Overview

• US aircraft components supplier's fiscal Q2 revenue rose 18%, beating analyst expectations

• Adjusted EPS for fiscal Q2 beat consensus, rising 8% year-over-year

• Company raised full-year 2026 guidance after strong Q2 and recent acquisitions

Outlook

• Company lifts fiscal 2026 EBITDA As Defined outlook to $5.37 bln-$5.47 bln, up $210 mln from prior guidance

Result Drivers

• COMMERCIAL AFTERMARKET - Company said highest growth was in commercial aftermarket, led by 16% growth in commercial transport segment

• COMMERCIAL OEM DEMAND - Double-digit revenue growth in commercial OEM market as company supported higher build rates at OEMs

• OPERATING STRATEGY AND LOWER COMP - Increased net income reflects higher net sales, value-driven operating strategy, and lower non-cash stock and deferred compensation expense, partially offset by higher interest expense

Company press release: ID:nPn9kjj7Va

Key Details

Metric	Beat/Miss	Actual	Consensus Estimate
Q2 Revenue	Beat	$2.54 bln	$2.47 bln (19 Analysts)
Q2 Adjusted EPS	Beat	$9.85	$9.43 (20 Analysts)
Q2 EPS		$9.20
Q2 Adjusted Net Income	Beat	$574 mln	$549.52 mln (16 Analysts)

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 14 "strong buy" or "buy", 9 "hold" and 1 "sell" or "strong sell"

• The average consensus recommendation for the aerospace & defense peer group is "buy"

• Wall Street's median 12-month price target for TransDigm Group Inc is $1,506.00, about 31% above its May 4 closing price of $1,149.72

• The stock recently traded at 27 times the next 12-month earnings vs. a P/E of 35 three months ago

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