XML 25 R11.htm IDEA: XBRL DOCUMENT v3.25.2
SELECTED FINANCIAL STATEMENT INFORMATION
 9 Months Ended
Jul. 31, 2025
Selected Financial Statement Information [Abstract]  
Selected Financial Statement Information [Text Block] SELECTED FINANCIAL STATEMENT INFORMATION
Accounts Receivable
(in thousands)July 31, 2025October 31, 2024
Accounts receivable$607,911 $550,281 
Less: Allowance for doubtful accounts(10,289)(11,794)
Accounts receivable, net$597,622 $538,487 

Inventories
(in thousands)July 31, 2025October 31, 2024
Finished products$723,021 $684,578 
Work in process127,756 99,107 
Materials, parts, assemblies and supplies459,616 387,264 
Inventories, net of valuation reserves$1,310,393 $1,170,949 

Property, Plant and Equipment
(in thousands)July 31, 2025October 31, 2024
Land$83,425 $19,974 
Buildings and improvements259,764 217,554 
Machinery, equipment and tooling473,800 422,500 
Construction in progress19,471 35,432 
836,460 695,460 
Less: Accumulated depreciation and amortization(398,825)(356,426)
Property, plant and equipment, net$437,635 $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 $29.4 million as of July 31, 2025 and $24.3 million as of October 31, 2024. The total customer rebates and credits deducted within net sales for the nine months ended July 31, 2025 and 2024 was $12.8 million and $8.5 million, respectively. The total customer rebates and credits deducted within net sales for the three months ended July 31, 2025 and 2024 was $4.9 million and $2.7 million, respectively.

Research and Development Expenses

The amount of new product research and development ("R&D") expenses included in cost of sales for the nine and three months ended July 31, 2025 and 2024 is as follows (in thousands):
Nine months ended July 31,Three months ended July 31,
2025202420252024
R&D expenses$88,275 $82,810 $31,929 $29,779 

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):
July 31, 2025October 31, 2024
Redeemable at fair value $348,386 $306,143 
Redeemable based on a multiple of future earnings89,201 60,013 
Redeemable noncontrolling interests$437,587 $366,156 

As discussed in Note 2, Acquisitions, the Company, through a subsidiary of 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 the fourth quarter of fiscal 2022, the holder of a 19.9% noncontrolling equity interest in a subsidiary of HFSC 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 95.0%.

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.

During the second quarter of fiscal 2024, the holders of a 15% noncontrolling equity interest in a subsidiary of the ETG that was acquired in fiscal 2019 exercised their option to cause the Company to purchase their noncontrolling interest over a four-year period ending in fiscal 2027. In February 2025, the Company acquired an additional one-fourth of such interest, which increased the Company's ownership interest in the subsidiary to 92.5%.

As discussed in Note 2, Acquisitions, the Company, through a subsidiary of HEICO Electronic, which was 87.9% owned by the Company, acquired 100% of the membership interests of Rosen in April 2025. As a result of this acquisition, the Company's ownership interest in the subsidiary of HEICO Electronic increased to approximately 92.4%.

During the second quarter of fiscal 2025, the holder of a 19.9% noncontrolling equity interest in a subsidiary of HFSC that was acquired in fiscal 2006 exercised their option to cause the Company to purchase their noncontrolling interest over a four-year period ending in fiscal 2028. Accordingly, the Company acquired one-fourth of such interest in May 2025, which increased the Company's ownership interest in the subsidiary to 85.1%.

During the third quarter of fiscal 2025, the Company sold a 10% noncontrolling equity interest in a subsidiary of HFSC that was acquired in fiscal 2020, which decreased the Company's ownership interest in the subsidiary to 90%. As part of the operating agreement, the noncontrolling interest holders have the right to cause the Company to purchase their noncontrolling interests over a four-year period beginning in fiscal 2031, or sooner under certain conditions, and the Company has the right to purchase the same noncontrolling interests over the same period.
Accumulated Other Comprehensive Income (Loss)

Changes in the components of accumulated other comprehensive income (loss) for the nine months ended July 31, 2025 are as follows (in thousands):
Foreign Currency TranslationDefined Benefit Pension PlanAccumulated
Other
Comprehensive Income (Loss)
Balances as of October 31, 2024($25,667)($409)($26,076)
Unrealized gain26,956 — 26,956 
Amortization of unrealized loss — 2 2 
Balances as of July 31, 2025$1,289 ($407)$882