SELECTED FINANCIAL STATEMENT INFORMATION

3 Months Ended

Jan. 31, 2025

Selected Financial Statement Information [Abstract]

Selected Financial Statement Information [Text Block]

SELECTED FINANCIAL STATEMENT INFORMATION

Accounts Receivable

(in thousands)	January 31, 2025	October 31, 2024
Accounts receivable	$533,095	$550,281
Less: Allowance for doubtful accounts	(9,827)	(11,794)
Accounts receivable, net	$523,268	$538,487

Inventories

(in thousands)	January 31, 2025	October 31, 2024
Finished products	$700,599	$684,578
Work in process	101,670	99,107
Materials, parts, assemblies and supplies	416,442	387,264
Inventories, net of valuation reserves	$1,218,711	$1,170,949

Property, Plant and Equipment

(in thousands)	January 31, 2025	October 31, 2024
Land	$19,744	$19,974
Buildings and improvements	222,272	217,554
Machinery, equipment and tooling	438,350	422,500
Construction in progress	36,287	35,432
	716,653	695,460
Less: Accumulated depreciation and amortization	(367,815)	(356,426)
Property, plant and equipment, net	$348,838	$339,034

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 $28.3 million as of January 31, 2025 and $24.3 million as of October 31, 2024. The total customer rebates and credits deducted within net sales for the three months ended January 31, 2025 and 2024 was $4.3 million and $3.5 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, 2025 and 2024 is as follows (in thousands):

	Three months ended January 31,
	2025	2024
R&D expenses	$27,605	$25,096

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 2034. 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, 2025	October 31, 2024
Redeemable at fair value	$337,121	$306,143
Redeemable based on a multiple of future earnings	86,962	60,013
Redeemable noncontrolling interests	$424,083	$366,156

As discussed in Note 2, Acquisitions, the Company, through HEICO Electronic, acquired 70% of the stock of SVM in November 2024. As part of the shareholders' agreement, the noncontrolling interest holder has the right to cause the Company to purchase their equity interest beginning in fiscal 2029, or sooner under certain conditions, and the Company has the right to purchase the same equity interest over the same period.

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 2024, the Company acquired an additional one-fourth of such interest, which increased the Company's ownership interest in the subsidiary to 95.03%.

As discussed in Note 2, Acquisitions, the Company, through a subsidiary of HFSC, acquired 90% of the membership interests of Millennium in January 2025. As part of the operating agreement, the noncontrolling interest holder has the right to cause the Company to purchase their membership interest over a four-year period beginning in fiscal 2029, or sooner under certain conditions, and the Company has the right to purchase the same membership interest over the same period.

Accumulated Other Comprehensive Loss

Changes in the components of accumulated other comprehensive loss for the three months ended January 31, 2025 are as follows (in thousands):

	Foreign Currency Translation	Defined Benefit Pension Plan	Accumulated Other Comprehensive Loss
Balances as of October 31, 2024	($25,667)	($409)	($26,076)
Unrealized loss	(27,511)	—	(27,511)
Amortization of unrealized loss	—	1	1
Balances as of January 31, 2025	($53,178)	($408)	($53,586)