Snapshot
TransDigm Group INC reported $2.54B of revenue in Q2 2026, up 18.3% year over year, with diluted EPS of $9.20 and an operating margin of 46.3%.
- Revenue
- $2.54B
- YoY growth
- +18.3%
- Diluted EPS
- $9.20
- Operating margin
- 46.3%
$2.54B
Revenue
+18.3%
YoY growth
$9.20
Diluted EPS
46.3%
Operating margin
01 Key takeaways
What management said
- •Please see the tables and related footnotes in the earnings release for a presentation of the most directly comparable GAAP measures and applicable reconciliations.
- •Most of our EBITDA comes from aftermarket revenues, which generally have significantly higher margins and over any extended period have typically provided relative stability in the downturns.
- •Lastly, our capital structure and allocation are a key part of our value creation methodology.
- •To do this, we stay focused on both the details of value creation as well as careful allocation of our capital.
- •As you saw from our earnings release, we delivered a good quarter.
- •Our Q2 results ran ahead of our expectations, and we once again raised our guidance for the year.
- •During the quarter, we saw solid growth in revenue, both sequentially and compared to the prior year in all three of our market channels: commercial OEM, commercial aftermarket, and defense.
- •Through February, commercial aerospace market trends have been favorable, with takeoffs and landings increasing in the 4% ballpark year-over-year and RPM growth trending in the 4%-7% range.
- •Excluding the Middle East, March RPM growth was 8%, highlighting strong demand in other regions of the world.
- •Note that we are increasing our commercial aftermarket guidance today despite this market uncertainty.
- •As mentioned, and as you saw in our results, commercial aftermarket growth rebounded in Q2 from prior recent quarter growth rates.
- •Our EBITDA as defined margin was 52.6% for the quarter, which includes slightly less than 2 full percentage points of dilution from recent acquisitions.
SourcesCompany financials · earnings call
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