LOAR earnings analysis
What we found in LOAR's 10-Q: the parts that mattered, the offsets in the same document, and what the company said about what comes next.
Our reading of the filing · Free to read, no account needed
Loar Holdings Inc. reported Q1 2026 results with net sales of $156.1 million, exceeding estimates by $6.7 million, but diluted EPS of $0.12 fell short of expectations by $0.03. The company achieved a 36.1% year-over-year revenue growth, yet net income declined to $11.1 million due to increased expenses. Management updated their guidance for 2026, reflecting growth potential from both organic sales and strategic acquisitions, despite rising costs.
The parts that mattered.
Pulled out of the filing itself, with the figures the company reported.
- Record Revenue Growth
- Net sales reached $156.1 million, a 36.1% increase from $114.7 million YoY.
- Positive EBITDA Increase
- Adjusted EBITDA rose to $63.2 million from $43.1 million, marking a significant year-over-year improvement.
- New Acquisition Sales Contribution
- The acquisitions of LMB and Harper Engineering contributed $28.4 million in sales this quarter.
- Improved Free Cash Flow
- Free cash flow for Q1 2026 was $30.9 million, up from $28.4 million in Q1 2025.
- Organic Sales Growth
- Net organic sales increased by 11.4% to $127.7 million compared to the previous year.
- Effective Management of Expenses
- Despite increased selling and administrative expenses, the percentage of these expenses relative to sales decreased to 28.5% from 28.9%.
And the other side of it.
The offsets in the same document — the things a summary that only listed the good news would have left out.
- Rising Interest Expense
- Interest expenses soared to $18.7 million from $6.5 million YoY due to increased borrowings.
- Declining Net Income Margin
- Net income fell to $11.1 million, a margin of 7.1%, down from 13.4% in the previous year.
- Higher Cost of Sales
- Cost of sales increased to 49.2% of revenue from 47.9%, primarily due to acquisitions-related costs.
What they reported.
What the company itself reported, taken out of the document.
- Earnings per share
- $0.12
- Gross margin
- 50.8%
- Operating margin
- 21.5%
- Segment
- Aerospace
- Segment
- Defense
- Segment
- Commercial
What they said about what is next.
Guidance for 2026 net sales has been revised upwards from $640-$650 million to $645-$655 million.
The filing reads about the same as the one before it.
What came before.
- 10-K · March 2, 2026
- Loar presents a focused strategy of proprietary, high‑aftermarket aerospace and defense components combined with a roll‑up M&A playbook. The company reports strong portfolio characteristics (89% proprietary products;…
- 10-Q · November 12, 2025
- Loar reported Q3 net sales of $126,751 and diluted EPS of $0.29, outperforming the prior-year quarter and showing material margin-driven earnings growth. Gross margin expanded to 52.7% and operating margin to 22.9%…
- 10-Q · May 13, 2025
- Loar reported strong top-line and cash-flow results for the quarter: net sales of $114.659M (up $22.815M, +24.9% vs prior-year quarter) and net income of $15.316M. Gross margin improved to 52.1% and operating income…
- 10-K · March 31, 2025
- Loar presents a focused, aftermarket-weighted aerospace & defense component platform with high proprietary content and a history of bolt-on M&A. The 10‑K emphasizes a durable aftermarket revenue mix (53% of 2024 net…
This is our reading of a public filing, not the filing. Read the original on SEC.gov · Educational only. Nothing here is investment advice.
Read the next one first.
We read every filing LOAR makes the day it lands, and put it next to what the options market did about it. Members get both, and an alert when a filing arrives.
Cancel anytime · Month to month · Switch tiers whenever