Helios delivered a strong Q1 FY2026, with revenue up 16.8% and net income surging 169.9%, driven by volume leverage, gross margin expansion, and operating efficiency — not acquisitions or one-time events.
Key takeaways
Revenue was $228.4M (up 16.8% year-over-year), reflecting broad-based demand growth across end markets.
Gross profit was $74.9M (up 25.0%), and gross margin improved to 32.8%, primarily due to higher fixed-cost leverage on increased volume and lower direct labor costs as a percentage of sales — partially offset by unfavorable customer mix.
Operating income was $29.9M (up 75.9%), with operating margin rising to 13.1%, supported by gross margin gains and fixed-cost absorption from higher volume.
Net income was $19.7M (up 169.9%), and diluted EPS was $0.59 (up 168.2%), consistent with the flow-through of improved operating performance.
Free cash flow was $17.2M, generated despite $6.7M in capital expenditures, reflecting disciplined capital allocation.