Question · Q4 2025
John Goode revisited HEICO's aspirational 15%-20% multi-year net income growth target, noting consensus expectations for a sharp deceleration, and asked for management's current view on this target and any factors suggesting a likely deceleration.
Answer
Eric Mendelson reiterated the 15%-20% as an aspirational target, supported by HEICO's decentralized structure and strong acquisition pipeline, affirming no change in their focus on market outperformance. Carlos Macau highlighted HEICO's 35-year history of 18% compounded bottom-line growth, confirming the 15%-20% target remains intact for the next three to five years. Victor Mendelson added that low leverage and strong cash generation provide significant acquisition capability.
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HEI's earnings beat/miss a week before the call