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A specialized Parker-Hannifin for industrial fluid power and electronic controls.

A focused Bosch for industrial hydraulics and electronic controls.

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• Hydraulic Cartridge Valves and Manifolds: Precision screw-in cartridge valves and custom-engineered manifolds for controlling fluid power in various applications.
• Hydraulic Pumps and Motors: Components used to generate and control hydraulic power in industrial and mobile equipment.
• Quick Release Couplings: Devices for fast, secure connection and disconnection of hydraulic lines without fluid loss.
• Electronic Control Units (ECUs) and Displays: Programmable controllers and integrated displays for engine, machine, and vehicle management.
• Sensors and Telematics: Devices for measuring position, pressure, and tilt, along with systems for remote monitoring and data transmission.
• UV-C LED Solutions: Advanced LED technology applied in systems for water and air disinfection.
• Precision Optical Systems: Custom-engineered optical sensors and components for industrial, medical, and other specialized applications.

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Helios Technologies (symbol: HLIO) primarily sells its highly engineered products and solutions to other companies (Business-to-Business, B2B).

According to its public filings, including its annual 10-K reports, Helios Technologies serves a highly diversified customer base across various industries. The company explicitly states that no single customer accounted for 10% or more of its consolidated net sales in recent fiscal years (including 2023, 2022, and 2021). Therefore, Helios Technologies does not disclose specific "major customers" by name in its public documents, as no single customer individually constitutes a material portion of its revenue requiring such disclosure.

Instead, Helios Technologies' customer base consists of a broad array of Original Equipment Manufacturers (OEMs) and industrial distributors that integrate HLIO's components and solutions into their own products across the following key sectors:

• Hydraulics and Electronics Segment Customers: These customers are OEMs in a wide range of industries that utilize Helios Technologies' hydraulic cartridge valves, manifolds, electronic controls, displays, and instrumentation products. The industries served include:
  • Agriculture (e.g., manufacturers of farm machinery and equipment)
  • Construction (e.g., manufacturers of heavy equipment and machinery)
  • Material Handling (e.g., manufacturers of forklifts, aerial work platforms, and other industrial vehicles)
  • Energy (e.g., equipment for oil & gas, renewables, and power generation)
  • Marine (e.g., manufacturers of marine propulsion and auxiliary systems)
  • General Industrial (e.g., various industrial machinery and automation equipment manufacturers)
• Global Aquatics Segment Customers: These customers are primarily manufacturers of hot tubs and spas that incorporate Helios Technologies' components, such as pumps, heaters, controls, and jets, into their finished wellness products.

While Helios Technologies' products are integrated into equipment and systems manufactured by numerous well-known brands globally, the company's business model is characterized by a wide distribution of sales among many customers rather than reliance on a few identifiable "major customers" by name.

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Sean Bagan President and Chief Executive Officer

Sean Bagan was appointed President and Chief Executive Officer of Helios Technologies on January 6, 2025. He previously served as Chief Financial Officer of Helios from August 9, 2023, and was named Interim President and Chief Executive Officer effective July 8, 2024. Prior to joining Helios, Mr. Bagan spent 23 years at Polaris Inc., a global leader in powersports and off-road innovation. His extensive experience at Polaris included operational finance, international sales, product segments, acquisitions, corporate finance, and treasury. He also held roles with general management and operational oversight for both U.S. and global businesses. Mr. Bagan began his career with Arthur Andersen, LLP.

Michael Connaway Chief Financial Officer

Michael Connaway joined Helios Technologies as Chief Financial Officer on October 13, 2025. Before joining Helios, Mr. Connaway served as CFO for Aviat Networks, Inc. His career spans 23 years with leading global companies. He spent 16 years at General Electric in various senior finance roles. Mr. Connaway also served as CFO of ABB's $2.6 billion Industrial Solutions business, which was acquired from GE in 2018, and was CFO for Honeywell's Energy & Sustainability Solutions segment, a $7 billion business. His expertise includes operational performance management, capital allocation, tax and treasury, mergers and acquisitions (M&A), and strategic planning.

Shaun Polasky Vice President of Human Resources

Shaun Polasky was appointed Vice President of Human Resources of Helios Technologies in January 2022. He joined Helios in September 2016 as Director of Human Resources at Sun Hydraulics, a Helios company, and later served as Global Human Capital Leader for the Hydraulics segment. Before Helios, Mr. Polasky held several senior HR roles at global companies including Air Products and Chemicals Inc., Transition Optical, and John Deere. He brings extensive expertise in strategic HR planning, M&A integration, total rewards, talent development, organizational design, and transformation.

Marc Greenberg, Esq. General Counsel and Secretary

Marc Greenberg joined Helios Technologies in 2021 and serves as the General Counsel and Secretary, responsible for managing the legal and compliance activities globally. He brings over 15 years of legal experience to the Company. Prior to Helios, Mr. Greenberg served as General Counsel of Diversified Maintenance Systems, LLC, and before that, as Associate General Counsel to Welbilt Corporation (NYSE: WBT). Earlier in his career, he was a litigation attorney in the New York/New Jersey area for over seven years.

Billy Aldridge Senior Vice President and Managing Director, Electronics

Billy Aldridge has served as the Senior Vice President, Managing Director of Enovation Controls (a Helios company) since May 3, 2021, and now has responsibility for the complete group of operations that comprise the Electronics segment for Helios Technologies. He joined FW Murphy, a division of Enovation Controls, in 2008 as the OEM Sales Manager. He advanced to a Director position in 2015 and then to Vice President of Business Development in 2018. Mr. Aldridge began his career with MerCruiser/Mercury, part of the Brunswick Corporation, in 2000, where he earned his Lean Six Sigma certification and worked in various functional areas including Supply Chain, Program Management, and OEM Sales.

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Key Risks to Helios Technologies (HLIO)

Helios Technologies (HLIO) faces several key risks to its business, primarily stemming from its exposure to cyclical industrial markets and challenges in maintaining profit margins and revenue growth.

1. Exposure to Economic Cycles and Market Demand Volatility: The company's market demand for its products, particularly within its Hydraulics and Electronics segments, is highly dependent on the demand for industrial goods in which these products are incorporated. The capital goods industries are inherently subject to economic cycles, which can directly impact customer orders, lead times, and overall sales volume. Economic downturns generally have a material effect on the business.
2. Challenges with Profit Margins and Revenue Growth Amidst End-Market Volatility: Helios Technologies experiences ongoing volatility, with slim profit margins and revenue growth projected to lag the broader U.S. market. The company's ability to achieve its ambitious target of over 20% operating margins is threatened by its continuous exposure to end-market volatility and potentially slow adoption of innovation. Recent financial results have also shown declines in sales within specific end markets, such as recreational, industrial, mobile, and agriculture, across various geographic regions. Execution risk persists concerning analysts' expectations for improved profit margins.
3. Supply Chain Disruptions and Material Cost Fluctuations: The company's gross profit can be negatively impacted by factors such as higher material costs and increased freight and duties. While Helios Technologies plans and manages for long lead times in electronic raw materials to meet demand, ongoing fluctuations in supply chain stability and the cost of materials represent a tangible operational risk.

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The accelerating trend of electrification in Helios Technologies' core end markets (e.g., construction, agriculture, material handling, marine) presents a clear emerging threat. As original equipment manufacturers (OEMs) transition from traditional internal combustion engine (ICE) driven equipment to battery-electric or hybrid-electric platforms, the demand and architecture for power transmission systems are fundamentally changing. This shift threatens Helios's established hydraulic product lines in two primary ways:

1. Shift to Electric-Driven Hydraulics: While Helios can supply components for electric-driven hydraulic systems, these systems prioritize energy efficiency and require different integration approaches. This necessitates significant R&D investment and adaptation of existing product lines to remain competitive against companies specializing in integrated electric power units.

2. Replacement by Electro-Mechanical Actuation: For an increasing number of functions, particularly in smaller and precision applications, electro-mechanical actuators are emerging as a viable and often more efficient alternative to hydraulic cylinders. This direct replacement of hydraulic components by electric solutions poses a risk of market share erosion for Helios's core hydraulic segment, akin to how digital photography replaced film or streaming replaced physical media.

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Helios Technologies (HLIO) operates primarily in two segments: Hydraulics and Electronics. The addressable markets for their main products and services are as follows:

• Hydraulics Segment: Helios Technologies' hydraulics segment focuses on cartridge valve technology, quick-release hydraulic couplings, and hydraulic system design for agriculture, construction equipment, and industrial markets.
  • The global fluid power market, which encompasses both hydraulics and pneumatics, was estimated at approximately $51.9 billion in 2024 and is projected to grow to $90 billion by 2033. Another estimate values the global fluid power equipment market at USD 47.69 billion in 2024, with a projected increase to USD 75.55 billion by 2032.
  • Focusing specifically on the global hydraulics market, its value was around $70 billion in 2024, with forecasts indicating growth to over $90 billion by 2030. Other reports indicate the global hydraulics market size was an estimated USD 38.39 billion in 2024, with a projection to reach USD 49.23 billion by 2033, or USD 46.06 billion in 2024, expected to reach approximately USD 64.71 billion by 2034. The industrial hydraulic equipment market, a component of the broader hydraulics market, was valued at USD 25.31 billion in 2022 and is anticipated to grow to USD 35.92 billion by 2030.
• Electronics Segment: This segment offers customized electronic control systems, human-machine interface (HMI) solutions, electronic control units (ECUs), and sensors and connectivity solutions for various end markets, including off-highway, recreational, marine, power sports, industrial, and health and wellness.
  • While a comprehensive market size for all of Helios's diverse electronic control solutions across all their served markets is not explicitly available, the global automotive electronic control unit (ECU) market provides a significant, quantifiable portion of the broader electronic controls landscape. The global automotive ECU market size was valued at USD 87.7 billion in 2024 and is expected to reach USD 133.4 billion by 2033. Other estimates for the global automotive ECU market include USD 105.93 billion in 2024, projected to reach USD 175.71 billion by 2032, and USD 76.08 billion in 2024, anticipated to reach around USD 134.67 billion by 2034.

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Helios Technologies (HLIO) is anticipated to drive future revenue growth over the next two to three years through a combination of strategic initiatives and market tailwinds. Key drivers include significant new product innovation, strategic market expansion and penetration, ongoing operational efficiencies, and a recovery in crucial end markets.

• New Product Innovation and Development: Helios Technologies is emphasizing a robust pipeline of new products. The company has indicated that it expects to launch more products in the next 18 months than it has in the past decade. Recent innovations for 2025 include the Enovation S35 Display, Enovation CAN Keypad, and Faster MultiSlide, underscoring a commitment to technological advancement and product-led growth.
• Strategic Market Expansion and Penetration: A core component of Helios's growth strategy involves expanding into new and adjacent niche markets while deepening penetration in existing ones. The company is actively pursuing opportunities in the neighborhood electric vehicle space and leveraging its "No Roads" application to capture growth in marine and off-road segments. Recent commercial successes, such as a significant contract with Agco in the agricultural sector and winning back a customer in the recreational industry, demonstrate the effectiveness of its prioritized go-to-market strategy.
• Operational Efficiencies and Margin Improvement: While not a direct revenue driver, continuous operational improvements and cost control measures are expected to enhance profitability and free up capital for reinvestment into growth initiatives. Helios has demonstrated a focus on driving operating leverage and has achieved margin expansion through operational improvements and lower material costs. This strategic priority for 2025 supports sustainable growth and competitive positioning.
• Recovery and Growth in End Markets: After facing challenging market conditions, Helios Technologies is observing a return to growth driven by improving demand in its key end markets. The third quarter of 2025 saw a 13% year-over-year sales increase, with growth across both its Hydraulics and Electronics segments. Specifically, strong demand has returned in the recreational industry, and improved demand is noted in mobile markets. The significant contract in the agricultural sector also points to potential recovery and expansion in this market.

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Share Repurchases

• Helios Technologies announced a multi-year share repurchase program on February 24, 2025, authorizing the repurchase of up to $100 million of its common stock.
• From March 30, 2025, to September 27, 2025, the company repurchased a total of 250,000 shares for $9.17 million under this program.
• In 2021, the company repurchased 7,096 shares of its common stock for $82.11 per share, in connection with the sale of certain technology.

Outbound Investments

• In May 2023, Helios Technologies acquired i3 Product Development, a provider of IoT and connected software solutions.
• Helios Technologies acquired Schultes Precision Manufacturing, Inc. in January 2023.
• In July 2022, the company completed the acquisition of Taimi R&D, Inc., a Canadian hydraulic solutions company.

Capital Expenditures

• Capital expenditures were $27 million in fiscal year 2024, $34.3 million in fiscal year 2023, and $31.9 million in fiscal year 2022.
• For the third quarter of 2025, capital expenditures were $6.7 million, representing 3.0% of sales.
• In 2025, capital expenditure plans are prioritized for maintenance and productivity enhancements that offer evident returns on investment, aligning with the "in the region, for the region" operational strategy to optimize manufacturing costs.