Heico Corp (NYSE:HEI) stock rose 6.65% (As on May 28, 11:22:59 AM UTC-4, Source: Google Finance) after the company reported better-than-expected second quarter results, with earnings and revenue surpassing analyst estimates, driven by robust growth across its business segments. The company’s Flight Support Group led the growth, with net sales rising 19% to a record $767.1 million, fueled by a 14% organic growth across all product lines. The Electronic Technologies Group also performed well, with net sales increasing 7% to $342.2 million, driven by strong demand for space and aerospace products. The Flight Support Group’s operating income increased 24% to a record $185.0 million in the second quarter of fiscal 2025, up from $148.9 million in the second quarter of fiscal 2024. The Electronic Technologies Group’s operating income increased 3% to $77.9 million in the second quarter of fiscal 2025, up from $75.3 million in the second quarter of fiscal 2024.

Meanwhile, the company has reported an increase in net income of 27% to $156.8 million in the second quarter of fiscal 2025, up from $123.1 million, in the second quarter of fiscal 2024. Cash flow provided by operating activities increased 45% to $204.7 million in the second quarter of fiscal 2025, up from $141.1 million in the second quarter of fiscal 2024. The company continue to forecast strong cash flow from operations for fiscal 2025. The total debt to net income attributable to HEICO ratio was 3.79x as of April 30, 2025, down from 4.34x as of October 31, 2024. The net debt to EBITDA ratio was 1.86x as of April 30, 2025, down from 2.06x as of October 31, 2024.

HEI in the second quarter of FY25 has reported the adjusted earnings per share of $1.12, beating the analysts’ estimates for the adjusted earnings per share of $1.03. The company had reported the adjusted revenue growth of 15 percent to $1.1 billion in the second quarter of FY25, beating the analysts’ estimates for revenue of $1.06 billion. Operating income increased 19% to a record $248.2 million in the second quarter of fiscal 2025, up from $209.2 million in the second quarter of fiscal 2024. The Company’s consolidated operating margin improved to 22.6% in the second quarter of fiscal 2025, up from 21.9% in the second quarter of fiscal 2024. EBITDA increased 18% to $297.7 million in the second quarter of fiscal 2025, up from $252.4 million in the second quarter of fiscal 2024.