10-Q · May 5, 2026
TransDigm Group reported strong Q2 2026 results with a revenue of $2.544 billion, exceeding estimates and reflecting an 18% year-over-year growth. The reported EPS of $9.85 also surpassed expectations, indicating solid…
Earnings analysis · 10-Q
TDG earnings analysis
Filed August 4, 2026 · Our reading of the company's report
The latest report
TransDigm delivered fiscal Q3 revenue of $2.741 billion, up 7.9% sequentially and 22.4% year over year, while GAAP diluted EPS of $9.39 rose from $9.20 in the prior quarter and $8.47 a year earlier. Management cited 13%…
Read full summary
TransDigm delivered fiscal Q3 revenue of $2.741 billion, up 7.9% sequentially and 22.4% year over year, while GAAP diluted EPS of $9.39 rose from $9.20 in the prior quarter and $8.47 a year earlier. Management cited 13% organic growth and 17% commercial-aftermarket growth, though EBITDA As Defined margin declined 160 basis points to 52.8%. The provided filing extract does not contain the detailed balance sheet, cash-flow, gross-margin, operating-margin, or segment-revenue tables needed to quantify those trends.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $9.39
What stood out
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Revenue growth accelerated sequentially and YoY
Revenue was $2.741 billion, up $201 million, or 7.9%, sequentially from $2.540 billion in fiscal Q2 2026 and up $501 million, or 22.4%, from $2.240 billion in fiscal Q3 2025.
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EPS increased versus both comparison periods
GAAP diluted EPS was $9.39, compared with $9.20 in fiscal Q2 2026 and $8.47 in fiscal Q3 2025; contemporaneous adjusted EPS was $10.87.
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Organic and aftermarket demand remained strong
Management cited 13% organic sales growth, including 17% growth in commercial aftermarket sales, indicating continued strength in the highest-value aftermarket channel.
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Large share repurchase deployment
The company repurchased 809,101 shares during the quarter at an average $1,208.20 per share. Its authorization had $3.981 billion remaining at June 27, 2026.
What to watch
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EBITDA margin contracted
EBITDA As Defined margin was 52.8%, down 160 basis points from the prior-year period, signaling cost, mix, or acquisition-related pressure despite 13% organic growth.
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Acquisition integration and control risk
During the 39-week period ended June 27, 2026, the company completed the Simmonds, JPE and VSA acquisitions and is still integrating them into operations, compliance programs and internal controls; management excluded these 3 acquisitions from its internal-control assessment.
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No material risk-factor update
Item 1A states there were no material risk-factor changes from the fiscal-2025 Form 10-K. Separately, legal matters are reportable when monetary sanctions exceed, or are reasonably expected to exceed, $1 million.
Management's outlook
No quantitative forward outlook was included in the provided 10-Q extract. The contemporaneous earnings release raised fiscal-2026 sales outlook to $10.470 billion-$10.550 billion and adjusted EPS outlook to $40.62-$41.46, but those figures are not treated as 10-Q guidance here.
Earlier filings 4
10-Q · February 3, 2026
TransDigm reported Q1 FY2026 net sales of $2,285 million, up 13.9% year-over-year, and net income attributable to TD Group of $445 million; diluted EPS was $6.62 versus $7.62 in the prior year quarter. Gross margin…
10-K · November 12, 2025
TransDigm (TDG) reported FY2025 net sales of $8,831 million (up 11.2% YoY) with gross profit of $5,311 million (60.1%) and net income attributable to TD Group of $2,074 million (EPS $32.08). The business emphasizes a…
10-Q · August 5, 2025
TransDigm reported Q3 net sales of $2,237 million, up 9.3% from $2,046 million a year ago, with net income attributable to TD Group of $492 million and diluted EPS of $8.47 (vs. $7.96). Gross margin was stable at 59.5%…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.