DOCUMENT AND ENTITY INFORMATION
DOCUMENT AND ENTITY INFORMATION - $ / shares | 3 Months Ended | |
Jan. 31, 2024 | Feb. 27, 2024 | |
Document Information [Line Items] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Entity Shell Company | false | |
Local Phone Number | 987-4000 | |
Entity File Number | 001-04604 | |
City Area Code | 954 | |
Entity Interactive Data Current | Yes | |
Amendment Flag | false | |
Document Period End Date | Jan. 31, 2024 | |
Document Fiscal Period Focus | Q1 | |
Document Fiscal Year Focus | 2024 | |
Entity Current Reporting Status | Yes | |
Entity Information [Line Items] | ||
Entity Incorporation, State or Country Code | FL | |
Entity Registrant Name | HEICO CORPORATION | |
Address | 3000 Taft Street | |
Entity Address, City or Town | Hollywood | |
State | FL | |
Zip Code | 33021 | |
Entity Central Index Key | 0000046619 | |
Entity Tax Identification Number | 65-0341002 | |
Current Fiscal Year End Date | --10-31 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Heico Common Stock [Member] | ||
Entity Information [Line Items] | ||
Title of 12(b) Security | Common Stock, $.01 par value per share | |
Security Exchange Name | NYSE | |
Trading Symbol | HEI | |
Entity Common Stock, Shares Outstanding | 54,772,494 | |
Entity Common Stock Par Value | $ 0.01 | |
Common Class A [Member] | ||
Entity Information [Line Items] | ||
Title of 12(b) Security | Class A Common Stock, $.01 par value per share | |
Security Exchange Name | NYSE | |
Trading Symbol | HEI.A | |
Entity Common Stock, Shares Outstanding | 83,591,871 | |
Entity Common Stock Par Value | $ 0.01 |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - UNAUDITED - USD ($) $ in Thousands | Jan. 31, 2024 | Oct. 31, 2023 |
Current assets: | ||
Cash and cash equivalents | $ 196,323 | $ 171,048 |
Accounts receivable, net | 471,697 | 509,075 |
Contract assets | 108,888 | 111,702 |
Inventories, net | 1,068,735 | 1,013,680 |
Prepaid expenses and other current assets | 66,716 | 49,837 |
Total current assets | 1,912,359 | 1,855,342 |
Property, plant and equipment, net | 327,661 | 321,848 |
Goodwill | 3,290,494 | 3,274,327 |
Intangible assets, net | 1,365,682 | 1,357,281 |
Other assets | 439,873 | 386,265 |
Total assets | 7,336,069 | 7,195,063 |
Current liabilities: | ||
Current maturities of long-term debt | 4,739 | 17,801 |
Trade accounts payable | 194,894 | 205,893 |
Accrued expenses and other current liabilities | 381,837 | 433,101 |
Income taxes payable | 22,625 | 8,547 |
Total current liabilities | 604,095 | 665,342 |
Long-term debt, net of current maturities | 2,495,726 | 2,460,277 |
Deferred income taxes | 128,203 | 131,846 |
Other long-term liabilities | 425,541 | 379,640 |
Total liabilities | 3,653,565 | 3,637,105 |
Commitments and contingencies | ||
Redeemable noncontrolling interests | 365,865 | 364,807 |
Shareholders' equity: | ||
Preferred Stock | 0 | 0 |
Additional Paid in Capital | 585,888 | 578,809 |
Deferred Compensation Obligation | 6,318 | 6,318 |
Common Stock Issued, Employee Stock Trust | (6,318) | (6,318) |
Accumulated Other Comprehensive Income (Loss), Net of Tax | (25,962) | (40,180) |
Retained Earnings (Accumulated Deficit) | 2,705,128 | 2,605,984 |
Total HEICO shareholders' equity | 3,266,438 | 3,145,995 |
Noncontrolling interests | 50,201 | 47,156 |
Total shareholders' equity | 3,316,639 | 3,193,151 |
Total liabilities and equity | 7,336,069 | 7,195,063 |
Heico Common Stock [Member] | ||
Shareholders' equity: | ||
Common Stock | 548 | 547 |
Class A Common Stock [Member] | ||
Shareholders' equity: | ||
Common Stock | $ 836 | $ 835 |
CONDENSED CONSOLIDATED BALANC_2
CONDENSED CONSOLIDATED BALANCE SHEETS - UNAUDITED [PARENTHETICAL] - $ / shares shares in Thousands | Jan. 31, 2024 | Oct. 31, 2023 |
Preferred Stock, Par or Stated Value 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 dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 150,000 | 150,000 |
Common stock, shares issued | 54,772 | 54,721 |
Common stock, shares outstanding | 54,772 | 54,721 |
Class A Common Stock [Member] | ||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 150,000 | 150,000 |
Common stock, shares issued | 83,566 | 83,507 |
Common stock, shares outstanding | 83,566 | 83,507 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - UNAUDITED - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | |
Jan. 31, 2024 | Jan. 31, 2023 | |
Net sales | $ 896,363 | $ 620,915 |
Operating costs and expenses: | ||
Cost of sales | 549,594 | 377,116 |
Selling, general and administrative expenses | 166,559 | 114,365 |
Total operating costs and expenses | 716,153 | 491,481 |
Operating income | 180,210 | 129,434 |
Interest expense | (38,607) | (6,068) |
Other (expense) income | 679 | 639 |
Income before income taxes and noncontrolling interests | 142,282 | 124,005 |
Income tax expense | 16,800 | 21,000 |
Net income from consolidated operations | 125,482 | 103,005 |
Less: Net income attributable to noncontrolling interests | 10,784 | 9,978 |
Net income attributable to HEICO | $ 114,698 | $ 93,027 |
Net income per share attributable to HEICO shareholders: | ||
Basic (in dollars per share) | $ 0.83 | $ 0.68 |
Diluted (in dollars per share) | $ 0.82 | $ 0.67 |
Weighted average number of common shares outstanding: | ||
Basic (in shares) | 138,265 | 136,655 |
Diluted (in shares) | 139,893 | 138,579 |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 3 Months Ended | |
Jan. 31, 2024 | Jan. 31, 2023 | |
Net income from consolidated operations | $ 125,482 | $ 103,005 |
Other comprehensive income (loss): | ||
Foreign currency translation adjustments | 14,761 | 28,385 |
Amortization of unrealized loss on defined benefit pension plan, net of tax | 13 | 15 |
Total other comprehensive income (loss) | 14,774 | 28,400 |
Comprehensive income from consolidated operations | 140,256 | 131,405 |
Less: Comprehensive income attributable to noncontrolling interests | 10,784 | 9,978 |
Less: Foreign currency translation adjustments attributable to noncontrolling interests | 556 | 1,259 |
Comprehensive income attributable to noncontrolling interests | 11,340 | 11,237 |
Comprehensive income attributable to HEICO | $ 128,916 | $ 120,168 |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY AND COMPREHENSIVE INCOME - UNAUDITED - USD ($) $ in Thousands | Total | Redeemable Noncontrolling Interests [Member] | Common Stock [Member] | Common Stock [Member] Class A Common Stock [Member] | Capital In Excess Of Par Value [Member] | Deferred Compensation Obligation [Member] | HEICO Stock Held By Irrevocable Trust [Member] | AOCI Attributable to Parent [Member] | Retained Earnings [Member] | Noncontrolling Interest [Member] | Total Shareholders Equity [Member] |
Starting Balance at Oct. 31, 2022 | $ 545 | $ 821 | $ 397,337 | $ 5,297 | $ (5,297) | $ (46,499) | $ 2,253,932 | $ 42,170 | $ 2,648,306 | ||
Stockholders' Equity [Roll Forward] | |||||||||||
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | $ 120,168 | 27,141 | 93,027 | ||||||||
Comprehensive Income (Loss), Net of Tax, Attributable to Noncontrolling Interest | 11,237 | $ 7,980 | 3,257 | ||||||||
Comprehensive income | 131,405 | 123,425 | |||||||||
Cash dividends | (13,668) | (13,668) | |||||||||
Issuance of common stock to Savings and Investment Plan | 1,964 | 1,964 | |||||||||
Share-based compensation expense | 2,812 | 2,812 | |||||||||
Proceeds from stock option exercises | 2 | 1 | 2,845 | ||||||||
Proceeds from stock option exercises, Adjustment to Additional Paid in Capital | 2,842 | ||||||||||
Stock Redeemed or Called During Period, Value | (14,805) | (14,805) | |||||||||
Distributions to noncontrolling interests | (10,901) | (390) | (390) | ||||||||
Noncontrolling Interest, Decrease from Redemptions or Purchase of Interests | (1,059) | (1,674) | (1,674) | ||||||||
Value of Stock Issued During Period for Deferred Compensation Obligation | 874 | ||||||||||
Value of Stock Held During Period in Irrevocable Trust for Deferred Compensation Obligation | (874) | ||||||||||
Adjustments to redemption amount of redeemable noncontrolling interests | 4,616 | (4,616) | (4,616) | ||||||||
Adjustments to Additional Paid in Capital, Other | 127 | ||||||||||
Stockholders' Equity, Other | (152) | (25) | |||||||||
Ending Balance at Jan. 31, 2023 | 547 | 822 | 388,603 | 6,171 | (6,171) | (19,358) | 2,328,523 | 45,037 | 2,744,174 | ||
Starting Balance, Redeemable Noncontrolling Interests at Oct. 31, 2022 | 327,601 | ||||||||||
Temporary Equity [Roll Forward] | |||||||||||
Comprehensive Income (Loss), Net of Tax, Attributable to Noncontrolling Interest | 11,237 | 7,980 | 3,257 | ||||||||
Noncontrolling Interest, Increase from Business Combination | 12,050 | ||||||||||
Distributions to noncontrolling interests | (10,901) | (390) | (390) | ||||||||
Noncontrolling Interest, Decrease from Redemptions or Purchase of Interests | 1,059 | 1,674 | 1,674 | ||||||||
Adjustments to redemption amount of redeemable noncontrolling interests | 4,616 | (4,616) | (4,616) | ||||||||
Ending Balance, Redeemable Noncontrolling Interests at Jan. 31, 2023 | 340,287 | ||||||||||
Starting Balance at Oct. 31, 2023 | 3,193,151 | 547 | 835 | 578,809 | 6,318 | (6,318) | (40,180) | 2,605,984 | 47,156 | 3,193,151 | |
Stockholders' Equity [Roll Forward] | |||||||||||
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | 128,916 | 14,218 | 114,698 | ||||||||
Comprehensive Income (Loss), Net of Tax, Attributable to Noncontrolling Interest | 11,340 | 7,996 | 3,344 | ||||||||
Comprehensive income | 140,256 | 132,260 | |||||||||
Cash dividends | (13,831) | (13,831) | |||||||||
Issuance of common stock to Savings and Investment Plan | 2,576 | 2,576 | |||||||||
Share-based compensation expense | 4,881 | 4,881 | |||||||||
Proceeds from stock option exercises | 1 | 1 | 2,254 | ||||||||
Proceeds from stock option exercises, Adjustment to Additional Paid in Capital | 2,252 | ||||||||||
Stock Redeemed or Called During Period, Value | (601) | (601) | |||||||||
Distributions to noncontrolling interests | (8,467) | (299) | (299) | ||||||||
Noncontrolling Interest, Decrease from Redemptions or Purchase of Interests | (1,056) | (1,156) | (1,156) | ||||||||
Adjustments to redemption amount of redeemable noncontrolling interests | 1,443 | (1,443) | (1,443) | ||||||||
Adjustments to Additional Paid in Capital, Other | (873) | (1,153) | |||||||||
Stockholders' Equity, Other | (280) | ||||||||||
Ending Balance at Jan. 31, 2024 | 3,316,639 | $ 548 | $ 836 | 585,888 | $ 6,318 | $ (6,318) | $ (25,962) | 2,705,128 | 50,201 | 3,316,639 | |
Starting Balance, Redeemable Noncontrolling Interests at Oct. 31, 2023 | 364,807 | 364,807 | |||||||||
Temporary Equity [Roll Forward] | |||||||||||
Comprehensive Income (Loss), Net of Tax, Attributable to Noncontrolling Interest | 11,340 | 7,996 | 3,344 | ||||||||
Distributions to noncontrolling interests | (8,467) | $ (299) | (299) | ||||||||
Noncontrolling Interest, Decrease from Redemptions or Purchase of Interests | 1,056 | $ 1,156 | 1,156 | ||||||||
Adjustments to redemption amount of redeemable noncontrolling interests | 1,443 | $ (1,443) | $ (1,443) | ||||||||
Temporary Equity, Other Changes | 1,142 | ||||||||||
Ending Balance, Redeemable Noncontrolling Interests at Jan. 31, 2024 | $ 365,865 | $ 365,865 |
CONDENSED CONSOLIDATED STATEM_4
CONDENSED CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY AND COMPREHENSIVE INCOME - UNAUDITED [PARENTHETICAL] - $ / shares | 3 Months Ended | |
Jan. 31, 2024 | Jan. 31, 2023 | |
Cash dividends per share (in dollars per share) | $ 0.10 | $ 0.10 |
CONDENSED CONSOLIDATED STATEM_5
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - UNAUDITED - USD ($) $ in Thousands | 3 Months Ended | |
Jan. 31, 2024 | Jan. 31, 2023 | |
Operating Activities: | ||
Net income from consolidated operations | $ 125,482 | $ 103,005 |
Adjustments to reconcile net income from consolidated operations to net cash provided by (used in) operating activities: | ||
Depreciation and amortization | 43,505 | 27,060 |
Employer contributions to HEICO Savings and Investment Plan | 5,665 | 3,814 |
Share-based compensation expense | 4,881 | 2,812 |
Change in value of contingent consideration | 1,095 | 1,336 |
Deferred income tax provision (benefit) | (3,759) | 980 |
PaymentofContingentConsiderationinExcessofAcquisitionDateValue | (6,203) | (6,299) |
Changes in operating assets and liabilities, net of acquisitions: | ||
Change in accounts receivable | 38,940 | (7,095) |
Increase (Decrease) in Contract with Customer, Asset | 4,560 | (7,303) |
Change in inventories | (49,846) | (52,041) |
Change in prepaid expenses and other current assets | (15,784) | (860) |
Change in trade accounts payable | (11,609) | (1,992) |
Change in accrued expenses and other current liabilities | (50,450) | (7,583) |
Change in income taxes payable | 12,345 | 13,839 |
Increase (Decrease) in Obligation, Other Postretirement Benefits | 14,753 | 8,892 |
Other | (1,923) | (1,879) |
Net cash provided by operating activities | 111,652 | 76,686 |
Investing Activities: | ||
Acquisitions, net of cash acquired | (46,208) | (503,736) |
Capital expenditures | (13,377) | (10,846) |
Net Investment Related to Deferred Compensation Plan | (12,710) | (11,800) |
Other | 1,156 | 402 |
Net cash used in investing activities | (71,139) | (525,980) |
Financing Activities: | ||
Proceeds from Long-term Lines of Credit | 50,000 | 531,000 |
Payments on revolving credit facility | (15,000) | (38,000) |
Repayments of Short-Term Debt | (13,924) | 0 |
Cash dividends paid | (13,831) | (13,668) |
Payment of Contingent Consideration | (13,797) | (3,710) |
Distributions to noncontrolling interests | (8,766) | (11,291) |
Payments for Repurchase of Redeemable Noncontrolling Interest | (2,212) | (2,733) |
Common Stock Issued Repurchased and Retired Related To Stock Option Exercises | (601) | (14,805) |
Proceeds from stock option exercises | 2,254 | 2,845 |
Other | (852) | (463) |
Net cash (used in) provided by financing activities | (16,729) | 449,175 |
Effect of exchange rate changes on cash | 1,491 | 3,234 |
Net (decrease) increase in cash and cash equivalents | 25,275 | 3,115 |
Cash and cash equivalents at beginning of year | 171,048 | 139,504 |
Cash and cash equivalents at end of period | $ 196,323 | $ 142,619 |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 3 Months Ended |
Jan. 31, 2024 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies [Text Block] | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation The accompanying unaudited condensed consolidated financial statements of HEICO Corporation and its subsidiaries (collectively, “HEICO,” or the “Company”) have been prepared in conformity with accounting principles generally accepted in the United States of America for interim financial information and in accordance with the instructions to Form 10-Q. Therefore, the condensed consolidated financial statements do not include all information and footnotes normally included in annual consolidated financial statements and should be read in conjunction with the consolidated financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the year ended October 31, 2023. The October 31, 2023 Condensed Consolidated Balance Sheet has been derived from the Company’s audited consolidated financial statements. In the opinion of management, the unaudited condensed consolidated financial statements contain all adjustments (consisting principally of normal recurring accruals) necessary for a fair presentation of the condensed consolidated balance sheets, statements of operations, statements of comprehensive income, statements of shareholders' equity and statements of cash flows for such interim periods presented. The results of operations for the three months ended January 31, 2024 are not necessarily indicative of the results which may be expected for the entire fiscal year. The Company has two operating segments: the Flight Support Group (“FSG”), consisting of HEICO Aerospace Holdings Corp. and HEICO Flight Support Corp. ("HFSC") and their respective subsidiaries; and the Electronic Technologies Group (“ETG”), consisting of HEICO Electronic Technologies Corp. and its subsidiaries. New Accounting Pronouncements In November 2023, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2023-07, “Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures,” which expands reportable segment disclosure requirements by requiring disclosures of significant reportable segment expenses that are regularly provided to the Chief Operating Decision Maker (“CODM”) and included within each reported measure of a segment's profit or loss. The ASU also requires disclosure of the title and position of the individual identified as the CODM and an explanation of how the CODM uses the reported measures of a segment's profit or loss in assessing segment performance and deciding how to allocate resources. Additionally, ASU 2023-07 requires all segment profit or loss and assets disclosures to be provided on an annual and interim basis. ASU 2023-07 is effective for fiscal years beginning after December 15, 2023, or in fiscal 2025 for HEICO, and interim periods within fiscal years beginning one year later. Early adoption is permitted and the amendments must be applied retrospectively to all prior periods presented. The adoption of this guidance will not affect the Company's consolidated results of operations, financial position or cash flows and the Company is currently evaluating the effect the guidance will have on its disclosures. In December 2023, the FASB issued ASU 2023-09, “Income Taxes (Topic 740): Improvements to Income Tax Disclosures,” which requires disclosure of specific categories in the annual effective tax rate reconciliation table and further disaggregation for reconciling items that meet a quantitative threshold. The ASU also requires the disaggregation of income taxes paid by jurisdiction. ASU 2023-09 may be applied either prospectively or retrospectively and is effective for fiscal years beginning after December 15, 2024, or in fiscal 2026 for HEICO. Early adoption is permitted. The adoption of this guidance will not affect the Company's consolidated results of operations, financial position or cash flows and the Company is currently evaluating the effect the guidance will have on its disclosures. |
ACQUISITIONS
ACQUISITIONS | 3 Months Ended |
Jan. 31, 2024 | |
Business Combination and Asset Acquisition [Abstract] | |
Asset Acquisition | ACQUISITION In December 2023, the Company, through a subsidiary of HFSC, entered into an exclusive license and acquired certain assets for the capability to support the Boeing 737NG/777 Cockpit Display and Legacy Displays product lines from Honeywell International. The transaction provides the HFSC subsidiary with the exclusive capability to produce, sell, and repair Boeing 737NG/777 Cockpit Displays as well as other Legacy Displays for Boeing 717, ATR, and select business and general aviation aircraft. The purchase price of this acquisition was paid in cash using proceeds from the Company's revolving credit facility, and is not material or significant to the Company's condensed consolidated financial statements. The allocation of the total consideration for this acquisition to the tangible and identifiable intangible assets acquired is preliminary until the Company obtains final information regarding their fair values. However, the Company does not expect any adjustment to such allocation to be material to the Company's consolidated financial statements. This acquisition’s operating results were included in the Company’s results of operations from the effective acquisition date. The amount of net sales and earnings of this acquisition included in the Condensed Consolidated Statement of Operations for the three months ended January 31, 2024 is not material. Had this acquisition occurred as of November 1, 2022, net sales, net income from consolidated operations, net income attributable to HEICO, and basic and diluted net income per share attributable to HEICO shareholders on a pro forma basis for the three months ended January 31, 2024 and 2023 would not have been materially different than the reported amounts. |
SELECTED FINANCIAL STATEMENT IN
SELECTED FINANCIAL STATEMENT INFORMATION | 3 Months Ended |
Jan. 31, 2024 | |
Selected Financial Statement Information [Abstract] | |
Selected Financial Statement Information [Text Block] | SELECTED FINANCIAL STATEMENT INFORMATION Accounts Receivable (in thousands) January 31, 2024 October 31, 2023 Accounts receivable $484,465 $521,696 Less: Allowance for doubtful accounts (12,768) (12,621) Accounts receivable, net $471,697 $509,075 Inventories (in thousands) January 31, 2024 October 31, 2023 Finished products $652,265 $622,395 Work in process 87,266 79,789 Materials, parts, assemblies and supplies 329,204 311,496 Inventories, net of valuation reserves $1,068,735 $1,013,680 Property, Plant and Equipment (in thousands) January 31, 2024 October 31, 2023 Land $19,893 $19,706 Buildings and improvements 206,189 202,499 Machinery, equipment and tooling 397,013 386,602 Construction in progress 30,853 25,867 653,948 634,674 Less: Accumulated depreciation and amortization (326,287) (312,826) Property, plant and equipment, net $327,661 $321,848 Accrued Customer Rebates and Credits The aggregate amount of accrued customer rebates and credits included within accrued expenses and other current liabilities in the accompanying Condensed Consolidated Balance Sheets was $27.5 million as of January 31, 2024 and $24.5 million as of October 31, 2023. The total customer rebates and credits deducted within net sales for the three months ended January 31, 2024 and 2023 was $3.5 million and $2.2 million, respectively. Research and Development Expenses The amount of new product research and development ("R&D") expenses included in cost of sales for the three months ended January 31, 2024 and 2023 is as follows (in thousands): Three months ended January 31, 2024 2023 R&D expenses $25,096 $20,238 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 a formula that management intended to reasonably approximate fair value based solely on a multiple of future earnings over a measurement period. 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): January 31, 2024 October 31, 2023 Redeemable at fair value $308,586 $308,472 Redeemable based on a multiple of future earnings 57,279 56,335 Redeemable noncontrolling interests $365,865 $364,807 During fiscal 2022, the holder of a 19.9% noncontrolling equity interest in a subsidiary of the FSG that was acquired in fiscal 2015 exercised their option to cause the Company to purchase their noncontrolling interest over a four-year period ending in fiscal 2026. In December 2023, the Company acquired an additional one-fourth of such interest, which increased the Company's ownership interest in the subsidiary to 90.1%. Accumulated Other Comprehensive Loss Changes in the components of accumulated other comprehensive loss for the three months ended January 31, 2024 are as follows (in thousands): Foreign Currency Translation Defined Benefit Pension Plan Accumulated Balances as of October 31, 2023 ($39,165) ($1,015) ($40,180) Unrealized gain 14,205 — 14,205 Amortization of unrealized loss — 13 13 Balances as of January 31, 2024 ($24,960) ($1,002) ($25,962) |
GOODWILL AND OTHER INTANGIBLE A
GOODWILL AND OTHER INTANGIBLE ASSETS | 3 Months Ended |
Jan. 31, 2024 | |
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 for the three months ended January 31, 2024 are as follows (in thousands): Segment Consolidated Totals FSG ETG Balances as of October 31, 2023 $1,824,305 $1,450,022 $3,274,327 Goodwill acquired 7,577 — 7,577 Foreign currency translation adjustments 927 6,580 7,507 Adjustments to goodwill 284 799 1,083 Balances as of January 31, 2024 $1,833,093 $1,457,401 $3,290,494 The goodwill acquired pertains to the fiscal 2024 acquisition described in Note 2, Acquisition, and represents the residual value after the allocation of the total consideration to the tangible and identifiable intangible assets acquired. The Company estimates that $7 million of the goodwill acquired in fiscal 2024 will be deductible for income tax purposes. Foreign currency translation adjustments are included in other comprehensive income (loss) in the Company's Condensed Consolidated Statements of Comprehensive Income. The adjustments to goodwill represent immaterial measurement period adjustments to the allocation of the purchase consideration of certain fiscal 2023 acquisitions. Identifiable intangible assets consist of the following (in thousands): As of January 31, 2024 As of October 31, 2023 Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Amortizing Assets: Customer relationships $989,251 ($249,680) $739,571 $967,090 ($227,089) $740,001 Intellectual property 447,145 (112,133) 335,012 448,336 (121,503) 326,833 Other 8,706 (7,533) 1,173 8,685 (7,404) 1,281 1,445,102 (369,346) 1,075,756 1,424,111 (355,996) 1,068,115 Non-Amortizing Assets: Trade names 289,926 — 289,926 289,166 — 289,166 $1,735,028 ($369,346) $1,365,682 $1,713,277 ($355,996) $1,357,281 Amortization expense related to intangible assets for the three months ended January 31, 2024 and 2023 was $30.2 million and $17.8 million, respectively. Amortization expense related to intangible assets for the remainder of fiscal 2024 is estimated to be $91.1 million. Amortization expense for each of the next five fiscal years and thereafter is estimated to be $116.4 million in fiscal 2025, $110.6 million in fiscal 2026, $106.2 million in fiscal 2027, $100.7 million in fiscal 2028, $95.2 million in fiscal 2029, and $455.6 million thereafter. |
DEBT
DEBT | 3 Months Ended |
Jan. 31, 2024 | |
Debt Disclosure [Abstract] | |
Long-term Debt [Text Block] | SHORT-TERM AND LONG-TERM DEBT A subsidiary of the Company acquired in the first quarter of fiscal 2023 ended its short-term borrowing arrangement in the first quarter of fiscal 2024 during which it made net payments of $13.9 million. Long-term debt consists of the following (in thousands): January 31, 2024 October 31, 2023 Borrowings under revolving credit facility $1,285,000 $1,250,000 2028 senior unsecured notes 600,000 600,000 2033 senior unsecured notes 600,000 600,000 Finance leases and notes payable 28,525 28,024 Less: Debt discount and debt issuance costs (13,060) (13,478) 2,500,465 2,464,546 Less: Current maturities of long-term debt (4,739) (4,269) $2,495,726 $2,460,277 Revolving Credit Facility The Company's borrowings under its revolving credit facility mature in fiscal 2028. As of January 31, 2024 and October 31 2023, the weighted average interest rate on borrowings under the Company's revolving credit facility ("Credit Facility") was 6.9% and 6.7%, respectively. The revolving credit facility contains both financial and non-financial covenants. As of January 31, 2024, the Company was in compliance with all such covenants. Senior Unsecured Notes The Company's senior unsecured notes consist of $600 million principal amount of 5.25% Senior Notes due August 1, 2028 (the "2028 Notes") and $600 million principal amount of 5.35% Senior Notes due August 1, 2033 (the "2033 Notes" and, collectively with the 2028 Notes, the "Notes"). Interest on the Notes is payable semi-annually in arrears on February 1 and August 1 of each year, and commenced on February 1, 2024. The 2028 Notes and 2033 Notes each have an effective interest rate of 5.5%. The Notes are fully and unconditionally guaranteed on a senior unsecured basis by all of the Company's existing and future subsidiaries that guarantee the Company's obligations under the Credit Facility (the "Guarantor Group"). As of January 31, 2024 the Company was in compliance with all covenants related to the Notes. The following table sets forth the carrying value and estimated fair value of the Company’s Notes, which are classified as Level 1 financial instruments in the fair value hierarchy (in thousands). The Company estimated the fair value of the Notes by taking the weighted average of market quotes for the exact security that was actively traded on January 31, 2024 and October 31, 2023. January 31, 2024 October 31, 2023 Carrying Value Fair Value Carrying Value Fair Value 2028 Notes $594,428 $611,262 $594,158 $579,762 2033 Notes 592,512 610,080 592,364 552,594 Total $1,186,940 $1,221,342 $1,186,522 $1,132,356 |
REVENUE
REVENUE | 3 Months Ended |
Jan. 31, 2024 | |
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 Condensed Consolidated Balance Sheets. Changes in the Company’s contract assets and liabilities for the three months ended January 31, 2024 are as follows (in thousands): January 31, 2024 October 31, 2023 Change Contract assets $108,888 $111,702 ($2,814) Contract liabilities 96,117 87,556 8,561 Net contract assets $12,771 $24,146 ($11,375) The increase in the Company's contract liabilities during the first quarter of 2024 principally reflects the receipt of advance deposits on certain customer contracts, mainly at the FSG. The amount of revenue that the Company recognized during the first quarter of fiscal 2024 that was included in contract liabilities as of the beginning of fiscal 2024 was $26.7 million. Remaining Performance Obligations Backlog, which the Company believes to be the equivalent of its remaining performance obligations, represents contractually committed or firm customer orders. As of January 31, 2024, the Company had $1,444.3 million of remaining performance obligations associated with firm contracts pertaining to the majority of the products offered by the ETG and FSG. The Company will recognize net sales as these obligations are satisfied. The Company expects to recognize $952.6 million of this amount during the remainder of fiscal 2024 and $491.7 million thereafter, of which the majority is expected to occur in fiscal 2025. Disaggregation of Revenue The following table summarizes the Company’s net sales by product line for each operating segment (in thousands): Three months ended January 31, 2024 2023 Flight Support Group: Aftermarket replacement parts (1) $395,154 $208,643 Repair and overhaul parts and services (2) 135,582 71,150 Specialty products (3) 87,980 91,485 Total net sales 618,716 371,278 Electronic Technologies Group: Electronic component parts primarily for defense, space and aerospace equipment (4) 220,646 174,578 Electronic component parts for equipment in various other industries (5) 65,296 80,481 Total net sales 285,942 255,059 Intersegment sales (8,295) (5,422) Total consolidated net sales $896,363 $620,915 (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 airborne antennas, technical surveillance countermeasures (TSCM) equipment, custom high power filters and filter assemblies, radiation assurance services and products, and high-reliability, complex, passive electronic components and rotary joint assemblies. (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, and high performance test sockets and adaptors. The following table summarizes the Company’s net sales by industry for each operating segment (in thousands): Three months ended January 31, 2024 2023 Flight Support Group: Aerospace $461,241 $254,540 Defense and Space 138,772 95,642 Other (1) 18,703 21,096 Total net sales 618,716 371,278 Electronic Technologies Group: Defense and Space 135,776 121,962 Other (2) 100,610 97,770 Aerospace 49,556 35,327 Total net sales 285,942 255,059 Intersegment sales (8,295) (5,422) Total consolidated net sales $896,363 $620,915 (1) Principally industrial products. (2) |
INCOME TAXES
INCOME TAXES | 3 Months Ended |
Jan. 31, 2024 | |
Income Tax Disclosure [Abstract] | |
Income Tax Disclosure [Text Block] | INCOME TAXES The Company's effective tax rate decreased to 11.8% in the first quarter of fiscal 2024, down from 16.9% in the first quarter of fiscal 2023. The decrease in the Company's effective tax rate principally reflects a larger tax benefit from stock option exercises recognized in the first quarter of fiscal 2024. The Company recognized a discrete tax benefit from stock option exercises in both the first quarter of fiscal 2024 and 2023 of $13.6 million and $6.2 million, respectively. |
FAIR VALUE MEASUREMENTS
FAIR VALUE MEASUREMENTS | 3 Months Ended |
Jan. 31, 2024 | |
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 January 31, 2024 Quoted Prices Significant Significant Unobservable Inputs Total Assets: Deferred compensation plan: Corporate-owned life insurance $— $258,100 $— $258,100 Money market fund 18,637 — — 18,637 Total assets $18,637 $258,100 $— $276,737 Liabilities: Contingent consideration $— $— $52,514 $52,514 As of October 31, 2023 Quoted Prices Significant Significant Unobservable Inputs Total Assets: Deferred compensation plan: Corporate-owned life insurance $— $227,710 $— $227,710 Money market fund 5,829 — — 5,829 Total assets $5,829 $227,710 $— $233,539 Liabilities: Contingent consideration $— $— $71,136 $71,136 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 an investment in a money market fund that is classified within Level 1. The assets of the LCP are held within an irrevocable trust and classified within other assets in the Company’s Condensed Consolidated Balance Sheets. The related liabilities of the LCP are included within other long-term liabilities and accrued expenses and other current liabilities in the Company’s Condensed Consolidated Balance Sheets and have an aggregate value of $274.1 million as of January 31, 2024 and $226.2 million as of October 31, 2023. In connection with a fiscal 2023 acquisition that is part of the FSG, the Company assumed an agreement which now obligates it to pay contingent consideration of $17.5 million as certain operating entities of the acquired company met a calendar year 2023 earnings objective and obtained a certain level of new orders with deliveries scheduled in calendar year 2024, of which both targets were tied to a specific customer contract. The $17.5 million of contingent consideration accrued as of January 31, 2024 is expected to be paid in the second quarter of fiscal 2024. As part of the agreement to acquire 80.36% of the stock of a subsidiary by the ETG in fiscal 2022, the Company may be obligated to pay contingent consideration of up to $12.1 million in fiscal 2027 based on the earnings of the acquired entity during fiscal years 2025 and 2026 provided the entity meets a certain earnings objective during each of fiscal years 2024 to 2026. As of January 31, 2024, the estimated fair value of the contingent consideration was $5.6 million. As part of the agreement to acquire 96% of the stock of a subsidiary by the FSG in fiscal 2022, the Company may be obligated to pay contingent consideration of up to $27.4 million in fiscal 2027 based on the earnings of the acquired entity during fiscal years 2025 and 2026 provided the entity meets certain earnings objectives during each of fiscal years 2022 to 2024. As of January 31, 2024, the estimated fair value of the contingent consideration was $20.3 million. As part of the agreement to acquire 74% of the membership interests of a subsidiary by the FSG in fiscal 2022, the Company would be obligated to pay contingent consideration of $14.1 million in fiscal 2027 only if the acquired entity met a certain earnings objective during the five-year period following the acquisition. Based on the actual earnings of the acquired entity subsequent to the acquisition and forecasted earnings over the remainder of the earnout period, the Company does not expect that the required earnings objective will be met. Accordingly, as of January 31, 2024 and October 31, 2023, the estimated fair value of the contingent consideration was $0.0 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 $13.5 million, or $10.1 million, in fiscal 2025 should the acquired entity meet certain earnings objectives during fiscal 2023 and 2024. As of January 31, 2024, the estimated fair value of the contingent consideration was CAD $12.3 million, or $9.1 million. As part of the agreement to acquire a subsidiary by the ETG in fiscal 2017, the Company paid contingent consideration of $20.0 million in December 2023 as the acquired entity met a certain earnings objective during the first six years following the acquisition. The following unobservable inputs were used to derive the estimated fair value of the Company's Level 3 contingent consideration liabilities as of January 31, 2024 ($ in thousands): Unobservable Weighted Acquisition Date Fair Value Input Range Average (1) 8-4-2023 $17,500 Discount rate 0.0% - 0.0% 0.0% 9-1-2022 5,577 Compound annual revenue growth rate 9% - 22% 17% Discount rate 8.6% - 8.6% 8.6% 7-18-2022 20,295 Compound annual revenue growth rate 1% - 11% 6% Discount rate 8.6% - 8.6% 8.6% 8-18-2020 9,142 Compound annual revenue growth rate 11% - 20% 17% Discount rate 9.5% - 9.5% 9.5% (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) for the three months ended January 31, 2024 are as follows (in thousands): Liabilities Balance as of October 31, 2023 $71,136 Payment of contingent consideration (20,000) Increase in accrued contingent consideration 1,095 Foreign currency transaction adjustments 283 $52,514 Included in the accompanying Condensed Consolidated Balance Sheet under the following captions: Accrued expenses and other current liabilities $26,642 Other long-term liabilities 25,872 $52,514 The Company records changes in accrued contingent consideration and foreign currency transaction adjustments within SG&A expenses The carrying amounts of the Company’s cash and cash equivalents, accounts receivable, trade accounts payable and accrued expenses and other current liabilities approximate fair value as of January 31, 2024 due to the relatively short maturity of the respective instruments. The carrying amount of borrowings under the Company's credit facility approximates fair value due to its variable interest rate. See Note 5, Short-Term and Long-Term Debt, for the estimated fair value of the Company’s senior unsecured notes. |
NET INCOME PER SHARE ATTRIBUTAB
NET INCOME PER SHARE ATTRIBUTABLE TO HEICO SHAREHOLDERS | 3 Months Ended |
Jan. 31, 2024 | |
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): Three months ended January 31, 2024 2023 Numerator: Net income attributable to HEICO $114,698 $93,027 Denominator: Weighted average common shares outstanding - basic 138,265 136,655 Effect of dilutive stock options 1,628 1,924 Weighted average common shares outstanding - diluted 139,893 138,579 Net income per share attributable to HEICO shareholders: Basic $.83 $.68 Diluted $.82 $.67 Anti-dilutive stock options excluded 1,422 750 |
OPERATING SEGMENTS
OPERATING SEGMENTS | 3 Months Ended |
Jan. 31, 2024 | |
Segment Reporting [Abstract] | |
Segment Reporting Disclosure [Text Block] | OPERATING SEGMENTS Information on the Company’s two operating segments, the FSG and the ETG, for the three months ended January 31, 2024 and 2023 is as follows (in thousands): Other, (1) Consolidated Segment FSG ETG Three months ended January 31, 2024: Net sales $618,716 $285,942 ($8,295) $896,363 Depreciation 6,487 5,539 304 12,330 Amortization 17,857 12,926 392 31,175 Operating income 136,091 55,328 (11,209) 180,210 Capital expenditures 6,732 6,174 471 13,377 Three months ended January 31, 2023: Net sales $371,278 $255,059 ($5,422) $620,915 Depreciation 4,178 3,938 270 8,386 Amortization 6,731 11,669 274 18,674 Operating income 83,609 56,537 (10,712) 129,434 Capital expenditures 6,653 4,089 104 10,846 (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 FSG ETG Total assets as of January 31, 2024 $4,093,956 $2,889,878 $352,235 $7,336,069 Total assets as of October 31, 2023 4,006,748 2,915,300 273,015 7,195,063 |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 3 Months Ended |
Jan. 31, 2024 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies Disclosure [Text Block] | COMMITMENTS AND CONTINGENCIES Guarantees As of January 31, 2024, the Company has arranged for standby letters of credit aggregating $10.8 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. Product Warranty Changes in the Company’s product warranty liability for the three months ended January 31, 2024 and 2023 are as follows (in thousands): Three months ended January 31, 2024 2023 Balances as of beginning of fiscal year $3,847 $3,296 Accruals for warranties 790 775 Warranty claims settled (834) (591) Balances as of January 31 $3,803 $3,480 Litigation On April 20, 2021, an indirect subsidiary of HFSC, which was acquired in June 2020, received a grand jury subpoena from the United States District Court for the Southern District of California requiring the production of documents for the pre-acquisition time period of December 1, 2017 through February 4, 2019 related to the subsidiary's employment of a certain individual and its performance of work on certain Navy vessels during that time period. In connection with this investigation, the individual pled guilty to a charge of a misdemeanor conflict of interest, and has been suspended by the Company pending determination by the Navy whether the suspended employee should be debarred from government contracting. The Company is cooperating with the investigation, and is cooperating with the Navy. The Company has completed its production of documents responsive to the subpoena, although the Company has a continuing obligation to produce such documents should any be located. The Company cannot predict the outcome of the investigation or when the investigation will ultimately be resolved; nor can the Company reasonably estimate the possible range of loss or impact to its business, if any, that may result from this matter. With the exception of the matter noted above, the Company is involved in various legal actions arising in the normal course of business. Based upon the Company’s and its legal counsel’s evaluations of any claims or assessments, management is of the opinion that the outcome of these matters will not have a material adverse effect on the Company’s results of operations, financial position or cash flows. |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Thousands | 3 Months Ended | |
Jan. 31, 2024 | Jan. 31, 2023 | |
Pay vs Performance Disclosure | ||
Net income attributable to HEICO | $ 114,698 | $ 93,027 |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Jan. 31, 2024 | |
Trading Arrangements, by Individual | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
SUMMARY OF SIGNIFICANT ACCOUN_2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 3 Months Ended |
Jan. 31, 2024 | |
Accounting Policies [Abstract] | |
Basis of Presentation [Text Block] | Basis of Presentation The accompanying unaudited condensed consolidated financial statements of HEICO Corporation and its subsidiaries (collectively, “HEICO,” or the “Company”) have been prepared in conformity with accounting principles generally accepted in the United States of America for interim financial information and in accordance with the instructions to Form 10-Q. Therefore, the condensed consolidated financial statements do not include all information and footnotes normally included in annual consolidated financial statements and should be read in conjunction with the consolidated financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the year ended October 31, 2023. The October 31, 2023 Condensed Consolidated Balance Sheet has been derived from the Company’s audited consolidated financial statements. In the opinion of management, the unaudited condensed consolidated financial statements contain all adjustments (consisting principally of normal recurring accruals) necessary for a fair presentation of the condensed consolidated balance sheets, statements of operations, statements of comprehensive income, statements of shareholders' equity and statements of cash flows for such interim periods presented. The results of operations for the three months ended January 31, 2024 are not necessarily indicative of the results which may be expected for the entire fiscal year. The Company has two operating segments: the Flight Support Group (“FSG”), consisting of HEICO Aerospace Holdings Corp. and HEICO Flight Support Corp. ("HFSC") and their respective subsidiaries; and the Electronic Technologies Group (“ETG”), consisting of HEICO Electronic Technologies Corp. and its subsidiaries. |
New Accounting Pronouncements, Policy [Policy Text Block] | New Accounting Pronouncements In November 2023, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2023-07, “Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures,” which expands reportable segment disclosure requirements by requiring disclosures of significant reportable segment expenses that are regularly provided to the Chief Operating Decision Maker (“CODM”) and included within each reported measure of a segment's profit or loss. The ASU also requires disclosure of the title and position of the individual identified as the CODM and an explanation of how the CODM uses the reported measures of a segment's profit or loss in assessing segment performance and deciding how to allocate resources. Additionally, ASU 2023-07 requires all segment profit or loss and assets disclosures to be provided on an annual and interim basis. ASU 2023-07 is effective for fiscal years beginning after December 15, 2023, or in fiscal 2025 for HEICO, and interim periods within fiscal years beginning one year later. Early adoption is permitted and the amendments must be applied retrospectively to all prior periods presented. The adoption of this guidance will not affect the Company's consolidated results of operations, financial position or cash flows and the Company is currently evaluating the effect the guidance will have on its disclosures. In December 2023, the FASB issued ASU 2023-09, “Income Taxes (Topic 740): Improvements to Income Tax Disclosures,” which requires disclosure of specific categories in the annual effective tax rate reconciliation table and further disaggregation for reconciling items that meet a quantitative threshold. The ASU also requires the disaggregation of income taxes paid by jurisdiction. ASU 2023-09 may be applied either prospectively or retrospectively and is effective for fiscal years beginning after December 15, 2024, or in fiscal 2026 for HEICO. Early adoption is permitted. The adoption of this guidance will not affect the Company's consolidated results of operations, financial position or cash flows and the Company is currently evaluating the effect the guidance will have on its disclosures. |
SELECTED FINANCIAL STATEMENT _2
SELECTED FINANCIAL STATEMENT INFORMATION (Tables) | 3 Months Ended |
Jan. 31, 2024 | |
Selected Financial Statement Information [Abstract] | |
Schedule of Accounts Receivable [Table Text Block] | Accounts Receivable (in thousands) January 31, 2024 October 31, 2023 Accounts receivable $484,465 $521,696 Less: Allowance for doubtful accounts (12,768) (12,621) Accounts receivable, net $471,697 $509,075 |
Schedule of Inventories [Table Text Block] | Inventories (in thousands) January 31, 2024 October 31, 2023 Finished products $652,265 $622,395 Work in process 87,266 79,789 Materials, parts, assemblies and supplies 329,204 311,496 Inventories, net of valuation reserves $1,068,735 $1,013,680 |
Schedule of Property, Plant and Equipment [Table Text Block] | Property, Plant and Equipment (in thousands) January 31, 2024 October 31, 2023 Land $19,893 $19,706 Buildings and improvements 206,189 202,499 Machinery, equipment and tooling 397,013 386,602 Construction in progress 30,853 25,867 653,948 634,674 Less: Accumulated depreciation and amortization (326,287) (312,826) Property, plant and equipment, net $327,661 $321,848 |
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 for the three months ended January 31, 2024 and 2023 is as follows (in thousands): Three months ended January 31, 2024 2023 R&D expenses $25,096 $20,238 |
Schedule of Redeemable Noncontrolling Interests [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): January 31, 2024 October 31, 2023 Redeemable at fair value $308,586 $308,472 Redeemable based on a multiple of future earnings 57,279 56,335 Redeemable noncontrolling interests $365,865 $364,807 |
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block] | Changes in the components of accumulated other comprehensive loss for the three months ended January 31, 2024 are as follows (in thousands): Foreign Currency Translation Defined Benefit Pension Plan Accumulated Balances as of October 31, 2023 ($39,165) ($1,015) ($40,180) Unrealized gain 14,205 — 14,205 Amortization of unrealized loss — 13 13 Balances as of January 31, 2024 ($24,960) ($1,002) ($25,962) |
GOODWILL AND OTHER INTANGIBLE_2
GOODWILL AND OTHER INTANGIBLE ASSETS (Tables) | 3 Months Ended |
Jan. 31, 2024 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill [Table Text Block] | Changes in the carrying amount of goodwill by operating segment for the three months ended January 31, 2024 are as follows (in thousands): Segment Consolidated Totals FSG ETG Balances as of October 31, 2023 $1,824,305 $1,450,022 $3,274,327 Goodwill acquired 7,577 — 7,577 Foreign currency translation adjustments 927 6,580 7,507 Adjustments to goodwill 284 799 1,083 Balances as of January 31, 2024 $1,833,093 $1,457,401 $3,290,494 |
Schedule Of Identifiable Intangible Assets [Table Text Block] | Identifiable intangible assets consist of the following (in thousands): As of January 31, 2024 As of October 31, 2023 Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Amortizing Assets: Customer relationships $989,251 ($249,680) $739,571 $967,090 ($227,089) $740,001 Intellectual property 447,145 (112,133) 335,012 448,336 (121,503) 326,833 Other 8,706 (7,533) 1,173 8,685 (7,404) 1,281 1,445,102 (369,346) 1,075,756 1,424,111 (355,996) 1,068,115 Non-Amortizing Assets: Trade names 289,926 — 289,926 289,166 — 289,166 $1,735,028 ($369,346) $1,365,682 $1,713,277 ($355,996) $1,357,281 |
DEBT (Tables)
DEBT (Tables) | 3 Months Ended |
Jan. 31, 2024 | |
Debt Disclosure [Abstract] | |
Schedule of Long-term Debt Instruments [Table Text Block] | Long-term debt consists of the following (in thousands): January 31, 2024 October 31, 2023 Borrowings under revolving credit facility $1,285,000 $1,250,000 2028 senior unsecured notes 600,000 600,000 2033 senior unsecured notes 600,000 600,000 Finance leases and notes payable 28,525 28,024 Less: Debt discount and debt issuance costs (13,060) (13,478) 2,500,465 2,464,546 Less: Current maturities of long-term debt (4,739) (4,269) $2,495,726 $2,460,277 |
Schedule of Carrying Values and Estimated Fair Values of Debt Instruments | The following table sets forth the carrying value and estimated fair value of the Company’s Notes, which are classified as Level 1 financial instruments in the fair value hierarchy (in thousands). The Company estimated the fair value of the Notes by taking the weighted average of market quotes for the exact security that was actively traded on January 31, 2024 and October 31, 2023. January 31, 2024 October 31, 2023 Carrying Value Fair Value Carrying Value Fair Value 2028 Notes $594,428 $611,262 $594,158 $579,762 2033 Notes 592,512 610,080 592,364 552,594 Total $1,186,940 $1,221,342 $1,186,522 $1,132,356 |
REVENUE (Tables)
REVENUE (Tables) | 3 Months Ended |
Jan. 31, 2024 | |
Revenue from Contract with Customer [Abstract] | |
Contract with Customer, Asset and Liability [Table Text Block] | Changes in the Company’s contract assets and liabilities for the three months ended January 31, 2024 are as follows (in thousands): January 31, 2024 October 31, 2023 Change Contract assets $108,888 $111,702 ($2,814) Contract liabilities 96,117 87,556 8,561 Net contract assets $12,771 $24,146 ($11,375) |
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): Three months ended January 31, 2024 2023 Flight Support Group: Aftermarket replacement parts (1) $395,154 $208,643 Repair and overhaul parts and services (2) 135,582 71,150 Specialty products (3) 87,980 91,485 Total net sales 618,716 371,278 Electronic Technologies Group: Electronic component parts primarily for defense, space and aerospace equipment (4) 220,646 174,578 Electronic component parts for equipment in various other industries (5) 65,296 80,481 Total net sales 285,942 255,059 Intersegment sales (8,295) (5,422) Total consolidated net sales $896,363 $620,915 (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 airborne antennas, technical surveillance countermeasures (TSCM) equipment, custom high power filters and filter assemblies, radiation assurance services and products, and high-reliability, complex, passive electronic components and rotary joint assemblies. (5) |
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): Three months ended January 31, 2024 2023 Flight Support Group: Aerospace $461,241 $254,540 Defense and Space 138,772 95,642 Other (1) 18,703 21,096 Total net sales 618,716 371,278 Electronic Technologies Group: Defense and Space 135,776 121,962 Other (2) 100,610 97,770 Aerospace 49,556 35,327 Total net sales 285,942 255,059 Intersegment sales (8,295) (5,422) Total consolidated net sales $896,363 $620,915 (1) Principally industrial products. (2) |
FAIR VALUE MEASUREMENTS (Tables
FAIR VALUE MEASUREMENTS (Tables) | 3 Months Ended |
Jan. 31, 2024 | |
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 January 31, 2024 Quoted Prices Significant Significant Unobservable Inputs Total Assets: Deferred compensation plan: Corporate-owned life insurance $— $258,100 $— $258,100 Money market fund 18,637 — — 18,637 Total assets $18,637 $258,100 $— $276,737 Liabilities: Contingent consideration $— $— $52,514 $52,514 As of October 31, 2023 Quoted Prices Significant Significant Unobservable Inputs Total Assets: Deferred compensation plan: Corporate-owned life insurance $— $227,710 $— $227,710 Money market fund 5,829 — — 5,829 Total assets $5,829 $227,710 $— $233,539 Liabilities: Contingent consideration $— $— $71,136 $71,136 |
Fair Value Measurement Inputs and Valuation Techniques [Table Text Block] | The following unobservable inputs were used to derive the estimated fair value of the Company's Level 3 contingent consideration liabilities as of January 31, 2024 ($ in thousands): Unobservable Weighted Acquisition Date Fair Value Input Range Average (1) 8-4-2023 $17,500 Discount rate 0.0% - 0.0% 0.0% 9-1-2022 5,577 Compound annual revenue growth rate 9% - 22% 17% Discount rate 8.6% - 8.6% 8.6% 7-18-2022 20,295 Compound annual revenue growth rate 1% - 11% 6% Discount rate 8.6% - 8.6% 8.6% 8-18-2020 9,142 Compound annual revenue growth rate 11% - 20% 17% Discount rate 9.5% - 9.5% 9.5% (1) |
Fair Value, Liabilities 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) for the three months ended January 31, 2024 are as follows (in thousands): Liabilities Balance as of October 31, 2023 $71,136 Payment of contingent consideration (20,000) Increase in accrued contingent consideration 1,095 Foreign currency transaction adjustments 283 $52,514 Included in the accompanying Condensed Consolidated Balance Sheet under the following captions: Accrued expenses and other current liabilities $26,642 Other long-term liabilities 25,872 $52,514 |
NET INCOME PER SHARE ATTRIBUT_2
NET INCOME PER SHARE ATTRIBUTABLE TO HEICO SHAREHOLDERS (Tables) | 3 Months Ended |
Jan. 31, 2024 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted [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): Three months ended January 31, 2024 2023 Numerator: Net income attributable to HEICO $114,698 $93,027 Denominator: Weighted average common shares outstanding - basic 138,265 136,655 Effect of dilutive stock options 1,628 1,924 Weighted average common shares outstanding - diluted 139,893 138,579 Net income per share attributable to HEICO shareholders: Basic $.83 $.68 Diluted $.82 $.67 Anti-dilutive stock options excluded 1,422 750 |
OPERATING SEGMENTS (Tables)
OPERATING SEGMENTS (Tables) | 3 Months Ended |
Jan. 31, 2024 | |
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 the three months ended January 31, 2024 and 2023 is as follows (in thousands): Other, (1) Consolidated Segment FSG ETG Three months ended January 31, 2024: Net sales $618,716 $285,942 ($8,295) $896,363 Depreciation 6,487 5,539 304 12,330 Amortization 17,857 12,926 392 31,175 Operating income 136,091 55,328 (11,209) 180,210 Capital expenditures 6,732 6,174 471 13,377 Three months ended January 31, 2023: Net sales $371,278 $255,059 ($5,422) $620,915 Depreciation 4,178 3,938 270 8,386 Amortization 6,731 11,669 274 18,674 Operating income 83,609 56,537 (10,712) 129,434 Capital expenditures 6,653 4,089 104 10,846 (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 FSG ETG Total assets as of January 31, 2024 $4,093,956 $2,889,878 $352,235 $7,336,069 Total assets as of October 31, 2023 4,006,748 2,915,300 273,015 7,195,063 |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Tables) | 3 Months Ended |
Jan. 31, 2024 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of Product Warranty Liability [Table Text Block] | Changes in the Company’s product warranty liability for the three months ended January 31, 2024 and 2023 are as follows (in thousands): Three months ended January 31, 2024 2023 Balances as of beginning of fiscal year $3,847 $3,296 Accruals for warranties 790 775 Warranty claims settled (834) (591) Balances as of January 31 $3,803 $3,480 |
SELECTED FINANCIAL STATEMENT _3
SELECTED FINANCIAL STATEMENT INFORMATION (Accounts Receivable) (Details) - USD ($) $ in Thousands | Jan. 31, 2024 | Oct. 31, 2023 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Accounts receivable | $ 484,465 | $ 521,696 |
Less: Allowance for doubtful accounts | (12,768) | (12,621) |
Accounts receivable, net | $ 471,697 | $ 509,075 |
SELECTED FINANCIAL STATEMENT _4
SELECTED FINANCIAL STATEMENT INFORMATION (Inventories) (Details) - USD ($) $ in Thousands | Jan. 31, 2024 | Oct. 31, 2023 |
Inventory [Line Items] | ||
Finished products | $ 652,265 | $ 622,395 |
Work in process | 87,266 | 79,789 |
Materials, parts, assemblies and supplies | 329,204 | 311,496 |
Inventories, net of valuation reserves | $ 1,068,735 | $ 1,013,680 |
SELECTED FINANCIAL STATEMENT _5
SELECTED FINANCIAL STATEMENT INFORMATION (Property, Plant and Equipment) (Details) - USD ($) $ in Thousands | Jan. 31, 2024 | Oct. 31, 2023 |
Property, Plant and Equipment [Line Items] | ||
Land | $ 19,893 | $ 19,706 |
Buildings and improvements | 206,189 | 202,499 |
Machinery, equipment and tooling | 397,013 | 386,602 |
Construction in progress | 30,853 | 25,867 |
Property, plant and equipment, gross | 653,948 | 634,674 |
Less: Accumulated depreciation and amortization | (326,287) | (312,826) |
Property, plant and equipment, net | $ 327,661 | $ 321,848 |
SELECTED FINANCIAL STATEMENT _6
SELECTED FINANCIAL STATEMENT INFORMATION (Research and Development Expenses) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Jan. 31, 2024 | Jan. 31, 2022 | |
Selected Financial Statement Information (Details) [Abstract] | ||
R&D expenses | $ 25,096 | $ 20,238 |
SELECTED FINANCIAL STATEMENT _7
SELECTED FINANCIAL STATEMENT INFORMATION (Redeemable Noncontrolling Interests) (Details) - USD ($) $ in Thousands | Jan. 31, 2024 | Oct. 31, 2023 |
Redeemable Noncontrolling Interest [Line Items] | ||
Redeemable at fair value | $ 308,586 | $ 308,472 |
Redeemable based on a multiple of future earnings | 57,279 | 56,335 |
Redeemable noncontrolling interests | $ 365,865 | $ 364,807 |
SELECTED FINANCIAL STATEMENT _8
SELECTED FINANCIAL STATEMENT INFORMATION (Accumulated Other Comprehensive Loss) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Jan. 31, 2024 | Jan. 31, 2023 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Starting accumulated other comprehensive loss | $ (40,180) | |
Unrealized gain (loss) | 14,205 | |
Amortization of unrealized loss on defined benefit pension plan, net of tax | 13 | $ 15 |
Ending accumulated other comprehensive loss | (25,962) | |
Foreign Currency Translation [Member] | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Starting accumulated other comprehensive loss | (39,165) | |
Unrealized gain (loss) | 14,205 | |
Ending accumulated other comprehensive loss | (24,960) | |
Pension Benefit Obligation [Member] | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Starting accumulated other comprehensive loss | (1,015) | |
Amortization of unrealized loss on defined benefit pension plan, net of tax | 13 | |
Ending accumulated other comprehensive loss | $ (1,002) |
SELECTED FINANCIAL STATEMENT _9
SELECTED FINANCIAL STATEMENT INFORMATION (Details Textuals) - USD ($) $ in Thousands | 3 Months Ended | ||
Jan. 31, 2024 | Jan. 31, 2023 | Oct. 31, 2023 | |
Selected Financial Statement Information (Details) [Abstract] | |||
Accrued customer rebates and credits | $ 27,500 | $ 24,500 | |
Total customer rebates and credits deducted within net sales | $ 3,500 | $ 2,200 | |
FY 2015 Acquisition [Member] | Flight Support Group [Member] | Flight Support Group [Member] | |||
Business Acquisition [Line Items] | |||
Noncontrolling Interest, Ownership Percentage by Noncontrolling Owners | 19.90% | ||
Noncontrolling Interest, Ownership Percentage by Parent | 90.10% |
GOODWILL AND OTHER INTANGIBLE_3
GOODWILL AND OTHER INTANGIBLE ASSETS (Goodwill) (Details) $ in Thousands | 3 Months Ended |
Jan. 31, 2024 USD ($) | |
Goodwill [Line Items] | |
Opening Balance | $ 3,274,327 |
Goodwill acquired | 7,577 |
Foreign currency translation adjustments | 7,507 |
Adjustments to goodwill | 1,083 |
Ending Balance | 3,290,494 |
Flight Support Group [Member] | |
Goodwill [Line Items] | |
Opening Balance | 1,824,305 |
Goodwill acquired | 7,577 |
Foreign currency translation adjustments | 927 |
Adjustments to goodwill | 284 |
Ending Balance | 1,833,093 |
Electronic Technologies Group [Member] | |
Goodwill [Line Items] | |
Opening Balance | 1,450,022 |
Goodwill acquired | 0 |
Foreign currency translation adjustments | 6,580 |
Adjustments to goodwill | 799 |
Ending Balance | $ 1,457,401 |
GOODWILL AND OTHER INTANGIBLE_4
GOODWILL AND OTHER INTANGIBLE ASSETS (Identifiable Intangible Assets) (Details) - USD ($) $ in Thousands | Jan. 31, 2024 | Oct. 31, 2023 |
Acquired Finite Lived and Indefinite Lived Intangible Assets [Line Items] | ||
Finite-Lived Customer Relationships, Gross | $ 989,251 | $ 967,090 |
Finite-Lived Intellectual Property, Gross | 447,145 | 448,336 |
Other Finite-Lived Intangible Assets, Gross | 8,706 | 8,685 |
Gross Carrying Amount | 1,445,102 | 1,424,111 |
Indefinite-Lived Trade Names | 289,926 | 289,166 |
Intangible Assets, Gross (Excluding Goodwill) | 1,735,028 | 1,713,277 |
Accumulated Amortization | (369,346) | (355,996) |
Net Carrying Amount | 1,075,756 | 1,068,115 |
Intangible Asset Net Carrying Amount | 1,365,682 | 1,357,281 |
Customer Relationships [Member] | ||
Acquired Finite Lived and Indefinite Lived Intangible Assets [Line Items] | ||
Accumulated Amortization | (249,680) | (227,089) |
Net Carrying Amount | 739,571 | 740,001 |
Intellectual Property [Member] | ||
Acquired Finite Lived and Indefinite Lived Intangible Assets [Line Items] | ||
Accumulated Amortization | (112,133) | (121,503) |
Net Carrying Amount | 335,012 | 326,833 |
Other Intangible Assets | ||
Acquired Finite Lived and Indefinite Lived Intangible Assets [Line Items] | ||
Accumulated Amortization | (7,533) | (7,404) |
Net Carrying Amount | $ 1,173 | $ 1,281 |
GOODWILL AND OTHER INTANGIBLE_5
GOODWILL AND OTHER INTANGIBLE ASSETS (Details Textuals) - USD ($) $ in Millions | 3 Months Ended | |
Jan. 31, 2024 | Jan. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Business Acquisition, Goodwill, Expected Tax Deductible Amount | $ 7 | |
Amortization expense related to intangible assets | 30.2 | $ 17.8 |
Estimated Amortization Expense, remainder of fiscal year | 91.1 | |
Estimated Amortization Expense, for fiscal 2025 | 116.4 | |
Estimated Amortization Expense, for fiscal 2026 | 110.6 | |
Estimated Amortization Expense, for fiscal 2027 | 106.2 | |
Estimated Amortization Expense, for fiscal 2028 | 100.7 | |
Estimated Amortization Expense, for fiscal 2029 | 95.2 | |
Estimated Amortization Expense, thereafter | $ 455.6 |
DEBT (Long-term Debt) (Details)
DEBT (Long-term Debt) (Details) - USD ($) $ in Thousands | Jan. 31, 2024 | Oct. 31, 2023 |
Borrowings under revolving credit facility | $ 1,285,000 | $ 1,250,000 |
Finance Leases and Note Payable | 28,525 | 28,024 |
Debt Issuance Costs, Net | (13,060) | (13,478) |
Total debt and capital leases | 2,500,465 | 2,464,546 |
Long-Term Debt, Current Maturities | (4,739) | (4,269) |
Long-term debt, net of current maturities | 2,495,726 | 2,460,277 |
2028 Senior Notes | ||
Senior Notes | 600,000 | 600,000 |
2033 Senior Notes | ||
Senior Notes | $ 600,000 | $ 600,000 |
DEBT (Notes) (Details)
DEBT (Notes) (Details) - USD ($) $ in Thousands | Jan. 31, 2024 | Oct. 31, 2023 |
Debt Instrument [Line Items] | ||
Senior Notes, Noncurrent | $ 1,186,940 | $ 1,186,522 |
2028 Senior Notes | ||
Debt Instrument [Line Items] | ||
Senior Notes, Noncurrent | 594,428 | 594,158 |
2033 Senior Notes | ||
Debt Instrument [Line Items] | ||
Senior Notes, Noncurrent | 592,512 | 592,364 |
Fair Value, Inputs, Level 2 [Member] | ||
Debt Instrument [Line Items] | ||
Long-Term Debt, Fair Value | 1,221,342 | 1,132,356 |
Fair Value, Inputs, Level 2 [Member] | 2028 Senior Notes | ||
Debt Instrument [Line Items] | ||
Long-Term Debt, Fair Value | 611,262 | 579,762 |
Fair Value, Inputs, Level 2 [Member] | 2033 Senior Notes | ||
Debt Instrument [Line Items] | ||
Long-Term Debt, Fair Value | $ 610,080 | $ 552,594 |
DEBT (Details Textuals)
DEBT (Details Textuals) - USD ($) $ in Thousands | 3 Months Ended | ||
Jan. 31, 2024 | Jan. 31, 2023 | Oct. 31, 2023 | |
Senior Notes [Abstract] | |||
Repayments of Short-Term Debt | $ 13,924 | $ 0 | |
2028 Senior Notes | |||
Senior Notes [Abstract] | |||
Debt Instrument, Face Amount | $ 600,000 | ||
Debt Instrument, Interest Rate, Stated Percentage | 5.25% | ||
Debt Instrument, Maturity Date | Aug. 01, 2028 | ||
Debt Instrument, Payment Terms | Interest on the Notes is payable semi-annually in arrears on February 1 and August 1 of each year | ||
Debt Instrument, Date of First Required Payment | Feb. 01, 2024 | ||
Debt Instrument, Interest Rate, Effective Percentage | 5.50% | ||
2033 Senior Notes | |||
Senior Notes [Abstract] | |||
Debt Instrument, Face Amount | $ 600,000 | ||
Debt Instrument, Interest Rate, Stated Percentage | 5.35% | ||
Debt Instrument, Maturity Date | Aug. 01, 2033 | ||
Debt Instrument, Payment Terms | Interest on the Notes is payable semi-annually in arrears on February 1 and August 1 of each year | ||
Debt Instrument, Date of First Required Payment | Feb. 01, 2024 | ||
Debt Instrument, Interest Rate, Effective Percentage | 5.50% | ||
Revolving Credit Facility [Member] | |||
Debt Instrument [Line Items] | |||
Weighted average interest rate | 6.90% | 6.70% |
REVENUE (Contract Assets and Li
REVENUE (Contract Assets and Liabilities) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Jan. 31, 2024 | Oct. 31, 2023 | |
Contract with Customer, Contract Asset, Contract Liability, and Receivable [Abstract] | ||
Contract assets | $ 108,888 | $ 111,702 |
Contract liabilities | 96,117 | 87,556 |
Net contract assets | 12,771 | $ 24,146 |
Amount of Increase (Decrease) in Contract Assets | (2,814) | |
Amount of Increase (Decrease) in Contract Liabilities | 8,561 | |
Amount of Increase (Decrease) in Net Contract Assets | $ (11,375) |
REVENUE (Disaggregation of Reve
REVENUE (Disaggregation of Revenue, by Product Line) (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Jan. 31, 2024 | Jan. 31, 2023 | ||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Excluding Assessed Tax | $ 896,363 | $ 620,915 | |
Flight Support Group [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Excluding Assessed Tax | 618,716 | 371,278 | |
Flight Support Group [Member] | Aftermarket Replacement Parts [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Excluding Assessed Tax | [1] | 395,154 | 208,643 |
Flight Support Group [Member] | Repair and Overhaul Parts and Services [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Excluding Assessed Tax | [2] | 135,582 | 71,150 |
Flight Support Group [Member] | Specialty Products [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Excluding Assessed Tax | [3] | 87,980 | 91,485 |
Electronic Technologies Group [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Excluding Assessed Tax | 285,942 | 255,059 | |
Electronic Technologies Group [Member] | Electronic Components for Defense, Space and Aerospace [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Excluding Assessed Tax | [4] | 220,646 | 174,578 |
Electronic Technologies Group [Member] | Other Electronic Components [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Excluding Assessed Tax | [5] | 65,296 | 80,481 |
Corporate And Eliminations [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Excluding Assessed Tax | $ (8,295) | $ (5,422) | |
[1] Includes various jet engine and aircraft component replacement parts. 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. 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. 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 airborne antennas, technical surveillance countermeasures (TSCM) equipment, custom high power filters and filter assemblies, radiation assurance services and products, and high-reliability, complex, passive electronic components and rotary joint assemblies. |
REVENUE (Disaggregation of Re_2
REVENUE (Disaggregation of Revenue, by Industry) (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Jan. 31, 2024 | Jan. 31, 2023 | ||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Excluding Assessed Tax | $ 896,363 | $ 620,915 | |
Flight Support Group [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Excluding Assessed Tax | 618,716 | 371,278 | |
Flight Support Group [Member] | Aerospace [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Excluding Assessed Tax | 461,241 | 254,540 | |
Flight Support Group [Member] | Defense and Space [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Excluding Assessed Tax | 138,772 | 95,642 | |
Flight Support Group [Member] | Other Industries [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Excluding Assessed Tax | [1] | 18,703 | 21,096 |
Electronic Technologies Group [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Excluding Assessed Tax | 285,942 | 255,059 | |
Electronic Technologies Group [Member] | Aerospace [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Excluding Assessed Tax | 49,556 | 35,327 | |
Electronic Technologies Group [Member] | Defense and Space [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Excluding Assessed Tax | 135,776 | 121,962 | |
Electronic Technologies Group [Member] | Other Industries [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Excluding Assessed Tax | [2] | 100,610 | 97,770 |
Corporate And Eliminations [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Revenue from Contract with Customer, Excluding Assessed Tax | $ (8,295) | $ (5,422) | |
[1]Principally industrial products.[2]Principally other electronics and medical products. |
REVENUE (Details Textuals)
REVENUE (Details Textuals) $ in Millions | 3 Months Ended |
Jan. 31, 2024 USD ($) | |
REVENUE [Abstract] | |
Contract with Customer, Liability, Revenue Recognized | $ 26.7 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-02-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period | 1 year |
Revenue, Remaining Performance Obligation, Amount | $ 1,444.3 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-02-02 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period | 9 months |
Revenue, Remaining Performance Obligation, Amount | $ 952.6 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-11-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period | 9 months 1 day |
Revenue, Remaining Performance Obligation, Amount | $ 491.7 |
INCOME TAXES (Details Textuals)
INCOME TAXES (Details Textuals) - USD ($) $ in Thousands | 3 Months Ended | |
Jan. 31, 2024 | Jan. 31, 2023 | |
Income Tax Disclosure [Abstract] | ||
Effective Income Tax Rate Reconciliation, Percent | 11.80% | 16.90% |
Tax benefit from stock option exercises recognized in the period | $ 13,600 | $ 6,200 |
FAIR VALUE MEASUREMENTS (Fair V
FAIR VALUE MEASUREMENTS (Fair Value Hierarchy, by Category) (Details) - USD ($) $ in Thousands | Jan. 31, 2024 | Oct. 31, 2023 |
Deferred Compensation Plans [Abstract] | ||
Deferred compensation plans | $ 276,737 | $ 233,539 |
Liabilities: | ||
Contingent consideration | 52,514 | 71,136 |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||
Deferred Compensation Plans [Abstract] | ||
Deferred compensation plans | 18,637 | 5,829 |
Liabilities: | ||
Contingent consideration | 0 | 0 |
Significant Other Observable Inputs (Level 2) [Member] | ||
Deferred Compensation Plans [Abstract] | ||
Deferred compensation plans | 258,100 | 227,710 |
Liabilities: | ||
Contingent consideration | 0 | 0 |
Significant Unobservable Inputs (Level 3) [Member] | ||
Deferred Compensation Plans [Abstract] | ||
Deferred compensation plans | 0 | 0 |
Liabilities: | ||
Contingent consideration | 52,514 | 71,136 |
Corporate Owned Life Insurance [Member] | ||
Deferred Compensation Plans [Abstract] | ||
Deferred compensation plans | 258,100 | 227,710 |
Corporate Owned Life Insurance [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||
Deferred Compensation Plans [Abstract] | ||
Deferred compensation plans | 0 | 0 |
Corporate Owned Life Insurance [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||
Deferred Compensation Plans [Abstract] | ||
Deferred compensation plans | 258,100 | 227,710 |
Corporate Owned Life Insurance [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||
Deferred Compensation Plans [Abstract] | ||
Deferred compensation plans | 0 | 0 |
Money Market Funds [Member] | ||
Deferred Compensation Plans [Abstract] | ||
Deferred compensation plans | 18,637 | 5,829 |
Money Market Funds [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||
Deferred Compensation Plans [Abstract] | ||
Deferred compensation plans | 18,637 | 5,829 |
Money Market Funds [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||
Deferred Compensation Plans [Abstract] | ||
Deferred compensation plans | 0 | 0 |
Money Market Funds [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||
Deferred Compensation Plans [Abstract] | ||
Deferred compensation plans | $ 0 | $ 0 |
FAIR VALUE MEASUREMENTS (Level
FAIR VALUE MEASUREMENTS (Level 3 Valuation Inputs) (Details) - Fair Value, Inputs, Level 3 [Member] $ in Thousands | Jan. 31, 2024 USD ($) | Oct. 31, 2023 USD ($) | |
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability Value | $ 52,514 | $ 71,136 | |
FY2023 Subsidiary 1 | |||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability Value | 17,500 | ||
FY2022 Acquisition Subsidiary 1 | |||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability Value | 5,577 | ||
FY2022 Acquisition Subsidiary 2 | |||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability Value | 20,295 | ||
FY2020 Acquisition Subsidiary 1 | |||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability Value | $ 9,142 | ||
Measurement Input, Long-term Revenue Growth Rate [Member] | FY2022 Acquisition Subsidiary 1 | |||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||
Business Combination, Contingent Consideration, Liability, Measurement Input | [1] | 0.17 | |
Measurement Input, Long-term Revenue Growth Rate [Member] | FY2022 Acquisition Subsidiary 1 | Minimum [Member] | |||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||
Business Combination, Contingent Consideration, Liability, Measurement Input | 0.09 | ||
Measurement Input, Long-term Revenue Growth Rate [Member] | FY2022 Acquisition Subsidiary 1 | Maximum [Member] | |||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||
Business Combination, Contingent Consideration, Liability, Measurement Input | 0.22 | ||
Measurement Input, Long-term Revenue Growth Rate [Member] | FY2022 Acquisition Subsidiary 2 | |||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||
Business Combination, Contingent Consideration, Liability, Measurement Input | [1] | 0.06 | |
Measurement Input, Long-term Revenue Growth Rate [Member] | FY2022 Acquisition Subsidiary 2 | Minimum [Member] | |||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||
Business Combination, Contingent Consideration, Liability, Measurement Input | 0.01 | ||
Measurement Input, Long-term Revenue Growth Rate [Member] | FY2022 Acquisition Subsidiary 2 | Maximum [Member] | |||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||
Business Combination, Contingent Consideration, Liability, Measurement Input | 0.11 | ||
Measurement Input, Long-term Revenue Growth Rate [Member] | FY2020 Acquisition Subsidiary 1 | |||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||
Business Combination, Contingent Consideration, Liability, Measurement Input | [1] | 0.17 | |
Measurement Input, Long-term Revenue Growth Rate [Member] | FY2020 Acquisition Subsidiary 1 | Minimum [Member] | |||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||
Business Combination, Contingent Consideration, Liability, Measurement Input | 0.11 | ||
Measurement Input, Long-term Revenue Growth Rate [Member] | FY2020 Acquisition Subsidiary 1 | Maximum [Member] | |||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||
Business Combination, Contingent Consideration, Liability, Measurement Input | 0.20 | ||
Measurement Input, Discount Rate [Member] | FY2023 Subsidiary 1 | |||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||
Business Combination, Contingent Consideration, Liability, Measurement Input | [1] | 0 | |
Measurement Input, Discount Rate [Member] | FY2023 Subsidiary 1 | Minimum [Member] | |||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||
Business Combination, Contingent Consideration, Liability, Measurement Input | 0 | ||
Measurement Input, Discount Rate [Member] | FY2023 Subsidiary 1 | Maximum [Member] | |||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||
Business Combination, Contingent Consideration, Liability, Measurement Input | 0 | ||
Measurement Input, Discount Rate [Member] | FY2022 Acquisition Subsidiary 1 | |||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||
Business Combination, Contingent Consideration, Liability, Measurement Input | [1] | 0.086 | |
Measurement Input, Discount Rate [Member] | FY2022 Acquisition Subsidiary 1 | Minimum [Member] | |||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||
Business Combination, Contingent Consideration, Liability, Measurement Input | 0.086 | ||
Measurement Input, Discount Rate [Member] | FY2022 Acquisition Subsidiary 1 | Maximum [Member] | |||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||
Business Combination, Contingent Consideration, Liability, Measurement Input | 0.086 | ||
Measurement Input, Discount Rate [Member] | FY2022 Acquisition Subsidiary 2 | |||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||
Business Combination, Contingent Consideration, Liability, Measurement Input | [1] | 0.086 | |
Measurement Input, Discount Rate [Member] | FY2022 Acquisition Subsidiary 2 | Minimum [Member] | |||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||
Business Combination, Contingent Consideration, Liability, Measurement Input | 0.086 | ||
Measurement Input, Discount Rate [Member] | FY2022 Acquisition Subsidiary 2 | Maximum [Member] | |||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||
Business Combination, Contingent Consideration, Liability, Measurement Input | 0.086 | ||
Measurement Input, Discount Rate [Member] | FY2020 Acquisition Subsidiary 1 | |||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||
Business Combination, Contingent Consideration, Liability, Measurement Input | [1] | 0.095 | |
Measurement Input, Discount Rate [Member] | FY2020 Acquisition Subsidiary 1 | Minimum [Member] | |||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||
Business Combination, Contingent Consideration, Liability, Measurement Input | 0.095 | ||
Measurement Input, Discount Rate [Member] | FY2020 Acquisition Subsidiary 1 | Maximum [Member] | |||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | |||
Business Combination, Contingent Consideration, Liability, Measurement Input | 0.095 | ||
[1]Unobservable inputs were weighted by the relative fair value of the contingent consideration liability. |
FAIR VALUE MEASUREMENTS (Contin
FAIR VALUE MEASUREMENTS (Contingent Consideration Liability) (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Jan. 31, 2024 | Jan. 31, 2023 | Oct. 31, 2023 | |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |||
Business Combination, Contingent Consideration Arrangements, Change in Amount of Contingent Consideration, Liability | $ (1,095) | $ (1,336) | |
Accrued Liabilities, Current | 381,837 | $ 433,101 | |
Other Liabilities, Noncurrent | 425,541 | 379,640 | |
Significant Unobservable Inputs (Level 3) [Member] | |||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |||
Opening balance, Liabilities | 71,136 | ||
Business Combination, Contingent Consideration Arrangements, Change in Amount of Contingent Consideration, Liability | (20,000) | ||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability, Purchases | 1,095 | ||
Fair Value, Liability, Recurring Basis, Still Held, Unrealized Gain (Loss) | 283 | ||
Ending balance, Liabilities | 52,514 | ||
Accrued Liabilities, Current | 26,642 | ||
Other Liabilities, Noncurrent | 25,872 | ||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Liability Value | $ 52,514 | $ 71,136 |
FAIR VALUE MEASUREMENTS (Detail
FAIR VALUE MEASUREMENTS (Details Textuals) $ in Thousands, $ in Thousands | 3 Months Ended | |||
Jan. 31, 2024 USD ($) | Jan. 31, 2023 USD ($) | Jan. 31, 2024 CAD ($) | Oct. 31, 2023 USD ($) | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Total liabilities | $ 52,514 | $ 71,136 | ||
Change in value of contingent consideration | $ 1,095 | $ 1,336 | ||
Fair Value, Liability, Recurring Basis, Still Held, Unrealized Gain (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration] | Selling, General and Administrative Expense | |||
Aggregate LCP Liability [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Related liabilities of deferred compensation plans, specified as other long-term liabilities | $ 274,100 | $ 226,200 | ||
FY2022 Acquisition Subsidiary 1 | Electronic Technologies Group [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Business Acquisition, Percentage of Voting Interests Acquired | 80.36% | 80.36% | ||
Business Combination, Contingent Consideration Arrangements, Range of Outcomes, Value, High | $ 12,100 | |||
Total liabilities | $ 5,600 | |||
FY2022 Acquisition Subsidiary 2 | Flight Support Group [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Business Acquisition, Percentage of Voting Interests Acquired | 96% | 96% | ||
Business Combination, Contingent Consideration Arrangements, Range of Outcomes, Value, High | $ 27,400 | |||
Total liabilities | $ 20,300 | |||
FY2022 Acquisition Subsidiary 3 | Flight Support Group [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Business Acquisition, Percentage of Voting Interests Acquired | 74% | 74% | ||
Business Combination, Contingent Consideration Arrangements, Range of Outcomes, Value, High | $ 14,100 | |||
Total liabilities | $ 0 | |||
FY2020 Acquisition Subsidiary 1 | Electronic Technologies Group [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Business Acquisition, Percentage of Voting Interests Acquired | 89.99% | 89.99% | ||
Business Combination, Contingent Consideration Arrangements, Range of Outcomes, Value, High | $ 10,100 | |||
Total liabilities | 9,100 | |||
FY2020 Acquisition Subsidiary 1 | Canada, Dollars | Electronic Technologies Group [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Business Combination, Contingent Consideration Arrangements, Range of Outcomes, Value, High | $ 13,500 | |||
Total liabilities | $ 12,300 | |||
FY 2017 Acquisition [Member] | Electronic Technologies Group [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Change in value of contingent consideration | 20,000 | |||
FY2023 Subsidiary 1 | Flight Support Group [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Business Combination, Contingent Consideration, Liability, Current | 17,500 | |||
Business Combination, Contingent Consideration Arrangements, Range of Outcomes, Value, High | $ 17,500 |
NET INCOME PER SHARE ATTRIBUT_3
NET INCOME PER SHARE ATTRIBUTABLE TO HEICO SHAREHOLDERS (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | |
Jan. 31, 2024 | Jan. 31, 2023 | |
Numerator: | ||
Net income attributable to HEICO | $ 114,698 | $ 93,027 |
Denominator: | ||
Weighted Average Number of Shares Outstanding, Basic | 138,265 | 136,655 |
Effect of dilutive stock options | 1,628 | 1,924 |
Weighted Average Number of Shares Outstanding, Diluted | 139,893 | 138,579 |
Earnings Per Share, Basic | $ 0.83 | $ 0.68 |
Earnings Per Share, Diluted | $ 0.82 | $ 0.67 |
Anti-dilutive stock options excluded | 1,422 | 750 |
OPERATING SEGMENTS (Details)
OPERATING SEGMENTS (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Jan. 31, 2024 | Jan. 31, 2023 | ||
Segment Reporting Information [Line Items] | |||
Revenues | $ 896,363 | $ 620,915 | |
Depreciation | 12,330 | 8,386 | |
Amortization | 31,175 | 18,674 | |
Operating income | 180,210 | 129,434 | |
Capital expenditures | 13,377 | 10,846 | |
Corporate And Eliminations [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | [1] | (8,295) | (5,422) |
Depreciation | [1] | 304 | 270 |
Amortization | [1] | 392 | 274 |
Operating income | [1] | (11,209) | (10,712) |
Capital expenditures | [1] | 471 | 104 |
Flight Support Group [Member] | Operating Segments [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 618,716 | 371,278 | |
Depreciation | 6,487 | 4,178 | |
Amortization | 17,857 | 6,731 | |
Operating income | 136,091 | 83,609 | |
Capital expenditures | 6,732 | 6,653 | |
Electronic Technologies Group [Member] | Operating Segments [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenues | 285,942 | 255,059 | |
Depreciation | 5,539 | 3,938 | |
Amortization | 12,926 | 11,669 | |
Operating income | 55,328 | 56,537 | |
Capital expenditures | $ 6,174 | $ 4,089 | |
[1]Intersegment activity principally consists of net sales from the ETG to the FSG. |
OPERATING SEGMENTS (Details 1)
OPERATING SEGMENTS (Details 1) - USD ($) $ in Thousands | Jan. 31, 2024 | Oct. 31, 2023 |
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Total assets | $ 7,336,069 | $ 7,195,063 |
Other Primarily Corporate and Intersegment [Member] | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Total assets | 352,235 | 273,015 |
Flight Support Group [Member] | Operating Segments [Member] | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Total assets | 4,093,956 | 4,006,748 |
Electronic Technologies Group [Member] | Operating Segments [Member] | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Total assets | $ 2,889,878 | $ 2,915,300 |
COMMITMENTS AND CONTINGENCIES_2
COMMITMENTS AND CONTINGENCIES (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Jan. 31, 2024 | Jan. 31, 2023 | |
Schedule of Product Warranties [Line Items] | ||
Balances as of beginning of fiscal year | $ 3,847 | $ 3,296 |
Accruals for warranties | 790 | 775 |
Warranty claims settled | (834) | (591) |
Balances as of end of period | $ 3,803 | $ 3,480 |
COMMITMENTS AND CONTINGENCIES_3
COMMITMENTS AND CONTINGENCIES (Details Textuals) $ in Millions | Jan. 31, 2024 USD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
Guarantor Obligations, Maximum Exposure, Undiscounted | $ 10.8 |