stock | 0 | 0 |
Capital in excess of par value | 320,747 | 299,930 |
Deferred compensation obligation | 5,297 | 4,886 |
HEICO stock held by irrevocable trust | (5,297) | (4,886) |
Accumulated other comprehensive (loss) income | (8,552) | (9,149) |
Retained earnings | 1,949,521 | 1,688,045 |
Total HEICO shareholders' equity | 2,263,071 | 1,980,177 |
Noncontrolling interests | 33,868 | 30,430 |
Total shareholders' equity | 2,296,939 | 2,010,607 |
Total liabilities and equity | 3,498,407 | 3,547,711 |
Heico Common Stock [Member] | ||
Shareholders' equity: | ||
Common Stock | 543 | 542 |
Common Class A [Member] | ||
Shareholders' equity: | ||
Common Stock | $ 812 | $ 809 |
CONSOLIDATED BALANCE SHEETS _PA
CONSOLIDATED BALANCE SHEETS [PARENTHETICAL] - $ / shares shares in Thousands | Oct. 31, 2021 | Oct. 31, 2020 |
Preferred Stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred Stock, shares authorized | 10,000 | 10,000 |
Preferred Stock, shares issued | 0 | 0 |
Heico Common Stock [Member] | ||
Common stock, par value (in dollar per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 150,000 | 150,000 |
Common stock, shares issued | 54,264 | 54,195 |
Common stock, shares outstanding | 54,264 | 54,195 |
Common Class A [Member] | ||
Common stock, par value (in dollar per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 150,000 | 150,000 |
Common stock, shares issued | 81,224 | 80,923 |
Common stock, shares outstanding | 81,224 | 80,923 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Oct. 31, 2021 | Oct. 31, 2020 | Oct. 31, 2019 | |
Net sales | $ 1,865,682 | $ 1,787,009 | $ 2,055,647 |
Operating costs and expenses: | |||
Cost of sales | 1,138,259 | 1,104,882 | 1,241,807 |
Selling, general and administrative expenses | 334,523 | 305,479 | 356,743 |
Total operating costs and expenses | 1,472,782 | 1,410,361 | 1,598,550 |
Operating income | 392,900 | 376,648 | 457,097 |
Interest expense | (7,285) | (13,159) | (21,695) |
Other income | 1,443 | 1,366 | 2,439 |
Income before taxes and noncontrolling interests | 387,058 | 364,855 | 437,841 |
Income tax expense | 57,300 | 29,000 | 78,100 |
Net income from consolidated operations | 329,758 | 335,855 | 359,741 |
Less: Net income attributable to noncontrolling interests | 25,538 | 21,871 | 31,845 |
Net income attributable to HEICO | $ 304,220 | $ 313,984 | $ 327,896 |
Net income per share attributable to HEICO shareholders: | |||
Basic (in dollars per share) | $ 2.25 | $ 2.33 | $ 2.45 |
Diluted (in dollars per share) | $ 2.21 | $ 2.29 | $ 2.39 |
Weighted average number of common shares outstanding: | |||
Basic (in shares) | 135,326 | 134,754 | 133,640 |
Diluted (in shares) | 137,854 | 137,302 | 137,350 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 12 Months Ended | ||
Oct. 31, 2021 | Oct. 31, 2020 | Oct. 31, 2019 | |
Net income from consolidated operations | $ 329,758 | $ 335,855 | $ 359,741 |
Other comprehensive (loss) income: | |||
Foreign currency translation adjustments | (591) | 8,876 | (844) |
Unrealized (loss) gain on defined benefit pension plan, net of tax | 991 | (1,012) | (889) |
Amortization of unrealized loss on defined benefit pension plan, net of tax | 135 | 73 | 25 |
Total other comprehensive (loss) income | 535 | 7,937 | (1,708) |
Comprehensive income from consolidated operations | 330,293 | 343,792 | 358,033 |
Less: Net income attributable to noncontrolling interests | 25,538 | 21,871 | 31,845 |
Less: Foreign currency translation adjustments attributable to noncontrolling interests | (62) | 347 | (225) |
Comprehensive income attributable to noncontrolling interests | 25,476 | 22,218 | 31,620 |
Comprehensive income attributable to HEICO | $ 304,817 | $ 321,574 | $ 326,413 |
CONSOLIDATED STATEMENTS OF SHAR
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY - USD ($) $ in Thousands | Total | Redeemable Noncontrolling Interests [Member] | Redeemable Noncontrolling Interests [Member]Cumulative Effect, Period of Adoption, Adjustment [Member] | Common Stock [Member] | Common Stock [Member]Common Class A [Member] | Capital in Excess of Par Value [Member] | Deferred Compensation Obligation [Member] | HEICO Stock Held By Irrevocable Trust [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Retained Earnings [Member] | Retained Earnings [Member]Cumulative Effect, Period of Adoption, Adjustment [Member] | Noncontrolling Interest [Member] | Noncontrolling Interest [Member]Cumulative Effect, Period of Adoption, Adjustment [Member] | Total Shareholders Equity [Member] | Total Shareholders Equity [Member]Cumulative Effect, Period of Adoption, Adjustment [Member] |
Balances at Oct. 31, 2018 | $ 534 | $ 796 | $ 320,994 | $ 3,928 | $ (3,928) | $ (15,256) | $ 1,091,183 | $ 104,757 | $ 1,503,008 | ||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||||||
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | $ 326,413 | (1,483) | 327,896 | ||||||||||||
Comprehensive Income (Loss), Net of Tax, Attributable to Noncontrolling Interest | 31,620 | $ 18,116 | 13,504 | ||||||||||||
Comprehensive Income (Loss) | 358,033 | 339,917 | |||||||||||||
Cash dividends | (18,691) | (18,691) | |||||||||||||
Issuance of Common Stock to HEICO SIP | 8,666 | 8,666 | |||||||||||||
Share-based Compensation Expense | 10,334 | 10,334 | |||||||||||||
Proceeds from stock option exercises | 12 | 8 | 8,547 | ||||||||||||
APIC, Share-based Payment Arrangement, Option, Increase for Cost Recognition | 8,527 | ||||||||||||||
Stock Redeemed or Called During Period, Value | (5) | (1) | (64,008) | (64,014) | |||||||||||
Distributions to noncontrolling interests | (17,847) | (93,022) | (93,022) | ||||||||||||
Noncontrolling interests assumed related to acquisition | (38,696) | (2,551) | (2,551) | ||||||||||||
Adjustments to redemption amount of redeemable noncontrolling interests | 16,434 | (16,434) | (16,434) | ||||||||||||
Deferred Compensation Obligation | 304 | ||||||||||||||
Stock Held During Period Value Deferred Compensation Obligation | (304) | ||||||||||||||
Adjustments to Additional Paid in Capital, Other | 96 | ||||||||||||||
Stockholders' Equity, Other | 1 | 2 | 99 | ||||||||||||
Balances at Oct. 31, 2019 | 541 | 804 | 284,609 | 4,232 | (4,232) | (16,739) | 1,397,327 | 28,118 | 1,694,660 | ||||||
Balances (Accounting Standards Update 2014-09 [Member]) at Oct. 31, 2019 | $ 13,373 | $ 13,699 | |||||||||||||
Redeemable noncontrolling interests at Oct. 31, 2018 | 132,046 | ||||||||||||||
Increase (Decrease) in Temporary Equity [Roll Forward] | |||||||||||||||
Comprehensive Income (Loss), Net of Tax, Attributable to Redeemable Noncontrolling Interest | 31,620 | 18,116 | 13,504 | ||||||||||||
Distributions to noncontrolling interests | (17,847) | (93,022) | (93,022) | ||||||||||||
Noncontrolling interests assumed related to acquisition | 38,696 | 2,551 | 2,551 | ||||||||||||
Adjustments to redemption amount of redeemable noncontrolling interests | 16,434 | (16,434) | (16,434) | ||||||||||||
Redeemable noncontrolling interests at Oct. 31, 2019 | 188,264 | ||||||||||||||
Redeemable noncontrolling interests (Accounting Standards Update 2014-09 [Member]) at Oct. 31, 2019 | $ 819 | $ 326 | |||||||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||||||
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | 321,574 | 7,590 | 313,984 | ||||||||||||
Comprehensive Income (Loss), Net of Tax, Attributable to Noncontrolling Interest | 22,218 | 16,932 | 5,286 | ||||||||||||
Comprehensive Income (Loss) | 343,792 | 326,860 | |||||||||||||
Cash dividends | (21,552) | (21,552) | |||||||||||||
Issuance of Common Stock to HEICO SIP | 1 | 9,723 | 9,724 | ||||||||||||
Share-based Compensation Expense | 10,134 | 10,134 | |||||||||||||
Proceeds from stock option exercises | 6 | 6,955 | |||||||||||||
APIC, Share-based Payment Arrangement, Option, Increase for Cost Recognition | 6,949 | ||||||||||||||
Stock Redeemed or Called During Period, Value | (1) | (12,119) | (12,120) | ||||||||||||
Distributions to noncontrolling interests | (16,176) | (1,732) | (1,732) | ||||||||||||
Noncontrolling interests assumed related to acquisition | (22,204) | ||||||||||||||
Adjustments to redemption amount of redeemable noncontrolling interests | 1,714 | (1,714) | (1,714) | ||||||||||||
Deferred Compensation Obligation | 654 | ||||||||||||||
Stock Held During Period Value Deferred Compensation Obligation | (654) | ||||||||||||||
Adjustments to Additional Paid in Capital, Other | 634 | ||||||||||||||
Stockholders' Equity, Other | (1,242) | (608) | |||||||||||||
Balances at Oct. 31, 2020 | 2,010,607 | 542 | 809 | 299,930 | 4,886 | (4,886) | (9,149) | 1,688,045 | 30,430 | 2,010,607 | |||||
Increase (Decrease) in Temporary Equity [Roll Forward] | |||||||||||||||
Comprehensive Income (Loss), Net of Tax, Attributable to Redeemable Noncontrolling Interest | 22,218 | 16,932 | 5,286 | ||||||||||||
Distributions to noncontrolling interests | (16,176) | (1,732) | (1,732) | ||||||||||||
Acquisitions of noncontrolling interests | (7,475) | ||||||||||||||
Noncontrolling interests assumed related to acquisition | 22,204 | ||||||||||||||
Adjustments to redemption amount of redeemable noncontrolling interests | 1,714 | (1,714) | (1,714) | ||||||||||||
Temporary Equity, Stock Issued During Period, Value, New Issues | 14,329 | ||||||||||||||
Temporary Equity, Other | 1,416 | ||||||||||||||
Redeemable noncontrolling interests at Oct. 31, 2020 | 221,208 | 221,208 | |||||||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||||||
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | 304,817 | 597 | 304,220 | ||||||||||||
Comprehensive Income (Loss), Net of Tax, Attributable to Noncontrolling Interest | 25,476 | 19,662 | 5,814 | ||||||||||||
Comprehensive Income (Loss) | 330,293 | 310,631 | |||||||||||||
Cash dividends | (23,002) | (23,002) | |||||||||||||
Issuance of Common Stock to HEICO SIP | 1 | 9,791 | 9,792 | ||||||||||||
Share-based Compensation Expense | 9,058 | 9,058 | |||||||||||||
Proceeds from stock option exercises | 3 | 5,344 | |||||||||||||
APIC, Share-based Payment Arrangement, Option, Increase for Cost Recognition | 5,341 | ||||||||||||||
Stock Redeemed or Called During Period, Value | (3,791) | (3,791) | |||||||||||||
Distributions to noncontrolling interests | (25,746) | (2,217) | (2,217) | ||||||||||||
Noncontrolling interests assumed related to acquisition | (18,989) | ||||||||||||||
Adjustments to redemption amount of redeemable noncontrolling interests | 19,743 | (19,743) | (19,743) | ||||||||||||
Deferred Compensation Obligation | 411 | ||||||||||||||
Stock Held During Period Value Deferred Compensation Obligation | (411) | ||||||||||||||
Adjustments to Additional Paid in Capital, Other | 418 | ||||||||||||||
Stockholders' Equity, Other | 1 | (159) | 260 | ||||||||||||
Balances at Oct. 31, 2021 | 2,296,939 | $ 543 | $ 812 | $ 320,747 | $ 5,297 | $ (5,297) | $ (8,552) | 1,949,521 | 33,868 | 2,296,939 | |||||
Increase (Decrease) in Temporary Equity [Roll Forward] | |||||||||||||||
Comprehensive Income (Loss), Net of Tax, Attributable to Redeemable Noncontrolling Interest | 25,476 | 19,662 | 5,814 | ||||||||||||
Distributions to noncontrolling interests | (25,746) | $ (2,217) | (2,217) | ||||||||||||
Acquisitions of noncontrolling interests | (2,336) | ||||||||||||||
Noncontrolling interests assumed related to acquisition | 18,989 | ||||||||||||||
Adjustments to redemption amount of redeemable noncontrolling interests | 19,743 | $ (19,743) | $ (19,743) | ||||||||||||
Temporary Equity, Stock Issued During Period, Value, New Issues | 1,067 | ||||||||||||||
Redeemable noncontrolling interests at Oct. 31, 2021 | $ 252,587 | $ 252,587 |
CONSOLIDATED STATEMENTS OF SH_2
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY [PARENTHETICAL] - $ / shares | 12 Months Ended | ||
Oct. 31, 2021 | Oct. 31, 2020 | Oct. 31, 2019 | |
Cash dividends per share (in dollars per share) | $ 0.17 | $ 0.16 | $ 0.14 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 12 Months Ended | ||
Oct. 31, 2021 | Oct. 31, 2020 | Oct. 31, 2019 | |
Operating Activities: | |||
Net income from consolidated operations | $ 329,758 | $ 335,855 | $ 359,741 |
Adjustments to reconcile net income from consolidated operations to net cash provided by operating activities: | |||
Depreciation and amortization | 93,019 | 88,561 | 83,497 |
Share-based compensation expense | 9,058 | 10,134 | 10,334 |
Employer contributions to HEICO Savings and Investment Plan | 10,091 | 9,576 | 9,528 |
Deferred Income Taxes and Tax Credits | (15,635) | (5,998) | (6,392) |
Increase in accrued contingent consideration | 1,246 | 515 | 2,630 |
Payment of contingent consideration | (175) | (3,105) | |
Changes in operating assets and liabilities, net of acquisitions: | |||
Accounts receivable | (27,300) | 71,515 | (28,976) |
Contract assets | 376 | (16,398) | 11,583 |
Inventories | (10,121) | (28,315) | (30,077) |
Prepaid expenses and other current assets | (4,795) | 2,471 | 609 |
Trade accounts payable | 6,907 | (30,327) | (3,851) |
Accrued expenses and other current liabilities | 33,634 | (37,905) | 17,151 |
Income taxes payable | 2,821 | (9,586) | 1,296 |
Change in long-term liabilities and assets related to HEICO LCP | 12,781 | 14,836 | 12,920 |
Other | 2,244 | 4,366 | 490 |
Net cash provided by operating activities | 444,084 | 409,125 | 437,378 |
Investing Activities: | |||
Acquisitions, net of cash acquired | (136,500) | (163,939) | (240,841) |
Capital expenditures | (36,183) | (22,940) | (28,938) |
Net Investment Related to HEICO LCP | (14,000) | (15,900) | (13,701) |
Other | 3,229 | 3,736 | 2,834 |
Net cash used in investing activities | (183,454) | (199,043) | (280,646) |
Financing Activities: | |||
Payments on revolving credit facility | (505,000) | (68,000) | (283,000) |
Borrowings on revolving credit facility | 0 | 245,000 | 313,000 |
Distributions to noncontrolling interests | (27,963) | (17,908) | (110,869) |
Cash dividends paid | (23,002) | (21,552) | (18,691) |
Redemption of common stock related to stop option exercises | (3,791) | (12,120) | (64,014) |
Acquisitions of noncontrolling interests | (2,336) | (7,475) | 0 |
Revolving credit facility issuance costs | (1,468) | 0 | 0 |
Payment of contingent consideration | 0 | (325) | (4,073) |
Proceeds from stock option exercises | 5,344 | 6,955 | 8,547 |
Proceeds from Noncontrolling Interests | 534 | 14,329 | 0 |
Other | (1,286) | (1,161) | (620) |
Net cash (used in) provided by financing activities | (558,968) | 137,743 | (159,720) |
Effect of exchange rate changes on cash | (216) | 2,026 | 390 |
Net increase (decrease) in cash and cash equivalents | (298,554) | 349,851 | (2,598) |
Cash and cash equivalents at beginning of year | 406,852 | 57,001 | 59,599 |
Cash and cash equivalents at end of year | $ 108,298 | $ 406,852 | $ 57,001 |
SUPPLEMENTAL DISCLOSURES OF CAS
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION | 12 Months Ended |
Oct. 31, 2021 | |
Supplemental Cash Flow Elements [Abstract] | |
Cash Flow, Supplemental Disclosures [Text Block] | SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION The following table presents supplemental disclosures of cash flow information and non-cash investing activities for fiscal 2021, 2020 and 2019 (in thousands): Year ended October 31, 2021 2020 2019 Cash paid for income taxes $67,661 $42,552 $82,211 Cash received from income tax refunds (993) (1,371) (578) Cash paid for interest 7,355 13,418 22,158 Contingent consideration 18,334 23,719 2,107 Additional purchase consideration 56 144 — |
SUPPLEMENTAL DISCLOSURE OF CASH
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION | 12 Months Ended |
Oct. 31, 2021 | |
Supplemental Cash Flow Elements [Abstract] | |
Schedule of Cash Flow, Supplemental Disclosures [Table Text Block] | The following table presents supplemental disclosures of cash flow information and non-cash investing activities for fiscal 2021, 2020 and 2019 (in thousands): Year ended October 31, 2021 2020 2019 Cash paid for income taxes $67,661 $42,552 $82,211 Cash received from income tax refunds (993) (1,371) (578) Cash paid for interest 7,355 13,418 22,158 Contingent consideration 18,334 23,719 2,107 Additional purchase consideration 56 144 — |
SUPPLEMENTAL DISCLOSURE OF CA_2
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION - USD ($) $ in Thousands | 12 Months Ended | ||
Oct. 31, 2021 | Oct. 31, 2020 | Oct. 31, 2019 | |
Cash paid for income taxes | $ 67,661 | $ 42,552 | $ 82,211 |
Cash received from income tax refunds | (993) | (1,371) | (578) |
Cash paid for interest | 7,355 | 13,418 | 22,158 |
Additional purchase consideration | 56 | 144 | |
Other Acquisitions [Member] | |||
Contingent purchase consideration | $ (18,334) | $ (23,719) | $ (2,107) |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended |
Oct. 31, 2021 | |
Accounting Policies [Abstract] | |
Significant Accounting Policies [Text Block] | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Nature of Business HEICO Corporation, through its principal subsidiaries consisting of HEICO Aerospace Holdings Corp. (“HEICO Aerospace”), HEICO Flight Support Corp. ("HFSC") and HEICO Electronic Technologies Corp. (“HEICO Electronic”) and their respective subsidiaries (collectively, the “Company”), is principally engaged in the design, manufacture and sale of aerospace, defense and electronic related products and services throughout the United States ("U.S.") and internationally. The Company’s customer base is primarily the aviation, defense, space, medical, telecommunications and electronics industries. Basis of Presentation The Company has two operating segments: the Flight Support Group (“FSG”), consisting of HEICO Aerospace and HFSC and their respective subsidiaries; and the Electronic Technologies Group (“ETG”), consisting of HEICO Electronic and its subsidiaries. The consolidated financial statements include the financial accounts of HEICO Corporation and its direct subsidiaries, all of which are wholly owned except for HEICO Aerospace, which is 20% owned by Lufthansa Technik AG ("LHT"), the technical services subsidiary of Lufthansa German Airlines. HFSC consolidates five subsidiaries which are 70%, 84%, 85%, 89% and 90%, owned, respectively, and seven subsidiaries that are each 80.1% owned. In addition, HEICO Aerospace consolidates a joint venture, which is 84% owned. HEICO Electronic consolidates four subsidiaries that are each 80.1% owned, two subsidiaries that are each 75% owned, and five subsidiaries which are 82.5%, 85%, 90%, 92.7% and 95.9% owned, respectively. Certain subsidiaries of HEICO Electronic consolidate subsidiaries that are less than wholly owned. See Note 13, Redeemable Noncontrolling Interests. All intercompany balances and transactions are eliminated. The Company's results of operations in fiscal 2021 continued to reflect the adverse impact from the COVID-19 global pandemic (the “Pandemic”). Most notably, demand for HEICO's commercial aviation products and services were moderated by the ongoing depressed commercial aerospace market as compared to pre-Pandemic levels. The Company experienced a significant improvement in operating results in the second half of fiscal 2021 as compared to the second half of fiscal 2020. The second half of fiscal 2020 was the period in which the Company's results of operations were most negatively affected by the Pandemic’s impact. Since then, the FSG has reported five consecutive quarters of improvement in net sales and operating income resulting from signs of commercial air travel recovery. Use of Estimates and Assumptions The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. Cash and Cash Equivalents For purposes of the consolidated financial statements, the Company considers all highly liquid investments such as U.S. Treasury bills and money market funds with an original maturity of three months or less at the time of purchase to be cash equivalents. Accounts Receivable Accounts receivable consist of amounts billed and currently due from customers. The valuation of accounts receivable requires that the Company set up an allowance for estimated uncollectible accounts and record a corresponding charge to bad debt expense. The Company estimates uncollectible receivables based on such factors as its prior experience, its appraisal of a customer’s ability to pay, age of receivables outstanding and economic conditions within and outside of the aviation, defense, space, medical, telecommunications and electronics industries. Contract Assets Contract assets (unbilled receivables) represent revenue recognized on contracts using an over-time recognition model in excess of amounts invoiced to the customer. See Note 6, Revenue, for additional information regarding the Company's contract assets. Concentrations of Credit Risk Financial instruments that potentially subject the Company to concentrations of credit risk consist principally of temporary cash investments and trade accounts receivable. The Company places its temporary cash investments with high credit quality financial institutions and limits the amount of credit exposure to any one financial institution. Concentrations of credit risk with respect to trade receivables are limited due to the large number of customers comprising the Company’s customer base and their dispersion across many different geographical regions. The Company performs ongoing credit evaluations of its customers, but does not generally require collateral to support customer receivables. Inventory Inventory is stated at the lower of cost or net realizable value, with cost being determined on the first-in, first-out or the average cost basis. Losses, if any, are recognized fully in the period when identified. The Company periodically evaluates the carrying value of inventory, giving consideration to factors such as its physical condition, sales patterns and expected future demand in order to estimate the amount necessary to write down any slow moving, obsolete or damaged inventory. These estimates could vary significantly from actual amounts based upon future economic conditions, customer inventory levels or competitive factors that were not foreseen or did not exist when the estimated write-downs were made. In accordance with industry practice, all inventories are classified as a current asset including portions with long production cycles, some of which may not be realized within one year. Property, Plant and Equipment Property, plant and equipment is recorded at cost. Depreciation and amortization is generally provided on the straight-line method over the estimated useful lives of the various assets. The Company’s property, plant and equipment is generally depreciated over the following estimated useful lives: Buildings and improvements 10 to 40 years Machinery and equipment 3 to 10 years Leasehold improvements 2 to 20 years Tooling 2 to 5 years The costs of major additions and improvements are capitalized. Leasehold improvements are amortized over the shorter of the leasehold improvement’s useful life or the lease term. Repairs and maintenance costs are expensed as incurred. Upon an asset's disposition, its cost and related accumulated depreciation are removed from the financial accounts and any resulting gain or loss is reflected within earnings. Leases During fiscal 2020, the Company adopted Accounting Standards Update (“ASU”) 2016-02, which, as amended, was codified as Accounting Standards Codification (“ASC”) Topic 842, “Leases” (“ASC 842”). The Company’s lease arrangements primarily pertain to manufacturing facilities, office buildings, equipment, land and vehicles. The Company evaluates whether a contractual arrangement that provides it with control over the use of an asset is, or contains, a lease at the inception date. The term of a lease is inclusive of any option to renew, extend, or terminate the lease when it is reasonably certain that the Company will exercise such option. The Company classifies a lease as operating or finance using the classification criteria set forth in ASC 842. HEICO recognizes lease right-of-use (“ROU”) assets and corresponding lease liabilities as of the lease commencement date based on the present value of the lease payments over the lease term. The discount rate used to calculate the present value of the Company’s leases is based on HEICO’s incremental borrowing rate and considers credit risk, the lease term and other available information as of the commencement date since the leases do not provide a readily determinable implicit rate. Variable lease payments that depend on an index or a rate are included in the determination of ROU assets and lease liabilities using the index or rate at the lease commencement date. Variable lease payments that do not depend on an index or rate or resulting from changes in an index or rate subsequent to the lease commencement date, are recorded as lease expense in the period in which the obligation for the payment is incurred. The Company’s ROU assets are increased by any prepaid lease payments and initial direct costs and reduced by any lease incentives. The Company’s leases do not contain any material residual value guarantees or restrictive covenants. See Note 9, Leases, for additional information regarding the Company’s accounting policy for leases. Business Combinations The Company allocates the purchase price of acquired entities to the underlying tangible and identifiable intangible assets acquired and liabilities and any noncontrolling interests assumed based on their estimated fair values, with any excess recorded as goodwill. The operating results of acquired businesses are included in the Company’s results of operations beginning as of their effective acquisition dates. Acquisition costs were not material in fiscal 2021, 2020 and 2019. For contingent consideration arrangements, a liability is recognized at fair value as of the acquisition date with subsequent fair value adjustments recorded in operations. Additional information regarding the Company's contingent consideration arrangements may be found in Note 2, Acquisitions, and Note 8, Fair Value Measurements. Goodwill and Other Intangible Assets The Company tests goodwill for impairment annually as of October 31, or more frequently if events or changes in circumstances indicate that the carrying amount of goodwill may not be fully recoverable. In evaluating the recoverability of goodwill, the Company compares the fair value of each of its reporting units to its carrying value to determine potential impairment. During fiscal 2021, the Company adopted ASU 2017-04, “Simplifying the Test for Goodwill Impairment." Pursuant to ASU 2017-04, an impairment loss is recognized in the amount by which the carrying value of a reporting unit’s goodwill exceeds its fair value. Prior to the adoption of ASU 2017-04, an impairment loss was recognized in the amount by which the carrying value of a reporting unit's goodwill exceeded its implied fair value. The fair values of the Company's reporting units are determined by using a weighted average of a market approach and an income approach. Under the market approach, fair values are estimated using published market multiples for comparable companies. The Company calculates fair values under the income approach by taking estimated future cash flows that are based on internal projections and other assumptions deemed reasonable by management and discounting them using an estimated weighted average cost of capital. The Company’s intangible assets not subject to amortization consist principally of its trade names. The Company’s intangible assets subject to amortization are amortized on the straight-line method (except for certain customer relationships amortized on an accelerated method) over the following estimated useful lives: Customer relationships 4 to 15 years Intellectual property 4 to 22 years Licenses 10 to 11 years Patents 5 to 20 years Trade names 8 to 15 years Amortization expense of intellectual property, licenses and patents is recorded as a component of cost of sales, and amortization expense of customer relationships, non-compete agreements and trade names is recorded as a component of selling, general and administrative ("SG&A") expenses in the Company’s Consolidated Statements of Operations. The Company tests each non-amortizing intangible asset for impairment annually as of October 31, or more frequently if events or changes in circumstances indicate that the asset might be impaired. To derive the fair value of its trade names, the Company utilizes an income approach, which relies upon management's assumptions of royalty rates, projected revenues and discount rates. The Company also tests each amortizing intangible asset for impairment if events or circumstances indicate that the asset might be impaired. The test consists of determining whether the carrying value of such assets will be recovered through undiscounted expected future cash flows. If the total of the undiscounted future cash flows is less than the carrying amount of those assets, the Company recognizes an impairment loss based on the excess of the carrying amount over the fair value of the assets. The determination of fair value requires management to make a number of estimates, assumptions and judgments of such factors as projected revenues and earnings and discount rates. Customer Rebates and Credits The Company records accrued customer rebates and credits as a component of accrued expenses and other current liabilities in its Consolidated Balance Sheets. These amounts generally relate to discounts negotiated with customers as part of certain sales contracts that are usually tied to sales volume thresholds. The Company accrues customer rebates and credits as a reduction within net sales as the revenue is recognized based on the estimated level of discount rate expected to be earned by each customer over the life of the contractual rebate period (generally one year). Accrued customer rebates and credits are monitored by management and discount levels are updated at least quarterly. Product Warranties Product warranty liabilities are estimated at the time of shipment and recorded as a component of accrued expenses and other current liabilities in the Company’s Consolidated Balance Sheets. The amount recognized is based on historical claims experience. Defined Benefit Pension Plan In connection with a prior year acquisition, the Company assumed a frozen qualified defined benefit pension plan (the "Plan"). The Plan's benefits are based on employee compensation and years of service; however, the accrued benefit for Plan participants was fixed as of the date of acquisition. The Company uses an actuarial valuation to determine the projected benefit obligation of the Plan and records the difference between the fair value of the Plan's assets and the projected benefit obligation as of October 31 in other long-term liabilities in its Consolidated Balance Sheets. Additionally, any actuarial gain or loss that arises during a fiscal year that is not recognized as a component of net periodic pension income or expense is recorded as a component of other comprehensive income or (loss), net of tax. The following table presents the fair value of the Plan's assets and projected benefit obligation as of October 31, for each of the last two fiscal years (in thousands): As of October 31, 2021 2020 Fair value of plan assets $13,116 $11,581 Projected benefit obligation 13,979 14,519 Funded status ($863) ($2,938) Revenue Recognition The Company recognizes revenue when it transfers control of a promised good or service to a customer in an amount that reflects the consideration it expects to receive in exchange for the good or service. The Company’s performance obligations are satisfied and control is transferred either at a point-in-time or over-time. The majority of the Company’s revenue is recognized at a point-in-time when control is transferred, which is generally evidenced by the shipment or delivery of the product to the customer, a transfer of title, a transfer of the significant risks and rewards of ownership, and customer acceptance. For certain contracts under which the Company produces products with no alternative use and for which it has an enforceable right to recover costs incurred plus a reasonable profit margin for work completed to date and for certain other contracts under which the Company creates or enhances a customer-owned asset while performing repair and overhaul services, control is transferred to the customer over-time. The Company recognizes revenue using an over-time recognition model for these types of contracts. The Company accounts for a contract with a customer when it has approval and commitment from both parties, the rights of the parties are identified, the payment terms are identified, the contract has commercial substance, and it is probable that the Company will collect the consideration to which it is entitled to receive. Customer payment terms related to the sale of products and the rendering of services vary by Company subsidiary and product line. The time between receipt of payment and recognition of revenue for satisfaction of the related performance obligation is not significant. A performance obligation is a promise within a contract to transfer a distinct good or service to the customer in exchange for payment and is the unit of account for recognizing revenue. A contract’s transaction price is allocated to each distinct performance obligation and recognized as revenue when or as the performance obligation is satisfied. The majority of the Company’s contracts have a single performance obligation to transfer goods or services. For contracts with more than one performance obligation, the Company allocates the transaction price to each performance obligation based on its estimated standalone selling price. When standalone selling prices are not available, the transaction price is allocated using an expected cost plus margin approach as pricing for such contracts is typically negotiated on the basis of cost. The Company accounts for contract modifications prospectively when the remaining goods or services are distinct and on a cumulative catch-up basis when the remaining goods or services are not distinct. The Company provides assurance type warranties on many of its products and services. Since customers cannot purchase such warranties independently of the products or services under contract and they are not priced separately, warranties are not separate performance obligations. The Company utilizes the cost-to-cost method as a measure of progress for performance obligations that are satisfied over-time as it believes this input method best represents the transfer of control to the customer. Under this method, revenue for the current period is recorded at an amount equal to the ratio of costs incurred to date divided by total estimated contract costs multiplied by (i) the transaction price, less (ii) cumulative revenue recognized in prior periods. Contract costs include all direct material and labor costs and those indirect costs related to contract performance, such as indirect labor, supplies, tools, repairs and depreciation. Under the cost-to-cost method, the extent of progress toward completion is measured based on the proportion of costs incurred to date to the total estimated costs at completion of the performance obligation. These projections require the Company to make numerous assumptions and estimates relating to items such as the complexity of design and related development costs, performance of subcontractors, availability and cost of materials, labor productivity and cost, overhead, capital costs, and manufacturing efficiency. The Company reviews its cost estimates on a periodic basis, or when circumstances change and warrant a modification to a previous estimate. Cost estimates are largely based on negotiated or estimated purchase contract terms, historical performance trends and other economic projections. For certain contracts with similar characteristics and for which revenue is recognized using an over-time model, the Company uses a portfolio approach to estimate the amount of revenue to recognize. For each portfolio of contracts, the respective work in process and/or finished goods inventory balances are identified and the portfolio-specific margin is applied to estimate the pro rata portion of the transaction price to recognize in relation to the costs incurred. This approach is utilized only when the resulting revenue recognition is not expected to be materially different than if the accounting was applied to the individual contracts. Certain of the Company’s contracts give rise to variable consideration when they contain items such as customer rebates, credits, volume purchase discounts, penalties and other provisions that may impact the total consideration the Company will receive. The Company includes variable consideration in the transaction price generally by applying the most likely amount method of the consideration that it expects to be entitled to receive based on an assessment of all available information (i.e., historical experience, current and forecasted performance) and only to the extent it is probable that a significant reversal of revenue recognized will not occur when the uncertainty is resolved. The Company estimates variable consideration by applying the most likely amount method when there are a limited number of outcomes related to the resolution of the variable consideration. See Note 6, Revenue, for additional information regarding the Company’s revenue recognition policy. Changes in estimates that result in adjustments to net sales and cost of sales are recognized as necessary in the period they become known on a cumulative catch-up basis. Changes in estimates did not have a material effect on net income from consolidated operations in fiscal 2021, 2020 and 2019. Stock-Based Compensation The Company records compensation expense associated with stock options in its Consolidated Statements of Operations based on the grant date fair value of those awards. The fair value of each stock option on the date of grant is estimated using the Black-Scholes pricing model based on certain valuation assumptions. Expected stock price volatility is based on the Company’s historical stock prices over the expected life of the option grant and other factors. The risk-free interest rate used is based on the published U.S. Treasury yield curve in effect at the time of the option grant for instruments with a similar life. The dividend yield reflects the Company’s expected dividend yield at the date of grant. The expected option life represents the period of time that the stock options are expected to be outstanding, taking into consideration the contractual term of the option grant and employee historical exercise behavior. The Company’s historical rate of forfeiture is nominal and therefore not included when estimating the grant date fair value of stock option awards. As such, the Company recognizes the impact of forfeitures when they occur. The Company generally recognizes stock option compensation expense ratably over the award’s vesting period. Income Taxes Income tax expense includes U.S. and foreign income taxes. Deferred income taxes are provided on elements of income that are recognized for financial reporting purposes in periods different from when recognized for income tax purposes. Deferred tax assets and liabilities are recognized for the tax effects of temporary differences between the financial reporting and income tax bases of assets and liabilities and are measured using enacted tax rates in effect for the year in which the differences are expected to reverse. Tax law and rate changes are reflected in income in the period such changes are enacted. The Company's policy is to recognize interest and penalties related to income tax matters as a component of income tax expense and to treat any tax on Global Intangible Low-Taxed Income ("GILTI") as a current period income tax expense. Further information regarding income taxes can be found in Note 7, Income Taxes. Redeemable Noncontrolling Interests As further detailed in Note 13, Redeemable Noncontrolling Interests, the holders of equity interests in certain of the Company’s subsidiaries have rights (“Put Rights”) that require the Company to provide cash consideration for their equity interests (the “Redemption Amount”) at fair value or at a formula that management intended to reasonably approximate fair value based solely on a multiple of future earnings over a measurement period. The Put Rights are embedded in the shares owned by the noncontrolling interest holders and are not freestanding. The Company tracks the carrying cost of such redeemable noncontrolling interests at historical cost plus an allocation of subsidiary earnings based on ownership interest, less dividends paid to the noncontrolling interest holders. Redeemable noncontrolling interests are recorded outside of permanent equity at the higher of their carrying cost or management’s estimate of the Redemption Amount. The initial adjustment to record redeemable noncontrolling interests at the Redemption Amount results in a corresponding decrease to retained earnings. Subsequent adjustments to the Redemption Amount of redeemable noncontrolling interests may result in corresponding decreases or increases to retained earnings, provided any increases to retained earnings may only be recorded to the extent of decreases previously recorded. Adjustments to Redemption Amounts based on fair value will have no effect on net income per share attributable to HEICO shareholders whereas the portion of periodic adjustments to the carrying amount of redeemable noncontrolling interests based solely on a multiple of future earnings that reflect a redemption amount in excess of fair value will affect net income per share attributable to HEICO shareholders. Acquisitions of redeemable noncontrolling interests are treated as equity transactions. Net Income per Share Attributable to HEICO Shareholders Basic net income per share attributable to HEICO shareholders is computed by dividing net income attributable to HEICO by the weighted average number of common shares outstanding during the period. Diluted net income per share attributable to HEICO shareholders is computed by dividing net income attributable to HEICO by the weighted average number of common shares outstanding during the period plus potentially dilutive common shares arising from the assumed exercise of stock options, if dilutive. The dilutive impact of potentially dilutive common shares is determined by applying the treasury stock method. Foreign Currency All assets and liabilities of foreign subsidiaries that do not utilize the U.S. dollar as its functional currency are translated at period-end exchange rates, while revenue and expenses are translated using average exchange rates for the period. Unrealized translation gains or losses are reported as foreign currency translation adjustments through other comprehensive income or (loss) in shareholders’ equity. Transaction gains or losses related to monetary balances denominated in a currency other than the functional currency are recorded in the Company's Consolidated Statements of Operations. Contingencies Losses for contingencies such as product warranties, litigation and environmental matters are recognized in income when they are probable and can be reasonably estimated. Gain contingencies are not recognized in income until they have been realized. New Accounting Pronouncements In January 2017, the Financial Accounting Standards Board ("FASB") issued ASU 2017-04, "Simplifying the Test for Goodwill Impairment," which simplifies the current test for goodwill impairment by eliminating the second step in which the implied value of a reporting unit is calculated when the carrying value of the reporting unit exceeds its fair value. Under ASU 2017-04, goodwill impairment should be recognized for the amount by which a reporting unit’s carrying value exceeds its fair value, not to exceed the carrying amount of goodwill. The Company adopted ASU 2017-04 in the first quarter of fiscal 2021 and began applying the guidance prospectively when assessing its goodwill for impairment. |
ACQUISITIONS
ACQUISITIONS | 12 Months Ended |
Oct. 31, 2021 | |
Business Combinations [Abstract] | |
Business Combination Disclosure [Text Block] | ACQUISITIONS In October 2021, the Company, through a subsidiary of HEICO Electronic, acquired all of the outstanding stock of Paciwave, Inc. ("Paciwave"). Paciwave is a designer and manufacturer of Radio Frequency (RF) and microwave components and integrated assemblies specializing particularly in PIN Diode Switches, PIN Attenuators, PIN Limiters, Switching Assemblies and integrated subsystems found in defense and other complex electronic applications. The purchase price of this acquisition was paid in cash using cash provided by operating activities. In September 2021, the Company, through HEICO Electronic, acquired 80.1% of the stock of R.H. Laboratories, Inc. ("RH Labs"). RH Labs designs and manufactures state-of-the-art RF and microwave integrated assemblies, sub-assemblies and components used in a broad range of demanding defense applications operating in harsh environments including Space. The remaining 19.9% interest continues to be owned by certain members of RH Lab's management team (see Note 13, Redeemable Noncontrolling Interests, for additional information). The purchase price of this acquisition was paid in cash using cash provided by operating activities. In August 2021, the Company, through HFSC, acquired 89% of the equity interests of Ridge HoldCo, LLC, which owns all of Ridge Engineering, Inc. ("Ridge") and The Bechdon Company, Inc. ("Bechdon"). Ridge performs tight-tolerance machining and brazing of large-sized parts in mission-critical defense and aerospace applications. Bechdon provides machining, fabrication and welding services for aerospace, defense and other industrial applications. The remaining 11% interests continue to be owned by certain members of Ridge’s and Bechdon's management teams (see Note 13, Redeemable Noncontrolling Interests, for additional information). The total consideration includes an accrual of $18.3 million as of the acquisition date representing the estimated fair value of contingent consideration the Company may be obligated to pay should Ridge and Bechdon meet certain earnings objectives following the acquisition. See Note 8, Fair Value Measurements, for additional information regarding the Company’s contingent consideration obligation. The purchase price of this acquisition was paid in cash using cash provided by operating activities. In June 2021, the Company, through HFSC, acquired certain assets and liabilities of Camtronics, LLC ("Camtronics"). Camtronics is a Federal Aviation Administration ("FAA")-certified Part 145 repair station with extensive proprietary FAA-designated engineering representative repairs for a variety of domestic and international commercial and cargo airlines. As a result of the transaction, HFSC has an 80.1% interest in Camtronics. Additionally, the noncontrolling interest holders of an 84% owned subsidiary of HFSC have a 9.9% interest in Camtronics and the remaining 10% interest continues to be owned by certain members of Camtronics' management team (see Note 13, Redeemable Noncontrolling Interests, for additional information). The purchase price of this acquisition was paid in cash using cash provided by operating activities. In March 2021, the Company, through HEICO Electronic, acquired all of the business, assets and certain liabilities of Pyramid Semiconductor LLC ("Pyramid"). Pyramid is a specialty semiconductor designer and manufacturer offering a well-developed line of processors, static random-access memory (SRAM), electronically erasable programmable read-only memory (EEPROM) and Logic products on a diverse array of military, space and medical platforms. The purchase price of this acquisition was paid in cash using cash provided by operating activities. In August 2020, the Company, through HEICO Electronic, acquired 89.99% of the equity interests of Connect Tech Inc. ("Connect Tech"). Connect Tech designs and manufacturers rugged, small-form-factor embedded computing solutions. Connect Tech's components are designed for very harsh environments and are primarily used in rugged commercial and industrial, aerospace and defense, transportation, and smart energy applications. The remaining 10.01% interest continues to be owned by a certain member of Connect Tech's management team (see Note 13, Redeemable Noncontrolling Interests, for additional information). The total consideration includes an accrual of $9.7 million as of the acquisition date representing the estimated fair value of contingent consideration the Company may be obligated to pay should Connect Tech meet certain earnings objectives following the acquisition. See Note 8, Fair Value Measurements, for additional information regarding the Company’s contingent consideration obligation. In August 2020, the Company, through a newly formed subsidiary of HEICO Electronic, acquired all of the equity interests of Transformational Security, LLC and Intelligent Devices, Inc. (collectively, "TSID"). TSID develops and manufactures state-of-the-art Technical Surveillance Countermeasures ("TSCM") equipment used to protect critical spaces from exploitation via wireless transmissions, technical surveillance and listening devices. The subsidiary of HEICO Electronic that completed the acquisition is 75% owned by HEICO Electronic and 25% owned by the noncontrolling interest holders of a subsidiary of HEICO Electronic that is also a designer and manufacturer of TSCM equipment (see Note 13, Redeemable Noncontrolling Interests, for additional information). The total consideration includes an accrual of $14.0 million as of the acquisition date representing the estimated fair value of contingent consideration the Company may be obligated to pay should TSID meet certain earnings objectives following the acquisition. See Note 8, Fair Value Measurements, for additional information regarding the Company’s contingent consideration obligation. In June 2020, the Company, through HFSC, acquired 70% of the membership interests of Rocky Mountain Hydrostatics, LLC ("Rocky Mountain"). Rocky Mountain overhauls industrial pumps, motors, and other hydraulic units with a focus on the support of legacy systems for the U.S. Navy. The remaining 30% interest continues to be owned by certain members of Rocky Mountain's management team (see Note 13, Redeemable Noncontrolling Interests, for additional information). In May 2020, a subsidiary of HEICO Electronic obtained 100% ownership of the assets and liabilities of Freebird Semiconductor Corporation ("Freebird"), an entity in which the subsidiary held a controlling financial interest since November 2018. In June 2020, the HEICO Electronic subsidiary contributed the assets and liabilities of Freebird in exchange for a 49% equity interest in EPC Space LLC ("EPC”), which the Company accounts for under the equity method. As the fair value of the net assets contributed approximated the fair value of the equity interest received in EPC, no material gain or loss was recorded as a result of this transaction. EPC designs, develops, promotes, markets and sells radiation-hardened gallium nitride power solutions packaged for use in outer space and other high reliability applications. In December 2019, the Company, through a subsidiary of HEICO Electronic, acquired 100% of the business and assets of the Human-Machine Interface ("HMI") product line of Spectralux Corporation. HMI designs, manufactures, and repairs flight deck annunciators, panels, indicators, and illuminated keyboards, as well as lighting controls, and flight deck lighting. In December 2019, the Company, through HEICO Electronic, acquired 80.1% of the stock of Quell Corporation ("Quell"). Quell designs and manufactures electromagnetic interference (EMI)/radio-frequency interference (RFI) and transient protection solutions for a wide variety of connectors that principally serve customers within the aerospace and defense markets. The remaining 19.9% interest continues to be owned by certain members of Quell's management team (see Note 13, Redeemable Noncontrolling Interests, for additional information). In September 2019, the Company, through a subsidiary of HEICO Electronic, acquired all of the outstanding stock of TTT-Cubed, Inc. ("TTT"). TTT is a designer and manufacturer of RF Sources, Detectors, and Controllers for a certain wide range of aerospace and defense applications. The purchase price of this acquisition was paid in cash using cash provided by operating activities. In July 2019, the Company, jointly through HEICO Electronic and one of its subsidiaries, acquired substantially all of the assets and business of a France-based company and transferred the assets to a newly created subsidiary, Bernier Connect SAS ("Bernier"). At the time of acquisition, the purchase of Bernier was inclusive of Bernier's 70% equity interest in Moulages Plastiques Industriels de L'essonne SARL ("MPI"), a plastics manufacturer ("MPI"). In June 2021, Bernier acquired the remaining 30% equity interest in MPI. Bernier is a designer and manufacturer of interconnect products used in demanding defense, aerospace and industrial applications, primarily for communications-related purposes. The purchase price of this acquisition was paid in cash using cash provided by operating activities. In June 2019, the Company, through HEICO Electronic, acquired 75% of the membership interests of Research Electronics International, LLC ("REI"). REI is a designer and manufacturer of TSCM equipment to detect devices used for espionage and information theft. The remaining 25% interest continues to be owned by certain members of REI's management team (see Note 13, Redeemable Noncontrolling Interests, for additional information). In February 2019, the Company, through HFSC, acquired 80.1% of the membership interests of Decavo LLC ("Decavo"). Decavo designs and produces complex composite parts and assemblies incorporated into camera and related sensor assemblies and unmanned aerial vehicle ("UAV") airframes used in demanding defense and civilian applications. The remaining 19.9% interest continues to be owned by certain members of Decavo's management team (see Note 13, Redeemable Noncontrolling Interests, for additional information). The total consideration includes an accrual of $2.1 million as of the acquisition date representing the estimated fair value of contingent consideration the Company may be obligated to pay should Decavo meet a certain earnings objective during the second and third years following the acquisition. See Note 8, Fair Value Measurements, for additional information regarding the Company's contingent consideration obligation. The purchase price of this acquisition was paid in cash principally using cash provided by operating activities. In February 2019, the Company, through HEICO Electronic, acquired 85% of the stock of Solid Sealing Technology, Inc. ("SST"). SST designs and manufactures high-reliability ceramic-to-metal feedthroughs and connectors for demanding environments within the defense, industrial, life science, medical, research, semiconductor, and other markets. The remaining 15% interest continues to be owned by certain members of SST's management team (see Note 13, Redeemable Noncontrolling Interests, for additional information). In November 2018, the Company, through a subsidiary of HEICO Electronic, acquired an additional equity interest in Freebird, which increased the Company's aggregate equity interest in Freebird to greater than 50%. Accordingly, the Company began consolidating the operating results of Freebird as of the acquisition date. Prior to this transaction, the Company accounted for its investment in Freebird under the equity method. Freebird is a fabless design and manufacturing company that offers advanced high-reliability wide-band gap power switching technology. The purchase price of this acquisition was paid in cash using cash provided by operating activities. In November 2018, the Company, through HEICO Electronic, acquired 92.7% of the stock of Apex Microtechnology, Inc. ("Apex"). Apex designs and manufactures precision power analog monolithic, hybrid and open frame components for a certain wide range of aerospace, defense, industrial, measurement, medical and test applications. The remaining 7.3% interest continues to be owned by certain members of Apex's management team (see Note 13, Redeemable Noncontrolling Interests, for additional information). In November 2018, the Company, through HEICO Electronic, acquired all of the stock of Specialty Silicone Products, Inc. ("SSP"). SSP designs and manufactures silicone material for a variety of demanding applications used in aerospace, defense, research, oil and gas, testing, pharmaceuticals and other markets. Unless otherwise noted, the purchase price of each of the above referenced acquisitions was paid in cash, principally using proceeds from the Company's revolving credit facility, and is not material or significant to the Company's consolidated financial statements. The following table summarizes the aggregate total consideration for the Company's acquisitions (in thousands): Year ended October 31, 2021 2020 2019 Cash paid $136,995 $165,290 $243,550 Less: cash acquired (639) (1,323) (2,466) Cash paid, net 136,356 163,967 241,084 Contingent consideration 18,334 23,719 2,107 Fair value of existing equity interest — — 1,417 Additional purchase consideration 56 144 — Total consideration $154,746 $187,830 $244,608 The following table summarizes the allocation of the aggregate total consideration for the Company's acquisitions to the estimated fair values of the tangible and identifiable intangible assets acquired and liabilities and noncontrolling interests assumed (in thousands): Year ended October 31, 2021 2020 2019 Assets acquired: Goodwill $66,450 $114,391 $155,892 Customer relationships 30,910 44,740 47,553 Intellectual property 23,920 27,120 31,459 Trade names 9,920 12,410 19,216 Contract assets 18,399 2,530 362 Property, plant and equipment 17,949 4,000 18,013 Inventories 6,743 10,902 18,046 Accounts receivable 6,895 7,124 8,673 Other assets 1,129 980 545 Total assets acquired, excluding cash 182,315 224,197 299,759 Liabilities assumed: Deferred income taxes 413 10,434 7,427 Accrued expenses 5,433 2,787 2,971 Accounts payable 2,487 726 2,879 Other liabilities 266 197 627 Total liabilities assumed 8,599 14,144 13,904 Noncontrolling interests in consolidated subsidiaries 18,970 22,223 41,247 Net assets acquired, excluding cash $154,746 $187,830 $244,608 The following table summarizes the weighted average amortization period of the definite-lived intangible assets acquired in connection with the Company's fiscal 2021, 2020 and 2019 acquisitions (in years): Year ended October 31, 2021 2020 2019 Customer relationships 12 10 11 Intellectual property 13 11 15 The allocation of the total consideration for the fiscal 2021 acquisitions to the tangible and identifiable intangible assets acquired and liabilities and noncontrolling interests assumed is preliminary until the Company obtains final information regarding their fair values. However, the Company does not expect any adjustment to such allocations to be material to the Company's consolidated financial statements. The allocation of the total consideration for the fiscal 2020 |
SELECTED FINANCIAL STATEMENT IN
SELECTED FINANCIAL STATEMENT INFORMATION | 12 Months Ended |
Oct. 31, 2021 | |
Selected Financial Statement Information [Abstract] | |
Additional Financial Information Disclosure [Text Block] | SELECTED FINANCIAL STATEMENT INFORMATION Accounts Receivable As of October 31, (in thousands) 2021 2020 Accounts receivable $255,793 $223,171 Less: Allowance for doubtful accounts (10,874) (12,738) Accounts receivable, net $244,919 $210,433 Inventories As of October 31, (in thousands) 2021 2020 Finished products $238,867 $235,501 Work in process 44,887 37,957 Materials, parts, assemblies and supplies 194,296 189,747 Inventories, net of valuation reserves $478,050 $463,205 Property, Plant and Equipment As of October 31, (in thousands) 2021 2020 Land $11,363 $6,678 Buildings and improvements 134,150 120,769 Machinery, equipment and tooling 297,297 265,408 Construction in progress 7,784 8,487 450,594 401,342 Less: Accumulated depreciation and amortization (256,956) (232,494) Property, plant and equipment, net $193,638 $168,848 The amounts set forth above include tooling costs having a net book value of $6.8 million and $8.3 million as of October 31, 2021 and 2020, respectively. Amortization expense on capitalized tooling was $2.8 million, $3.2 million and $3.1 million in fiscal 2021, 2020 and 2019, respectively. Depreciation and amortization expense, exclusive of tooling, on property, plant and equipment was $27.8 million, $27.1 million and $25.8 million in fiscal 2021, 2020 and 2019, respectively. Accrued Expenses and Other Current Liabilities As of October 31, (in thousands) 2021 2020 Accrued employee compensation and related payroll taxes $121,200 $83,055 Contract liabilities 32,738 25,631 Accrued customer rebates and credits 13,237 15,813 Current operating lease liabilities 13,874 14,180 Other 25,808 23,553 Accrued expenses and other current liabilities $206,857 $162,232 The increase in accrued employee compensation and related payroll taxes principally reflects a lower level of accrued performance-based compensation expense in fiscal 2020 resulting from lower consolidated operating results mainly attributable to the Pandemic. The total customer rebates and credits deducted within net sales in fiscal 2021, 2020 and 2019 was $3.3 million, $4.6 million and $9.0 million, respectively. Other Long-Term Assets and Liabilities The Company provides eligible employees, officers and directors of the Company the opportunity to voluntarily defer base salary, bonus payments, commissions, long-term incentive awards and directors fees, as applicable, on a pre-tax basis through the HEICO Corporation Leadership Compensation Plan (“LCP”), a nonqualified deferred compensation plan that conforms to Section 409A of the Internal Revenue Code. The Company matches 50% of the first 6% of base salary deferred by each participant. Director fees that would otherwise be payable in Company common stock may be deferred into the LCP, and, when distributable, are distributed in actual shares of Company common stock. The deferred compensation obligation associated with Company common stock is recorded as a component of shareholders’ equity at cost and subsequent changes in fair value are not reflected in operations or shareholders’ equity of the Company. Further, while the Company has no obligation to do so, the LCP also provides the Company the opportunity to make discretionary contributions. The Company’s matching contributions and any discretionary contributions are subject to vesting and forfeiture provisions set forth in the LCP. Company contributions to the LCP charged to income in fiscal 2021, 2020 and 2019 totaled $7.1 million, $4.7 million and $6.1 million, respectively. The aggregate liabilities of the LCP were $244.3 million and $178.3 million as of October 31, 2021 and 2020, respectively, and are classified within other long-term liabilities and accrued expenses and other current liabilities in the Company’s Consolidated Balance Sheets. The assets of the LCP, totaling $245.6 million and $180.1 million as of October 31, 2021 and 2020, respectively, are classified within other assets in the Company's Consolidated Balance Sheets and principally represent cash surrender values of life insurance policies that are held within an irrevocable trust that may be used to satisfy the obligations of the LCP. Additional information regarding the assets of the LCP may be found in Note 8, Fair Value Measurements. Research and Development Expenses The amount of new product research and development ("R&D") expenses included in cost of sales is as follows (in thousands): Year ended October 31, 2021 2020 2019 R&D expenses $68,877 $65,559 $66,630 Accumulated Other Comprehensive Loss Changes in the components of accumulated other comprehensive loss during fiscal 2021 and 2020 are as follows (in thousands): Foreign Currency Translation Defined Benefit Pension Plan Accumulated Balances as of October 31, 2019 ($14,989) ($1,750) ($16,739) Unrealized gain (loss) 8,529 (1,012) 7,517 Amortization of unrealized loss — 73 73 Balances as of October 31, 2020 (6,460) (2,689) (9,149) Unrealized (loss) gain (529) 991 462 Amortization of unrealized loss — 135 135 Balances as of October 31, 2021 ($6,989) ($1,563) ($8,552) |
GOODWILL AND OTHER INTANGIBLE A
GOODWILL AND OTHER INTANGIBLE ASSETS | 12 Months Ended |
Oct. 31, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets Disclosure [Text Block] | GOODWILL AND OTHER INTANGIBLE ASSETS Changes in the carrying amount of goodwill by operating segment during fiscal 2021 and 2020 are as follows (in thousands): Segment Consolidated FSG ETG Totals Balances as of October 31, 2019 $410,044 $858,659 $1,268,703 Goodwill acquired 14,979 99,401 114,380 Foreign currency translation adjustments 2,542 2,076 4,618 Deconsolidation of subsidiary — (4,249) (4,249) Adjustments to goodwill — (285) (285) Balances as of October 31, 2020 427,565 955,602 1,383,167 Goodwill acquired 40,308 26,142 66,450 Foreign currency translation adjustments 227 540 767 Adjustments to goodwill 188 (177) 11 Balances as of October 31, 2021 $468,288 $982,107 $1,450,395 The goodwill acquired during fiscal 2021 and 2020 pertains to the acquisitions consummated in those respective years as described in Note 2, Acquisitions, and represents the residual value after the allocation of the total consideration to the tangible and identifiable intangible assets acquired and liabilities and noncontrolling interests assumed. Foreign currency translation adjustments are included in other comprehensive income (loss) in the Company's Consolidated Statements of Comprehensive Income. Deconsolidation of subsidiary reflects the value of goodwill associated with an entity that the Company previously consolidated but subsequently contributed the net assets of the former entity to a new entity in which the Company holds a noncontrolling interest and accounts for under the equity method (See Note 2, Acquisitions, for additional information). The adjustments to goodwill represent immaterial measurement period adjustments to the purchase price allocation of certain fiscal 2020 and 2019 acquisitions. The Company estimates that $61 million and $46 million of the goodwill acquired in fiscal 2021 and 2020, respectively, will be deductible for income tax purposes. Based on the annual test for goodwill impairment as of October 31, 2021, the Company determined there is no impairment of its goodwill and the fair value of each of the Company’s reporting units significantly exceeded their carrying value. Identifiable intangible assets consist of the following (in thousands): As of October 31, 2021 As of October 31, 2020 Gross Accumulated Net Gross Accumulated Net Amortizing Assets: Customer relationships $464,506 ($221,098) $243,408 $443,143 ($188,919) $254,224 Intellectual property 255,011 (94,313) 160,698 240,725 (84,686) 156,039 Licenses 6,559 (5,072) 1,487 6,559 (4,670) 1,889 Patents 1,110 (793) 317 1,071 (746) 325 Non-compete agreements 722 (722) — 811 (811) — Trade names 450 (257) 193 450 (219) 231 728,358 (322,255) 406,103 692,759 (280,051) 412,708 Non-Amortizing Assets: Trade names 176,204 — 176,204 166,333 — 166,333 $904,562 ($322,255) $582,307 $859,092 ($280,051) $579,041 The increase in the gross carrying amount of customer relationships, intellectual property and trade names as of October 31, 2021 compared to October 31, 2020 principally relates to such intangible assets recognized in connection with the fiscal 2021 acquisitions (see Note 2, Acquisitions). Amortization expense related to intangible assets was $61.3 million, $57.4 million and $53.7 million in fiscal 2021, 2020 and 2019, respectively. Amortization expense for each of the next five fiscal years and thereafter is estimated to be $58.1 million in fiscal 2022, $52.4 million in fiscal 2023, $47.4 million in fiscal 2024, $42.9 million in fiscal 2025, $38.5 million in fiscal 2026 and $166.8 million thereafter. |
LONG-TERM DEBT
LONG-TERM DEBT | 12 Months Ended |
Oct. 31, 2021 | |
Debt Disclosure [Abstract] | |
Long-term Debt [Text Block] | LONG-TERM DEBT Long-term debt consists of the following (in thousands): As of October 31, 2021 2020 Borrowings under revolving credit facility $225,000 $730,000 Finance leases and note payable (1) 11,498 9,831 236,498 739,831 Less: Current maturities of long-term debt (1,515) (1,045) $234,983 $738,786 (1) See Note 9, Leases, for additional information regarding the Company's finance leases. The Company's borrowings under its revolving credit facility mature in fiscal 2024. As of October 31, 2021 and 2020, the weighted average interest rate on borrowings under the Company's revolving credit facility was 1.1% and 1.3%, respectively. The revolving credit facility contains both financial and non-financial covenants. As of October 31, 2021, the Company was in compliance with all such covenants. Revolving Credit Facility In November 2017, the Company entered into a $1.3 billion Revolving Credit Facility Agreement ("Credit Facility") with a bank syndicate. The Credit Facility may be used to finance acquisitions and for working capital and other general corporate purposes, including capital expenditures. In December 2020, the Company entered into an amendment to extend the maturity date of the Credit Facility by one year to November 2023 and to increase the capacity by $200 million to $1.5 billion. The Credit Facility includes a feature that will allow the Company to increase the capacity by $350 million to become a $1.85 billion facility through increased commitments from existing lenders or the addition of new lenders and can be extended for an additional one-year period. Borrowings under the Credit Facility accrue interest at the Company’s election of the Base Rate or the Eurocurrency Rate, plus in each case, the Applicable Rate (based on the Company’s Total Leverage Ratio). The Base Rate for any day is a fluctuating rate per annum equal to the highest of (i) the Prime Rate; (ii) the Federal Funds Rate plus .50%; and (iii) the Eurocurrency Rate for an Interest Period of one month plus 100 basis points. The Eurocurrency Rate is the rate per annum obtained by dividing LIBOR for the applicable Interest Period by a percentage equal to 1.00 minus the daily average Eurocurrency Reserve Rate for such Interest Period, as such capitalized terms are defined in the Credit Facility. The Applicable Rate for Eurocurrency Rate Loans ranges from 1.00% to 2.00%. The Applicable Rate for Base Rate Loans ranges from 0% to 1.00%. A fee is charged on the amount of the unused commitment ranging from .125% to .30% (depending on the Company’s Total Leverage Ratio). The Credit Facility also includes $100 million sublimits for borrowings made in foreign currencies and for swingline borrowings, and a $50 million sublimit for letters of credit. Outstanding principal, accrued and unpaid interest and other amounts payable under the Credit Facility may be accelerated upon an event of default, as such events are described in the Credit Facility. The Credit Facility is unsecured and contains covenants that require, among other things, the maintenance of a Total Leverage Ratio and an Interest Coverage Ratio, as such capitalized terms are defined in the Credit Facility. |
REVENUE (Notes)
REVENUE (Notes) | 12 Months Ended |
Oct. 31, 2021 | |
Revenue from Contract with Customer [Abstract] | |
Revenue from Contract with Customer [Text Block] | REVENUE Contract Balances Contract assets (unbilled receivables) represent revenue recognized on contracts using an over-time recognition model in excess of amounts invoiced to the customer. Contract liabilities (deferred revenue) represent customer advances and billings in excess of revenue recognized and are included within accrued expenses and other current liabilities in the Company’s Consolidated Balance Sheet. Changes in the Company’s contract assets and liabilities during fiscal 2021 and 2020 are as follows (in thousands): October 31, 2021 October 31, 2020 Change Contract assets $80,073 $60,429 $19,644 Contract liabilities 32,738 25,631 7,107 Net contract assets $47,335 $34,798 $12,537 The increase in the Company's contract assets during fiscal 2021 principally reflects the contract assets of certain businesses acquired during fiscal 2021. The increase in the Company's contract liabilities during fiscal 2021 principally reflects the receipt of customer deposits on certain long-term customer contracts as well as the contract liabilities of certain businesses acquired during fiscal 2021. The amount of revenue that the Company recognized during fiscal 2021 that was included in contract liabilities as of the beginning of fiscal 2021 was $20.7 million. Remaining Performance Obligations As of October 31, 2021, the Company had $461.0 million of remaining performance obligations associated with contracts with an original duration of greater than one year pertaining to the majority of the products offered by the ETG as well as certain products of the FSG's specialty products and aftermarket replacement parts product lines. The Company will recognize net sales as these obligations are satisfied. The Company expects to recognize $344.7 million of this amount during fiscal 2022 and $116.3 million thereafter, of which the majority is expected to occur in fiscal 2023. Disaggregation of Revenue The following table summarizes the Company’s net sales by product line for each operating segment (in thousands): Year Ended October 31, 2021 2020 2019 Flight Support Group: Aftermarket replacement parts (1) $535,217 $525,636 $678,001 Repair and overhaul parts and services (2) 208,215 193,164 299,323 Specialty products (3) 183,657 206,012 262,859 Total net sales 927,089 924,812 1,240,183 Electronic Technologies Group: Electronic component parts primarily for defense, space and aerospace equipment (4) 709,621 679,901 633,685 Electronic component parts for equipment in various other industries (5) 249,549 195,086 200,837 Total net sales 959,170 874,987 834,522 Intersegment sales (20,577) (12,790) (19,058) Total consolidated net sales $1,865,682 $1,787,009 $2,055,647 (1) Includes various jet engine and aircraft component replacement parts. (2) Includes primarily the sale of parts consumed in various repair and overhaul services on selected jet engine and aircraft components, avionics, instruments, composites and flight surfaces of commercial and military aircraft. (3) Includes primarily the sale of specialty components such as thermal insulation blankets, renewable/reusable insulation systems, advanced niche components, complex composite assemblies, and expanded foil mesh as well as machining, brazing, fabricating and welding services generally to original equipment manufacturers. (4) Includes various component parts such as electro-optical infrared simulation and test equipment, electro-optical laser products, electro-optical, microwave and other power equipment, high-speed interface products, power conversion products, underwater locator beacons, emergency locator transmission beacons, traveling wave tube amplifiers, microwave power modules, a wide variety of memory products and radio frequency (RF) and microwave products, crashworthy and ballistically self-sealing auxiliary fuel systems, high performance communications and electronic intercept receivers and tuners, high performance active antenna systems and technical surveillance countermeasures (TSCM) equipment. (5) Includes various component parts such as electromagnetic and radio frequency interference shielding, high voltage interconnection devices, high voltage advanced power electronics, harsh environment connectivity products, custom molded cable assemblies, silicone material for a variety of demanding applications and rugged small form-factor embedded computing solutions. The following table summarizes the Company’s net sales by industry for each operating segment (in thousands): Year ended October 31, 2021 2020 2019 Flight Support Group: Aerospace $660,867 $669,194 $1,004,088 Defense and Space 224,236 213,273 190,076 Other (1) 41,986 42,345 46,019 Total net sales 927,089 924,812 1,240,183 Electronic Technologies Group: Defense and Space 599,570 577,581 531,029 Other (2) 284,834 225,749 217,889 Aerospace 74,766 71,657 85,604 Total net sales 959,170 874,987 834,522 Intersegment sales (20,577) (12,790) (19,058) Total consolidated net sales $1,865,682 $1,787,009 $2,055,647 (1) Principally industrial products. |
INCOME TAXES
INCOME TAXES | 12 Months Ended |
Oct. 31, 2021 | |
Income Tax Disclosure [Abstract] | |
Income Tax Disclosure [Text Block] | INCOME TAXES The components of income before income taxes and noncontrolling interests are as follows (in thousands): Year ended October 31, 2021 2020 2019 Domestic $345,733 $327,754 $386,584 Foreign 41,325 37,101 51,257 Income before taxes and noncontrolling interests $387,058 $364,855 $437,841 The components of the provision for income taxes on income before income taxes and noncontrolling interests are as follows (in thousands): Year ended October 31, 2021 2020 2019 Current: Federal $47,839 $17,730 $56,670 State 11,639 4,167 12,795 Foreign 13,457 13,101 15,027 72,935 34,998 84,492 Deferred: Federal (10,097) (3,364) (3,140) State (3,251) (55) (1,263) Foreign (2,287) (2,579) (1,989) (15,635) (5,998) (6,392) Total income tax expense $57,300 $29,000 $78,100 A reconciliation of the federal statutory income tax rate to the Company’s effective tax rate is as follows: Year ended October 31, 2021 2020 2019 Federal statutory income tax rate 21.0 % 21.0 % 21.0 % State taxes, net of federal income tax benefit 2.9 % 3.7 % 3.0 % Tax benefit related to stock option exercises (3.7 %) (13.3 %) (3.8 %) Tax-exempt gains on corporate-owned life insurance policies (2.9 %) (0.7 %) (0.6 %) Research and development tax credits (2.5 %) (2.4 %) (1.7 %) Foreign derived intangible income deduction (1.9 %) (1.6 %) (1.4 %) Nondeductible compensation 1.2 % .4 % .8 % Other, net .7 % .8 % .5 % Effective tax rate 14.8 % 7.9 % 17.8 % The Company's effective tax rate in fiscal 2021 was 14.8%, as compared to 7.9% in fiscal 2020. The Company recognized a discrete tax benefit from stock option exercises in fiscal 2021 and 2020 of $14.2 million and $48.3 million, respectively. The tax benefit from stock option exercises in both years was the result of strong appreciation in HEICO's stock price during the optionees' holding periods and the $34.1 million larger benefit recognized in fiscal 2020 was the result of more stock options exercised. Additionally, the effective tax rate in fiscal 2021 reflects the favorable impact of higher tax-exempt unrealized gains in the cash surrender values of life insurance policies related to the LCP. The Company's effective tax rate in fiscal 2020 was 7.9%, as compared to 17.8% in fiscal 2019. The decrease in the Company's effective tax rate in fiscal 2020 is mainly attributable to a $31.8 million larger tax benefit recognized in fiscal 2020 from stock option exercises compared to fiscal 2019 as a result of more stock options exercised and the strong appreciation in HEICO's stock price during the optionees' holding periods. The Company files income tax returns in the U.S. federal jurisdiction and in multiple state jurisdictions. The Company is also subject to income taxes in certain jurisdictions outside the U.S., none of which are individually material to the accompanying consolidated financial statements. Generally, the Company is no longer subject to U.S. federal, state or foreign examinations by tax authorities for years prior to fiscal 2017. One of the Company's foreign subsidiaries files income tax returns in The Netherlands and Thailand where the statute of limitations is open for its fiscal 2015 returns. Deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. The Company believes that it is more likely than not that it will generate sufficient future taxable income to utilize all of its deferred tax assets and has therefore not recorded a valuation allowance on any such asset. Significant components of the Company’s deferred tax assets and liabilities are as follows (in thousands): As of October 31, 2021 2020 Deferred tax assets: Deferred compensation plan liability $54,726 $41,744 Inventories 41,354 36,414 Operating lease liabilities 16,483 12,980 Share-based compensation 8,759 8,746 Performance-based compensation accrual 4,615 2,539 Allowance for doubtful accounts receivable 2,532 2,966 Deferred payroll taxes 2,372 1,754 Customer rebates accrual 2,236 2,667 Vacation accrual 1,910 1,840 Other 9,102 8,952 Total deferred tax assets 144,089 120,602 Deferred tax liabilities: Goodwill and other intangible assets (145,024) (141,152) Property, plant and equipment (19,580) (16,130) Operating lease right-of-use assets (15,941) (12,327) Adoption of ASC 606 (revenue recognition) (2,677) (4,733) Other (1,628) (1,918) Total deferred tax liabilities (184,850) (176,260) Net deferred tax liability ($40,761) ($55,658) As of October 31, 2021 and 2020, the Company’s liability for gross unrecognized tax benefits related to uncertain tax positions was $4.1 million and $2.9 million, respectively, of which $3.2 million and $2.3 million, respectively, would decrease the Company’s income tax expense and effective income tax rate if the tax benefits were recognized. A reconciliation of the activity related to the liability for gross unrecognized tax benefits during fiscal 2021 and 2020 is as follows (in thousands): Year ended October 31, 2021 2020 Balances as of beginning of year $2,946 $2,670 Increases related to current year tax positions 710 489 Increases related to prior year tax positions 839 32 Decreases related to prior year tax positions — (18) Lapses of statutes of limitations (423) (227) Balances as of end of year $4,072 $2,946 |
FAIR VALUE MEASUREMENTS
FAIR VALUE MEASUREMENTS | 12 Months Ended |
Oct. 31, 2021 | |
Fair Value Disclosures [Abstract] | |
Fair Value Disclosures [Text Block] | FAIR VALUE MEASUREMENTS The Company's assets and liabilities that were measured at fair value on a recurring basis are set forth by level within the fair value hierarchy in the following tables (in thousands): As of October 31, 2021 Quoted Prices Significant Significant Unobservable Inputs Total Assets: Deferred compensation plan: Corporate-owned life insurance $— $245,580 $— $245,580 Money market funds 4 — — 4 Total assets $4 $245,580 $— $245,584 Liabilities: Contingent consideration $— $— $62,286 $62,286 As of October 31, 2020 Quoted Prices Significant Significant Unobservable Inputs Total Assets: Deferred compensation plan: Corporate-owned life insurance $— $180,128 $— $180,128 Money market funds 11 — — 11 Total assets $11 $180,128 $— $180,139 Liabilities: Contingent consideration $— $— $41,974 $41,974 The Company maintains the HEICO Corporation Leadership Compensation Plan (the "LCP"), which is a non-qualified deferred compensation plan. The assets of the LCP principally represent cash surrender values of life insurance policies, which derive their fair values from investments in mutual funds that are managed by an insurance company, and are classified within Level 2 and valued using a market approach. Certain other assets of the LCP represent investments in money market funds that are classified within Level 1. The assets of the LCP are held within an irrevocable trust and classified within other assets in the Company’s Consolidated Balance Sheets. As part of the agreement to acquire 89% of the equity interests of a subsidiary by the FSG in fiscal 2021, the Company may be obligated to pay contingent consideration of $8.9 million as early as in fiscal 2024 should the acquired entity meet a certain earnings objective during the three-year period following the acquisition. Additionally, the Company may be obligated to pay contingent consideration of up to $17.8 million as early as in fiscal 2026 should the acquired entity meet a certain earnings objective during the three-year period following the second anniversary of the acquisition. As of October 31, 2021, the estimated fair value of the contingent consideration was $18.3 million. As part of the agreement to acquire 89.99% of the equity interests of a subsidiary by the ETG in fiscal 2020, the Company may be obligated to pay contingent consideration of up to CAD $27.0 million, or $21.8 million, in fiscal 2025 should the acquired entity meet certain earnings objectives during fiscal 2023 and 2024. However, should the acquired entity achieve a certain earnings objective over any two consecutive fiscal years beginning in fiscal 2021 and ending in fiscal 2023, half of the contingent consideration obligation, or CAD $13.5 million, would be payable in the following year. As of October 31, 2021, the estimated fair value of the contingent consideration was CAD $14.9 million, or $12.0 million. As part of the agreement to acquire a subsidiary by the ETG in fiscal 2020, the Company may be obligated to pay contingent consideration of up to $35.0 million in fiscal 2025 based on the earnings of the acquired entity during calendar years 2023 and 2024 provided the entity meets certain earnings objectives during each of calendar years 2021 to 2024. As of October 31, 2021, the estimated fair value of the contingent consideration was $13.3 million. The obligation to pay any contingent consideration would be payable by a consolidated subsidiary of HEICO that is 75% owned by HEICO Electronic. As part of the agreement to acquire a subsidiary by the ETG in fiscal 2017, the Company may be obligated to pay contingent consideration of $20.0 million in fiscal 2023 should the acquired entity meet a certain earnings objective during the first six years following the acquisition. As of October 31, 2021, the estimated fair value of the contingent consideration was $18.6 million. The estimated fair value of the contingent consideration arrangements described above are classified within Level 3 and were determined using probability-based scenario analyses. Under this method, a set of discrete potential future subsidiary earnings was determined using internal estimates based on various revenue growth rate assumptions for each scenario. A probability of likelihood was assigned to each discrete potential future earnings estimate and the resultant contingent consideration was calculated. The resulting probability-weighted contingent consideration amounts were discounted using a weighted average discount rate reflecting the credit risk of HEICO. Changes in either the revenue growth rates, related earnings or the discount rate could result in a material change to the amount of contingent consideration accrued and such changes will be recorded in the Company's consolidated statements of operations. The following unobservable inputs were used to derive the estimated fair value of the Company's Level 3 contingent consideration liabilities as of October 31, 2021 ($ in thousands): Weighted Acquisition Date Fair Value Unobservable Input Range Average (1) 8-4-2021 $18,324 Compound annual revenue growth rate 0% - 9% 7% Discount rate 5.0% - 5.2% 5.1% 8-18-2020 11,995 Compound annual revenue growth rate 6% - 17% 11% Discount rate 4.3% - 5.0% 4.5% 8-11-2020 13,335 Compound annual revenue growth rate 2% - 16% 10% Discount rate 5.0% - 5.0% 5.0% 9-15-2017 18,632 Compound annual revenue growth rate (3%) - 7% 4% Discount rate 3.7% - 3.7% 3.7% (1) Unobservable inputs were weighted by the relative fair value of the contingent consideration liability. Changes in the Company’s contingent consideration liabilities measured at fair value on a recurring basis using unobservable inputs (Level 3) during fiscal 2021 and 2020 are as follows (in thousands): Liabilities Balance as of October 31, 2019 $18,326 Contingent consideration related to acquisitions 23,719 Increase in accrued contingent consideration, net 515 Payment of contingent consideration (500) Foreign currency transaction adjustments (86) Balance as of October 31, 2020 41,974 Contingent consideration related to acquisitions 18,334 Increase in accrued contingent consideration, net 1,246 Foreign currency transaction adjustments 732 Balance as of October 31, 2021 $62,286 The Company's contingent consideration liabilities as of October 31, 2021 are included in other long-term liabilities in its Consolidated Balance Sheet and the Company records changes in accrued contingent consideration and foreign currency transaction adjustments within SG&A expenses in its Consolidated Statements of Operations. |
LEASES
LEASES | 12 Months Ended |
Oct. 31, 2021 | |
Leases [Abstract] | |
Lessee, Operating Leases | LEASES HEICO’s lease ROU assets represent its right to use an underlying asset during the lease term and its lease liabilities represent the Company’s obligation to make lease payments arising from the lease. HEICO’s operating lease ROU assets are included within other assets other long-term liabilities accrued expenses and other current liabilities property, plant and equipment, net long-term debt, net of current maturities current maturities of long-term debt Operating Leases Finance Leases 2021 2020 2021 2020 Right-of-use assets $74,609 $57,103 $12,250 $10,512 Current lease liabilities $13,874 $14,180 $1,481 $1,034 Long-term lease liabilities 61,829 44,114 9,764 8,533 Total lease liabilities $75,703 $58,294 $11,245 $9,567 The Company’s operating lease expenses are recorded within cost of sales and/or SG&A expenses in the Company’s Consolidated Statements of Operations. The Company's finance lease expenses consist of amortization of ROU assets and interest on lease liabilities, which are included within cost of sales and/or SG&A expenses, and interest expense, respectively, in the Company's Consolidated Statements of Operations. Further, interest expense on finance leases is recognized using the effective interest method based on the discount rate determined at lease commencement. The following table presents the components of lease expense for fiscal 2021 and 2020 (in thousands): Year ended October 31, 2021 2020 Operating Leases: Operating lease expense $18,103 $17,317 Variable lease expense 3,165 3,225 Total operating lease expense (1) $21,268 $20,542 Finance Leases: Amortization on finance lease ROU assets $1,110 $874 Interest on finance lease liabilities 453 416 Variable lease expense 750 — Total finance lease expense $2,313 $1,290 (1) Excludes short-term lease expense, which is not material. The following table presents a maturity analysis of the Company's lease liabilities as of October 31, 2021 for the next five fiscal years and thereafter (in thousands): Operating Leases Finance Leases Year ending October 31, 2022 $16,853 $1,956 2023 12,729 1,629 2024 9,785 1,521 2025 8,662 1,458 2026 7,153 1,440 Thereafter 39,113 5,806 Total minimum lease payments 94,295 13,810 Less: imputed interest (18,592) (2,565) Present value of minimum lease payments $75,703 $11,245 The Company does not have any material leases that have been signed but have yet to commence as of October 31, 2021. The following table presents the weighted average remaining lease term and discount rate of the Company’s leases: Operating Leases Finance Leases 2021 2020 2021 2020 Weighted average remaining lease term (years) 9.1 7.0 9.2 10.8 Weighted average discount rate 4.7 % 5.1 % 4.6 % 4.5 % The following table presents supplemental disclosures of cash flow information associated with the Company's leases for fiscal 2021 and 2020 (in thousands): Operating Leases Finance Leases 2021 2020 2021 2020 Cash paid for amounts included in the measurement of lease liabilities Operating cash flows $17,999 $16,965 $453 $416 Financing cash flows — — 1,187 921 Right-of-use assets obtained in exchange for new lease liabilities, net of terminations 31,351 8,648 2,861 1,808 Prior to the adoption of ASC 842, total rent expense charged to operations for operating leases in fiscal 2019 amounted to $20.0 million. |
SHAREHOLDERS' EQUITY
SHAREHOLDERS' EQUITY | 12 Months Ended |
Oct. 31, 2021 | |
Stockholders' Equity Note [Abstract] | |
Stockholders' Equity Note Disclosure [Text Block] | SHAREHOLDERS’ EQUITY Common Stock and Class A Common Stock The Company has two classes of common stock that are virtually identical in all economic respects except voting rights. Each share of Common Stock is entitled to one vote per share. Each share of Class A Common Stock is entitled to a 1/10 vote per share. Holders of the Company’s common stock are entitled to receive dividends and other distributions payable in cash, property, stock or otherwise, when and if declared by the Board of Directors. In the event of liquidation, after payment of debts and other liabilities of the Company, the remaining assets of the Company will be distributable ratably among the holders of both classes of common stock. Share Repurchases In 1990, the Company's Board of Directors authorized a share repurchase program, which allows the Company to repurchase shares of Company common stock in the open market or in privately negotiated transactions at the Company's discretion, subject to certain restrictions included in the Company's revolving credit agreement. As of October 31, 2021, the maximum number of shares that may yet be purchased under this program was 4,886,353 of either or both of the Company's Class A Common Stock and the Company's Common Stock. The repurchase program does not have a fixed termination date. During fiscal 2021, 2020 and 2019, the Company did not repurchase any shares of Company common stock under this program. During fiscal 2021, the Company repurchased an aggregate 32,355 shares of Class A Common Stock at a total cost of $3.8 million. During fiscal 2020, the Company repurchased an aggregate 127,851 shares of Class A Common Stock at a total cost of $12.1 million. During fiscal 2019, the Company repurchased an aggregate 476,586 shares and 111,730 shares of Common Stock and Class A Common Stock, respectively, at a total cost of $53.1 million and $10.9 million, respectively. The shares repurchased represent shares tendered as payments to satisfy employee withholding taxes due upon exercises of stock option awards. The shares repurchased in fiscal 2021, 2020 and 2019 did not impact the number of shares authorized for future purchase under the Company’s share repurchase program and are reflected as redemptions of common stock related to stock option exercises in the Company's Consolidated Statements of Shareholders' Equity and Consolidated Statements of Cash Flows. Noncontrolling Interests Consistent with the Company’s past practice of increasing its ownership in certain non-wholly owned subsidiaries, on June 28, 2019, HEICO Aerospace paid dividends to HEICO and Lufthansa Technik AG (“LHT”) in proportion to their ownership interest in HEICO Aerospace of 80% and 20%, respectively (the “Transaction”). LHT received a cash dividend of $91.5 million that was funded principally using proceeds from the Company’s revolving credit facility. HEICO effectively received as its dividend the 20% noncontrolling interest held by LHT in eight of the Company’s existing subsidiaries within its HEICO Aerospace subsidiary that are principally part of the FSG’s repair and overhaul parts and services product line. HEICO did not record any gain or loss in connection with the Transaction. Immediately following the Transaction, HEICO transferred the eight businesses to HFSC, a wholly owned subsidiary of HEICO. LHT remains a 20% owner in HEICO Aerospace, a designer and manufacturer of jet engine and aircraft component replacement parts. |
SHARE-BASED COMPENSATION
SHARE-BASED COMPENSATION | 12 Months Ended |
Oct. 31, 2021 | |
Share-based Payment Arrangement [Abstract] | |
Share-based Payment Arrangement [Text Block] | SHARE-BASED COMPENSATION The Company currently has one stock option plan, the HEICO Corporation 2018 Incentive Compensation Plan ("2018 Plan"), which enables the Company to grant various forms of share-based compensation awards including stock options, restricted stock, restricted stock awards and stock appreciation rights. The 2018 Plan became effective in fiscal 2018 and replaced the Company's 2012 Incentive Compensation Plan (“2012 Plan”). Options outstanding under the Company's 2012 Plan, 2002 Stock Option Plan and Non-Qualified Stock Option Plan may be exercised pursuant to their terms. The total number of shares approved by the shareholders of the Company for the 2018 Plan is 5.0 million plus any options outstanding under the 2012 Plan as of the 2018 Plan's effective date that are subsequently forfeited or expire. A total of approximately 7.7 million shares of the Company's common stock are reserved for issuance to employees, directors, officers and consultants as of October 31, 2021, including 4.3 million shares currently under option and 3.4 million shares available for future grants. Stock options granted pursuant to the 2018 Plan may be designated as Common Stock and/or Class A Common Stock in such proportions as shall be determined by the Board of Directors or the Stock Option Plan Committee at its sole discretion. The exercise price per share of a stock option granted under the 2018 Plan may not be less than the fair market value of the designated class of Company common stock as of the date of grant and stock option grants vest ratably over a period specified as of the date of grant (generally five years) and expire ten years after the date of grant. Options issued under the 2018 Plan may be designated as incentive stock options or non-qualified stock options, but only employees are eligible to receive incentive stock options and no incentive stock options were outstanding as of October 31, 2021. The 2018 Plan will terminate no later than the tenth anniversary of its effective date. Information concerning share-based activity for each of the last three fiscal years ended October 31 is as follows (in thousands, except per share data): Shares Under Option Shares Available For Grant Shares Weighted Average Exercise Price Outstanding as of October 31, 2018 4,612 6,400 $23.19 Granted (538) 538 $73.30 Exercised — (2,235) $12.98 Cancelled 11 (11) $49.79 Outstanding as of October 31, 2019 4,085 4,692 $33.73 Granted (29) 29 $97.00 Exercised — (720) $19.32 Cancelled 8 (8) $55.61 Outstanding as of October 31, 2020 4,064 3,993 $36.75 Granted (699) 699 $125.57 Exercised — (342) $21.88 Cancelled 9 (9) $64.78 Outstanding as of October 31, 2021 3,374 4,341 $52.16 Information concerning stock options outstanding (all of which are vested or expected to vest) and stock options exercisable by class of common stock as of October 31, 2021 is as follows (in thousands, except per share and contractual life data): Options Outstanding Number Outstanding Weighted Average Exercise Price Weighted Average Remaining Contractual Life (Years) Aggregate Common Stock 1,906 $49.68 4.8 $171,023 Class A Common Stock 2,435 $54.09 5.7 174,312 4,341 $52.16 5.3 $345,335 Options Exercisable Number Exercisable Weighted Average Exercise Price Weighted Average Remaining Contractual Life (Years) Aggregate Common Stock 1,413 $31.36 3.6 $152,681 Class A Common Stock 1,499 $32.61 4.2 139,518 2,912 $32.00 3.9 $292,199 Information concerning stock options exercised is as follows (in thousands): Year ended October 31, 2021 2020 2019 Cash proceeds from stock option exercises $5,344 $6,955 $8,547 Tax benefit realized from stock option exercises 14,186 48,326 16,490 Intrinsic value of stock option exercises 33,428 53,384 204,901 Net income from consolidated operations for the fiscal years ended October 31, 2021, 2020 and 2019 includes compensation expense of $9.1 million, $10.1 million and $10.3 million, respectively, and an income tax benefit of $1.5 million, $1.9 million and $2.0 million, respectively, related to the Company’s stock options. Substantially all of the stock option compensation expense was recorded as a component of SG&A expenses in the Company’s Consolidated Statements of Operations. As of October 31, 2021, there was $40.1 million of pre-tax unrecognized compensation expense related to nonvested stock options, which is expected to be recognized over a weighted average period of approximately 4.1 years. The total fair value of stock options that vested in fiscal 2021, 2020 and 2019 was $9.4 million, $10.5 million and $8.9 million, respectively. If there were a change in control of the Company, all of the unvested options outstanding as of October 31, 2021 would become immediately exercisable. The fair value of each stock option grant in fiscal 2021, 2020 and 2019 was estimated on the date of grant using the Black-Scholes option-pricing model based on the following weighted average assumptions: Year ended October 31, 2021 2020 2019 Common Stock Class A Common Stock Class A Common Stock Common Stock Class A Common Stock Expected stock price volatility 30.17 % 32.65 % 24.94 % 28.52 % 24.81 % Risk-free interest rate 1.40 % 1.09 % 1.72 % 2.52 % 2.69 % Dividend yield .17 % .19 % .21 % .22 % .22 % Forfeiture rate .00 % .00 % .00 % .00 % .00 % Expected option life (years) 9 6 6 8 6 Weighted average fair value $51.16 $39.00 $26.86 $33.88 $19.64 |
EMPLOYEE RETIREMENT PLANS
EMPLOYEE RETIREMENT PLANS | 12 Months Ended |
Oct. 31, 2021 | |
Retirement Benefits [Abstract] | |
Pension and Other Postretirement Benefits Disclosure [Text Block] | EMPLOYEE RETIREMENT PLANS The HEICO Savings and Investment Plan (the “401(k) Plan”) is a qualified defined contribution retirement plan under which eligible employees of the Company and its participating subsidiaries may make Elective Deferral Contributions up to the limitations set forth in Section 402(g) of the Internal Revenue Code. The Company generally makes a 50% Employer Matching Contribution, as determined by the Board of Directors, based on a participant’s Elective Deferral Contribution up to 6% of the participant’s Compensation for the Elective Deferral Contribution period. The 401(k) Plan also provides that the Company may make additional Employer Contributions. Employer Contributions may be contributed in the form of the Company’s common stock or cash, as determined by the Company. Employer Contributions awarded in the form of Company common stock are valued based on the fair value of the underlying shares as of the effective date of contribution. Employer Contributions may be diversified by a participant into any of the participant-directed investment options of the 401(k) Plan; however, Employee Contributions may not be invested in Company common stock. Unless specified otherwise, all capitalized terms herein are defined in the 401(k) Plan document. Participants receive 100% vesting in Employee Contributions and on cash dividends received on Company common stock. Vesting in Employer Contributions is based on a participant’s number of Years of Service. Employer Contributions to the 401(k) Plan charged to income in fiscal 2021, 2020 and 2019 totaled $10.1 million, $9.6 million and $9.5 million, respectively, and were made through the issuance of new shares of Company common stock and the use of forfeited shares within the 401(k) Plan. Information concerning share-based activity pertaining to the 401(k) Plan for each of the last three fiscal years ended October 31 is as follows (in thousands): Common Stock Class A Common Stock Shares available for issuance as of October 31, 2018 333 333 Issuance of common stock to the 401(k) Plan (53) (53) Shares available for issuance as of October 31, 2019 280 280 Issuance of common stock to the 401(k) Plan (52) (52) Shares available for issuance as of October 31, 2020 228 228 Issuance of common stock to the 401(k) Plan (40) (40) Shares available for issuance as of October 31, 2021 188 188 |
REDEEMABLE NONCONTROLLING INTER
REDEEMABLE NONCONTROLLING INTERESTS | 12 Months Ended |
Oct. 31, 2021 | |
Temporary Equity Disclosure [Abstract] | |
Temporary Equity Redeemable Noncontrolling Interests [Text Block] | REDEEMABLE NONCONTROLLING INTERESTS The holders of equity interests in certain of the Company’s subsidiaries have rights (“Put Rights”) that may be exercised on varying dates causing the Company to purchase their equity interests through fiscal 2032. The Put Rights, all of which relate either to common shares or membership interests in limited liability companies, provide that the cash consideration to be paid for their equity interests (the “Redemption Amount”) be at fair value or at a formula that management intended to reasonably approximate fair value based solely on a multiple of future earnings over a measurement period. The Redemption Amounts were determined using probability-adjusted internal estimates of future subsidiary earnings while considering the earliest exercise date, the measurement period and any applicable fair value adjustments. Management's estimate of the aggregate Redemption Amount of all Put Rights that the Company could be required to pay is as follows (in thousands): As of October 31, 2021 2020 Redeemable at fair value $217,416 $179,415 Redeemable based on a multiple of future earnings 35,171 41,793 Redeemable noncontrolling interests $252,587 $221,208 A summary of the Put Rights associated with the redeemable noncontrolling interests in certain of the Company’s subsidiaries as of October 31, 2021 is as follows: Subsidiary Operating Company Earliest Purchase 2005 ETG 95.9% 2022 (1) 4 (2) 2006 FSG 80.1% 2022 (1) 4 2008 FSG 90.0% 2024 4 2009 ETG 82.5% 2022 (1) 1 2012 FSG 84.0% 2022 (1) 4 2012 FSG 80.1% 2022 (1) 4 2015 FSG 85.0% 2022 (1) 3 (3) 2015 FSG 80.1% 2022 (1) 4 2015 FSG 80.1% 2022 4 2015 ETG 80.1% 2022 (1) 2 2017 FSG 80.1% 2022 2 (4) 2018 ETG 85.0% 2022 (1) 1 2019 ETG 92.7% 2023 4 2019 ETG 85.0% 2024 4 2019 FSG 80.1% 2026 4 2019 ETG 75.0% 2024 4 (5) 2020 ETG 80.1% 2025 4 2020 FSG 70.0% 2027 4 2020 ETG 75.0% 2024 4 (5) 2020 ETG 90.0% 2025 4 2021 FSG 80.1% 2026 4 2021 FSG 89.0% 2028 4 2021 ETG 80.1% 2024 3 (6) (1) Currently puttable. (2) A portion is to be purchased in a lump sum. (3) The Put Right for the remaining 15% noncontrolling interest may be exercised in 5% increments annually and the first increment is currently puttable. (4) Half of the 19.9% noncontrolling interest will be purchased in the year the Put Right is exercised and the other half will be purchased two years later. (5) The exercise of the Put Right for either entity will automatically trigger a Put Right exercise for the other entity. (6) The Put Rights for 9.55% and 3.98% noncontrolling interests may be exercised no earlier than fiscal 2024 with the purchase over a three-year period. The Put Right for 6.37% noncontrolling interest may be exercised no earlier than fiscal 2028 with the purchase over a four-year period. The estimated aggregate Redemption Amount of the Put Rights that are currently puttable or becoming puttable during fiscal 2022 is approximately $113.0 million, of which approximately $68.0 million would be payable in fiscal 2022 should all of the eligible associated noncontrolling interest holders elect to exercise their Put Rights during fiscal 2022. Additionally, the Company has call rights to purchase the equity interests of the noncontrolling holders over the same purchase period as the Put Rights. During fiscal 2020, the holder of a 17.7% noncontrolling equity interest in a subsidiary of the FSG that was acquired in fiscal 2008 exercised their option to cause the Company to purchase a portion of their noncontrolling interest over a two-year period ending in fiscal 2021. In June 2020, the Company acquired half of such interest, which increased the Company's ownership in the subsidiary to 86.2%. In May 2021, the Company acquired the second half of such interest, which increased the Company's ownership interest in the subsidiary to 90%. During fiscal 2020, the holder of a 20% noncontrolling equity interest in a subsidiary of the FSG that was acquired in fiscal 2015 exercised their option to cause the Company to purchase one-fourth of their interest. The Company acquired the 5% noncontrolling interest in May 2020, which increased its ownership interest in the subsidiary to approximately 85%. In May 2020, the Company obtained control of the 22% noncontrolling equity interest in a subsidiary of the ETG that was acquired in fiscal 2012, which increased the Company's ownership interest in the subsidiary to 100%. The $2.3 million and $7.5 million aggregate Redemption Amounts for the redeemable noncontrolling interests acquired in fiscal 2021 and 2020, respectively, were paid using cash provided by operating activities. |
NET INCOME PER SHARE ATTRIBUTAB
NET INCOME PER SHARE ATTRIBUTABLE TO HEICO SHAREHOLDERS | 12 Months Ended |
Oct. 31, 2021 | |
Earnings Per Share [Abstract] | |
Earnings Per Share [Text Block] | NET INCOME PER SHARE ATTRIBUTABLE TO HEICO SHAREHOLDERS The computation of basic and diluted net income per share attributable to HEICO shareholders is as follows (in thousands, except per share data): Year ended October 31, 2021 2020 2019 Numerator: Net income attributable to HEICO $304,220 $313,984 $327,896 Denominator: Weighted average common shares outstanding - basic 135,326 134,754 133,640 Effect of dilutive stock options 2,528 2,548 3,710 Weighted average common shares outstanding - diluted 137,854 137,302 137,350 Net income per share attributable to HEICO shareholders: Basic $2.25 $2.33 $2.45 Diluted $2.21 $2.29 $2.39 Anti-dilutive stock options excluded 185 258 330 |
OPERATING SEGMENTS
OPERATING SEGMENTS | 12 Months Ended |
Oct. 31, 2021 | |
Segment Reporting [Abstract] | |
Segment Reporting Disclosure [Text Block] | OPERATING SEGMENTS The Company has two operating segments: the Flight Support Group (“FSG”), consisting of HEICO Aerospace and HFSC and their collective subsidiaries; and the Electronic Technologies Group (“ETG”), consisting of HEICO Electronic and its subsidiaries. The Company's operating segment reporting structure is consistent with how management reviews the business, makes investing and resource decisions and assesses operating performance. Additionally, characteristics such as similarity of products, customers, economic characteristics and various other factors are considered when identifying the Company's operating segments. The FSG designs and manufactures jet engine and aircraft component replacement parts, which are approved by the FAA. In addition, the FSG repairs, overhauls and distributes jet engine and aircraft components, avionics and instruments for domestic and foreign commercial air carriers and aircraft repair companies as well as military and business aircraft operators. The FSG also manufactures and sells specialty parts as a subcontractor for aerospace and industrial original equipment manufacturers and the U.S government. Additionally, the FSG is a leading supplier, distributor, and integrator of military aircraft parts and support services primarily to foreign military organizations allied with the U.S. and a leading manufacturer of advanced niche components and complex composite assemblies for commercial aviation, defense and space applications. Further, the FSG engineers, designs and manufactures thermal insulation blankets and parts as well as removable/reusable insulation systems for aerospace, defense, commercial and industrial applications; manufactures expanded foil mesh for lightning strike protection in fixed and rotary wing aircraft; distributes aviation electrical interconnect products and electromechanical parts; overhauls industrial pumps, motors, and other hydraulic units with a focus on the support of legacy systems for the U.S. Navy; and performs tight-tolerance machining, brazing, fabricating and welding services for aerospace, defense and other industrial applications. The ETG collectively designs, manufactures and sells various types of electronic, data and microwave, and electro-optical products, including infrared simulation and test equipment, laser rangefinder receivers, electrical power supplies, back-up power supplies, power conversion products, underwater locator beacons, emergency locator transmission beacons, flight deck annunciators, panels and indicators, electromagnetic and radio frequency interference shielding and filters, high power capacitor charging power supplies, amplifiers, traveling wave tube amplifiers, photodetectors, amplifier modules, microwave power modules, flash lamp drivers, laser diode drivers, arc lamp power supplies, custom power supply designs, cable assemblies, high voltage power supplies, high voltage interconnection devices and wire, high voltage energy generators, high frequency power delivery systems; memory products, including three-dimensional microelectronic and stacked memory, static random-access memory (SRAM) and electronically erasable programmable read-only memory (EEPROM); harsh environment electronic connectors and other interconnect products, RF and microwave amplifiers, transmitters, and receivers and integrated assemblies, sub-assemblies and components; RF sources, detectors and controllers, wireless cabin control systems, solid state power distribution and management systems, crashworthy and ballistically self-sealing auxiliary fuel systems, nuclear radiation detectors, communications and electronic intercept receivers and tuners, fuel level sensing systems, high-speed interface products that link devices, high performance active antenna systems for commercial aircraft, precision guided munitions, other defense applications and commercial uses; silicone material for a variety of demanding applications; precision power analog monolithic, hybrid and open frame components; high-reliability ceramic-to-metal feedthroughs and connectors, technical surveillance countermeasures (TSCM) equipment to detect devices used for espionage and information theft; and rugged small-form factor embedded computing solutions. The Company’s reportable operating segments offer distinctive products and services that are marketed through different channels. They are managed separately because of their unique technology and service requirements. Segment Profit or Loss The accounting policies of the Company’s operating segments are the same as those described in Note 1, Summary of Significant Accounting Policies. Management evaluates segment performance based on segment operating income. Information on the Company’s two operating segments, the FSG and the ETG, for each of the last three fiscal years ended October 31 is as follows (in thousands): Segment Other, Primarily Corporate and Intersegment (1) Consolidated Totals FSG ETG Year ended October 31, 2021: Net sales $927,089 $959,170 ($20,577) $1,865,682 Depreciation 13,992 12,839 973 27,804 Amortization 20,648 43,431 1,136 65,215 Operating income 151,930 277,306 (36,336) 392,900 Capital expenditures 8,915 26,496 772 36,183 Year ended October 31, 2020: Net sales $924,812 $874,987 ($12,790) $1,787,009 Depreciation 14,339 11,722 1,006 27,067 Amortization 19,957 40,553 984 61,494 Operating income 143,051 258,814 (25,217) 376,648 Capital expenditures 10,843 12,025 72 22,940 Year ended October 31, 2019: Net sales $1,240,183 $834,522 ($19,058) $2,055,647 Depreciation 13,793 10,957 1,008 25,758 Amortization 19,624 37,131 984 57,739 Operating income 242,029 245,743 (30,675) 457,097 Capital expenditures 17,036 11,826 76 28,938 (1) Intersegment activity principally consists of net sales from the ETG to the FSG. Total assets by operating segment are as follows (in thousands): Other, Consolidated Segment As of October 31, FSG ETG 2021 $1,274,462 $1,952,413 $271,532 3,498,407 2020 1,127,666 1,896,671 523,374 3,547,711 Major Customer and Geographic Information The Company markets its products and services in approximately 115 countries. The following table summarizes the Company’s net sales to customers located in the United States and to those in other countries for each of the last three fiscal years ended October 31 (in thousands). Net sales are attributed to countries based on the location of the customer. Net sales to any one customer or originating from any one foreign country did not account for 10% or more of the Company’s consolidated net sales during any of the last three fiscal years. The following table also summarizes the Company’s long-lived assets held within and outside of the United States as of October 31 for each of the last three fiscal years (in thousands). Long-lived assets consist of net property, plant and equipment. 2021 2020 2019 Net sales: United States of America $1,194,869 $1,193,497 $1,308,943 Other countries 670,813 593,512 746,704 Total net sales $1,865,682 $1,787,009 $2,055,647 Long-lived assets: United States of America $155,537 $139,197 $143,350 Other countries 38,101 29,651 29,995 Total long-lived assets $193,638 $168,848 $173,345 |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 12 Months Ended |
Oct. 31, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies Disclosure [Text Block] | COMMITMENTS AND CONTINGENCIES Guarantees As of October 31, 2021, the Company has arranged for standby letters of credit aggregating $16.2 million, which are supported by its revolving credit facility and principally pertain to performance guarantees related to customer contracts entered into by certain of the Company's subsidiaries as well as payment guarantees related to potential workers' compensation claims and a facility lease. Product Warranty Changes in the Company’s product warranty liability in fiscal 2021 and 2020 are as follows (in thousands): Year ended October 31, 2021 2020 Balances as of beginning of year $3,015 $2,810 Accruals for warranties 1,979 1,749 Acquired warranty liabilities 62 150 Warranty claims settled (1,677) (1,694) Balances as of end of year $3,379 $3,015 Litigation On April 20, 2021, an indirect subsidiary of HFSC, which was acquired in June 2020, received a grand jury subpoena from the United States District Court for the Southern District of California requiring the production of documents for the time period December 1, 2017 through February 4, 2019 related to the subsidiary's employment of a certain individual and its performance of work on certain Navy vessels during that time period. The Company is cooperating with the investigation. The Company has completed its production of documents responsive to the subpoena, although the Company has a continuing obligation to produce such documents should any be located. At this early stage in the investigation, the Company cannot predict the outcome of the investigation or when the investigation will ultimately be resolved; nor can the Company reasonably estimate the possible range of loss or impact to its business, if any, that may result from this matter. With the exception of the matter noted above, the Company is involved in various legal actions arising in the normal course of business. Based upon the Company’s and its legal counsel’s evaluations of any claims or assessments, management is of the opinion that the outcome of these matters will not have a material adverse effect on the Company’s results of operations, financial position or cash flows. |
VALUATION AND QUALIFYING ACCOUN
VALUATION AND QUALIFYING ACCOUNTS | 12 Months Ended |
Oct. 31, 2021 | |
SEC Schedule, 12-09, Valuation and Qualifying Accounts [Abstract] | |
SEC Schedule, 12-09, Schedule of Valuation and Qualifying Accounts Disclosure [Text Block] | SCHEDULE II – VALUATION AND QUALIFYING ACCOUNTS Year ended October 31, 2021 2020 2019 Allowance for doubtful accounts (in thousands): Allowance as of beginning of year $12,738 $3,666 $3,258 (Deductions) additions charged to costs and expenses (a) (1,720) 9,834 638 Additions charged (credited) to other accounts (b) 360 128 10 Deductions (c) (504) (890) (240) Allowance as of end of year $10,874 $12,738 $3,666 (a) Additions charged to costs and expenses were higher in fiscal 2020 as compared to fiscal 2021 and fiscal 2019 principally due to potential collection difficulties from certain commercial aviation customers that filed for bankruptcy protection in fiscal 2020 as a result of the financial impact from the COVID-19 global pandemic (the "Pandemic"). (b) Principally additions from acquisitions and foreign currency translation adjustments. (c) Principally write-offs of uncollectible accounts receivables. Year ended October 31, 2021 2020 2019 Inventory valuation reserves (in thousands): Reserves as of beginning of year $126,933 $103,821 $95,391 Additions charged to costs and expenses (a) 17,202 27,030 10,148 Additions (deductions) charged to other accounts (b) 1,261 (63) 1,885 Deductions (c) (2,803) (3,855) (3,603) Reserves as of end of year $142,593 $126,933 $103,821 (a) Additions charged to costs and expenses were higher in fiscal 2020 as compared to fiscal 2021 and fiscal 2019 principally due to the significant decline in global commercial air travel due to the ongoing Pandemic resulting in lower demand for the Company's commercial aviation products and services and certain specific obsolescence reserves following the announced retirement of certain aircraft types and engine platforms by major U.S. carriers. (b) Principally additions from acquisitions and foreign currency translation adjustments. |
SUMMARY OF SIGNIFICANT ACCOUN_2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Oct. 31, 2021 | |
Accounting Policies [Abstract] | |
Nature Of Business, Policy [Policy Text Block] | Nature of Business HEICO Corporation, through its principal subsidiaries consisting of HEICO Aerospace Holdings Corp. (“HEICO Aerospace”), HEICO Flight Support Corp. ("HFSC") and HEICO Electronic Technologies Corp. (“HEICO Electronic”) and their respective subsidiaries (collectively, the “Company”), is principally engaged in the design, manufacture and sale of aerospace, defense and electronic related products and services throughout the United States ("U.S.") and internationally. The Company’s customer base is primarily the aviation, defense, space, medical, telecommunications and electronics industries. |
Basis Of Presentation, Policy [Policy Text Block] | Basis of Presentation The Company has two operating segments: the Flight Support Group (“FSG”), consisting of HEICO Aerospace and HFSC and their respective subsidiaries; and the Electronic Technologies Group (“ETG”), consisting of HEICO Electronic and its subsidiaries. The consolidated financial statements include the financial accounts of HEICO Corporation and its direct subsidiaries, all of which are wholly owned except for HEICO Aerospace, which is 20% owned by Lufthansa Technik AG ("LHT"), the technical services subsidiary of Lufthansa German Airlines. HFSC consolidates five subsidiaries which are 70%, 84%, 85%, 89% and 90%, owned, respectively, and seven subsidiaries that are each 80.1% owned. In addition, HEICO Aerospace consolidates a joint venture, which is 84% owned. HEICO Electronic consolidates four subsidiaries that are each 80.1% owned, two subsidiaries that are each 75% owned, and five subsidiaries which are 82.5%, 85%, 90%, 92.7% and 95.9% owned, respectively. Certain subsidiaries of HEICO Electronic consolidate subsidiaries that are less than wholly owned. See Note 13, Redeemable Noncontrolling Interests. All intercompany balances and transactions are eliminated. |
Use of Estimates and Assumptions, Policy [Policy Text Block] | Use of Estimates and Assumptions The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. |
Cash and Cash Equivalents, Policy [Policy Text Block] | Cash and Cash Equivalents For purposes of the consolidated financial statements, the Company considers all highly liquid investments such as U.S. Treasury bills and money market funds with an original maturity of three months or less at the time of purchase to be cash equivalents. |
Accounts Receivable, Policy [Policy Text Block] | Accounts Receivable Accounts receivable consist of amounts billed and currently due from customers. The valuation of accounts receivable requires that the Company set up an allowance for estimated uncollectible accounts and record a corresponding charge to bad debt expense. The Company estimates uncollectible receivables based on such factors as its prior experience, its appraisal of a customer’s ability to pay, age of receivables outstanding and economic conditions within and outside of the aviation, defense, space, medical, telecommunications and electronics industries. |
Revenue from Contract with Customer [Policy Text Block] | Contract Assets Contract assets (unbilled receivables) represent revenue recognized on contracts using an over-time recognition model in excess of amounts invoiced to the customer. See Note 6, Revenue, for additional information regarding the Company's contract assets. |
Concentrations Of Credit Risk, Policy [Policy Text Block] | Concentrations of Credit Risk Financial instruments that potentially subject the Company to concentrations of credit risk consist principally of temporary cash investments and trade accounts receivable. The Company places its temporary cash investments with high credit quality financial institutions and limits the amount of credit exposure to any one financial institution. Concentrations of credit risk with respect to trade receivables are limited due to the large number of customers comprising the Company’s customer base and their dispersion across many different geographical regions. The Company performs ongoing credit evaluations of its customers, but does not generally require collateral to support customer receivables. |
Inventory, Policy [Policy Text Block] | Inventory Inventory is stated at the lower of cost or net realizable value, with cost being determined on the first-in, first-out or the average cost basis. Losses, if any, are recognized fully in the period when identified. The Company periodically evaluates the carrying value of inventory, giving consideration to factors such as its physical condition, sales patterns and expected future demand in order to estimate the amount necessary to write down any slow moving, obsolete or damaged inventory. These estimates could vary significantly from actual amounts based upon future economic conditions, customer inventory levels or competitive factors that were not foreseen or did not exist when the estimated write-downs were made. In accordance with industry practice, all inventories are classified as a current asset including portions with long production cycles, some of which may not be realized within one year. |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Policy [Policy Text Block] | Property, Plant and Equipment Property, plant and equipment is recorded at cost. Depreciation and amortization is generally provided on the straight-line method over the estimated useful lives of the various assets. The Company’s property, plant and equipment is generally depreciated over the following estimated useful lives: Buildings and improvements 10 to 40 years Machinery and equipment 3 to 10 years Leasehold improvements 2 to 20 years Tooling 2 to 5 years The costs of major additions and improvements are capitalized. Leasehold improvements are amortized over the shorter of the leasehold improvement’s useful life or the lease term. Repairs and maintenance costs are expensed as incurred. Upon an asset's disposition, its cost and related accumulated depreciation are removed from the financial accounts and any resulting gain or loss is reflected within earnings. |
Business Combinations, Policy [Policy Text Block] | Business Combinations The Company allocates the purchase price of acquired entities to the underlying tangible and identifiable intangible assets acquired and liabilities and any noncontrolling interests assumed based on their estimated fair values, with any excess recorded as goodwill. The operating results of acquired businesses are included in the Company’s results of operations beginning as of their effective acquisition dates. Acquisition costs were not material in fiscal 2021, 2020 and 2019. |
Goodwill and Other Intangible Assets, Policy [Policy Text Block] | Goodwill and Other Intangible Assets The Company tests goodwill for impairment annually as of October 31, or more frequently if events or changes in circumstances indicate that the carrying amount of goodwill may not be fully recoverable. In evaluating the recoverability of goodwill, the Company compares the fair value of each of its reporting units to its carrying value to determine potential impairment. During fiscal 2021, the Company adopted ASU 2017-04, “Simplifying the Test for Goodwill Impairment." Pursuant to ASU 2017-04, an impairment loss is recognized in the amount by which the carrying value of a reporting unit’s goodwill exceeds its fair value. Prior to the adoption of ASU 2017-04, an impairment loss was recognized in the amount by which the carrying value of a reporting unit's goodwill exceeded its implied fair value. The fair values of the Company's reporting units are determined by using a weighted average of a market approach and an income approach. Under the market approach, fair values are estimated using published market multiples for comparable companies. The Company calculates fair values under the income approach by taking estimated future cash flows that are based on internal projections and other assumptions deemed reasonable by management and discounting them using an estimated weighted average cost of capital. The Company’s intangible assets not subject to amortization consist principally of its trade names. The Company’s intangible assets subject to amortization are amortized on the straight-line method (except for certain customer relationships amortized on an accelerated method) over the following estimated useful lives: Customer relationships 4 to 15 years Intellectual property 4 to 22 years Licenses 10 to 11 years Patents 5 to 20 years Trade names 8 to 15 years Amortization expense of intellectual property, licenses and patents is recorded as a component of cost of sales, and amortization expense of customer relationships, non-compete agreements and trade names is recorded as a component of selling, general and administrative ("SG&A") expenses in the Company’s Consolidated Statements of Operations. The Company tests each non-amortizing intangible asset for impairment annually as of October 31, or more frequently if events or changes in circumstances indicate that the asset might be impaired. To derive the fair value of its trade names, the Company utilizes an income approach, which relies upon management's assumptions of royalty rates, projected revenues and discount rates. The Company also tests each amortizing intangible asset for impairment if events or circumstances indicate that the asset might be impaired. The test consists of determining whether the carrying value of such assets will be recovered through undiscounted expected future cash flows. If the total of the undiscounted future cash flows is less than the carrying amount of those assets, the Company recognizes an impairment loss based on the excess of the carrying amount over the fair value of the assets. The determination of fair value requires management to make a number of estimates, assumptions and judgments of such factors as projected revenues and earnings and discount rates. |
Customer Rebates and Credits, Policy [Policy Text Block] | Customer Rebates and Credits The Company records accrued customer rebates and credits as a component of accrued expenses and other current liabilities in its Consolidated Balance Sheets. These amounts generally relate to discounts negotiated with customers as part of certain sales contracts that are usually tied to sales volume thresholds. The Company accrues customer rebates and credits as a reduction within net sales as the revenue is recognized based on the estimated level of discount rate expected to be earned by each customer over the life of the contractual rebate period (generally one year). Accrued customer rebates and credits are monitored by management and discount levels are updated at least quarterly. |
Product Warranties, Policy [Policy Text Block] | Product Warranties Product warranty liabilities are estimated at the time of shipment and recorded as a component of accrued expenses and other current liabilities in the Company’s Consolidated Balance Sheets. The amount recognized is based on historical claims experience. |
Defined Benefit Pension Plan, Policy [Policy Text Block] | Defined Benefit Pension Plan In connection with a prior year acquisition, the Company assumed a frozen qualified defined benefit pension plan (the "Plan"). The Plan's benefits are based on employee compensation and years of service; however, the accrued benefit for Plan participants was fixed as of the date of acquisition. The Company uses an actuarial valuation to determine the projected benefit obligation of the Plan and records the difference between the fair value of the Plan's assets and the projected benefit obligation as of October 31 in other long-term liabilities in its Consolidated Balance Sheets. Additionally, any actuarial gain or loss that arises during a fiscal year that is not recognized as a component of net periodic pension income or expense is recorded as a component of other comprehensive income or (loss), net of tax. The following table presents the fair value of the Plan's assets and projected benefit obligation as of October 31, for each of the last two fiscal years (in thousands): As of October 31, 2021 2020 Fair value of plan assets $13,116 $11,581 Projected benefit obligation 13,979 14,519 Funded status ($863) ($2,938) |
Revenue [Policy Text Block] | Revenue Recognition The Company recognizes revenue when it transfers control of a promised good or service to a customer in an amount that reflects the consideration it expects to receive in exchange for the good or service. The Company’s performance obligations are satisfied and control is transferred either at a point-in-time or over-time. The majority of the Company’s revenue is recognized at a point-in-time when control is transferred, which is generally evidenced by the shipment or delivery of the product to the customer, a transfer of title, a transfer of the significant risks and rewards of ownership, and customer acceptance. For certain contracts under which the Company produces products with no alternative use and for which it has an enforceable right to recover costs incurred plus a reasonable profit margin for work completed to date and for certain other contracts under which the Company creates or enhances a customer-owned asset while performing repair and overhaul services, control is transferred to the customer over-time. The Company recognizes revenue using an over-time recognition model for these types of contracts. The Company accounts for a contract with a customer when it has approval and commitment from both parties, the rights of the parties are identified, the payment terms are identified, the contract has commercial substance, and it is probable that the Company will collect the consideration to which it is entitled to receive. Customer payment terms related to the sale of products and the rendering of services vary by Company subsidiary and product line. The time between receipt of payment and recognition of revenue for satisfaction of the related performance obligation is not significant. A performance obligation is a promise within a contract to transfer a distinct good or service to the customer in exchange for payment and is the unit of account for recognizing revenue. A contract’s transaction price is allocated to each distinct performance obligation and recognized as revenue when or as the performance obligation is satisfied. The majority of the Company’s contracts have a single performance obligation to transfer goods or services. For contracts with more than one performance obligation, the Company allocates the transaction price to each performance obligation based on its estimated standalone selling price. When standalone selling prices are not available, the transaction price is allocated using an expected cost plus margin approach as pricing for such contracts is typically negotiated on the basis of cost. The Company accounts for contract modifications prospectively when the remaining goods or services are distinct and on a cumulative catch-up basis when the remaining goods or services are not distinct. The Company provides assurance type warranties on many of its products and services. Since customers cannot purchase such warranties independently of the products or services under contract and they are not priced separately, warranties are not separate performance obligations. The Company utilizes the cost-to-cost method as a measure of progress for performance obligations that are satisfied over-time as it believes this input method best represents the transfer of control to the customer. Under this method, revenue for the current period is recorded at an amount equal to the ratio of costs incurred to date divided by total estimated contract costs multiplied by (i) the transaction price, less (ii) cumulative revenue recognized in prior periods. Contract costs include all direct material and labor costs and those indirect costs related to contract performance, such as indirect labor, supplies, tools, repairs and depreciation. Under the cost-to-cost method, the extent of progress toward completion is measured based on the proportion of costs incurred to date to the total estimated costs at completion of the performance obligation. These projections require the Company to make numerous assumptions and estimates relating to items such as the complexity of design and related development costs, performance of subcontractors, availability and cost of materials, labor productivity and cost, overhead, capital costs, and manufacturing efficiency. The Company reviews its cost estimates on a periodic basis, or when circumstances change and warrant a modification to a previous estimate. Cost estimates are largely based on negotiated or estimated purchase contract terms, historical performance trends and other economic projections. For certain contracts with similar characteristics and for which revenue is recognized using an over-time model, the Company uses a portfolio approach to estimate the amount of revenue to recognize. For each portfolio of contracts, the respective work in process and/or finished goods inventory balances are identified and the portfolio-specific margin is applied to estimate the pro rata portion of the transaction price to recognize in relation to the costs incurred. This approach is utilized only when the resulting revenue recognition is not expected to be materially different than if the accounting was applied to the individual contracts. Certain of the Company’s contracts give rise to variable consideration when they contain items such as customer rebates, credits, volume purchase discounts, penalties and other provisions that may impact the total consideration the Company will receive. The Company includes variable consideration in the transaction price generally by applying the most likely amount method of the consideration that it expects to be entitled to receive based on an assessment of all available information (i.e., historical experience, current and forecasted performance) and only to the extent it is probable that a significant reversal of revenue recognized will not occur when the uncertainty is resolved. The Company estimates variable consideration by applying the most likely amount method when there are a limited number of outcomes related to the resolution of the variable consideration. See Note 6, Revenue, for additional information regarding the Company’s revenue recognition policy. Changes in estimates that result in adjustments to net sales and cost of sales are recognized as necessary in the period they become known on a cumulative catch-up basis. Changes in estimates did not have a material effect on net income from consolidated operations in fiscal 2021, 2020 and 2019. |
Stock-Based Compensation, Policy [Policy Text Block] | Stock-Based Compensation The Company records compensation expense associated with stock options in its Consolidated Statements of Operations based on the grant date fair value of those awards. The fair value of each stock option on the date of grant is estimated using the Black-Scholes pricing model based on certain valuation assumptions. Expected stock price volatility is based on the Company’s historical stock prices over the expected life of the option grant and other factors. The risk-free interest rate used is based on the published U.S. Treasury yield curve in effect at the time of the option grant for instruments with a similar life. The dividend yield reflects the Company’s expected dividend yield at the date of grant. The expected option life represents the period of time that the stock options are expected to be outstanding, taking into consideration the contractual term of the option grant and employee historical exercise behavior. The Company’s historical rate of forfeiture is nominal and therefore not included when estimating the grant date fair value of stock option awards. As such, the Company recognizes the impact of forfeitures when they occur. The Company generally recognizes stock option compensation expense ratably over the award’s vesting period. |
Income Taxes, Policy [Policy Text Block] | Income Taxes Income tax expense includes U.S. and foreign income taxes. Deferred income taxes are provided on elements of income that are recognized for financial reporting purposes in periods different from when recognized for income tax purposes. Deferred tax assets and liabilities are recognized for the tax effects of temporary differences between the financial reporting and income tax bases of assets and liabilities and are measured using enacted tax rates in effect for the year in which the differences are expected to reverse. Tax law and rate changes are reflected in income in the period such changes are enacted. The Company's policy is to recognize interest and penalties related to income tax matters as a component of income tax expense and to treat any tax on Global Intangible Low-Taxed Income ("GILTI") as a current period income tax expense. Further information regarding income taxes can be found in Note 7, Income Taxes. |
Redeemable Noncontrolling Interests, Policy [Policy Text Block] | Redeemable Noncontrolling Interests As further detailed in Note 13, Redeemable Noncontrolling Interests, the holders of equity interests in certain of the Company’s subsidiaries have rights (“Put Rights”) that require the Company to provide cash consideration for their equity interests (the “Redemption Amount”) at fair value or at a formula that management intended to reasonably approximate fair value based solely on a multiple of future earnings over a measurement period. The Put Rights are embedded in the shares owned by the noncontrolling interest holders and are not freestanding. The Company tracks the carrying cost of such redeemable noncontrolling interests at historical cost plus an allocation of subsidiary earnings based on ownership interest, less dividends paid to the noncontrolling interest holders. Redeemable noncontrolling interests are recorded outside of permanent equity at the higher of their carrying cost or management’s estimate of the Redemption Amount. The initial adjustment to record redeemable noncontrolling interests at the Redemption Amount results in a corresponding decrease to retained earnings. Subsequent adjustments to the Redemption Amount of redeemable noncontrolling interests may result in corresponding decreases or increases to retained earnings, provided any increases to retained earnings may only be recorded to the extent of decreases previously recorded. Adjustments to Redemption Amounts based on fair value will have no effect on net income per share attributable to HEICO shareholders whereas the portion of periodic adjustments to the carrying amount of redeemable noncontrolling interests based solely on a multiple of future earnings that reflect a redemption amount in excess of fair value will affect net income per share attributable to HEICO shareholders. Acquisitions of redeemable noncontrolling interests are treated as equity transactions. |
Net Income per Share Attributable to HEICO Shareholders, Policy [Policy Text Block] | Net Income per Share Attributable to HEICO Shareholders Basic net income per share attributable to HEICO shareholders is computed by dividing net income attributable to HEICO by the weighted average number of common shares outstanding during the period. Diluted net income per share attributable to HEICO shareholders is computed by dividing net income attributable to HEICO by the weighted average number of common shares outstanding during the period plus potentially dilutive common shares arising from the assumed exercise of stock options, if dilutive. The dilutive impact of potentially dilutive common shares is determined by applying the treasury stock method. |
Foreign Currency Translation, Policy [Policy Text Block] | Foreign Currency All assets and liabilities of foreign subsidiaries that do not utilize the U.S. dollar as its functional currency are translated at period-end exchange rates, while revenue and expenses are translated using average exchange rates for the period. Unrealized translation gains or losses are reported as foreign currency translation adjustments through other comprehensive income or (loss) in shareholders’ equity. Transaction gains or losses related to monetary balances denominated in a currency other than the functional currency are recorded in the Company's Consolidated Statements of Operations. |
Contingencies, Policy [Policy Text Block] | Contingencies Losses for contingencies such as product warranties, litigation and environmental matters are recognized in income when they are probable and can be reasonably estimated. Gain contingencies are not recognized in income until they have been realized. |
New Accounting Pronouncements, Policy [Policy Text Block] | New Accounting Pronouncements In January 2017, the Financial Accounting Standards Board ("FASB") issued ASU 2017-04, "Simplifying the Test for Goodwill Impairment," which simplifies the current test for goodwill impairment by eliminating the second step in which the implied value of a reporting unit is calculated when the carrying value of the reporting unit exceeds its fair value. Under ASU 2017-04, goodwill impairment should be recognized for the amount by which a reporting unit’s carrying value exceeds its fair value, not to exceed the carrying amount of goodwill. The Company adopted ASU 2017-04 in the first quarter of fiscal 2021 and began applying the guidance prospectively when assessing its goodwill for impairment. |
Assets Held under Capital Leases [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Policy [Policy Text Block] | Leases During fiscal 2020, the Company adopted Accounting Standards Update (“ASU”) 2016-02, which, as amended, was codified as Accounting Standards Codification (“ASC”) Topic 842, “Leases” (“ASC 842”). The Company’s lease arrangements primarily pertain to manufacturing facilities, office buildings, equipment, land and vehicles. The Company evaluates whether a contractual arrangement that provides it with control over the use of an asset is, or contains, a lease at the inception date. The term of a lease is inclusive of any option to renew, extend, or terminate the lease when it is reasonably certain that the Company will exercise such option. The Company classifies a lease as operating or finance using the classification criteria set forth in ASC 842. HEICO recognizes lease right-of-use (“ROU”) assets and corresponding lease liabilities as of the |
SUMMARY OF SIGNIFICANT ACCOUN_3
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables) | 12 Months Ended |
Oct. 31, 2021 | |
Accounting Policies [Abstract] | |
Property, Plant and Equipment [Table Text Block] | The Company’s property, plant and equipment is generally depreciated over the following estimated useful lives: Buildings and improvements 10 to 40 years Machinery and equipment 3 to 10 years Leasehold improvements 2 to 20 years Tooling 2 to 5 years |
Intangible Assets Useful Life [Table Text Block] | The Company’s intangible assets subject to amortization are amortized on the straight-line method (except for certain customer relationships amortized on an accelerated method) over the following estimated useful lives: Customer relationships 4 to 15 years Intellectual property 4 to 22 years Licenses 10 to 11 years Patents 5 to 20 years Trade names 8 to 15 years |
Defined Benefit Plans Disclosures [Table Text Block] | The following table presents the fair value of the Plan's assets and projected benefit obligation as of October 31, for each of the last two fiscal years (in thousands): As of October 31, 2021 2020 Fair value of plan assets $13,116 $11,581 Projected benefit obligation 13,979 14,519 Funded status ($863) ($2,938) |
ACQUISITIONS (Tables)
ACQUISITIONS (Tables) | 12 Months Ended |
Oct. 31, 2021 | |
Business Acquisition [Line Items] | |
Schedule of Fair Value of Total Consideration [Table Text Block] | The following table summarizes the aggregate total consideration for the Company's acquisitions (in thousands): Year ended October 31, 2021 2020 2019 Cash paid $136,995 $165,290 $243,550 Less: cash acquired (639) (1,323) (2,466) Cash paid, net 136,356 163,967 241,084 Contingent consideration 18,334 23,719 2,107 Fair value of existing equity interest — — 1,417 Additional purchase consideration 56 144 — Total consideration $154,746 $187,830 $244,608 |
Schedule of Purchase Price Allocation [Table Text Block] | The following table summarizes the allocation of the aggregate total consideration for the Company's acquisitions to the estimated fair values of the tangible and identifiable intangible assets acquired and liabilities and noncontrolling interests assumed (in thousands): Year ended October 31, 2021 2020 2019 Assets acquired: Goodwill $66,450 $114,391 $155,892 Customer relationships 30,910 44,740 47,553 Intellectual property 23,920 27,120 31,459 Trade names 9,920 12,410 19,216 Contract assets 18,399 2,530 362 Property, plant and equipment 17,949 4,000 18,013 Inventories 6,743 10,902 18,046 Accounts receivable 6,895 7,124 8,673 Other assets 1,129 980 545 Total assets acquired, excluding cash 182,315 224,197 299,759 Liabilities assumed: Deferred income taxes 413 10,434 7,427 Accrued expenses 5,433 2,787 2,971 Accounts payable 2,487 726 2,879 Other liabilities 266 197 627 Total liabilities assumed 8,599 14,144 13,904 Noncontrolling interests in consolidated subsidiaries 18,970 22,223 41,247 Net assets acquired, excluding cash $154,746 $187,830 $244,608 |
Schedule of Finite-Lived Intangible Assets Acquired as Part of Business Combination [Table Text Block] | The following table summarizes the weighted average amortization period of the definite-lived intangible assets acquired in connection with the Company's fiscal 2021, 2020 and 2019 acquisitions (in years): Year ended October 31, 2021 2020 2019 Customer relationships 12 10 11 Intellectual property 13 11 15 |
SELECTED FINANCIAL STATEMENT _2
SELECTED FINANCIAL STATEMENT INFORMATION (Tables) | 12 Months Ended |
Oct. 31, 2021 | |
Selected Financial Statement Information [Abstract] | |
Schedule of Accounts Receivable [Table Text Block] | Accounts Receivable As of October 31, (in thousands) 2021 2020 Accounts receivable $255,793 $223,171 Less: Allowance for doubtful accounts (10,874) (12,738) Accounts receivable, net $244,919 $210,433 |
Schedule of Inventory [Table Text Block] | Inventories As of October 31, (in thousands) 2021 2020 Finished products $238,867 $235,501 Work in process 44,887 37,957 Materials, parts, assemblies and supplies 194,296 189,747 Inventories, net of valuation reserves $478,050 $463,205 |
Property, Plant and Equipment [Table Text Block] | Property, Plant and Equipment As of October 31, (in thousands) 2021 2020 Land $11,363 $6,678 Buildings and improvements 134,150 120,769 Machinery, equipment and tooling 297,297 265,408 Construction in progress 7,784 8,487 450,594 401,342 Less: Accumulated depreciation and amortization (256,956) (232,494) Property, plant and equipment, net $193,638 $168,848 |
Schedule Of Accrued Expenses and Other Current Liabilities [Table Text Block] | Accrued Expenses and Other Current Liabilities As of October 31, (in thousands) 2021 2020 Accrued employee compensation and related payroll taxes $121,200 $83,055 Contract liabilities 32,738 25,631 Accrued customer rebates and credits 13,237 15,813 Current operating lease liabilities 13,874 14,180 Other 25,808 23,553 Accrued expenses and other current liabilities $206,857 $162,232 |
Schedule of Research and Development Expenses [Table Text Block] | The amount of new product research and development ("R&D") expenses included in cost of sales is as follows (in thousands): Year ended October 31, 2021 2020 2019 R&D expenses $68,877 $65,559 $66,630 |
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block] | Changes in the components of accumulated other comprehensive loss during fiscal 2021 and 2020 are as follows (in thousands): Foreign Currency Translation Defined Benefit Pension Plan Accumulated Balances as of October 31, 2019 ($14,989) ($1,750) ($16,739) Unrealized gain (loss) 8,529 (1,012) 7,517 Amortization of unrealized loss — 73 73 Balances as of October 31, 2020 (6,460) (2,689) (9,149) Unrealized (loss) gain (529) 991 462 Amortization of unrealized loss — 135 135 Balances as of October 31, 2021 ($6,989) ($1,563) ($8,552) |
GOODWILL AND OTHER INTANGIBLE_2
GOODWILL AND OTHER INTANGIBLE ASSETS (Tables) | 12 Months Ended |
Oct. 31, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill [Table Text Block] | Changes in the carrying amount of goodwill by operating segment during fiscal 2021 and 2020 are as follows (in thousands): Segment Consolidated FSG ETG Totals Balances as of October 31, 2019 $410,044 $858,659 $1,268,703 Goodwill acquired 14,979 99,401 114,380 Foreign currency translation adjustments 2,542 2,076 4,618 Deconsolidation of subsidiary — (4,249) (4,249) Adjustments to goodwill — (285) (285) Balances as of October 31, 2020 427,565 955,602 1,383,167 Goodwill acquired 40,308 26,142 66,450 Foreign currency translation adjustments 227 540 767 Adjustments to goodwill 188 (177) 11 Balances as of October 31, 2021 $468,288 $982,107 $1,450,395 |
Schedule Of Identifiable Intangible Assets [Table Text Block] | Identifiable intangible assets consist of the following (in thousands): As of October 31, 2021 As of October 31, 2020 Gross Accumulated Net Gross Accumulated Net Amortizing Assets: Customer relationships $464,506 ($221,098) $243,408 $443,143 ($188,919) $254,224 Intellectual property 255,011 (94,313) 160,698 240,725 (84,686) 156,039 Licenses 6,559 (5,072) 1,487 6,559 (4,670) 1,889 Patents 1,110 (793) 317 1,071 (746) 325 Non-compete agreements 722 (722) — 811 (811) — Trade names 450 (257) 193 450 (219) 231 728,358 (322,255) 406,103 692,759 (280,051) 412,708 Non-Amortizing Assets: Trade names 176,204 — 176,204 166,333 — 166,333 $904,562 ($322,255) $582,307 $859,092 ($280,051) $579,041 |
LONG-TERM DEBT (Tables)
LONG-TERM DEBT (Tables) | 12 Months Ended |
Oct. 31, 2021 | |
Debt Disclosure [Abstract] | |
Schedule of Long-term Debt Instruments [Table Text Block] | Long-term debt consists of the following (in thousands): As of October 31, 2021 2020 Borrowings under revolving credit facility $225,000 $730,000 Finance leases and note payable (1) 11,498 9,831 236,498 739,831 Less: Current maturities of long-term debt (1,515) (1,045) $234,983 $738,786 (1) See Note 9, Leases, for additional information regarding the Company's finance leases. |
REVENUE (Tables)
REVENUE (Tables) | 12 Months Ended |
Oct. 31, 2021 | |
Revenue from Contract with Customer [Abstract] | |
Contract with Customer, Asset and Liability [Table Text Block] | Changes in the Company’s contract assets and liabilities during fiscal 2021 and 2020 are as follows (in thousands): October 31, 2021 October 31, 2020 Change Contract assets $80,073 $60,429 $19,644 Contract liabilities 32,738 25,631 7,107 Net contract assets $47,335 $34,798 $12,537 |
Product Line [Member] | |
Disaggregation of Revenue [Line Items] | |
Disaggregation of Revenue [Table Text Block] | The following table summarizes the Company’s net sales by product line for each operating segment (in thousands): Year Ended October 31, 2021 2020 2019 Flight Support Group: Aftermarket replacement parts (1) $535,217 $525,636 $678,001 Repair and overhaul parts and services (2) 208,215 193,164 299,323 Specialty products (3) 183,657 206,012 262,859 Total net sales 927,089 924,812 1,240,183 Electronic Technologies Group: Electronic component parts primarily for defense, space and aerospace equipment (4) 709,621 679,901 633,685 Electronic component parts for equipment in various other industries (5) 249,549 195,086 200,837 Total net sales 959,170 874,987 834,522 Intersegment sales (20,577) (12,790) (19,058) Total consolidated net sales $1,865,682 $1,787,009 $2,055,647 (1) Includes various jet engine and aircraft component replacement parts. (2) Includes primarily the sale of parts consumed in various repair and overhaul services on selected jet engine and aircraft components, avionics, instruments, composites and flight surfaces of commercial and military aircraft. (3) Includes primarily the sale of specialty components such as thermal insulation blankets, renewable/reusable insulation systems, advanced niche components, complex composite assemblies, and expanded foil mesh as well as machining, brazing, fabricating and welding services generally to original equipment manufacturers. (4) Includes various component parts such as electro-optical infrared simulation and test equipment, electro-optical laser products, electro-optical, microwave and other power equipment, high-speed interface products, power conversion products, underwater locator beacons, emergency locator transmission beacons, traveling wave tube amplifiers, microwave power modules, a wide variety of memory products and radio frequency (RF) and microwave products, crashworthy and ballistically self-sealing auxiliary fuel systems, high performance communications and electronic intercept receivers and tuners, high performance active antenna systems and technical surveillance countermeasures (TSCM) equipment. (5) Includes various component parts such as electromagnetic and radio frequency interference shielding, high voltage interconnection devices, high voltage advanced power electronics, harsh environment connectivity products, custom molded cable assemblies, silicone material for a variety of demanding applications and rugged small form-factor embedded computing solutions. |
Sales by Industry [Member] | |
Disaggregation of Revenue [Line Items] | |
Disaggregation of Revenue [Table Text Block] | The following table summarizes the Company’s net sales by industry for each operating segment (in thousands): Year ended October 31, 2021 2020 2019 Flight Support Group: Aerospace $660,867 $669,194 $1,004,088 Defense and Space 224,236 213,273 190,076 Other (1) 41,986 42,345 46,019 Total net sales 927,089 924,812 1,240,183 Electronic Technologies Group: Defense and Space 599,570 577,581 531,029 Other (2) 284,834 225,749 217,889 Aerospace 74,766 71,657 85,604 Total net sales 959,170 874,987 834,522 Intersegment sales (20,577) (12,790) (19,058) Total consolidated net sales $1,865,682 $1,787,009 $2,055,647 (1) Principally industrial products. |
INCOME TAXES (Tables)
INCOME TAXES (Tables) | 12 Months Ended |
Oct. 31, 2021 | |
Income Tax Disclosure [Abstract] | |
Schedule of Income before Income Tax, Domestic and Foreign [Table Text Block] | The components of income before income taxes and noncontrolling interests are as follows (in thousands): Year ended October 31, 2021 2020 2019 Domestic $345,733 $327,754 $386,584 Foreign 41,325 37,101 51,257 Income before taxes and noncontrolling interests $387,058 $364,855 $437,841 |
Schedule of Components of Income Tax Expense (Benefit) [Table Text Block] | The components of the provision for income taxes on income before income taxes and noncontrolling interests are as follows (in thousands): Year ended October 31, 2021 2020 2019 Current: Federal $47,839 $17,730 $56,670 State 11,639 4,167 12,795 Foreign 13,457 13,101 15,027 72,935 34,998 84,492 Deferred: Federal (10,097) (3,364) (3,140) State (3,251) (55) (1,263) Foreign (2,287) (2,579) (1,989) (15,635) (5,998) (6,392) Total income tax expense $57,300 $29,000 $78,100 |
Schedule of Effective Income Tax Rate Reconciliation [Table Text Block] | A reconciliation of the federal statutory income tax rate to the Company’s effective tax rate is as follows: Year ended October 31, 2021 2020 2019 Federal statutory income tax rate 21.0 % 21.0 % 21.0 % State taxes, net of federal income tax benefit 2.9 % 3.7 % 3.0 % Tax benefit related to stock option exercises (3.7 %) (13.3 %) (3.8 %) Tax-exempt gains on corporate-owned life insurance policies (2.9 %) (0.7 %) (0.6 %) Research and development tax credits (2.5 %) (2.4 %) (1.7 %) Foreign derived intangible income deduction (1.9 %) (1.6 %) (1.4 %) Nondeductible compensation 1.2 % .4 % .8 % Other, net .7 % .8 % .5 % Effective tax rate 14.8 % 7.9 % 17.8 % |
Schedule of Deferred Tax Assets and Liabilities [Table Text Block] | Significant components of the Company’s deferred tax assets and liabilities are as follows (in thousands): As of October 31, 2021 2020 Deferred tax assets: Deferred compensation plan liability $54,726 $41,744 Inventories 41,354 36,414 Operating lease liabilities 16,483 12,980 Share-based compensation 8,759 8,746 Performance-based compensation accrual 4,615 2,539 Allowance for doubtful accounts receivable 2,532 2,966 Deferred payroll taxes 2,372 1,754 Customer rebates accrual 2,236 2,667 Vacation accrual 1,910 1,840 Other 9,102 8,952 Total deferred tax assets 144,089 120,602 Deferred tax liabilities: Goodwill and other intangible assets (145,024) (141,152) Property, plant and equipment (19,580) (16,130) Operating lease right-of-use assets (15,941) (12,327) Adoption of ASC 606 (revenue recognition) (2,677) (4,733) Other (1,628) (1,918) Total deferred tax liabilities (184,850) (176,260) Net deferred tax liability ($40,761) ($55,658) |
Summary of Income Tax Contingencies [Table Text Block] | A reconciliation of the activity related to the liability for gross unrecognized tax benefits during fiscal 2021 and 2020 is as follows (in thousands): Year ended October 31, 2021 2020 Balances as of beginning of year $2,946 $2,670 Increases related to current year tax positions 710 489 Increases related to prior year tax positions 839 32 Decreases related to prior year tax positions — (18) Lapses of statutes of limitations (423) (227) Balances as of end of year $4,072 $2,946 |
FAIR VALUE MEASUREMENTS (Tables
FAIR VALUE MEASUREMENTS (Tables) | 12 Months Ended |
Oct. 31, 2021 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis [Table Text Block] | The Company's assets and liabilities that were measured at fair value on a recurring basis are set forth by level within the fair value hierarchy in the following tables (in thousands): As of October 31, 2021 Quoted Prices Significant Significant Unobservable Inputs Total Assets: Deferred compensation plan: Corporate-owned life insurance $— $245,580 $— $245,580 Money market funds 4 — — 4 Total assets $4 $245,580 $— $245,584 Liabilities: Contingent consideration $— $— $62,286 $62,286 As of October 31, 2020 Quoted Prices Significant Significant Unobservable Inputs Total Assets: Deferred compensation plan: Corporate-owned life insurance $— $180,128 $— $180,128 Money market funds 11 — — 11 Total assets $11 $180,128 $— $180,139 Liabilities: Contingent consideration $— $— $41,974 $41,974 |
Fair Value Measurement Inputs and Valuation Techniques [Table Text Block] | The following unobservable inputs were used to derive the estimated fair value of the Company's Level 3 contingent consideration liabilities as of October 31, 2021 ($ in thousands): Weighted Acquisition Date Fair Value Unobservable Input Range Average (1) 8-4-2021 $18,324 Compound annual revenue growth rate 0% - 9% 7% Discount rate 5.0% - 5.2% 5.1% 8-18-2020 11,995 Compound annual revenue growth rate 6% - 17% 11% Discount rate 4.3% - 5.0% 4.5% 8-11-2020 13,335 Compound annual revenue growth rate 2% - 16% 10% Discount rate 5.0% - 5.0% 5.0% 9-15-2017 18,632 Compound annual revenue growth rate (3%) - 7% 4% Discount rate 3.7% - 3.7% 3.7% |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Table Text Block] | Changes in the Company’s contingent consideration liabilities measured at fair value on a recurring basis using unobservable inputs (Level 3) during fiscal 2021 and 2020 are as follows (in thousands): Liabilities Balance as of October 31, 2019 $18,326 Contingent consideration related to acquisitions 23,719 Increase in accrued contingent consideration, net 515 Payment of contingent consideration (500) Foreign currency transaction adjustments (86) Balance as of October 31, 2020 41,974 Contingent consideration related to acquisitions 18,334 Increase in accrued contingent consideration, net 1,246 Foreign currency transaction adjustments 732 Balance as of October 31, 2021 $62,286 |
LEASES (Tables)
LEASES (Tables) | 12 Months Ended |
Oct. 31, 2021 | |
Leases [Abstract] | |
Lessee, Operating Lease Asset and Liabilities [Table Text Block] | The following table presents the Company’s lease ROU assets and lease liabilities (in thousands): Operating Leases Finance Leases 2021 2020 2021 2020 Right-of-use assets $74,609 $57,103 $12,250 $10,512 Current lease liabilities $13,874 $14,180 $1,481 $1,034 Long-term lease liabilities 61,829 44,114 9,764 8,533 Total lease liabilities $75,703 $58,294 $11,245 $9,567 |
Lease, Cost [Table Text Block] | The following table presents the components of lease expense for fiscal 2021 and 2020 (in thousands): Year ended October 31, 2021 2020 Operating Leases: Operating lease expense $18,103 $17,317 Variable lease expense 3,165 3,225 Total operating lease expense (1) $21,268 $20,542 Finance Leases: Amortization on finance lease ROU assets $1,110 $874 Interest on finance lease liabilities 453 416 Variable lease expense 750 — Total finance lease expense $2,313 $1,290 (1) Excludes short-term lease expense, which is not material. |
Lessee, Operating Lease, Liability, Maturity [Table Text Block] | The following table presents a maturity analysis of the Company's lease liabilities as of October 31, 2021 for the next five fiscal years and thereafter (in thousands): Operating Leases Finance Leases Year ending October 31, 2022 $16,853 $1,956 2023 12,729 1,629 2024 9,785 1,521 2025 8,662 1,458 2026 7,153 1,440 Thereafter 39,113 5,806 Total minimum lease payments 94,295 13,810 Less: imputed interest (18,592) (2,565) Present value of minimum lease payments $75,703 $11,245 |
Lessee, Operating Lease Term and Discount Rate [Table Text Block] | The following table presents the weighted average remaining lease term and discount rate of the Company’s leases: Operating Leases Finance Leases 2021 2020 2021 2020 Weighted average remaining lease term (years) 9.1 7.0 9.2 10.8 Weighted average discount rate 4.7 % 5.1 % 4.6 % 4.5 % |
Schedule of Cash Flow, Supplemental Disclosure, Leases | The following table presents supplemental disclosures of cash flow information associated with the Company's leases for fiscal 2021 and 2020 (in thousands): Operating Leases Finance Leases 2021 2020 2021 2020 Cash paid for amounts included in the measurement of lease liabilities Operating cash flows $17,999 $16,965 $453 $416 Financing cash flows — — 1,187 921 Right-of-use assets obtained in exchange for new lease liabilities, net of terminations 31,351 8,648 2,861 1,808 |
SHARE-BASED COMPENSATION (Table
SHARE-BASED COMPENSATION (Tables) | 12 Months Ended |
Oct. 31, 2021 | |
Share-based Payment Arrangement [Abstract] | |
Share-based Payment Arrangement, Option, Activity [Table Text Block] | Information concerning share-based activity for each of the last three fiscal years ended October 31 is as follows (in thousands, except per share data): Shares Under Option Shares Available For Grant Shares Weighted Average Exercise Price Outstanding as of October 31, 2018 4,612 6,400 $23.19 Granted (538) 538 $73.30 Exercised — (2,235) $12.98 Cancelled 11 (11) $49.79 Outstanding as of October 31, 2019 4,085 4,692 $33.73 Granted (29) 29 $97.00 Exercised — (720) $19.32 Cancelled 8 (8) $55.61 Outstanding as of October 31, 2020 4,064 3,993 $36.75 Granted (699) 699 $125.57 Exercised — (342) $21.88 Cancelled 9 (9) $64.78 Outstanding as of October 31, 2021 3,374 4,341 $52.16 |
Share-based Compensation Arrangements by Share-based Payment Award, Options, Vested and Expected to Vest, Outstanding [Table Text Block] | Information concerning stock options outstanding (all of which are vested or expected to vest) and stock options exercisable by class of common stock as of October 31, 2021 is as follows (in thousands, except per share and contractual life data): Options Outstanding Number Outstanding Weighted Average Exercise Price Weighted Average Remaining Contractual Life (Years) Aggregate Common Stock 1,906 $49.68 4.8 $171,023 Class A Common Stock 2,435 $54.09 5.7 174,312 4,341 $52.16 5.3 $345,335 Options Exercisable Number Exercisable Weighted Average Exercise Price Weighted Average Remaining Contractual Life (Years) Aggregate Common Stock 1,413 $31.36 3.6 $152,681 Class A Common Stock 1,499 $32.61 4.2 139,518 2,912 $32.00 3.9 $292,199 |
Schedule of Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Grant Date Intrinsic Value [Table Text Block] | Information concerning stock options exercised is as follows (in thousands): Year ended October 31, 2021 2020 2019 Cash proceeds from stock option exercises $5,344 $6,955 $8,547 Tax benefit realized from stock option exercises 14,186 48,326 16,490 Intrinsic value of stock option exercises 33,428 53,384 204,901 |
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block] | The fair value of each stock option grant in fiscal 2021, 2020 and 2019 was estimated on the date of grant using the Black-Scholes option-pricing model based on the following weighted average assumptions: Year ended October 31, 2021 2020 2019 Common Stock Class A Common Stock Class A Common Stock Common Stock Class A Common Stock Expected stock price volatility 30.17 % 32.65 % 24.94 % 28.52 % 24.81 % Risk-free interest rate 1.40 % 1.09 % 1.72 % 2.52 % 2.69 % Dividend yield .17 % .19 % .21 % .22 % .22 % Forfeiture rate .00 % .00 % .00 % .00 % .00 % Expected option life (years) 9 6 6 8 6 Weighted average fair value $51.16 $39.00 $26.86 $33.88 $19.64 |
EMPLOYEE RETIREMENT PLANS (Tabl
EMPLOYEE RETIREMENT PLANS (Tables) | 12 Months Ended |
Oct. 31, 2021 | |
Retirement Benefits [Abstract] | |
Schedule of Other Share-based Compensation, Activity [Table Text Block] | Information concerning share-based activity pertaining to the 401(k) Plan for each of the last three fiscal years ended October 31 is as follows (in thousands): Common Stock Class A Common Stock Shares available for issuance as of October 31, 2018 333 333 Issuance of common stock to the 401(k) Plan (53) (53) Shares available for issuance as of October 31, 2019 280 280 Issuance of common stock to the 401(k) Plan (52) (52) Shares available for issuance as of October 31, 2020 228 228 Issuance of common stock to the 401(k) Plan (40) (40) Shares available for issuance as of October 31, 2021 188 188 |
REDEEMABLE NONCONTROLLING INT_2
REDEEMABLE NONCONTROLLING INTERESTS (Tables) | 12 Months Ended |
Oct. 31, 2021 | |
Temporary Equity Disclosure [Abstract] | |
Redeemable Noncontrolling Interest [Table Text Block] | Management's estimate of the aggregate Redemption Amount of all Put Rights that the Company could be required to pay is as follows (in thousands): As of October 31, 2021 2020 Redeemable at fair value $217,416 $179,415 Redeemable based on a multiple of future earnings 35,171 41,793 Redeemable noncontrolling interests $252,587 $221,208 |
Schedule of Put Rights [Table Text Block] | A summary of the Put Rights associated with the redeemable noncontrolling interests in certain of the Company’s subsidiaries as of October 31, 2021 is as follows: Subsidiary Operating Company Earliest Purchase 2005 ETG 95.9% 2022 (1) 4 (2) 2006 FSG 80.1% 2022 (1) 4 2008 FSG 90.0% 2024 4 2009 ETG 82.5% 2022 (1) 1 2012 FSG 84.0% 2022 (1) 4 2012 FSG 80.1% 2022 (1) 4 2015 FSG 85.0% 2022 (1) 3 (3) 2015 FSG 80.1% 2022 (1) 4 2015 FSG 80.1% 2022 4 2015 ETG 80.1% 2022 (1) 2 2017 FSG 80.1% 2022 2 (4) 2018 ETG 85.0% 2022 (1) 1 2019 ETG 92.7% 2023 4 2019 ETG 85.0% 2024 4 2019 FSG 80.1% 2026 4 2019 ETG 75.0% 2024 4 (5) 2020 ETG 80.1% 2025 4 2020 FSG 70.0% 2027 4 2020 ETG 75.0% 2024 4 (5) 2020 ETG 90.0% 2025 4 2021 FSG 80.1% 2026 4 2021 FSG 89.0% 2028 4 2021 ETG 80.1% 2024 3 (6) (1) Currently puttable. (2) A portion is to be purchased in a lump sum. (3) The Put Right for the remaining 15% noncontrolling interest may be exercised in 5% increments annually and the first increment is currently puttable. (4) Half of the 19.9% noncontrolling interest will be purchased in the year the Put Right is exercised and the other half will be purchased two years later. (5) The exercise of the Put Right for either entity will automatically trigger a Put Right exercise for the other entity. (6) The Put Rights for 9.55% and 3.98% noncontrolling interests may be exercised no earlier than fiscal 2024 with the purchase over a three-year period. The Put Right for 6.37% noncontrolling interest may be exercised no earlier than fiscal 2028 with the purchase over a four-year period. |
NET INCOME PER SHARE ATTRIBUT_2
NET INCOME PER SHARE ATTRIBUTABLE TO HEICO SHAREHOLDERS (Tables) | 12 Months Ended |
Oct. 31, 2021 | |
Earnings Per Share [Abstract] | |
Schedule of Calculation of Numerator and Denominator in Earnings Per Share [Table Text Block] | The computation of basic and diluted net income per share attributable to HEICO shareholders is as follows (in thousands, except per share data): Year ended October 31, 2021 2020 2019 Numerator: Net income attributable to HEICO $304,220 $313,984 $327,896 Denominator: Weighted average common shares outstanding - basic 135,326 134,754 133,640 Effect of dilutive stock options 2,528 2,548 3,710 Weighted average common shares outstanding - diluted 137,854 137,302 137,350 Net income per share attributable to HEICO shareholders: Basic $2.25 $2.33 $2.45 Diluted $2.21 $2.29 $2.39 Anti-dilutive stock options excluded 185 258 330 |
OPERATING SEGMENTS (Tables)
OPERATING SEGMENTS (Tables) | 12 Months Ended |
Oct. 31, 2021 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information by Segment [Table Text Block] | Information on the Company’s two operating segments, the FSG and the ETG, for each of the last three fiscal years ended October 31 is as follows (in thousands): Segment Other, Primarily Corporate and Intersegment (1) Consolidated Totals FSG ETG Year ended October 31, 2021: Net sales $927,089 $959,170 ($20,577) $1,865,682 Depreciation 13,992 12,839 973 27,804 Amortization 20,648 43,431 1,136 65,215 Operating income 151,930 277,306 (36,336) 392,900 Capital expenditures 8,915 26,496 772 36,183 Year ended October 31, 2020: Net sales $924,812 $874,987 ($12,790) $1,787,009 Depreciation 14,339 11,722 1,006 27,067 Amortization 19,957 40,553 984 61,494 Operating income 143,051 258,814 (25,217) 376,648 Capital expenditures 10,843 12,025 72 22,940 Year ended October 31, 2019: Net sales $1,240,183 $834,522 ($19,058) $2,055,647 Depreciation 13,793 10,957 1,008 25,758 Amortization 19,624 37,131 984 57,739 Operating income 242,029 245,743 (30,675) 457,097 Capital expenditures 17,036 11,826 76 28,938 (1) Intersegment activity principally consists of net sales from the ETG to the FSG. |
Reconciliation of Assets from Segment to Consolidated [Table Text Block] | Total assets by operating segment are as follows (in thousands): Other, Consolidated Segment As of October 31, FSG ETG 2021 $1,274,462 $1,952,413 $271,532 3,498,407 2020 1,127,666 1,896,671 523,374 3,547,711 |
Schedule of Revenue and Long-lived Assets by Geographic Area [Table Text Block] | The following table summarizes the Company’s net sales to customers located in the United States and to those in other countries for each of the last three fiscal years ended October 31 (in thousands). Net sales are attributed to countries based on the location of the customer. Net sales to any one customer or originating from any one foreign country did not account for 10% or more of the Company’s consolidated net sales during any of the last three fiscal years. The following table also summarizes the Company’s long-lived assets held within and outside of the United States as of October 31 for each of the last three fiscal years (in thousands). Long-lived assets consist of net property, plant and equipment. 2021 2020 2019 Net sales: United States of America $1,194,869 $1,193,497 $1,308,943 Other countries 670,813 593,512 746,704 Total net sales $1,865,682 $1,787,009 $2,055,647 Long-lived assets: United States of America $155,537 $139,197 $143,350 Other countries 38,101 29,651 29,995 Total long-lived assets $193,638 $168,848 $173,345 |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Tables) | 12 Months Ended |
Oct. 31, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of Product Warranty Liability [Table Text Block] | Changes in the Company’s product warranty liability in fiscal 2021 and 2020 are as follows (in thousands): Year ended October 31, 2021 2020 Balances as of beginning of year $3,015 $2,810 Accruals for warranties 1,979 1,749 Acquired warranty liabilities 62 150 Warranty claims settled (1,677) (1,694) Balances as of end of year $3,379 $3,015 |
SUMMARY OF SIGNIFICANT ACCOUN_4
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Property, Plant and Equipment Useful Life) (Details) | 12 Months Ended |
Oct. 31, 2021 | |
Building and Building Improvements [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 10 years |
Building and Building Improvements [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 40 years |
Other Machinery and Equipment [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 3 years |
Other Machinery and Equipment [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 10 years |
Leasehold Improvements [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 2 years |
Leasehold Improvements [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 20 years |
Tooling [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 2 years |
Tooling [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 5 years |
SUMMARY OF SIGNIFICANT ACCOUN_5
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Finite-Lived Intangible Asset Useful Life) (Details) | 12 Months Ended |
Oct. 31, 2021 | |
Customer Relationships [Member] | Minimum [Member] | |
Finite-Lived Intangible Assets [Line Items] | |
Finite-Lived Intangible Asset, Useful Life | 4 years |
Customer Relationships [Member] | Maximum [Member] | |
Finite-Lived Intangible Assets [Line Items] | |
Finite-Lived Intangible Asset, Useful Life | 15 years |
Intellectual Property [Member] | Minimum [Member] | |
Finite-Lived Intangible Assets [Line Items] | |
Finite-Lived Intangible Asset, Useful Life | 4 years |
Intellectual Property [Member] | Maximum [Member] | |
Finite-Lived Intangible Assets [Line Items] | |
Finite-Lived Intangible Asset, Useful Life | 22 years |
Licensing Agreements [Member] | Minimum [Member] | |
Finite-Lived Intangible Assets [Line Items] | |
Finite-Lived Intangible Asset, Useful Life | 10 years |
Licensing Agreements [Member] | Maximum [Member] | |
Finite-Lived Intangible Assets [Line Items] | |
Finite-Lived Intangible Asset, Useful Life | 11 years |
Patents [Member] | Minimum [Member] | |
Finite-Lived Intangible Assets [Line Items] | |
Finite-Lived Intangible Asset, Useful Life | 5 years |
Patents [Member] | Maximum [Member] | |
Finite-Lived Intangible Assets [Line Items] | |
Finite-Lived Intangible Asset, Useful Life | 20 years |
Trade Names [Member] | Minimum [Member] | |
Finite-Lived Intangible Assets [Line Items] | |
Finite-Lived Intangible Asset, Useful Life | 8 years |
Trade Names [Member] | Maximum [Member] | |
Finite-Lived Intangible Assets [Line Items] | |
Finite-Lived Intangible Asset, Useful Life | 15 years |
SUMMARY OF SIGNIFICANT ACCOUN_6
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Pension Plan Funded Status) (Details) - Pension Plan [Member] - USD ($) $ in Thousands | Oct. 31, 2021 | Oct. 31, 2020 |
Defined Benefit Plan Disclosure [Line Items] | ||
Defined Benefit Plan, Plan Assets, Amount | $ 13,116 | $ 11,581 |
Defined Benefit Plan, Benefit Obligation | 13,979 | 14,519 |
Defined Benefit Plan, Funded (Unfunded) Status of Plan | $ (863) | $ (2,938) |
SUMMARY OF SIGNIFICANT ACCOUN_7
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Textuals) | 12 Months Ended | |
Oct. 31, 2021 | Jun. 28, 2019 | |
Property, Plant and Equipment [Abstract] | ||
Property, Plant and Equipment, Depreciation Methods | Depreciation and amortization is generally provided on the straight-line method over the estimated useful lives of the various assets. | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Finite-Lived Intangible Assets, Amortization Method | The Company’s intangible assets subject to amortization are amortized on the straight-line method (except for certain customer relationships amortized on an accelerated method) over the following estimated useful lives | |
HEICO Aerospace [Member] | ||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Percentage of interest owned by noncontrolling shareholders | 20.00% | 20.00% |
Noncontrolling Interest, Ownership Percentage by Parent | 80.00% | |
Lufthansa Technik Ag [Member] | HEICO Aerospace [Member] | ||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Percentage of interest owned by noncontrolling shareholders | 20.00% | |
Heico Flight Support Corp [Member] | Subsidiary Two [Member] | ||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Noncontrolling Interest, Ownership Percentage by Parent | 90.00% | |
Heico Flight Support Corp [Member] | Subsidiary Three [Member] | ||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Noncontrolling Interest, Ownership Percentage by Parent | 84.00% | |
Heico Flight Support Corp [Member] | Subsidiary Five [Member] | ||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Noncontrolling Interest, Ownership Percentage by Parent | 85.00% | |
Heico Flight Support Corp [Member] | Subsidiary Ten [Member] | ||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Noncontrolling Interest, Ownership Percentage by Parent | 70.00% | |
Heico Flight Support Corp [Member] | Subsidiary Twelve [Member] | ||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Noncontrolling Interest, Ownership Percentage by Parent | 89.00% | |
HEICO Aerospace [Member] | Joint Venture [Member] | ||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Noncontrolling Interest, Ownership Percentage by Parent | 84.00% | |
HEICO Aerospace [Member] | Subsidiary One [Member] | ||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Noncontrolling Interest, Ownership Percentage by Parent | 80.10% | |
HEICO Aerospace [Member] | Subsidiary Four [Member] | ||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Noncontrolling Interest, Ownership Percentage by Parent | 80.10% | |
HEICO Aerospace [Member] | Subsidiary Six [Member] | ||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Noncontrolling Interest, Ownership Percentage by Parent | 80.10% | |
HEICO Aerospace [Member] | Subsidiary Seven [Member] | ||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Noncontrolling Interest, Ownership Percentage by Parent | 80.10% | |
HEICO Aerospace [Member] | Subsidiary Eight [Member] | ||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Noncontrolling Interest, Ownership Percentage by Parent | 80.10% | |
HEICO Aerospace [Member] | Subsidiary Nine [Member] | ||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Noncontrolling Interest, Ownership Percentage by Parent | 80.10% | |
HEICO Aerospace [Member] | Subsidiary Eleven [Member] | ||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Noncontrolling Interest, Ownership Percentage by Parent | 80.10% | |
HEICO Electronic [Member] | Subsidiary One [Member] | ||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Noncontrolling Interest, Ownership Percentage by Parent | 95.90% | |
HEICO Electronic [Member] | Subsidiary Two [Member] | ||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Noncontrolling Interest, Ownership Percentage by Parent | 82.50% | |
HEICO Electronic [Member] | Subsidiary Three [Member] | ||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Noncontrolling Interest, Ownership Percentage by Parent | 80.10% | |
HEICO Electronic [Member] | Subsidiary Five [Member] | ||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Noncontrolling Interest, Ownership Percentage by Parent | 92.70% | |
HEICO Electronic [Member] | Subsidiary Six [Member] | ||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Noncontrolling Interest, Ownership Percentage by Parent | 85.00% | |
HEICO Electronic [Member] | Subsidiary Seven [Member] | ||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Noncontrolling Interest, Ownership Percentage by Parent | 75.00% | |
HEICO Electronic [Member] | Subsidiary Eight [Member] | ||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Noncontrolling Interest, Ownership Percentage by Parent | 80.10% | |
HEICO Electronic [Member] | Subsidiary Nine [Member] | ||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Noncontrolling Interest, Ownership Percentage by Parent | 75.00% | |
HEICO Electronic [Member] | Subsidiary Ten [Member] | ||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Noncontrolling Interest, Ownership Percentage by Parent | 90.00% | |
HEICO Electronic [Member] | Subsidiary Eleven [Member] | ||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Noncontrolling Interest, Ownership Percentage by Parent | 80.10% | |
HEICO Electronic [Member] | Subsidiary Twelve [Member] | ||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Noncontrolling Interest, Ownership Percentage by Parent | 80.10% |
ACQUISITIONS (Total Considerati
ACQUISITIONS (Total Consideration) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Oct. 31, 2021 | Oct. 31, 2020 | Oct. 31, 2019 | |
Business Acquisition [Line Items] | |||
Cash paid, net | $ 136,500 | $ 163,939 | $ 240,841 |
FY2021 Acquisitions [Member] | |||
Business Acquisition [Line Items] | |||
Cash paid | 136,995 | ||
Less: cash acquired | (639) | ||
Cash paid, net | 136,356 | ||
Contingent purchase consideration | 18,334 | ||
Additional purchase consideration | 56 | ||
Total purchase consideration | $ 154,746 | ||
FY2020 Acquisitions [Member] | |||
Business Acquisition [Line Items] | |||
Cash paid | 165,290 | ||
Less: cash acquired | (1,323) | ||
Cash paid, net | 163,967 | ||
Contingent purchase consideration | 23,719 | ||
Additional purchase consideration | 144 | ||
Total purchase consideration | $ 187,830 | ||
FY2019 Acquisitions [Member] | |||
Business Acquisition [Line Items] | |||
Cash paid | 243,550 | ||
Less: cash acquired | (2,466) | ||
Cash paid, net | 241,084 | ||
Contingent purchase consideration | 2,107 | ||
Fair value of existing equity interest | 1,417 | ||
Total purchase consideration | $ 244,608 |
ACQUISITIONS (Fair Value of Acq
ACQUISITIONS (Fair Value of Acquired Assets) (Details) - USD ($) $ in Thousands | Oct. 31, 2021 | Oct. 31, 2020 | Oct. 31, 2019 |
Assets acquired: | |||
Goodwill | $ 1,450,395 | $ 1,383,167 | $ 1,268,703 |
FY2021 Acquisitions [Member] | |||
Assets acquired: | |||
Goodwill | 66,450 | ||
Contract assets | 18,399 | ||
Property, plant and equipment | 17,949 | ||
Inventories | 6,743 | ||
Accounts receivable | 6,895 | ||
Other assets | 1,129 | ||
Total assets acquired, excluding cash | 182,315 | ||
Liabilities assumed: | |||
Deferred income taxes | 413 | ||
Accrued expenses | 5,433 | ||
Accounts payable | 2,487 | ||
Other liabilities | 266 | ||
Total liabilities assumed | 8,599 | ||
Noncontrolling interests in consolidated subsidiaries | 18,970 | ||
Net assets acquired, excluding cash | 154,746 | ||
FY2020 Acquisitions [Member] | |||
Assets acquired: | |||
Goodwill | 114,391 | ||
Contract assets | 2,530 | ||
Property, plant and equipment | 4,000 | ||
Inventories | 10,902 | ||
Accounts receivable | 7,124 | ||
Other assets | 980 | ||
Total assets acquired, excluding cash | 224,197 | ||
Liabilities assumed: | |||
Deferred income taxes | 10,434 | ||
Accrued expenses | 2,787 | ||
Accounts payable | 726 | ||
Other liabilities | 197 | ||
Total liabilities assumed | 14,144 | ||
Noncontrolling interests in consolidated subsidiaries | 22,223 | ||
Net assets acquired, excluding cash | 187,830 | ||
FY2019 Acquisitions [Member] | |||
Assets acquired: | |||
Goodwill | 155,892 | ||
Contract assets | 362 | ||
Property, plant and equipment | 18,013 | ||
Inventories | 18,046 | ||
Accounts receivable | 8,673 | ||
Other assets | 545 | ||
Total assets acquired, excluding cash | 299,759 | ||
Liabilities assumed: | |||
Deferred income taxes | 7,427 | ||
Accrued expenses | 2,971 | ||
Accounts payable | 2,879 | ||
Other liabilities | 627 | ||
Total liabilities assumed | 13,904 | ||
Noncontrolling interests in consolidated subsidiaries | 41,247 | ||
Net assets acquired, excluding cash | 244,608 | ||
Trade Names [Member] | FY2021 Acquisitions [Member] | |||
Assets acquired: | |||
Identifiable intangible assets | 9,920 | ||
Trade Names [Member] | FY2020 Acquisitions [Member] | |||
Assets acquired: | |||
Identifiable intangible assets | 12,410 | ||
Trade Names [Member] | FY2019 Acquisitions [Member] | |||
Assets acquired: | |||
Identifiable intangible assets | 19,216 | ||
Customer Relationships [Member] | FY2021 Acquisitions [Member] | |||
Assets acquired: | |||
Identifiable intangible assets | 30,910 | ||
Customer Relationships [Member] | FY2020 Acquisitions [Member] | |||
Assets acquired: | |||
Identifiable intangible assets | 44,740 | ||
Customer Relationships [Member] | FY2019 Acquisitions [Member] | |||
Assets acquired: | |||
Identifiable intangible assets | 47,553 | ||
Intellectual Property [Member] | FY2021 Acquisitions [Member] | |||
Assets acquired: | |||
Identifiable intangible assets | $ 23,920 | ||
Intellectual Property [Member] | FY2020 Acquisitions [Member] | |||
Assets acquired: | |||
Identifiable intangible assets | $ 27,120 | ||
Intellectual Property [Member] | FY2019 Acquisitions [Member] | |||
Assets acquired: | |||
Identifiable intangible assets | $ 31,459 |
ACQUISITIONS (Weighted Average
ACQUISITIONS (Weighted Average Intangible Assets Useful Life) (Details) | 12 Months Ended | ||
Oct. 31, 2021 | Oct. 31, 2020 | Oct. 31, 2019 | |
Customer Relationships [Member] | |||
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life | 12 years | 10 years | 11 years |
Intellectual Property [Member] | |||
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life | 13 years | 11 years | 15 years |
ACQUISITIONS (Details Textuals)
ACQUISITIONS (Details Textuals) - USD ($) $ in Thousands | 12 Months Ended | ||
Oct. 31, 2021 | Oct. 31, 2020 | Oct. 31, 2019 | |
Business Acquisition [Line Items] | |||
Net sales | $ 1,865,682 | $ 1,787,009 | $ 2,055,647 |
Net income | 304,220 | 313,984 | 327,896 |
Payments to Acquire Businesses, Net of Cash Acquired | 136,500 | 163,939 | $ 240,841 |
Contingent consideration, liability | $ 62,286 | $ 41,974 | |
Customer Relationships [Member] | |||
Business Acquisition [Line Items] | |||
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life | 12 years | 10 years | 11 years |
Intellectual Property [Member] | |||
Business Acquisition [Line Items] | |||
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life | 13 years | 11 years | 15 years |
HEICO Electronic [Member] | Subsidiary Three [Member] | |||
Business Acquisition [Line Items] | |||
Noncontrolling Interest, Ownership Percentage by Parent | 80.10% | ||
HEICO Electronic [Member] | Paciwave [Member] | |||
Business Acquisition [Line Items] | |||
Name of Acquired Entity | Paciwave, Inc. | ||
Description of Acquired Entity | Paciwave is a designer and manufacturer of Radio Frequency (RF) and microwave components and integrated assemblies specializing particularly in PIN Diode Switches, PIN Attenuators, PIN Limiters, Switching Assemblies and integrated subsystems found in defense and other complex electronic applications. | ||
HEICO Electronic [Member] | RH Labs [Member] | |||
Business Acquisition [Line Items] | |||
Name of Acquired Entity | R.H. Laboratories, Inc. | ||
Description of Acquired Entity | RH Labs designs and manufactures state-of-the-art RF and microwave integrated assemblies, sub-assemblies and components used in a broad range of demanding defense applications operating in harsh environments including Space. | ||
Business Acquisition, Percentage of Voting Interests Acquired | 80.10% | ||
HEICO Electronic [Member] | RH Labs [Member] | Existing Management [Member] | |||
Business Acquisition [Line Items] | |||
Percentage of interest owned by noncontrolling shareholders | 19.90% | ||
HEICO Electronic [Member] | Pyramid [Member] | |||
Business Acquisition [Line Items] | |||
Name of Acquired Entity | Pyramid Semiconductor LLC | ||
Description of Acquired Entity | Pyramid is a specialty semiconductor designer and manufacturer offering a well-developed line of processors, static random-access memory (SRAM), electronically erasable programmable read-only memory (EEPROM) and Logic products on a diverse array of military, space and medical platforms. | ||
HEICO Electronic [Member] | Connect Tech [Member] | |||
Business Acquisition [Line Items] | |||
Name of Acquired Entity | Connect Tech Inc. | ||
Description of Acquired Entity | Connect Tech designs and manufacturers rugged, small-form-factor embedded computing solutions. Connect Tech's components are designed for very harsh environments and are primarily used in rugged commercial and industrial, aerospace and defense, transportation, and smart energy applications. | ||
Amount of contingent purchase consideration, the company could be required to pay | $ 9,700 | ||
Business Acquisition, Percentage of Voting Interests Acquired | 89.99% | ||
HEICO Electronic [Member] | Connect Tech [Member] | Existing Management [Member] | |||
Business Acquisition [Line Items] | |||
Percentage of interest owned by noncontrolling shareholders | 10.01% | ||
HEICO Electronic [Member] | TSID [Member] | |||
Business Acquisition [Line Items] | |||
Name of Acquired Entity | Transformational Security, LLC and Intelligent Devices, Inc. (collectively, "TSID") | ||
Description of Acquired Entity | TSID develops and manufactures state-of-the-art Technical Surveillance Countermeasures ("TSCM") equipment used to protect critical spaces from exploitation via wireless transmissions, technical surveillance and listening devices. | ||
Amount of contingent purchase consideration, the company could be required to pay | $ 14,000 | ||
Business Acquisition, Percentage of Voting Interests Acquired | 75.00% | ||
HEICO Electronic [Member] | TSID [Member] | Existing Management [Member] | |||
Business Acquisition [Line Items] | |||
Percentage of interest owned by noncontrolling shareholders | 25.00% | ||
HEICO Electronic [Member] | Transformational Security [Member] | |||
Business Acquisition [Line Items] | |||
Name of Acquired Entity | Transformational Security, LLC | ||
HEICO Electronic [Member] | Intelligent Devices [Member] | |||
Business Acquisition [Line Items] | |||
Name of Acquired Entity | Intelligent Devices, Inc. | ||
HEICO Electronic [Member] | Freebird [Member] | |||
Business Acquisition [Line Items] | |||
Name of Acquired Entity | Freebird Semiconductor Corporation | ||
Description of Acquired Entity | Freebird is a fabless design and manufacturing company that offers advanced high-reliability wide-band gap power switching technology. | ||
Business Acquisition, Percentage of Voting Interests Acquired | 50.00% | ||
HEICO Electronic [Member] | EPC [Member] | |||
Business Acquisition [Line Items] | |||
Name of Acquired Entity | EPC Space LLC | ||
Description of Acquired Entity | EPC designs, develops, promotes, markets and sells radiation-hardened gallium nitride power solutions packaged for use in outer space and other high reliability applications. | ||
Business Acquisition, Percentage of Voting Interests Acquired | 49.00% | ||
HEICO Electronic [Member] | HMI [Member] | |||
Business Acquisition [Line Items] | |||
Name of Acquired Entity | Human-Machine Interface | ||
Description of Acquired Entity | HMI designs, manufactures, and repairs flight deck annunciators, panels, indicators, and illuminated keyboards, as well as lighting controls, and flight deck lighting. | ||
Business Acquisition, Percentage of Voting Interests Acquired | 100.00% | ||
HEICO Electronic [Member] | Quell [Member] | |||
Business Acquisition [Line Items] | |||
Name of Acquired Entity | Quell Corporation | ||
Description of Acquired Entity | Quell designs and manufactures electromagnetic interference (EMI)/radio-frequency interference (RFI) and transient protection solutions for a wide variety of connectors that principally serve customers within the aerospace and defense markets. | ||
Business Acquisition, Percentage of Voting Interests Acquired | 80.10% | ||
HEICO Electronic [Member] | Quell [Member] | Existing Management [Member] | |||
Business Acquisition [Line Items] | |||
Percentage of interest owned by noncontrolling shareholders | 19.90% | ||
HEICO Electronic [Member] | TTT-Cubed [Member] | |||
Business Acquisition [Line Items] | |||
Name of Acquired Entity | TTT-Cubed, Inc. | ||
Description of Acquired Entity | TTT is a designer and manufacturer of RF Sources, Detectors, and Controllers for a certain wide range of aerospace and defense applications. | ||
HEICO Electronic [Member] | Bernier Connect SAS [Member] | |||
Business Acquisition [Line Items] | |||
Name of Acquired Entity | Bernier Connect SAS | ||
Description of Acquired Entity | Bernier is a designer and manufacturer of interconnect products used in demanding defense, aerospace and industrial applications, primarily for communications-related purposes. | ||
HEICO Electronic [Member] | Moulages Plastiques Industriels [Member] | |||
Business Acquisition [Line Items] | |||
Name of Acquired Entity | Moulages Plastiques Industriels de L'essonne | ||
Description of Acquired Entity | a plastics manufacturer ("MPI"). | ||
Business Acquisition, Percentage of Voting Interests Acquired | 70.00% | ||
HEICO Electronic [Member] | Research Electronics International [Member] | |||
Business Acquisition [Line Items] | |||
Name of Acquired Entity | Research Electronics International, LLC | ||
Description of Acquired Entity | REI is a designer and manufacturer of TSCM equipment to detect devices used for espionage and information theft. | ||
Business Acquisition, Percentage of Voting Interests Acquired | 75.00% | ||
HEICO Electronic [Member] | Research Electronics International [Member] | Existing Management [Member] | |||
Business Acquisition [Line Items] | |||
Percentage of interest owned by noncontrolling shareholders | 25.00% | ||
HEICO Electronic [Member] | Solid Sealing Technology [Member] | |||
Business Acquisition [Line Items] | |||
Name of Acquired Entity | Solid Sealing Technology, Inc. | ||
Description of Acquired Entity | SST designs and manufactures high-reliability ceramic-to-metal feedthroughs and connectors for demanding environments within the defense, industrial, life science, medical, research, semiconductor, and other markets. | ||
Business Acquisition, Percentage of Voting Interests Acquired | 85.00% | ||
HEICO Electronic [Member] | Solid Sealing Technology [Member] | Existing Management [Member] | |||
Business Acquisition [Line Items] | |||
Percentage of interest owned by noncontrolling shareholders | 15.00% | ||
HEICO Electronic [Member] | Apex [Member] | |||
Business Acquisition [Line Items] | |||
Name of Acquired Entity | Apex Microtechnology, Inc. | ||
Description of Acquired Entity | Apex designs and manufactures precision power analog monolithic, hybrid and open frame components for a certain wide range of aerospace, defense, industrial, measurement, medical and test applications. | ||
Business Acquisition, Percentage of Voting Interests Acquired | 92.70% | ||
HEICO Electronic [Member] | Apex [Member] | Existing Management [Member] | |||
Business Acquisition [Line Items] | |||
Percentage of interest owned by noncontrolling shareholders | 7.30% | ||
HEICO Electronic [Member] | Specialty Silicone Products [Member] | |||
Business Acquisition [Line Items] | |||
Name of Acquired Entity | Specialty Silicone Products, Inc. | ||
Description of Acquired Entity | SSP designs and manufactures silicone material for a variety of demanding applications used in aerospace, defense, research, oil and gas, testing, pharmaceuticals and other markets. | ||
Heico Flight Support Corp [Member] | Subsidiary Three [Member] | |||
Business Acquisition [Line Items] | |||
Noncontrolling Interest, Ownership Percentage by Parent | 84.00% | ||
Heico Flight Support Corp [Member] | Ridge Holdco [Member] | |||
Business Acquisition [Line Items] | |||
Name of Acquired Entity | Ridge HoldCo, LLC | ||
Amount of contingent purchase consideration, the company could be required to pay | $ 18,300 | ||
Business Acquisition, Percentage of Voting Interests Acquired | 89.00% | ||
Heico Flight Support Corp [Member] | Ridge Holdco [Member] | Existing Management [Member] | |||
Business Acquisition [Line Items] | |||
Percentage of interest owned by noncontrolling shareholders | 11.00% | ||
Heico Flight Support Corp [Member] | Ridge Engineering [Member] | Ridge Holdco [Member] | |||
Business Acquisition [Line Items] | |||
Name of Acquired Entity | Ridge Engineering, Inc. | ||
Description of Acquired Entity | Ridge performs tight-tolerance machining and brazing of large-sized parts in mission-critical defense and aerospace applications. | ||
Heico Flight Support Corp [Member] | Bechdon [Member] | Ridge Holdco [Member] | |||
Business Acquisition [Line Items] | |||
Name of Acquired Entity | The Bechdon Company, Inc. | ||
Description of Acquired Entity | Bechdon provides machining, fabrication and welding services for aerospace, defense and other industrial applications. | ||
Heico Flight Support Corp [Member] | Camtronics [Member] | |||
Business Acquisition [Line Items] | |||
Name of Acquired Entity | Camtronics, LLC | ||
Description of Acquired Entity | Camtronics is a Federal Aviation Administration ("FAA")-certified Part 145 repair station with extensive proprietary FAA-designated engineering representative repairs for a variety of domestic and international commercial and cargo airlines. | ||
Business Acquisition, Percentage of Voting Interests Acquired | 80.10% | ||
Heico Flight Support Corp [Member] | Camtronics [Member] | Existing Management [Member] | |||
Business Acquisition [Line Items] | |||
Percentage of interest owned by noncontrolling shareholders | 10.00% | ||
Heico Flight Support Corp [Member] | Camtronics [Member] | Subsidiary Three [Member] | |||
Business Acquisition [Line Items] | |||
Percentage of interest owned by noncontrolling shareholders | 9.90% | ||
Heico Flight Support Corp [Member] | Rocky Mountain [Member] | |||
Business Acquisition [Line Items] | |||
Name of Acquired Entity | Rocky Mountain Hydrostatics, LLC | ||
Description of Acquired Entity | Rocky Mountain overhauls industrial pumps, motors, and other hydraulic units with a focus on the support of legacy systems for the U.S. Navy. | ||
Business Acquisition, Percentage of Voting Interests Acquired | 70.00% | ||
Heico Flight Support Corp [Member] | Rocky Mountain [Member] | Existing Management [Member] | |||
Business Acquisition [Line Items] | |||
Percentage of interest owned by noncontrolling shareholders | 30.00% | ||
Heico Flight Support Corp [Member] | Decavo [Member] | |||
Business Acquisition [Line Items] | |||
Name of Acquired Entity | Decavo LLC | ||
Description of Acquired Entity | Decavo designs and produces complex composite parts and assemblies incorporated into camera and related sensor assemblies and unmanned aerial vehicle ("UAV") airframes used in demanding defense and civilian applications. | ||
Amount of contingent purchase consideration, the company could be required to pay | $ 2,100 | ||
Business Acquisition, Percentage of Voting Interests Acquired | 80.10% | ||
Heico Flight Support Corp [Member] | Decavo [Member] | Existing Management [Member] | |||
Business Acquisition [Line Items] | |||
Percentage of interest owned by noncontrolling shareholders | 19.90% |
SELECTED FINANCIAL STATEMENT _3
SELECTED FINANCIAL STATEMENT INFORMATION, Accounts Receivable (Details) - USD ($) $ in Thousands | Oct. 31, 2021 | Oct. 31, 2020 |
Accounts receivable | $ 255,793 | $ 223,171 |
Less: Allowance for doubtful accounts | (10,874) | (12,738) |
Accounts receivable, net | $ 244,919 | $ 210,433 |
SELECTED FINANCIAL STATEMENT _4
SELECTED FINANCIAL STATEMENT INFORMATION, Inventories (Details) - USD ($) $ in Thousands | Oct. 31, 2021 | Oct. 31, 2020 |
Finished products | $ 238,867 | $ 235,501 |
Work in process | 44,887 | 37,957 |
Materials, parts, assemblies and supplies | 194,296 | 189,747 |
Inventories, net of valuation reserves | $ 478,050 | $ 463,205 |
SELECTED FINANCIAL STATEMENT _5
SELECTED FINANCIAL STATEMENT INFORMATION, Property, Plant and Equipment (Details) - USD ($) $ in Thousands | Oct. 31, 2021 | Oct. 31, 2020 | Oct. 31, 2019 |
Property, Plant and Equipment [Line Items] | |||
Land | $ 11,363 | $ 6,678 | |
Buildings and improvements | 134,150 | 120,769 | |
Machinery, equipment and tooling | 297,297 | 265,408 | |
Construction in progress | 7,784 | 8,487 | |
Property, Plant and Equipment, Gross | 450,594 | 401,342 | |
Less: Accumulated depreciation and amortization | (256,956) | (232,494) | |
Property, plant and equipment, net | $ 193,638 | $ 168,848 | $ 173,345 |
SELECTED FINANCIAL STATEMENT _6
SELECTED FINANCIAL STATEMENT INFORMATION, Accrued Expenses and Other Current Liabilities (Details) - USD ($) $ in Thousands | Oct. 31, 2021 | Oct. 31, 2020 |
Accrued employee compensation and related payroll taxes | $ 121,200 | $ 83,055 |
Deferred Revenue, Current | 32,738 | 25,631 |
Accrued customer rebates and credits | 13,237 | 15,813 |
Current operating lease liabilities | 13,874 | 14,180 |
Other Liabilities, Current | 25,808 | 23,553 |
Accrued expenses and other current liabilities | $ 206,857 | $ 162,232 |
SELECTED FINANCIAL STATEMENT _7
SELECTED FINANCIAL STATEMENT INFORMATION SELECTED FINANCIAL STATEMENT INFORMATION, Research and Development Expenses (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Oct. 31, 2021 | Oct. 31, 2020 | Oct. 31, 2019 | |
R&D expenses | $ 68,877 | $ 65,559 | $ 66,630 |
SELECTED FINANCIAL STATEMENT _8
SELECTED FINANCIAL STATEMENT INFORMATION SELECTED FINANCIAL STATEMENT INFORMATION, Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Oct. 31, 2021 | Oct. 31, 2020 | Oct. 31, 2019 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Accumulated Other Comprehensive Income (Loss), Balance Start | $ (9,149) | $ (16,739) | |
Unrealized gain/(loss) | 535 | 7,937 | $ (1,708) |
Amortization of unrealized loss | 135 | 73 | |
Accumulated Other Comprehensive Income (Loss), Balance End | (8,552) | (9,149) | (16,739) |
Foreign Currency Translation [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Accumulated Other Comprehensive Income (Loss), Balance Start | (6,460) | (14,989) | |
Foreign Currency Translation Unrealized (loss) gain | (529) | 8,529 | |
Accumulated Other Comprehensive Income (Loss), Balance End | (6,989) | (6,460) | (14,989) |
Pension Benefit Obligation [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Accumulated Other Comprehensive Income (Loss), Balance Start | (2,689) | (1,750) | |
Unrealized gain/(loss) | 991 | (1,012) | |
Amortization of unrealized loss | 135 | 73 | |
Accumulated Other Comprehensive Income (Loss), Balance End | (1,563) | (2,689) | $ (1,750) |
Accumulated Other Comprehensive Income (Loss) [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Unrealized gain/(loss) | $ 462 | $ 7,517 |
SELECTED FINANCIAL STATEMENT _9
SELECTED FINANCIAL STATEMENT INFORMATION (Details Textuals) - USD ($) $ in Thousands | 12 Months Ended | ||
Oct. 31, 2021 | Oct. 31, 2020 | Oct. 31, 2019 | |
Selected Financial Statement Information (Details) [Abstract] | |||
Total customer rebates and credits deducted within net sales | $ 3,300 | $ 4,600 | $ 9,000 |
Property, Plant and Equipment [Abstract] | |||
Property, plant and equipment, net | 193,638 | 168,848 | 173,345 |
Amortization | 65,215 | 61,494 | 57,739 |
Depreciation and amortization | $ 93,019 | 88,561 | 83,497 |
Other Assets and Liabilities, Noncurrent [Abstract] | |||
Defined Contribution Plan, Employer Matching Contribution, Percent of Match | 50.00% | ||
Defined Contribution Plan, Employer Matching Contribution, Percent of Employees' Gross Pay | 6.00% | ||
Contributions to the plan charged | $ 7,100 | 4,700 | 6,100 |
Deferred compensation plans | 245,584 | 180,139 | |
Leadership Compensation Plan [Member] | |||
Other Assets and Liabilities, Noncurrent [Abstract] | |||
Employee related deferred compensation plans, specified as other long-term liabilities | 244,300 | 178,300 | |
Tooling [Member] | |||
Property, Plant and Equipment [Abstract] | |||
Property, plant and equipment, net | 6,800 | 8,300 | |
Amortization | 2,800 | 3,200 | 3,100 |
Property, Plant and Equipment, Exclusive of Tooling [Member] | |||
Property, Plant and Equipment [Abstract] | |||
Depreciation and amortization | 27,800 | 27,100 | $ 25,800 |
Leadership Compensation Plan [Member] | |||
Other Assets and Liabilities, Noncurrent [Abstract] | |||
Deferred compensation plans | $ 245,600 | $ 180,100 |
GOODWILL AND OTHER INTANGIBLE_3
GOODWILL AND OTHER INTANGIBLE ASSETS, Goodwill (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Oct. 31, 2021 | Oct. 31, 2020 | |
Goodwill [Roll Forward] | ||
Opening Balances | $ 1,383,167 | $ 1,268,703 |
Goodwill acquired | 66,450 | 114,380 |
Foreign currency translation adjustments | (767) | (4,618) |
Deconsolidation of subsidiary | (4,249) | |
Adjustments to goodwill | 11 | (285) |
Ending Balances | 1,450,395 | 1,383,167 |
Flight Support Group [Member] | ||
Goodwill [Roll Forward] | ||
Opening Balances | 427,565 | 410,044 |
Goodwill acquired | 40,308 | 14,979 |
Foreign currency translation adjustments | (227) | (2,542) |
Adjustments to goodwill | 188 | |
Ending Balances | 468,288 | 427,565 |
Electronic Technologies Group [Member] | ||
Goodwill [Roll Forward] | ||
Opening Balances | 955,602 | 858,659 |
Goodwill acquired | 26,142 | 99,401 |
Foreign currency translation adjustments | (540) | (2,076) |
Deconsolidation of subsidiary | (4,249) | |
Adjustments to goodwill | (177) | (285) |
Ending Balances | $ 982,107 | $ 955,602 |
GOODWILL AND OTHER INTANGIBLE_4
GOODWILL AND OTHER INTANGIBLE ASSETS, Identifiable Intangible Assets (Details) - USD ($) $ in Thousands | Oct. 31, 2021 | Oct. 31, 2020 |
Amortizing Assets: | ||
Customer Relationships, Gross | $ 464,506 | $ 443,143 |
Intellectual Property, Gross | 255,011 | 240,725 |
License, Gross | 6,559 | 6,559 |
Patents, Gross | 1,110 | 1,071 |
Noncompete Agreements, Gross | 722 | 811 |
Trade Names, Gross | 450 | 450 |
Gross Carrying Amount | 728,358 | 692,759 |
Accumulated Amortization | (322,255) | (280,051) |
Amortizing Net Carrying Amount | 406,103 | 412,708 |
Non-Amortizing Assets: | ||
Indefinite-Lived Trade Names | 176,204 | 166,333 |
Total Gross Carrying Amount | 904,562 | 859,092 |
Total Net Carrying Amount | 582,307 | 579,041 |
Customer Relationships [Member] | ||
Amortizing Assets: | ||
Accumulated Amortization | (221,098) | (188,919) |
Amortizing Net Carrying Amount | 243,408 | 254,224 |
Intellectual Property [Member] | ||
Amortizing Assets: | ||
Accumulated Amortization | (94,313) | (84,686) |
Amortizing Net Carrying Amount | 160,698 | 156,039 |
Licensing Agreements [Member] | ||
Amortizing Assets: | ||
Accumulated Amortization | (5,072) | (4,670) |
Amortizing Net Carrying Amount | 1,487 | 1,889 |
Patents [Member] | ||
Amortizing Assets: | ||
Accumulated Amortization | (793) | (746) |
Amortizing Net Carrying Amount | 317 | 325 |
Noncompete Agreements [Member] | ||
Amortizing Assets: | ||
Accumulated Amortization | (722) | (811) |
Amortizing Net Carrying Amount | 0 | 0 |
Trade Names [Member] | ||
Amortizing Assets: | ||
Accumulated Amortization | (257) | (219) |
Amortizing Net Carrying Amount | $ 193 | $ 231 |
GOODWILL AND OTHER INTANGIBLE_5
GOODWILL AND OTHER INTANGIBLE ASSETS (Details Textuals) - USD ($) $ in Millions | 12 Months Ended | ||
Oct. 31, 2021 | Oct. 31, 2020 | Oct. 31, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |||
Goodwill, Expected Tax Deductible Amount | $ 61 | $ 46 | |
Amortization expense related to intangible assets | 61.3 | $ 57.4 | $ 53.7 |
Estimated Amortization expense related to intangible assets, year one | 58.1 | ||
Estimated Amortization expense related to intangible assets, year two | 52.4 | ||
Estimated Amortization expense related to intangible assets, year three | 47.4 | ||
Estimated Amortization expense related to intangible assets, year four | 42.9 | ||
Estimated Amortization expense related to intangible assets, year five | 38.5 | ||
Estimated Amortization expense related to intangible assets, year, there after | $ 166.8 |
LONG-TERM DEBT (Details)
LONG-TERM DEBT (Details) - USD ($) $ in Thousands | Oct. 31, 2021 | Oct. 31, 2020 | |
Borrowings under revolving credit facility | $ 225,000 | $ 730,000 | |
Finance leases and notes payable | [1] | 11,498 | 9,831 |
Long-term Debt and Lease Obligation, Including Current Maturities | 236,498 | 739,831 | |
Less: Current maturities of long-term debt | (1,515) | (1,045) | |
Long-term debt, net of current maturities | $ 234,983 | $ 738,786 | |
[1] | See Note 9, Leases, for additional information regarding the Company's finance leases. |
LONG-TERM DEBT (Details Textual
LONG-TERM DEBT (Details Textuals) - USD ($) $ in Thousands | 12 Months Ended | |
Oct. 31, 2021 | Oct. 31, 2020 | |
Revolving Credit Facility [Member] | ||
Debt Instrument [Line Items] | ||
Debt, Weighted Average Interest Rate | 1.10% | 1.30% |
Credit Facility [Abstract] | ||
Line of Credit Facility, Increase (Decrease), Net | $ 200,000 | |
Credit Facility, Current Borrowing Capacity | 1,500,000 | $ 1,300,000 |
Line of Credit Facility Change in Borrowing Capacity | 350,000 | |
Credit Facility, Maximum Borrowing Capacity | $ 1,850,000 | |
Credit facility, interest rate description | Borrowings under the Credit Facility accrue interest at the Company’s election of the Base Rate or the Eurocurrency Rate, plus in each case, the Applicable Rate (based on the Company’s Total Leverage Ratio). The Base Rate for any day is a fluctuating rate per annum equal to the highest of (i) the Prime Rate; (ii) the Federal Funds Rate plus .50%; and (iii) the Eurocurrency Rate for an Interest Period of one month plus 100 basis points. The Eurocurrency Rate is the rate per annum obtained by dividing LIBOR for the applicable Interest Period by a percentage equal to 1.00 minus the daily average Eurocurrency Reserve Rate for such Interest Period, as such capitalized terms are defined in the Credit Facility. | |
Revolving Credit Facility [Member] | Minimum [Member] | ||
Credit Facility [Abstract] | ||
Credit facility unused capacity, commitment fee percentage | 0.125% | |
Revolving Credit Facility [Member] | Maximum [Member] | ||
Credit Facility [Abstract] | ||
Credit facility unused capacity, commitment fee percentage | 0.30% | |
Revolving Credit Facility [Member] | Eurodollar [Member] | Minimum [Member] | ||
Credit Facility [Abstract] | ||
Credit Facility, Interest Rate, Increase (Decrease) | 1.00% | |
Revolving Credit Facility [Member] | Eurodollar [Member] | Maximum [Member] | ||
Credit Facility [Abstract] | ||
Credit Facility, Interest Rate, Increase (Decrease) | 2.00% | |
Revolving Credit Facility [Member] | Base Rate [Member] | Minimum [Member] | ||
Credit Facility [Abstract] | ||
Credit Facility, Interest Rate, Increase (Decrease) | 0.00% | |
Revolving Credit Facility [Member] | Base Rate [Member] | Maximum [Member] | ||
Credit Facility [Abstract] | ||
Credit Facility, Interest Rate, Increase (Decrease) | 1.00% | |
Foreign Line of Credit [Member] | ||
Credit Facility [Abstract] | ||
Credit Facility, Current Borrowing Capacity | $ 100,000 | |
Letter of Credit [Member] | ||
Credit Facility [Abstract] | ||
Credit Facility, Current Borrowing Capacity | $ 50,000 |
REVENUE (Contract Assets and Li
REVENUE (Contract Assets and Liabilities) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Oct. 31, 2021 | Oct. 31, 2020 | |
Revenue from Contract with Customer [Abstract] | ||
Contract assets | $ 80,073 | $ 60,429 |
Contract liabilities | 32,738 | 25,631 |
Net contract assets | 47,335 | $ 34,798 |
Change in contract assets | 19,644 | |
Change in contract liabilities | 7,107 | |
Change in net contract assets | $ 12,537 |
REVENUE (Disaggregation of Reve
REVENUE (Disaggregation of Revenue, by Product Line) (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Oct. 31, 2021 | Oct. 31, 2020 | Oct. 31, 2019 | ||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer | $ 1,865,682 | $ 1,787,009 | $ 2,055,647 | |
Flight Support Group [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer | 927,089 | 924,812 | 1,240,183 | |
Flight Support Group [Member] | Aftermarket Replacement Parts [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer | [1] | 535,217 | 525,636 | 678,001 |
Flight Support Group [Member] | Repair and Overhaul Parts and Services [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer | [2] | 208,215 | 193,164 | 299,323 |
Flight Support Group [Member] | Specialty Products [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer | [3] | 183,657 | 206,012 | 262,859 |
Electronic Technologies Group [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer | 959,170 | 874,987 | 834,522 | |
Electronic Technologies Group [Member] | Electronic Components for Defense, Space and Aerospace [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer | [4] | 709,621 | 679,901 | 633,685 |
Electronic Technologies Group [Member] | Other Electronic Components [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer | [5] | 249,549 | 195,086 | 200,837 |
Corporate And Eliminations [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer | $ (20,577) | $ (12,790) | $ (19,058) | |
[1] | Includes various jet engine and aircraft component replacement parts. | |||
[2] | Includes primarily the sale of parts consumed in various repair and overhaul services on selected jet engine and aircraft components, avionics, instruments, composites and flight surfaces of commercial and military aircraft. | |||
[3] | Includes primarily the sale of specialty components such as thermal insulation blankets, renewable/reusable insulation systems, advanced niche components, complex composite assemblies, and expanded foil mesh as well as machining, brazing, fabricating and welding services generally to original equipment manufacturers. | |||
[4] | Includes various component parts such as electro-optical infrared simulation and test equipment, electro-optical laser products, electro-optical, microwave and other power equipment, high-speed interface products, power conversion products, underwater locator beacons, emergency locator transmission beacons, traveling wave tube amplifiers, microwave power modules, a wide variety of memory products and radio frequency (RF) and microwave products, crashworthy and ballistically self-sealing auxiliary fuel systems, high performance communications and electronic intercept receivers and tuners, high performance active antenna systems and technical surveillance countermeasures (TSCM) equipment. | |||
[5] | Includes various component parts such as electromagnetic and radio frequency interference shielding, high voltage interconnection devices, high voltage advanced power electronics, harsh environment connectivity products, custom molded cable assemblies, silicone material for a variety of demanding applications and rugged small form-factor embedded computing solutions. |
REVENUE (Disaggregation of Re_2
REVENUE (Disaggregation of Revenue, by Industry) (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Oct. 31, 2021 | Oct. 31, 2020 | Oct. 31, 2019 | ||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer | $ 1,865,682 | $ 1,787,009 | $ 2,055,647 | |
Flight Support Group [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer | 927,089 | 924,812 | 1,240,183 | |
Flight Support Group [Member] | Aerospace [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer | 660,867 | 669,194 | 1,004,088 | |
Flight Support Group [Member] | Defense and Space [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer | 224,236 | 213,273 | 190,076 | |
Flight Support Group [Member] | Other Industries [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer | [1] | 41,986 | 42,345 | 46,019 |
Electronic Technologies Group [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer | 959,170 | 874,987 | 834,522 | |
Electronic Technologies Group [Member] | Aerospace [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer | 74,766 | 71,657 | 85,604 | |
Electronic Technologies Group [Member] | Defense and Space [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer | 599,570 | 577,581 | 531,029 | |
Electronic Technologies Group [Member] | Other Industries [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer | [2] | 284,834 | 225,749 | 217,889 |
Corporate And Eliminations [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer | $ (20,577) | $ (12,790) | $ (19,058) | |
[1] | Principally industrial products. | |||
[2] | Principally other electronics and medical products. |
REVENUE (Details Textuals)
REVENUE (Details Textuals) $ in Millions | 12 Months Ended |
Oct. 31, 2021USD ($) | |
Revenue from Contract with Customer [Abstract] | |
Liability, Revenue Recognized | $ 20.7 |
Expected Timing of Satisfaction, Start Date [Axis]: 2021-11-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Remaining Performance Obligation, Amount | $ 461 |
Remaining Performance Obligation, Expected Timing of Satisfaction, Period | 1 year |
Expected Timing of Satisfaction, Start Date [Axis]: 2021-11-02 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Remaining Performance Obligation, Amount | $ 344.7 |
Remaining Performance Obligation, Expected Timing of Satisfaction, Period | 1 year |
Expected Timing of Satisfaction, Start Date [Axis]: 2022-11-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Remaining Performance Obligation, Amount | $ 116.3 |
Remaining Performance Obligation, Expected Timing of Satisfaction, Period | 1 year 1 day |
INCOME TAXES, Domestic and Fore
INCOME TAXES, Domestic and Foreign Income (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Oct. 31, 2021 | Oct. 31, 2020 | Oct. 31, 2019 | |
Income Tax Disclosure [Abstract] | |||
Domestic | $ 345,733 | $ 327,754 | $ 386,584 |
Foreign | 41,325 | 37,101 | 51,257 |
Income before taxes and noncontrolling interests | $ 387,058 | $ 364,855 | $ 437,841 |
INCOME TAXES, Current and Defer
INCOME TAXES, Current and Deferred Expense Components (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Oct. 31, 2021 | Oct. 31, 2020 | Oct. 31, 2019 | |
Current: | |||
Federal | $ 47,839 | $ 17,730 | $ 56,670 |
State | 11,639 | 4,167 | 12,795 |
Foreign | 13,457 | 13,101 | 15,027 |
Current income tax expense | 72,935 | 34,998 | 84,492 |
Deferred: | |||
Federal | (10,097) | (3,364) | (3,140) |
State | (3,251) | (55) | (1,263) |
Foreign | (2,287) | (2,579) | (1,989) |
Deferred Income Tax Expense (Benefit) | (15,635) | (5,998) | (6,392) |
Income tax expense | $ 57,300 | $ 29,000 | $ 78,100 |
INCOME TAXES, Rate Reconciliati
INCOME TAXES, Rate Reconciliation (Details) | 12 Months Ended | ||
Oct. 31, 2021 | Oct. 31, 2020 | Oct. 31, 2019 | |
Federal statutory income tax rate | 21.00% | 21.00% | 21.00% |
State taxes, less applicable federal income tax reduction | 2.90% | 3.70% | 3.00% |
Tax benefit related to stock option exercises | (3.70%) | (13.30%) | (3.80%) |
Tax Exempt Gains on Corporate-owned Life Insurance Policies | (2.90%) | (0.70%) | (0.60%) |
Research and development tax credits | (2.50%) | (2.40%) | (1.70%) |
Foreign derived intangible income deduction | (0.019) | (0.016) | (0.014) |
Nondeductible compensation | 1.20% | 0.40% | 0.80% |
Other, net | 0.70% | 0.80% | 0.50% |
Effective tax rate | 14.80% | 7.90% | 17.80% |
INCOME TAXES, Deferred Tax Asse
INCOME TAXES, Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Thousands | Oct. 31, 2021 | Oct. 31, 2020 |
Deferred tax assets: | ||
Deferred compensation liability | $ 54,726 | $ 41,744 |
Inventories | 41,354 | 36,414 |
Operating lease liabilities | 16,483 | 12,980 |
Share-based compensation | 8,759 | 8,746 |
Bonus accrual | 4,615 | 2,539 |
Allowance for doubtful accounts receivable | 2,532 | 2,966 |
Deferred Tax Assets, Deferred Payroll Taxes | 2,372 | 1,754 |
Customer rebates accrual | 2,236 | 2,667 |
Vacation accrual | 1,910 | 1,840 |
Other | 9,102 | 8,952 |
Deferred Tax Assets, Gross | 144,089 | 120,602 |
Deferred tax liabilities: | ||
Goodwill and other intangible assets | (145,024) | (141,152) |
Property, plant and equipment | (19,580) | (16,130) |
Operating lease right-of-use assets | (15,941) | (12,327) |
Adoption of ASC 606 (revenue recognition) | (2,677) | (4,733) |
Other | (1,628) | (1,918) |
Total deferred tax liabilities | (184,850) | (176,260) |
Net deferred tax liabilities | $ (40,761) | $ (55,658) |
INCOME TAXES, Unrecognized Tax
INCOME TAXES, Unrecognized Tax Benefits (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Oct. 31, 2021 | Oct. 31, 2020 | |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | ||
Balances as of beginning of year | $ 2,946 | $ 2,670 |
Increases related to current year tax positions | 710 | 489 |
Increases related to prior year tax positions | 839 | 32 |
Decreases related to prior year tax positions | 0 | (18) |
Lapse of statutes of limitations | (423) | (227) |
Balances as of end of year | $ 4,072 | $ 2,946 |
INCOME TAXES (Details Textuals)
INCOME TAXES (Details Textuals) - USD ($) $ in Thousands | 12 Months Ended | ||
Oct. 31, 2021 | Oct. 31, 2020 | Oct. 31, 2019 | |
Income Tax Disclosure [Abstract] | |||
Effective Income Tax Rate, Continuing Operations | 14.80% | 7.90% | 17.80% |
Deferred Tax Expense from Stock Options Exercised | $ 14,200 | $ 48,300 | |
Change in tax benefit for stock option exercises | 34,100 | 31,800 | |
Gross unrecognized tax benefits related to uncertain tax positions | 4,072 | 2,946 | $ 2,670 |
Unrecognized tax benefits that would impact effective tax rate | $ 3,200 | $ 2,300 |
FAIR VALUE MEASUREMENTS, Assets
FAIR VALUE MEASUREMENTS, Assets and Liabilities, Measured on Recurring Basis (Details) - USD ($) $ in Thousands | Oct. 31, 2021 | Oct. 31, 2020 |
Assets [Abstract] | ||
Deferred Compensation Plan Assets | $ 245,584 | $ 180,139 |
Liabilities [Abstract] | ||
Contingent consideration, liability | 62,286 | 41,974 |
Fair Value, Inputs, Level 1 [Member] | ||
Assets [Abstract] | ||
Deferred Compensation Plan Assets | 4 | 11 |
Fair Value, Inputs, Level 2 [Member] | ||
Assets [Abstract] | ||
Deferred Compensation Plan Assets | 245,580 | 180,128 |
Fair Value, Inputs, Level 3 [Member] | ||
Liabilities [Abstract] | ||
Contingent consideration, liability | 62,286 | 41,974 |
Corporate Owned Life Insurance [Member] | ||
Assets [Abstract] | ||
Deferred Compensation Plan Assets | 245,580 | 180,128 |
Corporate Owned Life Insurance [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Assets [Abstract] | ||
Deferred Compensation Plan Assets | 245,580 | 180,128 |
Money Market Funds [Member] | ||
Assets [Abstract] | ||
Deferred Compensation Plan Assets | 4 | 11 |
Money Market Funds [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Assets [Abstract] | ||
Deferred Compensation Plan Assets | $ 4 | $ 11 |
FAIR VALUE MEASUREMENTS, Contin
FAIR VALUE MEASUREMENTS, Contingent Consideration Level 3 Valuation Inputs (Details) $ in Thousands | Oct. 31, 2021USD ($) | Oct. 31, 2020USD ($) | Oct. 31, 2019USD ($) | |
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability Value | $ 62,286 | |||
Fair Value, Inputs, Level 3 [Member] | ||||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability Value | $ 41,974 | $ 18,326 | ||
FY2021 Acquisition [Member] | Fair Value, Inputs, Level 3 [Member] | ||||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability Value | 18,324 | |||
FY2020 Acquisition Subsidiary 1 [Member] | Fair Value, Inputs, Level 3 [Member] | ||||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability Value | 11,995 | |||
FY2020 Acquisition Subsidiary 2 [Member] | Fair Value, Inputs, Level 3 [Member] | ||||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability Value | 13,335 | |||
FY 2017 Acquisition [Member] | Fair Value, Inputs, Level 3 [Member] | ||||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability Value | $ 18,632 | |||
Measurement Input, Long-term Revenue Growth Rate [Member] | FY2021 Acquisition [Member] | Fair Value, Inputs, Level 3 [Member] | ||||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||||
Business Combination, Contingent Consideration, Liability, Measurement Input | [1] | 0.07 | ||
Measurement Input, Long-term Revenue Growth Rate [Member] | FY2021 Acquisition [Member] | Fair Value, Inputs, Level 3 [Member] | Minimum [Member] | ||||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||||
Business Combination, Contingent Consideration, Liability, Measurement Input | 0 | |||
Measurement Input, Long-term Revenue Growth Rate [Member] | FY2021 Acquisition [Member] | Fair Value, Inputs, Level 3 [Member] | Maximum [Member] | ||||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||||
Business Combination, Contingent Consideration, Liability, Measurement Input | 0.0009 | |||
Measurement Input, Long-term Revenue Growth Rate [Member] | FY2020 Acquisition Subsidiary 1 [Member] | Fair Value, Inputs, Level 3 [Member] | ||||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||||
Business Combination, Contingent Consideration, Liability, Measurement Input | [1] | 0.11 | ||
Measurement Input, Long-term Revenue Growth Rate [Member] | FY2020 Acquisition Subsidiary 1 [Member] | Fair Value, Inputs, Level 3 [Member] | Minimum [Member] | ||||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||||
Business Combination, Contingent Consideration, Liability, Measurement Input | 0.0006 | |||
Measurement Input, Long-term Revenue Growth Rate [Member] | FY2020 Acquisition Subsidiary 1 [Member] | Fair Value, Inputs, Level 3 [Member] | Maximum [Member] | ||||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||||
Business Combination, Contingent Consideration, Liability, Measurement Input | 0.0017 | |||
Measurement Input, Long-term Revenue Growth Rate [Member] | FY2020 Acquisition Subsidiary 2 [Member] | Fair Value, Inputs, Level 3 [Member] | ||||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||||
Business Combination, Contingent Consideration, Liability, Measurement Input | [1] | 0.10 | ||
Measurement Input, Long-term Revenue Growth Rate [Member] | FY2020 Acquisition Subsidiary 2 [Member] | Fair Value, Inputs, Level 3 [Member] | Minimum [Member] | ||||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||||
Business Combination, Contingent Consideration, Liability, Measurement Input | 0.0002 | |||
Measurement Input, Long-term Revenue Growth Rate [Member] | FY2020 Acquisition Subsidiary 2 [Member] | Fair Value, Inputs, Level 3 [Member] | Maximum [Member] | ||||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||||
Business Combination, Contingent Consideration, Liability, Measurement Input | 0.0016 | |||
Measurement Input, Long-term Revenue Growth Rate [Member] | FY 2017 Acquisition [Member] | Fair Value, Inputs, Level 3 [Member] | ||||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||||
Business Combination, Contingent Consideration, Liability, Measurement Input | [1] | 0.04 | ||
Measurement Input, Long-term Revenue Growth Rate [Member] | FY 2017 Acquisition [Member] | Fair Value, Inputs, Level 3 [Member] | Minimum [Member] | ||||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||||
Business Combination, Contingent Consideration, Liability, Measurement Input | (0.0003) | |||
Measurement Input, Long-term Revenue Growth Rate [Member] | FY 2017 Acquisition [Member] | Fair Value, Inputs, Level 3 [Member] | Maximum [Member] | ||||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||||
Business Combination, Contingent Consideration, Liability, Measurement Input | 0.0007 | |||
Measurement Input, Discount Rate [Member] | FY2021 Acquisition [Member] | Fair Value, Inputs, Level 3 [Member] | ||||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||||
Business Combination, Contingent Consideration, Liability, Measurement Input | [1] | 0.051 | ||
Measurement Input, Discount Rate [Member] | FY2021 Acquisition [Member] | Fair Value, Inputs, Level 3 [Member] | Minimum [Member] | ||||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||||
Business Combination, Contingent Consideration, Liability, Measurement Input | 0.00050 | |||
Measurement Input, Discount Rate [Member] | FY2021 Acquisition [Member] | Fair Value, Inputs, Level 3 [Member] | Maximum [Member] | ||||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||||
Business Combination, Contingent Consideration, Liability, Measurement Input | 0.00052 | |||
Measurement Input, Discount Rate [Member] | FY2020 Acquisition Subsidiary 1 [Member] | Fair Value, Inputs, Level 3 [Member] | ||||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||||
Business Combination, Contingent Consideration, Liability, Measurement Input | [1] | 0.045 | ||
Measurement Input, Discount Rate [Member] | FY2020 Acquisition Subsidiary 1 [Member] | Fair Value, Inputs, Level 3 [Member] | Minimum [Member] | ||||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||||
Business Combination, Contingent Consideration, Liability, Measurement Input | 0.00043 | |||
Measurement Input, Discount Rate [Member] | FY2020 Acquisition Subsidiary 1 [Member] | Fair Value, Inputs, Level 3 [Member] | Maximum [Member] | ||||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||||
Business Combination, Contingent Consideration, Liability, Measurement Input | 0.00050 | |||
Measurement Input, Discount Rate [Member] | FY2020 Acquisition Subsidiary 2 [Member] | Fair Value, Inputs, Level 3 [Member] | ||||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||||
Business Combination, Contingent Consideration, Liability, Measurement Input | [1] | 0.050 | ||
Measurement Input, Discount Rate [Member] | FY2020 Acquisition Subsidiary 2 [Member] | Fair Value, Inputs, Level 3 [Member] | Minimum [Member] | ||||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||||
Business Combination, Contingent Consideration, Liability, Measurement Input | 0.00050 | |||
Measurement Input, Discount Rate [Member] | FY2020 Acquisition Subsidiary 2 [Member] | Fair Value, Inputs, Level 3 [Member] | Maximum [Member] | ||||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||||
Business Combination, Contingent Consideration, Liability, Measurement Input | 0.00050 | |||
Measurement Input, Discount Rate [Member] | FY 2017 Acquisition [Member] | Fair Value, Inputs, Level 3 [Member] | ||||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||||
Business Combination, Contingent Consideration, Liability, Measurement Input | [1] | 0.037 | ||
Measurement Input, Discount Rate [Member] | FY 2017 Acquisition [Member] | Fair Value, Inputs, Level 3 [Member] | Minimum [Member] | ||||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||||
Business Combination, Contingent Consideration, Liability, Measurement Input | 0.00037 | |||
Measurement Input, Discount Rate [Member] | FY 2017 Acquisition [Member] | Fair Value, Inputs, Level 3 [Member] | Maximum [Member] | ||||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||||
Business Combination, Contingent Consideration, Liability, Measurement Input | 0.00037 | |||
[1] | Unobservable inputs were weighted by the relative fair value of the contingent consideration liability. |
FAIR VALUE MEASUREMENTS, Asse_2
FAIR VALUE MEASUREMENTS, Assets and Liabilities, Measured at Fair Value Using Unobservable Inputs (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Oct. 31, 2021 | Oct. 31, 2020 | Oct. 31, 2019 | |
Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | |||
Payment of contingent consideration | $ 1,246 | $ 515 | $ 2,630 |
Liabilities, Ending Balance | 62,286 | ||
Fair Value, Inputs, Level 3 [Member] | |||
Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | |||
Liabilities, Opening Balance | 41,974 | 18,326 | |
Contingent consideration related to acquisition | 18,334 | 23,719 | |
Increase in accrued contingent consideration, net | 1,246 | 515 | |
Payment of contingent consideration | (500) | ||
Liabilities, Ending Balance | 41,974 | $ 18,326 | |
Fair Value, Inputs, Level 3 [Member] | Foreign Currency Gain (Loss) [Member] | |||
Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | |||
Change in Unrealized Gain (Loss) | $ 732 | $ (86) |
FAIR VALUE MEASUREMENTS (Detail
FAIR VALUE MEASUREMENTS (Details Textuals) $ in Thousands, $ in Thousands | Oct. 31, 2021USD ($) | Oct. 31, 2021CAD ($) | Oct. 31, 2020USD ($) |
Business Acquisition, Contingent Consideration [Line Items] | |||
Contingent consideration, liability | $ 62,286 | $ 41,974 | |
FY2021 Acquisition Subsidiary 1 | HEICO Aerospace [Member] | |||
Business Acquisition, Contingent Consideration [Line Items] | |||
Business Acquisition, Percentage of Voting Interests Acquired | 89.00% | 89.00% | |
Amount of contingent purchase consideration, the company could be required to pay | $ 17,800 | ||
Business Combination, Contingent Consideration Arrangements, Range of Outcomes, Value, Low | 8,900 | ||
Contingent consideration, liability | $ 18,300 | ||
FY2020 Acquisition Subsidiary 1 [Member] | HEICO Electronic [Member] | |||
Business Acquisition, Contingent Consideration [Line Items] | |||
Business Acquisition, Percentage of Voting Interests Acquired | 89.99% | 89.99% | |
Amount of contingent purchase consideration, the company could be required to pay | $ 21,800 | ||
Contingent consideration, liability | $ 12,000 | ||
FY2020 Acquisition Subsidiary 2 [Member] | HEICO Electronic [Member] | |||
Business Acquisition, Contingent Consideration [Line Items] | |||
Business Acquisition, Percentage of Voting Interests Acquired | 75.00% | 75.00% | |
Amount of contingent purchase consideration, the company could be required to pay | $ 35,000 | ||
Contingent consideration, liability | 13,300 | ||
FY 2017 Acquisition [Member] | HEICO Electronic [Member] | |||
Business Acquisition, Contingent Consideration [Line Items] | |||
Amount of contingent purchase consideration, the company could be required to pay | 20,000 | ||
Contingent consideration, liability | $ 18,600 | ||
Canada, Dollars | FY2020 Acquisition Subsidiary 1 [Member] | HEICO Electronic [Member] | |||
Business Acquisition, Contingent Consideration [Line Items] | |||
Amount of contingent purchase consideration, the company could be required to pay | $ 27,000 | ||
Business Combination, Contingent Consideration Arrangements, Range of Outcomes, Value, Low | 13,500 | ||
Contingent consideration, liability | $ 14,900 |
LEASES (ROU Assets and Lease Li
LEASES (ROU Assets and Lease Liabilities) (Details) - USD ($) $ in Thousands | Oct. 31, 2021 | Oct. 31, 2020 |
Leases, Operating [Abstract] | ||
Operating Lease, Right-of-Use Asset | $ 74,609 | $ 57,103 |
Operating Lease, Liability, Current | 13,874 | 14,180 |
Operating Lease, Liability, Noncurrent | 61,829 | 44,114 |
Operating Lease, Liability | 75,703 | 58,294 |
Leases, Capital [Abstract] | ||
Finance Lease, Right-of-Use Asset, after Accumulated Amortization | 12,250 | 10,512 |
Finance Lease, Liability, Current | 1,481 | 1,034 |
Finance Lease, Liability, Noncurrent | 9,764 | 8,533 |
Finance leases and notes payable | $ 11,245 | $ 9,567 |
LEASES (Operating Lease Expense
LEASES (Operating Lease Expense) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Oct. 31, 2021 | Oct. 31, 2020 | ||
Leases, Operating [Abstract] | |||
Operating Lease, Cost | $ 18,103 | $ 17,317 | |
Operating Lease, Variable Lease Expense | 3,165 | 3,225 | |
Operating Lease, Expense | [1] | 21,268 | 20,542 |
Leases, Capital [Abstract] | |||
Finance Lease, Right-of-Use Asset, Amortization | 1,110 | 874 | |
Finance Lease, Interest Expense | 453 | 416 | |
Finance Lease, Variable Lease Expense | 750 | ||
Finance Lease Expense | $ 2,313 | $ 1,290 | |
[1] | Excludes short-term lease expense, which is not material |
LEASES (Future minimum lease pa
LEASES (Future minimum lease payments) (Details) - USD ($) $ in Thousands | Oct. 31, 2021 | Oct. 31, 2020 |
Leases, Operating [Abstract] | ||
Lessee, Operating Lease, Liability, to be Paid, Year One | $ 16,853 | |
Lessee, Operating Lease, Liability, to be Paid, Year Two | 12,729 | |
Lessee, Operating Lease, Liability, to be Paid, Year Three | 9,785 | |
Lessee, Operating Lease, Liability, to be Paid, Year Four | 8,662 | |
Lessee, Operating Lease, Liability, to be Paid, Year Five | 7,153 | |
Lessee, Operating Lease, Liability, to be Paid, after Year Five | 39,113 | |
Lessee, Operating Lease, Liability, to be Paid | 94,295 | |
Lessee, Operating Lease, Liability, Undiscounted Excess Amount | (18,592) | |
Operating Lease, Liability | 75,703 | $ 58,294 |
Leases, Capital [Abstract] | ||
Finance Lease, Liability, to be Paid, Year One | 1,956 | |
Finance Lease, Liability, to be Paid, Year Two | 1,629 | |
Finance Lease, Liability, to be Paid, Year Three | 1,521 | |
Finance Lease, Liability, to be Paid, Year Four | 1,458 | |
Finance Lease, Liability, to be Paid, Year Five | 1,440 | |
Finance Lease, Liability, to be Paid, after Year Five | 5,806 | |
Finance Lease, Liability, Payment, Due | 13,810 | |
Finance Lease, Liability, Undiscounted Excess Amount | (2,565) | |
Finance leases and notes payable | $ 11,245 | $ 9,567 |
LEASES (Lease term and discount
LEASES (Lease term and discount rates) (Details) | Oct. 31, 2021 | Oct. 31, 2020 |
Leases [Abstract] | ||
Operating Lease, Weighted Average Remaining Lease Term | 9 years 1 month 6 days | 7 years |
Operating Lease, Weighted Average Discount Rate, Percent | 4.70% | 5.10% |
Finance Lease, Weighted Average Remaining Lease Term | 9 years 2 months 12 days | 10 years 9 months 18 days |
Finance Lease, Weighted Average Discount Rate, Percent | 4.60% | 4.50% |
LEASES (Supplemental Cash Flow
LEASES (Supplemental Cash Flow Information) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Oct. 31, 2021 | Oct. 31, 2020 | |
Leases [Abstract] | ||
Operating Lease, Payments | $ 17,999 | $ 16,965 |
Right-of-Use Asset Obtained in Exchange for Operating Lease Liability | 31,351 | 8,648 |
Finance Lease, Interest Payment on Liability | 453 | 416 |
Finance Lease, Principal Payments | 1,187 | 921 |
Right-of-Use Asset Obtained in Exchange for Finance Lease Liability | $ 2,861 | $ 1,808 |
LEASES (Details Textuals)
LEASES (Details Textuals) - USD ($) $ in Thousands | 12 Months Ended | ||
Oct. 31, 2019 | Oct. 31, 2021 | Oct. 31, 2020 | |
Leases [Abstract] | |||
Operating Lease, Liability, Noncurrent, Statement of Financial Position [Extensible List] | Other Liabilities, Noncurrent | Other Liabilities, Noncurrent | |
Operating Lease, Liability, Current, Statement of Financial Position [Extensible List] | Accrued Liabilities, Current | Accrued Liabilities, Current | |
Operating Leases, Rent Expense | $ 20,000 | ||
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration] | Long-term Debt and Lease Obligation | Long-term Debt and Lease Obligation | |
Finance Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] | Long-term Debt and Lease Obligation, Current | Long-term Debt and Lease Obligation, Current | |
Finance Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration] | Property, Plant and Equipment, Net | Property, Plant and Equipment, Net | |
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration] | Other Assets, Noncurrent | Other Assets, Noncurrent |
SHAREHOLDERS' EQUITY (Details T
SHAREHOLDERS' EQUITY (Details Textuals) - USD ($) $ in Thousands | 8 Months Ended | 12 Months Ended | ||
Jun. 28, 2019 | Oct. 31, 2021 | Oct. 31, 2020 | Oct. 31, 2019 | |
Stockholders' Equity Note [Abstract] | ||||
Stock repurchase program, number of shares authorized to be repurchased (in shares) | 4,886,353 | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Payment Arrangement, Shares Withheld for Tax Withholding Obligation | 476,586 | |||
Share-based Payment Arrangement, Decrease for Tax Withholding Obligation | $ 53,100 | |||
HEICO Aerospace [Member] | ||||
Noncontrolling Interest [Line Items] | ||||
Noncontrolling Interest, Ownership Percentage by Parent | 80.00% | |||
Noncontrolling Interest, Ownership Percentage by Noncontrolling Owners | 20.00% | 20.00% | ||
HEICO Aerospace [Member] | Eight Acquired FSG Subsidiaries [Member] | ||||
Noncontrolling Interest [Line Items] | ||||
Total purchase consideration | $ 91,500 | |||
Business Acquisition, Percentage of Voting Interests Acquired | 20.00% | |||
Common Class A [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Payment Arrangement, Shares Withheld for Tax Withholding Obligation | 32,355 | 127,851 | 111,730 | |
Share-based Payment Arrangement, Decrease for Tax Withholding Obligation | $ 3,800 | $ 12,100 | $ 10,900 |
SHARE-BASED COMPENSATION, Share
SHARE-BASED COMPENSATION, Share-based Activity (Details) - $ / shares shares in Thousands | 12 Months Ended | ||
Oct. 31, 2021 | Oct. 31, 2020 | Oct. 31, 2019 | |
Shares Available for Grant [Roll Forward] | |||
Opening Balance Outstanding Shares (Shares Available For Grant) | 4,064 | 4,085 | 4,612 |
Granted (Available for Grant) | (699) | (29) | (538) |
Cancelled (Available for Grant) | 9 | 8 | 11 |
Ending Balance Outstanding Shares (Shares Available For Grant) | 3,374 | 4,064 | 4,085 |
Shares Outstanding [Roll Forward] | |||
Outstanding (Shares Under Option) | 3,993 | 4,692 | 6,400 |
Granted (Shares Under Option) | 699 | 29 | 538 |
Exercised (Shares Under Option) | (342) | (720) | (2,235) |
Cancelled (Shares Under Option) | (9) | (8) | (11) |
Outstanding (Shares Under Option) | 4,341 | 3,993 | 4,692 |
Weighted Average Exercise Price [Roll Forward] | |||
Outstanding (in dollars per share) | $ 36.75 | $ 33.73 | $ 23.19 |
Granted (in dollars per share) | 125.57 | 97 | 73.30 |
Exercised (in dollars per share) | 21.88 | 19.32 | 12.98 |
Cancelled (in dollars per share) | 64.78 | 55.61 | 49.79 |
Outstanding (in dollars per share) | $ 52.16 | $ 36.75 | $ 33.73 |
SHARE-BASED COMPENSATION, Optio
SHARE-BASED COMPENSATION, Options Outstanding and Exercisable (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | |||
Oct. 31, 2021 | Oct. 31, 2020 | Oct. 31, 2019 | Oct. 31, 2018 | |
Stock Options Outstanding [Abstract] | ||||
Number Outstanding (in shares) | 4,341 | 3,993 | 4,692 | 6,400 |
Outstanding Weighted Average Exercise Price (in dollars per share) | $ 52.16 | $ 36.75 | $ 33.73 | $ 23.19 |
Outstanding Weighted Average Contractual Life (in years) | 5 years 3 months 18 days | |||
Outstanding Aggregated Intrinsic Value (in dollars) | $ 345,335 | |||
Stock Options Exercisable [Abstract] | ||||
Number Exercisable (in shares) | 2,912 | |||
Exercisable Weighted Average Exercise Price (in dollars per share) | $ 32 | |||
Exercisable Weighted Average Contractual Life (in years) | 3 years 10 months 24 days | |||
Exercisable Aggregate Intrinsic Value (in dollars) | $ 292,199 | |||
Heico Common Stock [Member] | ||||
Stock Options Outstanding [Abstract] | ||||
Number Outstanding (in shares) | 1,906 | |||
Outstanding Weighted Average Exercise Price (in dollars per share) | $ 49.68 | |||
Outstanding Weighted Average Contractual Life (in years) | 4 years 9 months 18 days | |||
Outstanding Aggregated Intrinsic Value (in dollars) | $ 171,023 | |||
Stock Options Exercisable [Abstract] | ||||
Number Exercisable (in shares) | 1,413 | |||
Exercisable Weighted Average Exercise Price (in dollars per share) | $ 31.36 | |||
Exercisable Weighted Average Contractual Life (in years) | 3 years 7 months 6 days | |||
Exercisable Aggregate Intrinsic Value (in dollars) | $ 152,681 | |||
Common Class A [Member] | ||||
Stock Options Outstanding [Abstract] | ||||
Number Outstanding (in shares) | 2,435 | |||
Outstanding Weighted Average Exercise Price (in dollars per share) | $ 54.09 | |||
Outstanding Weighted Average Contractual Life (in years) | 5 years 8 months 12 days | |||
Outstanding Aggregated Intrinsic Value (in dollars) | $ 174,312 | |||
Stock Options Exercisable [Abstract] | ||||
Number Exercisable (in shares) | 1,499 | |||
Exercisable Weighted Average Exercise Price (in dollars per share) | $ 32.61 | |||
Exercisable Weighted Average Contractual Life (in years) | 4 years 2 months 12 days | |||
Exercisable Aggregate Intrinsic Value (in dollars) | $ 139,518 |
SHARE-BASED COMPENSATION, Infor
SHARE-BASED COMPENSATION, Information on Options Exercised (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Oct. 31, 2021 | Oct. 31, 2020 | Oct. 31, 2019 | |
Proceeds from stock option exercises | $ 5,344 | $ 6,955 | $ 8,547 |
Tax benefit from stock option exercises | 14,186 | 48,326 | 16,490 |
Intrinsic value of stock option exercises | $ 33,428 | $ 53,384 | $ 204,901 |
SHARE-BASED COMPENSATION, Assum
SHARE-BASED COMPENSATION, Assumptions for Option Grants Fair Value Calculation (Details) - $ / shares | 12 Months Ended | ||
Oct. 31, 2021 | Oct. 31, 2020 | Oct. 31, 2019 | |
Common Class A [Member] | |||
Expected stock price volatility | 32.65% | 24.94% | 24.81% |
Risk-free interest rate | 1.09% | 1.72% | 2.69% |
Dividend yield | 0.19% | 0.21% | 0.22% |
Forfeiture rate | 0.00% | 0.00% | 0.00% |
Expected option life (years) | 6 years | 6 years | 6 years |
Weighted average fair value | $ 39 | $ 26.86 | $ 19.64 |
Heico Common Stock [Member] | |||
Expected stock price volatility | 30.17% | 28.52% | |
Risk-free interest rate | 1.40% | 2.52% | |
Dividend yield | 0.17% | 0.22% | |
Forfeiture rate | 0.00% | 0.00% | |
Expected option life (years) | 9 years | 8 years | |
Weighted average fair value | $ 51.16 | $ 33.88 |
SHARE-BASED COMPENSATION (Detai
SHARE-BASED COMPENSATION (Details Textuals) - USD ($) shares in Thousands, $ in Millions | 12 Months Ended | |||
Oct. 31, 2021 | Oct. 31, 2020 | Oct. 31, 2019 | Oct. 31, 2018 | |
Shares approved by Shareholders (Shares Available for Grant) | 5,000 | |||
Number Outstanding (in shares) | 4,341 | 3,993 | 4,692 | 6,400 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period (in shares) | 3,374 | 4,064 | 4,085 | 4,612 |
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 5 years | |||
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period | 10 years | |||
Pre-tax unrecognized compensation expense related to nonvested stock options | $ 40.1 | |||
Pre-tax unrecognized compensation expense related to nonvested stock options, expected to be recognized over a weighted average period (in years) | 4 years 1 month 6 days | |||
Fair value of stock options, Vested | $ 9.4 | $ 10.5 | $ 8.9 | |
Common Class A [Member] | ||||
Number Outstanding (in shares) | 2,435 | |||
Stock Option and Future Grants [Member] | ||||
Shares approved by Shareholders (Shares Available for Grant) | 7,700 | |||
Number Outstanding (in shares) | 4,300 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period (in shares) | 3,400 | |||
Share-based Payment Arrangement, Option [Member] | ||||
Share-based Payment Arrangement, Expense | $ 9.1 | 10.1 | 10.3 | |
Share-based Payment Arrangement, Expense, Tax Benefit | $ 1.5 | $ 1.9 | $ 2 |
EMPLOYEE RETIREMENT PLANS, Defi
EMPLOYEE RETIREMENT PLANS, Defined Contribution Plan Share-based Activity (Details) - shares shares in Thousands | 12 Months Ended | ||
Oct. 31, 2021 | Oct. 31, 2020 | Oct. 31, 2019 | |
Defined Contribution Plan Disclosure [Line Items] | |||
Shares available for issuance, Opening Balance | 228 | 280 | 333 |
Issuance of common stock to 401(k) Plan | (40) | (52) | (53) |
Shares available for issuance, Ending Balance | 188 | 228 | 280 |
Common Class A [Member] | |||
Defined Contribution Plan Disclosure [Line Items] | |||
Shares available for issuance, Opening Balance | 228 | 280 | 333 |
Issuance of common stock to 401(k) Plan | (40) | (52) | (53) |
Shares available for issuance, Ending Balance | 188 | 228 | 280 |
EMPLOYEE RETIREMENT PLANS (Deta
EMPLOYEE RETIREMENT PLANS (Details Textuals) - USD ($) $ in Millions | 12 Months Ended | ||
Oct. 31, 2021 | Oct. 31, 2020 | Oct. 31, 2019 | |
Retirement Benefits [Abstract] | |||
Defined Contribution Plan, Employer Matching Contribution, Percent of Match | 50.00% | ||
Defined contribution plan partcipants employees range maximum | 6.00% | ||
Defined contribution plan, vesting of employee contribution and cash dividends, percent | 100.00% | ||
Defined Contribution Plan, Employer Discretionary Contribution Amount | $ 10.1 | $ 9.6 | $ 9.5 |
REDEEMABLE NONCONTROLLING INT_3
REDEEMABLE NONCONTROLLING INTERESTS (Aggregate Redemption Amount) (Details) - USD ($) $ in Thousands | Oct. 31, 2021 | Oct. 31, 2020 |
Aggregate Redemption Amount Estimate [Line Items] | ||
Redeemable Noncontrolling Interest, Equity, Fair Value | $ 217,416 | $ 179,415 |
Noncontrolling Interest, Change in Redemption Value | 35,171 | 41,793 |
Redeemable Noncontrolling Interest, Equity, Carrying Amount | $ 252,587 | $ 221,208 |
REDEEMABLE NONCONTROLLING INT_4
REDEEMABLE NONCONTROLLING INTERESTS (Put Rights) (Details) | 12 Months Ended | |
Oct. 31, 2021 | ||
Electronic Technologies Group [Member] | Subsidiary One [Member] | ||
Business Acquisition [Line Items] | ||
Effective Date of Acquisition | Oct. 31, 2005 | |
Business Acquisition, Percentage of Voting Interests Acquired | 95.90% | |
Class of Warrant or Right, Date from which Warrants or Rights Exercisable | Oct. 31, 2022 | [1] |
Put Rights Purchase Period | 4 years | [2] |
Electronic Technologies Group [Member] | Subsidiary Four [Member] | ||
Business Acquisition [Line Items] | ||
Effective Date of Acquisition | Oct. 31, 2009 | |
Business Acquisition, Percentage of Voting Interests Acquired | 82.50% | |
Class of Warrant or Right, Date from which Warrants or Rights Exercisable | Oct. 31, 2022 | [1] |
Put Rights Purchase Period | 1 year | |
Electronic Technologies Group [Member] | Subsidiary Ten [Member] | ||
Business Acquisition [Line Items] | ||
Effective Date of Acquisition | Oct. 31, 2015 | |
Business Acquisition, Percentage of Voting Interests Acquired | 80.10% | |
Class of Warrant or Right, Date from which Warrants or Rights Exercisable | Oct. 31, 2022 | [1] |
Put Rights Purchase Period | 2 years | |
Electronic Technologies Group [Member] | Subsidiary Twelve [Member] | ||
Business Acquisition [Line Items] | ||
Effective Date of Acquisition | Oct. 31, 2018 | |
Business Acquisition, Percentage of Voting Interests Acquired | 85.00% | |
Class of Warrant or Right, Date from which Warrants or Rights Exercisable | Oct. 31, 2022 | [1] |
Put Rights Purchase Period | 1 year | |
Electronic Technologies Group [Member] | Subsidiary Thirteen [Member] | ||
Business Acquisition [Line Items] | ||
Effective Date of Acquisition | Oct. 31, 2019 | |
Business Acquisition, Percentage of Voting Interests Acquired | 92.70% | |
Class of Warrant or Right, Date from which Warrants or Rights Exercisable | Oct. 31, 2023 | |
Put Rights Purchase Period | 4 years | |
Electronic Technologies Group [Member] | Subsidiary Fourteen [Member] | ||
Business Acquisition [Line Items] | ||
Effective Date of Acquisition | Oct. 31, 2019 | |
Business Acquisition, Percentage of Voting Interests Acquired | 85.00% | |
Class of Warrant or Right, Date from which Warrants or Rights Exercisable | Oct. 31, 2024 | |
Put Rights Purchase Period | 4 years | |
Electronic Technologies Group [Member] | Subsidiary Sixteen [Member] | ||
Business Acquisition [Line Items] | ||
Effective Date of Acquisition | Oct. 31, 2019 | |
Business Acquisition, Percentage of Voting Interests Acquired | 75.00% | |
Class of Warrant or Right, Date from which Warrants or Rights Exercisable | Oct. 31, 2024 | |
Put Rights Purchase Period | 4 years | [3] |
Electronic Technologies Group [Member] | Subsidiary Seventeen [Member] | ||
Business Acquisition [Line Items] | ||
Effective Date of Acquisition | Oct. 31, 2020 | |
Business Acquisition, Percentage of Voting Interests Acquired | 80.10% | |
Class of Warrant or Right, Date from which Warrants or Rights Exercisable | Oct. 31, 2025 | |
Put Rights Purchase Period | 4 years | |
Electronic Technologies Group [Member] | Subsidiary Nineteen [Member] | ||
Business Acquisition [Line Items] | ||
Effective Date of Acquisition | Oct. 31, 2020 | |
Business Acquisition, Percentage of Voting Interests Acquired | 75.00% | |
Class of Warrant or Right, Date from which Warrants or Rights Exercisable | Oct. 31, 2024 | |
Put Rights Purchase Period | 4 years | [3] |
Electronic Technologies Group [Member] | Subsidiary Twenty [Member] | ||
Business Acquisition [Line Items] | ||
Effective Date of Acquisition | Oct. 31, 2020 | |
Business Acquisition, Percentage of Voting Interests Acquired | 90.00% | |
Class of Warrant or Right, Date from which Warrants or Rights Exercisable | Oct. 31, 2025 | |
Put Rights Purchase Period | 4 years | |
Electronic Technologies Group [Member] | Subsidiary Twenty-Three [Member] | ||
Business Acquisition [Line Items] | ||
Effective Date of Acquisition | Oct. 31, 2021 | |
Business Acquisition, Percentage of Voting Interests Acquired | 80.10% | |
Class of Warrant or Right, Date from which Warrants or Rights Exercisable | Oct. 31, 2024 | |
Put Rights Purchase Period | 3 years | [4] |
Flight Support Group [Member] | Subsidiary Two [Member] | ||
Business Acquisition [Line Items] | ||
Effective Date of Acquisition | Oct. 31, 2006 | |
Business Acquisition, Percentage of Voting Interests Acquired | 80.10% | |
Class of Warrant or Right, Date from which Warrants or Rights Exercisable | Oct. 31, 2022 | [1] |
Put Rights Purchase Period | 4 years | |
Flight Support Group [Member] | Subsidiary Three [Member] | ||
Business Acquisition [Line Items] | ||
Effective Date of Acquisition | Oct. 31, 2008 | |
Business Acquisition, Percentage of Voting Interests Acquired | 90.00% | |
Class of Warrant or Right, Date from which Warrants or Rights Exercisable | Oct. 31, 2024 | |
Put Rights Purchase Period | 4 years | |
Flight Support Group [Member] | Subsidiary Five [Member] | ||
Business Acquisition [Line Items] | ||
Effective Date of Acquisition | Oct. 31, 2012 | |
Business Acquisition, Percentage of Voting Interests Acquired | 84.00% | |
Class of Warrant or Right, Date from which Warrants or Rights Exercisable | Oct. 31, 2022 | [1] |
Put Rights Purchase Period | 4 years | |
Flight Support Group [Member] | Subsidiary Six [Member] | ||
Business Acquisition [Line Items] | ||
Effective Date of Acquisition | Oct. 31, 2012 | |
Business Acquisition, Percentage of Voting Interests Acquired | 80.10% | |
Class of Warrant or Right, Date from which Warrants or Rights Exercisable | Oct. 31, 2022 | [1] |
Put Rights Purchase Period | 4 years | |
Flight Support Group [Member] | Subsidiary Seven [Member] | ||
Business Acquisition [Line Items] | ||
Effective Date of Acquisition | Oct. 31, 2015 | |
Business Acquisition, Percentage of Voting Interests Acquired | 85.00% | |
Class of Warrant or Right, Date from which Warrants or Rights Exercisable | Oct. 31, 2022 | [1] |
Put Rights Purchase Period | 3 years | [5] |
Flight Support Group [Member] | Subsidiary Eight [Member] | ||
Business Acquisition [Line Items] | ||
Effective Date of Acquisition | Oct. 31, 2015 | |
Business Acquisition, Percentage of Voting Interests Acquired | 80.10% | |
Class of Warrant or Right, Date from which Warrants or Rights Exercisable | Oct. 31, 2022 | [1] |
Put Rights Purchase Period | 4 years | |
Flight Support Group [Member] | Subsidiary Nine [Member] | ||
Business Acquisition [Line Items] | ||
Effective Date of Acquisition | Oct. 31, 2015 | |
Business Acquisition, Percentage of Voting Interests Acquired | 80.10% | |
Class of Warrant or Right, Date from which Warrants or Rights Exercisable | Oct. 31, 2022 | |
Put Rights Purchase Period | 4 years | |
Flight Support Group [Member] | Subsidiary Eleven [Member] | ||
Business Acquisition [Line Items] | ||
Effective Date of Acquisition | Oct. 31, 2017 | |
Business Acquisition, Percentage of Voting Interests Acquired | 80.10% | |
Class of Warrant or Right, Date from which Warrants or Rights Exercisable | Oct. 31, 2022 | |
Put Rights Purchase Period | 2 years | [6] |
Flight Support Group [Member] | Subsidiary Fifteen [Member] | ||
Business Acquisition [Line Items] | ||
Effective Date of Acquisition | Oct. 31, 2019 | |
Business Acquisition, Percentage of Voting Interests Acquired | 80.10% | |
Class of Warrant or Right, Date from which Warrants or Rights Exercisable | Oct. 31, 2026 | |
Put Rights Purchase Period | 4 years | |
Flight Support Group [Member] | Subsidiary Eighteen [Member] | ||
Business Acquisition [Line Items] | ||
Effective Date of Acquisition | Oct. 31, 2020 | |
Business Acquisition, Percentage of Voting Interests Acquired | 70.00% | |
Class of Warrant or Right, Date from which Warrants or Rights Exercisable | Oct. 31, 2027 | |
Put Rights Purchase Period | 4 years | |
Flight Support Group [Member] | Subsidiary Twenty-One [Member] | ||
Business Acquisition [Line Items] | ||
Effective Date of Acquisition | Oct. 31, 2021 | |
Business Acquisition, Percentage of Voting Interests Acquired | 80.10% | |
Class of Warrant or Right, Date from which Warrants or Rights Exercisable | Oct. 31, 2026 | |
Put Rights Purchase Period | 4 years | |
Flight Support Group [Member] | Subsidiary Twenty-Two [Member] | ||
Business Acquisition [Line Items] | ||
Effective Date of Acquisition | Oct. 31, 2021 | |
Business Acquisition, Percentage of Voting Interests Acquired | 89.00% | |
Class of Warrant or Right, Date from which Warrants or Rights Exercisable | Oct. 31, 2028 | |
Put Rights Purchase Period | 4 years | |
[1] | Currently puttable. | |
[2] | A portion is to be purchased in a lump sum. | |
[3] | The exercise of the Put Right for either entity will automatically trigger a Put Right exercise for the other entity. | |
[4] | The Put Rights for 9.55% and 3.98% noncontrolling interests may be exercised no earlier than fiscal 2024 with the purchase over a three-year period. The Put Right for 6.37% noncontrolling interest may be exercised no earlier than fiscal 2028 with the purchase over a four-year period. | |
[5] | The Put Right for the remaining 15% noncontrolling interest may be exercised in 5% increments annually and the first increment is currently puttable. | |
[6] | Half of the 19.9% noncontrolling interest will be purchased in the year the Put Right is exercised and the other half will be purchased two years later. |
REDEEMABLE NONCONTROLLING INT_5
REDEEMABLE NONCONTROLLING INTERESTS (Details Textuals) - USD ($) $ in Thousands | 12 Months Ended | |
Oct. 31, 2021 | Oct. 31, 2020 | |
Temporary Equity Disclosure [Abstract] | ||
Aggregate Redemption Amount Puttable | $ 113,000 | |
Potential Redemption Amount Payable | 68,000 | |
Business Acquisition [Line Items] | ||
Acquisitions of noncontrolling interests | $ (2,336) | $ (7,475) |
Flight Support Group [Member] | FY2008 Acquisition [Member] | ||
Business Acquisition [Line Items] | ||
Noncontrolling Interest, Ownership Percentage by Noncontrolling Owners | 17.70% | |
Noncontrolling Interest, Ownership Percentage by Parent | 90.00% | 86.20% |
Flight Support Group [Member] | FY 2015 Acquisition [Member] | ||
Business Acquisition [Line Items] | ||
Noncontrolling Interest, Ownership Percentage by Noncontrolling Owners | 20.00% | |
Business Acquisition, Percentage of Voting Interests Acquired | 5.00% | |
Noncontrolling Interest, Ownership Percentage by Parent | 85.00% | |
Electronic Technologies Group [Member] | FY2012 Acquisition [Member] | ||
Business Acquisition [Line Items] | ||
Noncontrolling Interest, Ownership Percentage by Noncontrolling Owners | 22.00% | |
Noncontrolling Interest, Ownership Percentage by Parent | 100.00% |
NET INCOME PER SHARE ATTRIBUT_3
NET INCOME PER SHARE ATTRIBUTABLE TO HEICO SHAREHOLDERS (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | ||
Oct. 31, 2021 | Oct. 31, 2020 | Oct. 31, 2019 | |
Numerator: | |||
Net income attributable to HEICO | $ 304,220 | $ 313,984 | $ 327,896 |
Denominator: | |||
Weighted average common shares outstanding - basic | 135,326 | 134,754 | 133,640 |
Effect of dilutive stock options | 2,528 | 2,548 | 3,710 |
Weighted Average Number of Shares Outstanding, Diluted | 137,854 | 137,302 | 137,350 |
Earnings Per Share, Basic | $ 2.25 | $ 2.33 | $ 2.45 |
Earnings Per Share, Diluted | $ 2.21 | $ 2.29 | $ 2.39 |
Anti-dilutive stock options excluded | 185 | 258 | 330 |
OPERATING SEGMENTS (Last three
OPERATING SEGMENTS (Last three years, segment information) (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Oct. 31, 2021 | Oct. 31, 2020 | Oct. 31, 2019 | ||
Segment Reporting, Reconciling Item For Operating Profit (Loss) and Capital Expenditure From Segment To Consolidated [Line Items] | ||||
Net sales | $ 1,865,682 | $ 1,787,009 | $ 2,055,647 | |
Depreciation | 27,804 | 27,067 | 25,758 | |
Amortization | 65,215 | 61,494 | 57,739 | |
Operating income | 392,900 | 376,648 | 457,097 | |
Capital expenditures | 36,183 | 22,940 | 28,938 | |
Flight Support Group [Member] | ||||
Segment Reporting, Reconciling Item For Operating Profit (Loss) and Capital Expenditure From Segment To Consolidated [Line Items] | ||||
Net sales | 927,089 | 924,812 | 1,240,183 | |
Depreciation | 13,992 | 14,339 | 13,793 | |
Amortization | 20,648 | 19,957 | 19,624 | |
Operating income | 151,930 | 143,051 | 242,029 | |
Capital expenditures | 8,915 | 10,843 | 17,036 | |
Electronic Technologies Group [Member] | ||||
Segment Reporting, Reconciling Item For Operating Profit (Loss) and Capital Expenditure From Segment To Consolidated [Line Items] | ||||
Net sales | 959,170 | 874,987 | 834,522 | |
Depreciation | 12,839 | 11,722 | 10,957 | |
Amortization | 43,431 | 40,553 | 37,131 | |
Operating income | 277,306 | 258,814 | 245,743 | |
Capital expenditures | 26,496 | 12,025 | 11,826 | |
Other Primarily Corporate and Inter Segment [Member] | ||||
Segment Reporting, Reconciling Item For Operating Profit (Loss) and Capital Expenditure From Segment To Consolidated [Line Items] | ||||
Depreciation | 973 | 1,006 | 1,008 | |
Amortization | 1,136 | 984 | 984 | |
Operating income | (36,336) | (25,217) | (30,675) | |
Capital expenditures | 772 | 72 | 76 | |
Consolidation, Eliminations [Member] | Other Primarily Corporate and Inter Segment [Member] | ||||
Segment Reporting, Reconciling Item For Operating Profit (Loss) and Capital Expenditure From Segment To Consolidated [Line Items] | ||||
Net sales | [1] | $ (20,577) | $ (12,790) | $ (19,058) |
[1] | Intersegment activity principally consists of net sales from the ETG to the FSG. |
OPERATING SEGMENTS (Total asset
OPERATING SEGMENTS (Total assets) (Details) - USD ($) $ in Thousands | Oct. 31, 2021 | Oct. 31, 2020 |
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Total assets | $ 3,498,407 | $ 3,547,711 |
Operating Segments [Member] | Flight Support Group [Member] | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Total assets | 1,274,462 | 1,127,666 |
Operating Segments [Member] | Electronic Technologies Group [Member] | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Total assets | 1,952,413 | 1,896,671 |
Corporate And Eliminations [Member] | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Total assets | $ 271,532 | $ 523,374 |
OPERATING SEGMENTS (Geographica
OPERATING SEGMENTS (Geographical information) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Oct. 31, 2021 | Oct. 31, 2020 | Oct. 31, 2019 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | $ 1,865,682 | $ 1,787,009 | $ 2,055,647 |
Property, Plant and Equipment, Net | 193,638 | 168,848 | 173,345 |
North America [Member] | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | 1,194,869 | 1,193,497 | 1,308,943 |
Property, Plant and Equipment, Net | 155,537 | 139,197 | 143,350 |
Other Countries [Member] | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | 670,813 | 593,512 | 746,704 |
Property, Plant and Equipment, Net | $ 38,101 | $ 29,651 | $ 29,995 |
COMMITMENTS AND CONTINGENCIES_2
COMMITMENTS AND CONTINGENCIES (Product warranty) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Oct. 31, 2021 | Oct. 31, 2020 | |
Movement in Standard and Extended Product Warranty, Increase (Decrease) [Roll Forward] | ||
Balances as of beginning of year | $ 3,015 | $ 2,810 |
Accruals for warranties | 1,979 | 1,749 |
Acquired warranty liabilities | 62 | 150 |
Warranty claims settled | (1,677) | (1,694) |
Balances as of end of year | $ 3,379 | $ 3,015 |
COMMITMENTS AND CONTINGENCIES_3
COMMITMENTS AND CONTINGENCIES (Details Textuals) $ in Thousands | Oct. 31, 2021USD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
Guarantor Obligations, Maximum Exposure, Undiscounted | $ 16,200 |
VALUATION AND QUALIFYING ACCO_2
VALUATION AND QUALIFYING ACCOUNTS (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Oct. 31, 2021 | Oct. 31, 2020 | Oct. 31, 2019 | ||
SEC Schedule, 12-09, Allowance, Credit Loss [Member] | ||||
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | ||||
Valuation Allowances and Reserves, Opening Balance | $ 12,738 | $ 3,666 | $ 3,258 | |
SEC Schedule, 12-09, Valuation Allowances and Reserves, Additions, Charge to Cost and Expense | [1] | 9,834 | 638 | |
SEC Schedule, 12-09, Valuation Allowances and Reserves, Additions, Charge to Other Account | [2] | 360 | 128 | 10 |
SEC Schedule, 12-09, Valuation Allowances and Reserves, Increase (Decrease) Adjustment | [1] | (1,720) | ||
SEC Schedule, 12-09, Valuation Allowances and Reserves, Deduction | [3] | (504) | (890) | (240) |
Valuation Allowances and Reserves, Ending Balance | 10,874 | 12,738 | 3,666 | |
SEC Schedule, 12-09, Reserve, Inventory [Member] | ||||
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | ||||
Valuation Allowances and Reserves, Opening Balance | 126,933 | 103,821 | 95,391 | |
SEC Schedule, 12-09, Valuation Allowances and Reserves, Additions, Charge to Cost and Expense | [4] | 17,202 | 27,030 | 10,148 |
SEC Schedule, 12-09, Valuation Allowances and Reserves, Additions, Charge to Other Account | [5] | 1,261 | 1,885 | |
SEC Schedule, 12-09, Valuation Allowances and Reserves, Increase (Decrease) Adjustment | [5] | (63) | ||
SEC Schedule, 12-09, Valuation Allowances and Reserves, Deduction | [6] | (2,803) | (3,855) | (3,603) |
Valuation Allowances and Reserves, Ending Balance | $ 142,593 | $ 126,933 | $ 103,821 | |
[1] | Additions charged to costs and expenses were higher in fiscal 2020 as compared to fiscal 2021 and fiscal 2019 principally due to potential collection difficulties from certain commercial aviation customers that filed for bankruptcy protection in fiscal 2020 as a result of the financial impact from the COVID-19 global pandemic (the "Pandemic"). | |||
[2] | Principally additions from acquisitions and foreign currency translation adjustments. | |||
[3] | Principally write-offs of uncollectible accounts receivables. | |||
[4] | Additions charged to costs and expenses were higher in fiscal 2020 as compared to fiscal 2021 and fiscal 2019 principally due to the significant decline in global commercial air travel due to the ongoing Pandemic resulting in lower demand for the Company's commercial aviation products and services and certain specific obsolescence reserves following the announced retirement of certain aircraft types and engine platforms by major U.S. carriers. | |||
[5] | Principally additions from acquisitions and foreign currency translation adjustments. | |||
[6] | Principally write-offs of slow-moving, obsolete or damaged inventory. |