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NEW YORK - TransDigm Group Inc (NYSE:TDG) reported first-quarter earnings that beat analyst expectations, but revenue that fell slightly short of estimates, sending shares down -1.17% in early trading on Tuesday.
The aircraft components manufacturer posted adjusted earnings per share of $7.83 for the quarter ended December 28, 2024, surpassing the analyst consensus of $7.64. Revenue rose 12.1% year-over-year to $2.01 billion, just below estimates of $2.02 billion.
TransDigm’s EBITDA As Defined, a key profitability metric, increased 16.3% to $1.06 billion, with margins expanding to 52.9% from 51.0% a year earlier.
"I am very pleased with our first quarter operating results and strong start to our fiscal 2025," said Kevin Stein, TransDigm’s President and CEO. "The consolidated business performed well in the first quarter with revenue growth driven by the commercial aftermarket and defense market."
For fiscal 2025, TransDigm reaffirmed its revenue guidance of $8.75 billion to $8.95 billion, in line with analyst expectations of $8.9 billion. The company slightly raised its adjusted EPS outlook to a range of $35.51 to $37.43, compared to the previous forecast of $35.36 to $37.28.
TransDigm repurchased 252,800 shares during the quarter at an average price of $1,248.65 per share, totaling approximately $316 million.
The company maintained its market growth assumptions, projecting commercial OEM revenue growth in the mid-single digit range, commercial aftermarket growth in the high-single to low-double digit range, and defense revenue growth in the high-single digit range for fiscal 2025.
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