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HEICO Q2 Profit Slips on Lower Revenues - Update

By RTTNews Staff Writer   ✉  | Published:  | Google News Follow Us  | Join Us
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Wednesday, HEICO Corp. (HEI), an electronics related products and services provider, reported a decrease in second quarter earnings from a year ago, as revenues declined.

The Hollywood, Florida-based HEICO's second quarter net income slipped to $10.54 million or $0.39 per share from $11.94 million or $0.44 per share a year ago. On average, seven analysts polled by Thomson Reuters expected the company to report earnings of $0.41 per share. Analysts' estimates typically exclude special items.

Quarterly sales declined to $130.16 million from $144.03 million a year-ago. Five Wall Street analysts expected revenues of $138.39 million for the quarter.

Laurans Mendelson, HEICO's chairman, president and chief executive officer, said, "Our Flight Support Group faces challenges brought on by worldwide airline capacity reductions and shrinking MRO spending. While our Electronic Technologies Group generally sees some strength in its defense and space related businesses, the global economic recession has continued to result in lower demand for certain of its medical, telecommunication and electronic products."

For the first six months of fiscal 2009, net income dipped to $21.86 million or $0.81 per share from $22.03 million or $0.81 per share a year ago.

Year-to-date, sales totaled $260.60 million, down from $278.33 million a year ago.

HEI closed Wednesday's regular trading at $30.91, down $0.24 or 0.77%, on a volume of about 124 thousand shares.

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