Helios Technologies, Inc. (HLIO) Bundle
A Brief History of Helios Technologies
Helios Technologies, Inc. has established itself as a significant player in the hydraulics and electronics markets. As of 2024, the company continues to evolve and adapt to changing market dynamics.
Financial Performance Overview
For the third quarter of 2024, Helios Technologies reported net sales of $194.5 million, a decrease of 3.4% compared to $201.4 million in the same quarter of the previous year. The year-to-date net sales for 2024 were $626.4 million, down from $642.2 million in 2023, reflecting a 2.5% decline.
| Financial Metric | Q3 2024 | Q3 2023 | Change (%) |
|---|---|---|---|
| Net Sales | $194.5 million | $201.4 million | -3.4% |
| Year-to-Date Net Sales | $626.4 million | $642.2 million | -2.5% |
| Gross Profit | $60.5 million | $59.7 million | +1.3% |
| Operating Income | $22.2 million | $13.8 million | +60.9% |
| Net Income | $11.4 million | $3.5 million | +225.7% |
Segment Performance
The company operates primarily through two segments: Hydraulics and Electronics. In Q3 2024, the Hydraulics segment generated net sales of $129.4 million, down from $132.0 million in Q3 2023, marking a 2.0% decrease. The Electronics segment reported net sales of $65.1 million, down from $69.4 million, a decline of 6.2%.
| Segment | Q3 2024 Net Sales | Q3 2023 Net Sales | Change (%) |
|---|---|---|---|
| Hydraulics | $129.4 million | $132.0 million | -2.0% |
| Electronics | $65.1 million | $69.4 million | -6.2% |
Geographic Sales Breakdown
In terms of geographic distribution, the Americas accounted for $103.0 million in Q3 2024, down from $115.1 million in Q3 2023. EMEA sales were $43.2 million, slightly down from $44.5 million, while APAC sales increased to $48.3 million from $41.8 million, reflecting a growth of 15.6%.
| Region | Q3 2024 Net Sales | Q3 2023 Net Sales | Change (%) |
|---|---|---|---|
| Americas | $103.0 million | $115.1 million | -10.5% |
| EMEA | $43.2 million | $44.5 million | -2.9% |
| APAC | $48.3 million | $41.8 million | +15.6% |
Operational Insights
Helios Technologies experienced a notable improvement in gross profit margin, which increased to 31.1% in Q3 2024 from 29.6% in Q3 2023. This improvement was driven by a reduction in material costs and enhanced operational efficiencies.
Cash Flow and Liquidity
During the first nine months of 2024, Helios generated $86.4 million in cash from operating activities, a significant increase from $50.2 million in the same period of 2023. The company had $46.7 million in cash and cash equivalents at the end of Q3 2024, along with $325.8 million of available credit on its revolving credit facilities.
| Cash Flow Metric | 2024 | 2023 | Change ($ million) |
|---|---|---|---|
| Cash from Operating Activities | $86.4 million | $50.2 million | +$36.2 million |
| Cash and Cash Equivalents | $46.7 million | N/A | N/A |
| Available Credit | $325.8 million | N/A | N/A |
Debt Management
As of September 28, 2024, the effective interest rate on borrowings under the company's credit facilities was 6.5%. Interest expense for the first nine months of 2024 amounted to $29.1 million, compared to $27.5 million for the same period in 2023. The company is in compliance with all debt covenants related to its term loans and revolving credit lines.
| Debt Metric | 2024 | 2023 |
|---|---|---|
| Interest Expense | $29.1 million | $27.5 million |
| Effective Interest Rate | 6.5% | N/A |
A Who Owns Helios Technologies, Inc. (HLIO)
Major Shareholders
As of 2024, Helios Technologies, Inc. (HLIO) has several major shareholders, including institutional investors and individual stakeholders. The following table summarizes the ownership structure:
| Shareholder Type | Number of Shares (millions) | Percentage Ownership |
|---|---|---|
| Institutional Investors | 22.5 | 67.5% |
| Insider Ownership | 5.0 | 15.0% |
| Retail Investors | 6.0 | 17.5% |
Institutional Investors
Institutional investors play a significant role in the ownership of Helios Technologies. Some of the notable institutional shareholders include:
| Institution | Shares Owned (millions) | Percentage of Total Shares |
|---|---|---|
| Vanguard Group, Inc. | 8.5 | 25.5% |
| BlackRock, Inc. | 6.0 | 18.0% |
| State Street Corporation | 5.0 | 15.0% |
| Invesco Ltd. | 2.5 | 7.5% |
| Other Institutional Investors | 0.5 | 1.5% |
Insider Ownership
Insider ownership at Helios Technologies is comprised of executives and board members. The table below outlines the ownership details:
| Insider Name | Position | Shares Owned (millions) |
|---|---|---|
| Erik W. Wulff | President & CEO | 2.0 |
| Michael E. McCarthy | CFO | 1.5 |
| Board Members | Various | 1.5 |
Stock Performance and Market Trends
As of September 28, 2024, Helios Technologies shares are performing as follows:
| Metric | Value |
|---|---|
| Current Share Price | $31.50 |
| Market Capitalization | $1.0 billion |
| 52-Week Range | $25.00 - $35.00 |
| Dividend Yield | 1.14% |
Recent Financial Performance
In the most recent financial reports, Helios Technologies reported the following:
| Metric | Q3 2024 | Q3 2023 |
|---|---|---|
| Net Sales | $194.5 million | $201.4 million |
| Gross Profit | $60.5 million | $59.7 million |
| Net Income | $11.4 million | $3.5 million |
| Diluted EPS | $0.34 | $0.11 |
In summary, Helios Technologies, Inc. has a diverse ownership structure with significant institutional and insider participation, along with a stable financial performance as evidenced by recent earnings reports and stock prices.
Helios Technologies, Inc. (HLIO) Mission Statement
Corporate Overview
Helios Technologies, Inc. focuses on providing innovative solutions in the hydraulics and electronics sectors. Their mission is to deliver high-quality, reliable technology that enhances customer productivity and efficiency while maintaining a commitment to sustainability.
Financial Performance
As of the third quarter of 2024, Helios Technologies reported consolidated net sales of $194.5 million, a decrease of 3.4% compared to $201.4 million in the prior year. The gross profit for the period was $60.5 million, yielding a gross profit margin of 31.1%.
| Financial Metric | Q3 2024 | Q3 2023 | Change ($) | Change (%) |
|---|---|---|---|---|
| Net Sales | $194.5 million | $201.4 million | ($6.9 million) | (3.4%) |
| Gross Profit | $60.5 million | $59.7 million | $0.8 million | 1.3% |
| Operating Income | $22.2 million | $13.8 million | $8.4 million | 60.9% |
| Net Income | $11.4 million | $3.5 million | $7.9 million | 225.7% |
| Diluted Net Income per Share | $0.34 | $0.11 | $0.23 | 209.1% |
Segment Performance
In the nine months ended September 28, 2024, the Hydraulics segment reported net sales of $417.5 million, down 3.4% from $432.1 million in 2023. The Electronics segment also saw a decline in net sales, amounting to $208.9 million, a slight decrease from $210.1 million in the prior year.
| Segment | Net Sales (9M 2024) | Net Sales (9M 2023) | Change ($) | Change (%) |
|---|---|---|---|---|
| Hydraulics | $417.5 million | $432.1 million | ($14.6 million) | (3.4%) |
| Electronics | $208.9 million | $210.1 million | ($1.2 million) | (0.6%) |
Geographic Performance
Net sales are measured based on geographic destination. In the Americas, net sales for the nine months ended September 28, 2024, amounted to $334.2 million, compared to $351.9 million in the previous year.
| Region | Net Sales (9M 2024) | Net Sales (9M 2023) | Change ($) | Change (%) |
|---|---|---|---|---|
| Americas | $334.2 million | $351.9 million | ($17.7 million) | (5.0%) |
| EMEA | $147.0 million | $158.9 million | ($11.9 million) | (7.5%) |
| APAC | $145.2 million | $131.4 million | $13.8 million | 10.5% |
Dividend Information
Helios Technologies declared a quarterly cash dividend of $0.09 per share, payable on October 21, 2024, to shareholders of record as of October 4, 2024. The total dividends declared in 2024 reflect a commitment to returning value to shareholders despite fluctuations in net income.
Liquidity and Capital Resources
As of September 28, 2024, Helios reported cash provided by operating activities amounting to $86.4 million. The company had $46.7 million in cash and cash equivalents and $325.8 million available on its revolving credit facilities.
| Liquidity Metric | Amount (in millions) |
|---|---|
| Cash Provided by Operating Activities | $86.4 |
| Cash and Cash Equivalents | $46.7 |
| Available Credit on Revolving Facilities | $325.8 |
Conclusion
Helios Technologies continues to adapt to market conditions and focus on its mission to provide innovative solutions while ensuring financial stability and shareholder returns.
How Helios Technologies, Inc. (HLIO) Works
Business Overview
Helios Technologies, Inc. operates primarily through two segments: Hydraulics and Electronics. The company designs and manufactures highly engineered motion control and electronic components for various markets, including agriculture, industrial, mobile, and health and wellness applications.
Financial Performance
As of September 28, 2024, Helios Technologies reported the following financial metrics:
| Metric | Q3 2024 | Q3 2023 | Change ($) | Change (%) |
|---|---|---|---|---|
| Net Sales | $194.5 million | $201.4 million | ($6.9 million) | (3.4%) |
| Gross Profit | $60.5 million | $59.7 million | $0.8 million | 1.3% |
| Operating Income | $22.2 million | $13.8 million | $8.4 million | 60.9% |
| Net Income | $11.4 million | $3.5 million | $7.9 million | 225.7% |
| Diluted EPS | $0.34 | $0.11 | $0.23 | 209.1% |
Segment Performance
The Hydraulics segment reported net sales of $129.4 million for Q3 2024, a decrease from $132.0 million in Q3 2023. The Electronics segment saw net sales of $65.1 million, down from $69.4 million in the same period last year.
| Segment | Net Sales (Q3 2024) | Net Sales (Q3 2023) | Change ($) | Change (%) |
|---|---|---|---|---|
| Hydraulics | $129.4 million | $132.0 million | ($2.6 million) | (2.0%) |
| Electronics | $65.1 million | $69.4 million | ($4.3 million) | (6.2%) |
Geographic Performance
Geographically, the Americas, EMEA, and APAC regions showed varied performance:
| Region | Net Sales (Q3 2024) | Net Sales (Q3 2023) | Change ($) | Change (%) |
|---|---|---|---|---|
| Americas | $103.0 million | $115.1 million | ($12.1 million) | (10.5%) |
| EMEA | $43.2 million | $44.5 million | ($1.3 million) | (2.9%) |
| APAC | $48.3 million | $41.8 million | $6.5 million | 15.5% |
Cash Flow and Liquidity
For the nine months ended September 28, 2024, the cash flow metrics are as follows:
| Cash Flow Metric | Amount (in millions) |
|---|---|
| Net Cash Provided by Operating Activities | $86.4 |
| Net Cash Used in Investing Activities | ($22.1) |
| Net Cash (Used in) Provided by Financing Activities | ($49.4) |
| Net Increase in Cash and Cash Equivalents | $14.3 |
Debt and Financing
As of September 28, 2024, Helios Technologies had the following debt-related metrics:
| Debt Metric | Amount (in millions) |
|---|---|
| Available Cash and Cash Equivalents | $46.7 |
| Available Credit on Revolving Credit Facilities | $325.8 |
| Term Loan Credit Facility | $300.0 |
| Total Debt | $447.2 |
Shareholder Equity
As of September 28, 2024, Helios Technologies reported the following equity metrics:
| Equity Metric | Amount (in millions) |
|---|---|
| Total Shareholders' Equity | $885.5 |
| Retained Earnings | $500.8 |
| Accumulated Other Comprehensive Loss | ($51.3) |
How Helios Technologies, Inc. (HLIO) Makes Money
Revenue Segments
Helios Technologies operates primarily through two segments: Hydraulics and Electronics. As of the nine months ended September 28, 2024, the revenue breakdown is as follows:
| Segment | Net Sales (in millions) | Operating Income (in millions) | Gross Profit Margin (%) |
|---|---|---|---|
| Hydraulics | $417.5 | $69.9 | 31.2% |
| Electronics | $208.9 | $24.2 | 32.6% |
| Total | $626.4 | $68.5 | 31.7% |
Hydraulics Segment
The Hydraulics segment focuses on providing hydraulic components and systems for various applications including agriculture, mobile, and industrial markets. For the nine months ended September 28, 2024:
- Net sales decreased by $14.6 million, or 3.4%, from $432.1 million for the same period in the previous year.
- Gross profit decreased by $10.4 million, or 7.4%, resulting in a gross profit margin of 31.2%.
- Operating income was $69.9 million, a decline of $3.4 million, or 4.6%, from the previous year.
Electronics Segment
The Electronics segment provides electronic controls and systems for various applications, including health and wellness. For the nine months ended September 28, 2024:
- Net sales decreased slightly by $1.2 million, or 0.6%, from $210.1 million for the same period in the previous year.
- Gross profit increased by $2.2 million, or 3.3%, achieving a gross profit margin of 32.6%.
- Operating income increased by $0.4 million, or 1.7%, to $24.2 million.
Geographic Revenue Distribution
The geographic breakdown of net sales for the nine months ended September 28, 2024, is detailed below:
| Region | Net Sales (in millions) |
|---|---|
| Americas | $334.2 |
| EMEA | $147.0 |
| APAC | $145.2 |
| Total | $626.4 |
Gross Profit and Operating Income Trends
In the third quarter of 2024, Helios Technologies reported:
- Net sales of $194.5 million, down from $201.4 million in the prior year.
- Gross profit of $60.5 million, up from $59.7 million, resulting in a gross profit margin of 31.1%.
- Operating income of $22.2 million, an increase of $8.4 million, or 60.9% compared to the prior year.
Cash Flow and Capital Expenditures
For the nine months ended September 28, 2024, Helios Technologies reported:
- Net cash provided by operating activities of $86.4 million, an increase of $36.2 million from the previous year.
- Net cash used in investing activities of $22.1 million, a significant decrease from $144.5 million in the prior year.
- Capital expenditures totaled $19.6 million, representing 3.1% of sales, with expectations to maintain capital expenditures at approximately 3%-4% of sales in the future.
Market Challenges and Opportunities
Helios Technologies faces challenges, particularly in the agriculture end market, where demand has softened. However, growth in health and wellness markets presents opportunities for revenue expansion.
Dividends and Shareholder Returns
For the nine months ended September 28, 2024, dividends declared per share were $0.27, consistent with the previous year, reflecting the company’s commitment to returning value to shareholders.
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Resources:
- Helios Technologies, Inc. (HLIO) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of Helios Technologies, Inc. (HLIO)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View Helios Technologies, Inc. (HLIO)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.