TransDigm Group stock posts 23% sales growth, sets fiscal 2027 outlook

Published on 11/10/2026 at 17:20 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

TransDigm Group stock enters fiscal 2027 with a new growth outlook after strong quarterly sales and adjusted earnings. Margin dilution remains a key investor focus.

Results raise the next earnings bar

Management expects continued growth across commercial OEM, commercial aftermarket and defense markets in fiscal 2027.
Acquisitions contributed to margin dilution while higher interest and tax expenses weighed on quarterly GAAP net income.
Capital deployment exceeded 7 billion dollars in fiscal 2026, including acquisitions and share repurchases.

TransDigm Group, US8936411003, Illustration mit AI erstellt.

TransDigm Group reported its fiscal fourth-quarter and full-year results on Tuesday, November 10, after the aerospace components supplier completed fiscal 2026. Fourth-quarter net sales rose 23% year over year to 2,988 million dollars, while adjusted earnings per share increased 15% to 12.44 dollars, according to Fidelity, carrying PR Newswire.

TransDigm Group stock traded at 1,108.50 euros on Lang & Schwarz at 17:08 CET on Tuesday, November 10, 2026.

Growth outpaces earnings quality

Quarterly EBITDA As Defined increased 20% to 1,583 million dollars, but its margin narrowed to 53.0% from 54.2% a year earlier. Management said recent acquisitions reduced the margin by roughly two percentage points, highlighting the integration burden behind the expansion strategy.

GAAP net income fell 4% to 586 million dollars as higher interest and tax expenses offset the stronger top line. Adjusted net income rose 12% to 706 million dollars. For the full fiscal year, sales increased 20% to 10,557 million dollars, while net income rose 2% to 2,108 million dollars and EBITDA As Defined advanced 17% to 5,563 million dollars.

Fiscal 2027 outlook sets test

Management expects fiscal 2027 sales of 11,950 million to 12,150 million dollars, implying 14% growth at the midpoint. Net income is forecast at 2,442 million to 2,490 million dollars, while reported earnings per share are projected at 42.06 to 42.91 dollars.

Adjusted earnings per share is expected to reach 47.09 to 47.94 dollars, a 15% midpoint increase from fiscal 2026. The outlook assumes high-single-digit to low-double-digit growth in commercial OEM revenue and high-single-digit growth in both commercial aftermarket and defense revenue.

Management also expects EBITDA As Defined of 6,195 million to 6,345 million dollars, with a margin of approximately 52.0%. Chief Executive Officer Mike Lisman said fourth-quarter revenue and EBITDA As Defined exceeded the upper end of the latest company outlook.

Capital allocation remains central

TransDigm said fiscal 2026 capital deployment exceeded 7 billion dollars, including approximately 4.4 billion dollars for acquisitions and approximately 2.8 billion dollars for share repurchases. The completed 1.07 billion dollar acquisition of Prince & Izant and a 3.0 billion dollar senior secured notes offering underline the balance between expansion, shareholder returns and leverage.

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