HEICO CORP (HEI)

HEICO Corporation, through its subsidiaries, believes it is the world's largest manufacturer of FAA-approved jet engine and aircraft component replacement parts other than the original equipment manufacturers (OEMs) and their subcontractors. It also believes it is a leading manufacturer of electronic equipment for the aviation, defense, space, medical, telecommunications and electronics industries. The company was originally organized in 1957, adopted its current holding company structure in a 1993 reorganization, and has operated in the aerospace industry for over 65 years. Net sales grew from $26.2 million in fiscal 1990 to $4,485.0 million in fiscal 2025, with net income of $690.4 million, helped by roughly 107 acquisitions since 1990 in niche segments of its markets.

HEICO has two operating segments. The Flight Support Group (70% of fiscal 2025 net sales) designs and manufactures FAA-approved replacement parts using proprietary technology, sold at lower prices than OEM parts. It has received about 20,000 Parts Manufacturer Approvals (PMAs) and adds roughly 400 to 550 per year. The group also repairs, overhauls and distributes jet engine and aircraft components, avionics and instruments. It supplies and integrates military aircraft parts and support services, including F-16 capabilities. It makes thermal insulation systems, composite assemblies, expanded foil mesh for lightning strike protection, emergency descent devices and parachute products, and it does precision machining and overhauls industrial pumps and motors for the U.S. Navy. Flight Support Group research and development spending was $43.7 million in fiscal 2025.

The Electronic Technologies Group (30% of fiscal 2025 net sales) designs and manufactures highly engineered, mission-critical subcomponents for harsh environments. Products include infrared simulation and test equipment, laser rangefinder receivers, power supplies and back-up power, flight deck annunciators, wireless cabin control systems, microwave and RF products, EMI/RFI shielding and filters, high voltage interconnects and energy generators, power conversion products, underwater and emergency locator beacons, traveling wave tube amplifiers, stacked memory and specialty semiconductors, harsh environment connectors, communications receivers, and crashworthy auxiliary fuel systems for military rotorcraft.

Flight Support Group customers include commercial airlines and air cargo carriers, repair and overhaul facilities, OEMs, the U.S. Department of Defense, defense prime contractors, and U.S. and allied foreign governments. About 51% of Electronic Technologies Group net sales in fiscal 2025 came from U.S. and foreign military agencies, prime defense contractors, and commercial and defense satellite and spacecraft manufacturers. Its other customers include medical, electronics, telecommunications and industrial equipment producers.

The Flight Support Group competes mainly with the leading OEMs, including General Electric (with CFM International), Pratt & Whitney and Rolls Royce, and to a lesser extent with smaller independent parts distributors. The FAA's PMA process is a significant barrier to entry. HEICO has no material patents on its manufacturing techniques and relies primarily on trade secret protection. The text does not state the location of its headquarters.