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Mar 30, 2024

Transdigm Q2 2024 Earnings Report

Reported strong second quarter results driven by revenue growth and effective cost management.

Key Takeaways

TransDigm Group reported a 21% increase in net sales to $1,919 million and a 33% increase in net income to $404 million for the second quarter ended March 30, 2024. Adjusted earnings per share rose by 34% to $7.99. The company has revised its fiscal 2024 financial guidance upward, reflecting continued strong performance.

Net sales increased by 21% to $1,919 million compared to the prior year's quarter.

Net income increased by 33% to $404 million from the prior year's quarter.

Adjusted earnings per share grew by 34% to $7.99 compared to the prior year's quarter.

EBITDA As Defined margin improved to 53.2%.

Total Revenue
$1.92B
Previous year: $1.59B
+20.5%
EPS
$7.99
Previous year: $5.98
+33.6%
Organic Sales Growth
16.1%
Previous year: 17.6%
-8.5%
Gross Profit
$1.12B
Previous year: $929M
+20.2%
Cash and Equivalents
$4.84B
Previous year: $3.42B
+41.5%
Free Cash Flow
$181M
Previous year: $95M
+90.5%
Total Assets
$21.6B
Previous year: $20B
+7.8%

Transdigm

Transdigm

Forward Guidance

TransDigm is raising its full year guidance to reflect strong second quarter results. Net sales are anticipated to be in the range of $7,680 million to $7,800 million. EBITDA As Defined is anticipated to be in the range of $3,995 million to $4,095 million.

Positive Outlook

  • Net sales are anticipated to be in the range of $7,680 million to $7,800 million, an increase of 17.5% at the midpoint.
  • Net income is anticipated to be in the range of $1,608 million to $1,686 million, an increase of 26.8% at the midpoint.
  • Earnings per share is expected to be in the range of $26.06 to $27.40 per share, an increase of 21.3% at the midpoint.
  • EBITDA As Defined is anticipated to be in the range of $3,995 million to $4,095 million, an increase of 19.1% at the midpoint.
  • Adjusted earnings per share is expected to be in the range of $31.75 to $33.09 per share, an increase of 25.5% at the midpoint.