Loar Holdings Inc. (LOAR) could be a solid addition to your portfolio given a notable revision in the company's earnings estimates. While the stock has been gaining lately, the trend might continue since its earnings outlook is still improving.Analysts' growing optimism on the earnings prospects of this company is driving estimates higher, which should get reflected in its stock price. After all, empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock ...

Shares of Loar Holdings Inc. (LOAR) have gained 1.1% over the past four weeks to close the last trading session at $72.45, but there could still be a solid upside left in the stock if short-term price targets of Wall Street analysts are any indication. Going by the price targets, the mean estimate of $95.25 indicates a potential upside of 31.5%.The mean estimate comprises four short-term price targets with a standard deviation of $4.99. While the lowest estimate of $90.00 indicates a 24.2% increase from the ...

Core Insights - Loar Holdings Inc. (NYSE: LOAR) provides mission-critical and niche components for aircraft, aerospace, and defense systems [1] - The stock has experienced significant volatility in 2025 [1] Company Overview - Loar Holdings specializes in a diverse range of components essential for the aerospace and defense sectors [1] - The company’s product portfolio includes various mission-critical items [1]

Company Participants - The conference call for Loar Holdings, Inc. Q2 2025 results featured key executives including Dirkson Charles (CEO), Brett Milgrim (Executive Co-Chairman), and Glenn D'Alessandro (CFO) [1][2] Conference Call Overview - The call was initiated by Ian McKillop, Director of Investor Relations, who welcomed participants and provided information on accessing the slide deck and call replay [2] Forward-Looking Statements - The company reminded participants that statements made during the call that are not historical facts are considered forward-looking statements, with a reference to the SEC filings for more information [3] Financial Metrics - The discussion included references to adjusted EBITDA, adjusted EBITDA margin, and adjusted earnings per share, which are non-GAAP financial measures [3]

Core Insights - Loar Holdings Inc. reported revenue of $123.12 million for the quarter ended June 2025, marking a year-over-year increase of 26.9% and exceeding the Zacks Consensus Estimate of $120.28 million by 2.37% [1] - The company achieved an EPS of $0.23, up from $0.13 a year ago, representing a surprise of 21.05% compared to the consensus estimate of $0.19 [1] Financial Performance - OEM Net Sales totaled $54.32 million, surpassing the average estimate of $51.62 million [4] - Total Net Sales from Other sources were $7.21 million, slightly below the average estimate of $7.32 million [4] - OEM Net Sales in Commercial Aerospace reached $19.44 million, exceeding the average estimate of $18.4 million [4] - OEM Net Sales in Business Jet and General Aviation were $17.9 million, falling short of the average estimate of $19.05 million [4] - Total Commercial OEM Net Sales were $37.34 million, compared to the average estimate of $37.45 million [4] - OEM Net Sales in Defense amounted to $14.33 million, significantly above the average estimate of $10.98 million [4] - Aftermarket Net Sales in Commercial Aerospace were $34.84 million, below the average estimate of $36.54 million [4] - Aftermarket Net Sales in Business Jet and General Aviation reached $12.27 million, exceeding the average estimate of $11.24 million [4] - Total Commercial Aftermarket Net Sales were $47.1 million, slightly below the average estimate of $47.78 million [4] - Aftermarket Net Sales in Defense were $17.14 million, above the average estimate of $16.76 million [4] - Aftermarket Net Sales from Other sources totaled $4.56 million, exceeding the average estimate of $4.12 million [4] Stock Performance - Over the past month, shares of Loar Holdings Inc. have returned -8.7%, contrasting with the Zacks S&P 500 composite's increase of +3.1% [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating potential performance in line with the broader market in the near term [3]

Financial Data and Key Metrics Changes - The company achieved record sales of $123 million in Q2 2025, representing a 13% increase compared to the prior year [25] - Net organic sales increased by 11.3% over the prior period [27] - Adjusted EBITDA rose by $12 million in Q2 2025 versus Q2 2024, with adjusted EBITDA margins reaching a record 38.3% [29][30] - Gross profit margin for Q2 2025 increased by 480 basis points compared to the prior year [27] Business Line Data and Key Metrics Changes - Commercial aftermarket sales increased by 13% in Q2 2025 compared to Q2 2024, driven by strong demand for commercial air travel [25] - Commercial OEM sales rose by 14% in Q2 2025, attributed to higher sales across various platforms [25] - Defense sales increased by 19%, primarily due to strong demand and market share growth from new product launches [26] Market Data and Key Metrics Changes - The company expects low double-digit growth in the commercial aftermarket and high double-digit growth in defense sales for 2025 [33] - The demand for narrow-body aircraft remains high, with A320 and 737 platforms being the largest contributors to net sales [21] Company Strategy and Development Direction - The company aims to achieve organic sales growth of double-digit percentages over the long term, with a focus on launching new products to address pain points in the aerospace industry [10] - The recent acquisition of Beadlight is expected to enhance the company's product offerings and market presence, particularly in premium seat applications [19][20] - The company emphasizes a collaborative environment across its business units to foster innovation and growth [9] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in meeting or exceeding sales and EBITDA targets for 2025, citing strong execution of value drivers and no degradation in demand across end markets [32] - The company anticipates some choppiness in growth rates due to inventory management and supply chain challenges in the OE commercial product segment [33] - Management remains optimistic about the regulatory approval process for the L and B acquisition, expecting it to close in Q3 2025 [40] Other Important Information - The company reported a cash flow conversion percentage of 148% year-to-date, with expectations to exceed 125% for the full year [14] - The company plans to maintain a capital expenditure of approximately $14 million, representing around 23% of sales [34] Q&A Session Summary Question: Guidance on the contribution of the new acquisition and future transactions - Management is optimistic about the regulatory approval for L and B, expecting to hear back in September [40] - Beadlight is projected to contribute mid-single-digit millions in sales with slightly above breakeven EBITDA margins [41] Question: Insights on commercial aftermarket growth and exposure to engines - Engines account for roughly 7% of overall revenue and grew in line with commercial aftermarket growth rates [45] Question: Timing of new business opportunities in the pipeline - New product introductions in 2025 are expected to be closer to the lower end of the 1% to 3% growth guide due to certification delays [50] Question: Potential headwinds from airline efficiency on aftermarket sales - Management has not seen changes in demand dynamics for the commercial aftermarket, indicating consistent demand [54] Question: Valuation concerns regarding Beadlight acquisition - Management believes the valuation will appear attractive in hindsight, focusing on future potential rather than past revenue [62]

Financial Data and Key Metrics Changes - The company achieved record sales of $123 million in Q2 2025, representing a 13% increase compared to the prior year [25] - Adjusted EBITDA increased by $12 million in Q2 2025 versus Q2 2024, with adjusted EBITDA margins reaching a record 38.3% [28][30] - Net income rose by $9 million in Q2 2025 compared to Q2 2024, primarily due to higher operating income and lower interest expenses [27] Business Line Data and Key Metrics Changes - Commercial aftermarket sales increased by 13% in Q2 2025 compared to Q2 2024, driven by strong demand for commercial air travel [25] - Commercial OEM sales grew by 14% in Q2 2025, attributed to higher sales across various platforms [25] - Defense sales saw a 19% increase, primarily due to strong demand and new product launches [26] Market Data and Key Metrics Changes - The company expects organic sales growth in the commercial aftermarket to be in the low double digits for 2025, while defense sales are projected to grow in the high double digits [33] - The demand for narrow-body aircraft remains high, with the Airbus A320 and Boeing 737 platforms being the largest contributors to net sales [21] Company Strategy and Development Direction - The company focuses on providing an entrepreneurial environment for its business units to drive above-market growth rates [8] - A strategic emphasis is placed on optimizing manufacturing and market management to enhance productivity and improve margins [12] - The recent acquisition of Beadlight is expected to contribute significantly to future growth, with a strong pipeline of opportunities identified [18][35] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in meeting or exceeding guidance for 2025, citing strong execution on value drivers and no degradation in demand across end markets [32] - The company anticipates continued strong demand in the commercial aftermarket, despite potential choppiness in the OE side due to inventory management by OEMs [57] Other Important Information - The cash flow conversion percentage for 2025 is expected to exceed 125%, with a year-to-date conversion percentage of 148% [14] - The company plans to maintain a capital expenditure of approximately $14 million, representing around 23% of sales [34] Q&A Session Summary Question: What is the status of the L and B acquisition? - The company is in a holding pattern awaiting regulatory approval, optimistic about closing in Q3 [40] Question: How does the commercial aftermarket exposure to engines compare to airframes? - Engines account for roughly 7% of overall revenue and grew in line with commercial aftermarket growth rates [47] Question: What is the timing for new product introductions and their impact on growth? - New product introductions in 2025 are expected to be closer to the lower end of the growth guide due to certification delays, with higher growth anticipated in 2026 and 2027 [52] Question: How does the company view potential headwinds from airline efficiency in aftermarket sales? - The company has not seen changes in demand dynamics for the commercial aftermarket, indicating consistent demand despite potential inventory management by airlines [57] Question: Can you provide more details on the Beadlight acquisition and its future potential? - Beadlight is expected to be significantly accretive, with a strong pipeline of opportunities and synergy with existing businesses [62]

Core Viewpoint - Loar Holdings Inc. reported quarterly earnings of $0.23 per share, exceeding the Zacks Consensus Estimate of $0.19 per share, and showing an increase from $0.13 per share a year ago, indicating a positive earnings surprise of +21.05% [1] Financial Performance - The company achieved revenues of $123.12 million for the quarter ended June 2025, surpassing the Zacks Consensus Estimate by 2.37% and up from $97.01 million year-over-year [2] - Over the last four quarters, Loar Holdings has consistently exceeded consensus EPS and revenue estimates [2] Stock Performance - Loar Holdings shares have declined approximately 5.6% since the beginning of the year, contrasting with the S&P 500's gain of 9.6% [3] - The stock currently holds a Zacks Rank 3 (Hold), suggesting it is expected to perform in line with the market in the near future [6] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $0.19 on revenues of $124.17 million, and for the current fiscal year, it is $0.73 on revenues of $487 million [7] - The trend of estimate revisions for Loar Holdings was mixed prior to the earnings release, which may influence future stock movements [5][6] Industry Context - Loar Holdings operates within the Aerospace - Defense Equipment industry, which is currently ranked in the bottom 36% of over 250 Zacks industries, indicating potential challenges ahead [8] - The performance of the stock may be significantly affected by the overall outlook for the industry [8]

Financial Performance - Net sales increased by 26.9% to $123123 thousand in Q2 2025 compared to $97015 thousand in Q2 2024, with organic growth of 11.3%[42] - Gross profit increased by 39.3% in Q2 2025 due to a positive mix of higher margin products, value-based pricing, and optimized productivity[42] - Adjusted EBITDA increased by 34.5% to $47118 thousand in Q2 2025 compared to $35031 thousand in Q2 2024, with an Adjusted EBITDA Margin of 38.3% versus 36.1%[42] - Net income increased from $7641 thousand in Q2 2024 to $16713 thousand in Q2 2025[42] - The company expects to deliver 1%-3% of revenue growth annually through new product introductions[19] Portfolio and Market - In 2024, Commercial end market accounted for 42% of revenue, Defense 24%, Non-Aviation 7%, and Business Jet & General Aviation 27%[24] - Aftermarket accounted for 55% of 2024 revenue, while OEM accounted for 45%[24] - The A320 Family and 737 Family platforms represent 7% and 6% of annual sales respectively[36] - YTD Q2 2025, total sales increased by 11% compared to YTD Q2 2024, with Commercial up 13% and Defense up 24%[40] Outlook - The revised full year 2025 outlook projects net sales between $486 million and $494 million, and adjusted EBITDA between $184 million and $187 million[52] - The revised full year 2025 outlook projects adjusted EBITDA Margin of approximately 38.0%[52]

[PART I. FINANCIAL INFORMATION](index=3&type=section&id=PART%20I.%20FINANCIAL%20INFORMATION) This part provides Loar Holdings Inc.'s unaudited condensed consolidated financial statements and related notes for the periods ended June 30, 2025, and December 31, 2024 [Item 1. Financial Statements (Unaudited)](index=3&type=section&id=Item%201.%20Financial%20Statements%20(Unaudited)) This section presents Loar Holdings Inc.'s unaudited condensed consolidated financial statements and detailed notes for the periods ended June 30, 2025, and December 31, 2024 [Condensed Consolidated Balance Sheets as of June 30, 2025 and December 31, 2024](index=3&type=section&id=Condensed%20Consolidated%20Balance%20Sheets%20as%20of%20June%2030%2C%202025%20and%20December%2031%2C%202024) This section presents the company's condensed consolidated balance sheets as of June 30, 2025, and December 31, 2024 Condensed Consolidated Balance Sheets (in thousands) | Metric | June 30, 2025 | December 31, 2024 | | :--------------------------------- | :-------------- | :---------------- | | Total Assets | $1,498,223 | $1,450,618 | | Total Liabilities | $369,490 | $362,113 | | Total Equity | $1,128,733 | $1,088,505 | | Cash and cash equivalents | $103,342 | $54,066 | | Accounts receivable, net | $71,945 | $63,834 | | Inventories | $99,883 | $92,639 | | Retained earnings (accumulated deficit) | $11,469 | $(20,560) | [Condensed Consolidated Statements of Operations for the three and six months ended June 30, 2025 and 2024](index=4&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations%20for%20the%20three%20and%20six%20months%20ended%20June%2030%2C%202025%20and%202024) This section details the company's condensed consolidated statements of operations for the three and six months ended June 30, 2025, and 2024 Condensed Consolidated Statements of Operations (in thousands, except per share amounts) | Metric | 3 Months Ended June 30, 2025 | 3 Months Ended June 30, 2024 | 6 Months Ended June 30, 2025 | 6 Months Ended June 30, 2024 | | :--------------------------------- | :--------------------------- | :--------------------------- | :--------------------------- | :--------------------------- | | Net sales | $123,123 | $97,015 | $237,782 | $188,859 | | Cost of sales | $56,924 | $49,489 | $111,877 | $96,900 | | Gross profit | $66,199 | $47,526 | $125,905 | $91,959 | | Operating income | $27,317 | $22,188 | $53,461 | $43,545 | | Interest expense, net | $6,481 | $10,636 | $12,940 | $28,370 | | Income before income taxes | $20,836 | $9,907 | $40,521 | $13,530 | | Net income | $16,713 | $7,641 | $32,029 | $9,890 | | Basic EPS | $0.18 | $0.09 | $0.34 | $0.11 | | Diluted EPS | $0.17 | $0.09 | $0.33 | $0.11 | [Condensed Consolidated Statements of Comprehensive Income for the three and six months ended June 30, 2025 and 2024](index=5&type=section&id=Condensed%20Consolidated%20Statements%20of%20Comprehensive%20Income%20for%20the%20three%20and%20six%20months%20ended%20June%2030%2C%202025%20and%202024) This section presents the company's condensed consolidated statements of comprehensive income for the three and six months ended June 30, 2025, and 2024 Condensed Consolidated Statements of Comprehensive Income (in thousands) | Metric | 3 Months Ended June 30, 2025 | 3 Months Ended June 30, 2024 | 6 Months Ended June 30, 2025 | 6 Months Ended June 30, 2024 | | :------------------------------------ | :--------------------------- | :--------------------------- | :--------------------------- | :--------------------------- | | Net income | $16,713 | $7,641 | $32,029 | $9,890 | | Cumulative translation adjustments, net of tax | $(143) | $36 | $(399) | $204 | | Comprehensive income | $16,570 | $7,677 | $31,630 | $10,094 | [Condensed Consolidated Statements of Equity for the three and six months ended June 30, 2025 and 2024](index=6&type=section&id=Condensed%20Consolidated%20Statements%20of%20Equity%20for%20the%20three%20and%20six%20months%20ended%20June%2030%2C%202025%20and%202024) This section outlines the company's condensed consolidated statements of equity for the three and six months ended June 30, 2025, and 2024 Condensed Consolidated Statements of Equity (in thousands) | Metric | Balance, Jan 1, 2025 | Net Income (Q1) | Stock-based Comp (Q1) | CTA (Q1) | Balance, Mar 31, 2025 | Net Income (Q2) | Stock-based Comp (Q2) | Exercise of Stock Options | CTA (Q2) | Balance, Jun 30, 2025 | | :--------------------------------- | :------------------- | :-------------- | :-------------------- | :------- | :-------------------- | :-------------- | :-------------------- | :------------------------ | :------- | :-------------------- | | Common Stock Amount | $936 | — | — | — | $936 | — | — | — | — | $936 | | Additional Paid-in Capital | $1,108,225 | — | $3,089 | — | $1,111,314 | — | $3,650 | $1,859 | — | $1,116,823 | | Retained Earnings (Accumulated Deficit) | $(20,560) | $15,316 | — | — | $(5,244) | $16,713 | — | — | — | $11,469 | | Accumulated Other Comprehensive Loss | $(96) | — | — | $(256) | $(352) | — | — | — | $(143) | $(495) | | Total Equity | $1,088,505 | $15,316 | $3,089 | $(256) | $1,106,654 | $16,713 | $3,650 | $1,859 | $(143) | $1,128,733 | - The company underwent a Corporate Conversion from a Delaware limited liability company to a Delaware corporation on April 16, 2024, in preparation for its public offering[26](index=26&type=chunk) - The company completed its initial public offering (IPO) on April 29, 2024, selling **12.6 million shares** of common stock and receiving approximately **$325.4 million** in net proceeds[27](index=27&type=chunk) - A follow-on offering on December 12, 2024, issued **3,852,500 shares** of common stock, generating approximately **$311.6 million** in net proceeds[28](index=28&type=chunk) [Condensed Consolidated Statements of Cash Flows for the six months ended June 30, 2025 and 2024](index=8&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows%20for%20the%20six%20months%20ended%20June%2030%2C%202025%20and%202024) This section provides the company's condensed consolidated statements of cash flows for the six months ended June 30, 2025, and 2024 Condensed Consolidated Statements of Cash Flows (in thousands) | Metric | 6 Months Ended June 30, 2025 | 6 Months Ended June 30, 2024 | | :------------------------------------ | :--------------------------- | :--------------------------- | | Net cash provided by operating activities | $52,163 | $17,895 | | Net cash used in investing activities | $(4,718) | $(3,841) | | Net cash provided by financing activities | $1,749 | $37,616 | | Net increase in cash and cash equivalents | $49,276 | $51,714 | | Cash and cash equivalents, end of period | $103,342 | $73,203 | | Interest paid during the period, net | $13,056 | $28,035 | | Income taxes paid during the period, net | $7,061 | $5,596 | [Notes to Unaudited Condensed Consolidated Financial Statements](index=9&type=section&id=Notes%20to%20Unaudited%20Condensed%20Consolidated%20Financial%20Statements) This section provides detailed notes to the unaudited condensed consolidated financial statements, explaining accounting policies and significant financial events [Note 1. Organization](index=9&type=section&id=Note%201.%20Organization) This note details the company's corporate conversion, initial public offering, and follow-on offering activities - Loar Holdings Inc. converted from a Delaware limited liability company to a Delaware corporation on April 16, 2024, in preparation for its IPO[26](index=26&type=chunk) - The company completed its IPO on April 29, 2024, selling **12.6 million shares** of common stock and receiving approximately **$325.4 million** in net proceeds[27](index=27&type=chunk) - A follow-on offering on December 12, 2024, issued **3,852,500 shares** of common stock, generating approximately **$311.6 million** in net proceeds[28](index=28&type=chunk) - During the three months ended June 30, 2025, the company paid **$0.9 million** in fees related to a secondary offering by existing shareholders, from which it received no proceeds[29](index=29&type=chunk) [Note 2. Basis of Presentation](index=9&type=section&id=Note%202.%20Basis%20of%20Presentation) This note describes the basis of financial statement presentation, including unaudited status, GAAP conformity, and recent accounting pronouncements - The financial information is unaudited and reflects all adjustments necessary for a fair presentation, prepared in conformity with U.S. GAAP[31](index=31&type=chunk) - Reclassifications were made to the prior year's condensed consolidated statement of cash flows to conform with the current year's presentation, with no changes to results of operations, financial position, or cash flows[32](index=32&type=chunk) - The FASB issued ASU 2023-09 (Income Taxes) effective for annual periods beginning after December 15, 2024, requiring enhanced income tax disclosures; the company is evaluating its impact[33](index=33&type=chunk)[34](index=34&type=chunk) - The FASB issued ASU 2024-03 (Expense Disaggregation Disclosures) effective for fiscal years beginning after December 15, 2026, requiring disaggregated income statement expense information; the company is evaluating its impact[35](index=35&type=chunk) [Note 3. Acquisition](index=10&type=section&id=Note%203.%20Acquisition) This note provides details on the acquisition of Applied Avionics, LLC, including purchase price allocation and pro forma sales impact - On August 26, 2024, the company acquired **100%** of Applied Avionics, LLC (AAI) for **$383.5 million** in cash[36](index=36&type=chunk) AAI Purchase Price Allocation (in thousands) | Asset/Liability | Amount | | :---------------------- | :------- | | Current assets | $7,169 | | Property, plant and equipment | $6,996 | | Intangible assets | $152,100 | | Goodwill | $219,301 | | Deferred income taxes | $2,026 | | Current liabilities | $(4,043) | | **Net assets acquired** | **$383,549** | - Goodwill is primarily attributable to the assembled workforce, expected synergies, and management's industry operating expertise, and is deductible for tax purposes[38](index=38&type=chunk) - Pro forma net sales for the three and six months ended June 30, 2024, including AAI, would have been **$108.7 million** and **$210.7 million**, respectively[39](index=39&type=chunk) [Note 4. Revenue Recognition](index=11&type=section&id=Note%204.%20Revenue%20Recognition) This note outlines the company's revenue recognition policies, including timing, warranty treatment, and sales by end market - Revenue is recognized when control of the promised good or service is transferred to the customer, generally upon shipment of goods[42](index=42&type=chunk)[43](index=43&type=chunk) - Products are covered by a standard assurance warranty (**25 days to two years**), and warranties are accounted for under ASC 460, not as a separate performance obligation[44](index=44&type=chunk) Net Sales by End Market (in thousands) | End Market | 3 Months Ended June 30, 2025 | 3 Months Ended June 30, 2024 | 6 Months Ended June 30, 2025 | 6 Months Ended June 30, 2024 | | :-------------------------- | :--------------------------- | :--------------------------- | :--------------------------- | :--------------------------- | | Commercial Aerospace | $54,276 | $41,193 | $102,743 | $82,535 | | Business Jet and General Aviation | $30,162 | $27,163 | $61,020 | $52,777 | | Defense | $31,471 | $20,877 | $60,253 | $37,512 | | Non-Aerospace | $7,214 | $7,782 | $13,766 | $16,035 | | **Total Net Sales** | **$123,123** | **$97,015** | **$237,782** | **$188,859** | Contract Liabilities (in thousands) | Metric | June 30, 2025 | December 31, 2024 | | :------------------------ | :-------------- | :---------------- | | Contract liabilities, current | $3,879 | $4,159 | | Contract liabilities, long-term | — | — | | **Total** | **$3,879** | **$4,159** | [Note 5. Inventories](index=12&type=section&id=Note%205.%20Inventories) This note provides a breakdown of the company's inventories by category as of June 30, 2025, and December 31, 2024 Inventories (in thousands) | Category | June 30, 2025 | December 31, 2024 | | :--------------- | :-------------- | :---------------- | | Raw materials | $35,672 | $39,162 | | Work-in-process | $38,294 | $29,797 | | Finished goods | $25,917 | $23,680 | | **Total** | **$99,883** | **$92,639** | [Note 6. Property, Plant and Equipment](index=12&type=section&id=Note%206.%20Property%2C%20Plant%20and%20Equipment) This note details the company's property, plant, and equipment, including land, buildings, machinery, and accumulated depreciation Property, Plant and Equipment (in thousands) | Category | June 30, 2025 | December 31, 2024 | | :------------------------------------ | :-------------- | :---------------- | | Land | $15,794 | $15,411 | | Buildings and improvements | $35,906 | $35,504 | | Machinery, equipment, furniture and fixtures | $90,422 | $86,297 | | Less: accumulated depreciation and amortization | $(66,456) | $(60,607) | | **Total** | **$75,666** | **$76,605** | [Note 7. Accrued Expenses and Other Current Liabilities](index=12&type=section&id=Note%207.%20Accrued%20Expenses%20and%20Other%20Current%20Liabilities) This note presents a breakdown of accrued expenses and other current liabilities as of June 30, 2025, and December 31, 2024 Accrued Expenses and Other Current Liabilities (in thousands) | Category | June 30, 2025 | December 31, 2024 | | :-------------------------- | :-------------- | :---------------- | | Compensation and related benefits | $12,258 | $14,162 | | Contract liabilities | $3,879 | $4,159 | | Other | $10,448 | $8,580 | | **Total** | **$26,585** | **$26,901** | [Note 8. Long-Term Debt](index=12&type=section&id=Note%208.%20Long-Term%20Debt) This note details the company's long-term debt, including term loans, debt issuance costs, and amendments to the Credit Agreement Long-Term Debt (in thousands) | Category | June 30, 2025 | December 31, 2024 | | :-------------------------- | :-------------- | :---------------- | | Term loans | $281,366 | $281,366 | | Less: unamortized debt issuance costs | $(3,697) | $(4,073) | | **Total net debt** | **$277,669** | **$277,293** | - The Credit Agreement was amended on May 10, 2024, to extend the maturity date to **May 10, 2030**, and reduce the applicable margin by **2.0 to 2.5 percentage points**[56](index=56&type=chunk) - On August 26, 2024, an incremental term loan of **$360 million** was made available under the Credit Agreement to finance the AAI acquisition[57](index=57&type=chunk) - As of June 30, 2025, **$281.4 million** was outstanding under the Credit Agreement, with **$100.0 million** in delayed draw term loan commitments and **$50.0 million** in revolving line of credit available[62](index=62&type=chunk) [Note 9. Fair Value of Financial Instruments](index=14&type=section&id=Note%209.%20Fair%20Value%20of%20Financial%20Instruments) This note discusses the fair value of the company's financial instruments, noting their carrying amounts approximate fair value - The carrying amounts of the company's financial instruments (cash, receivables, payables, leases, and debt) approximate fair value due to their short-term nature or market-aligned interest rates[64](index=64&type=chunk) [Note 10. Commitments and Contingencies](index=14&type=section&id=Note%2010.%20Commitments%20and%20Contingencies) This note outlines the company's legal proceedings, pending acquisitions, and related financing commitments - The company is involved in various lawsuits and claims, but management believes the ultimate liability will not have a material impact on the condensed consolidated financial statements[65](index=65&type=chunk) - On March 7, 2025, the company entered into a purchase agreement to acquire **100%** of LMB Fans & Motors (LMB) for **€365 million** plus estimated net debt of **€44.3 million**, expected to close in Q3 2025[66](index=66&type=chunk) - The LMB acquisition will be financed through additional borrowings under the existing Credit Agreement (an incremental **€400.0 million** loan facility) and cash on hand[67](index=67&type=chunk) [Note 11. Net Income per Common Share](index=14&type=section&id=Note%2011.%20Net%20Income%20per%20Common%20Share) This note provides the calculation of basic and diluted net income per common share for the reported periods Net Income per Common Share (in thousands, except per share amounts) | Metric | 3 Months Ended June 30, 2025 | 3 Months Ended June 30, 2024 | 6 Months Ended June 30, 2025 | 6 Months Ended June 30, 2024 | | :------------------------------------ | :--------------------------- | :--------------------------- | :--------------------------- | :--------------------------- | | Net income | $16,713 | $7,641 | $32,029 | $9,890 | | Weighted-average common shares outstanding - basic | 93,586 | 87,534 | 93,571 | 87,534 | | Weighted average common shares outstanding—diluted | 96,113 | 89,242 | 95,933 | 89,242 | | Net income per common shares—basic | $0.18 | $0.09 | $0.34 | $0.11 | | Net income per common shares—diluted | $0.17 | $0.09 | $0.33 | $0.11 | [Note 12. Income Taxes](index=14&type=section&id=Note%2012.%20Income%20Taxes) This note details the effective income tax rates and the factors influencing changes for the reported periods Effective Income Tax Rates | Period | 2025 | 2024 | | :-------------------------- | :----- | :----- | | Three months ended June 30 | 19.8% | 22.9% | | Six months ended June 30 | 21.0% | 26.9% | - The decrease in the 2025 effective tax rate for both periods was primarily due to the discrete impact of excess tax benefits associated with share-based payments[69](index=69&type=chunk)[70](index=70&type=chunk) - For the six months, the decrease was also attributed to a reduction in the valuation allowance against the company's deferred tax asset for its disallowed interest carryforward[70](index=70&type=chunk) [Note 13. Subsequent Events](index=15&type=section&id=Note%2013.%20Subsequent%20Events) This note describes significant events occurring after the balance sheet date, including new legislation and acquisitions - On July 4, 2025, the One Big Beautiful Bill Act (OBBBA) was signed into law, making permanent key elements of the Tax Cuts and Jobs Act, which will require evaluation of deferred tax balances[71](index=71&type=chunk) - On July 28, 2025, the company completed the acquisition of Beadlight Ltd. for approximately **£25 million** (**$33 million**) using cash on hand[72](index=72&type=chunk) - On August 1, 2025, the Credit Agreement was amended to reduce the applicable interest margin by **0.5%**[73](index=73&type=chunk) [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=16&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) This section provides management's analysis of the company's financial condition, operational results, strategic developments, and future outlook for the periods ended June 30, 2025 [Overview](index=16&type=section&id=Overview) This section provides an overview of Loar Holdings Inc.'s business, focusing on its niche aerospace and defense components and competitive strengths - Loar Holdings Inc. specializes in the design, manufacture, and sale of niche aerospace and defense components, focusing on mission-critical, highly engineered solutions with high intellectual property content[77](index=77&type=chunk) - The company's products support nearly every major aircraft platform and include a diverse range of applications such as auto throttles, seat belts, water purification systems, and brake discs[78](index=78&type=chunk) - The company primarily serves commercial, business jet and general aviation, and defense end markets, which have long historical track records of consistent growth[80](index=80&type=chunk) - Key competitive strengths include a portfolio of mission-critical components, IP-driven proprietary products, focus on higher-margin aftermarket content, diversified revenue streams, and a disciplined acquisition strategy[81](index=81&type=chunk) [Recent Developments](index=17&type=section&id=Recent%20Developments) This section highlights recent strategic developments, including acquisitions, financing activities, and new tax legislation impacting the company - The company entered into a purchase agreement to acquire LMB Fans & Motors for **€365 million** plus net debt, with the transaction expected to close in Q3 2025[82](index=82&type=chunk) - The LMB acquisition will be financed through additional borrowings under the existing Credit Agreement (an incremental **€400.0 million** loan facility) and cash on hand[83](index=83&type=chunk) - The One Big Beautiful Bill Act (OBBBA) was signed into law on July 4, 2025, making permanent key tax provisions, which will require evaluation of deferred tax balances[85](index=85&type=chunk) - On July 28, 2025, the company completed the acquisition of Beadlight Ltd. for approximately **£25 million** (**$33 million**) using cash on hand[86](index=86&type=chunk) [Outlook](index=18&type=section&id=Outlook) This section outlines the company's future expectations for net sales growth, product development, market penetration, and acquisition strategy - Net sales growth for the remainder of 2025 is anticipated to be driven by organic growth, particularly the conversion of high levels of backlog, and the impact from strategic acquisitions[89](index=89&type=chunk) - The company plans to continue its commitment to develop new products and services, further market penetration, and pursue an aggressive acquisition strategy[89](index=89&type=chunk) - Continued inflationary pressures and supply chain disruptions have not materially affected year-to-date results and are not expected to materially affect the outlook[89](index=89&type=chunk) [Results of Operations](index=18&type=section&id=Results%20of%20Operations) This section provides a detailed analysis of the company's financial performance for the three and six months ended June 30, 2025, compared to the prior year Operating Data Summary (in thousands, except percentages) | Metric | 3 Months Ended June 30, 2025 | 3 Months Ended June 30, 2024 | 6 Months Ended June 30, 2025 | 6 Months Ended June 30, 2024 | | :------------------------------------ | :--------------------------- | :--------------------------- | :--------------------------- | :--------------------------- | | Net Sales | $123,123 | $97,015 | $237,782 | $188,859 | | Gross Profit | $66,199 | $47,526 | $125,905 | $91,959 | | Operating Income | $27,317 | $22,188 | $53,461 | $43,545 | | Net Income | $16,713 | $7,641 | $32,029 | $9,890 | | Net Income Margin | 13.6% | 7.9% | 13.5% | 5.2% | | Adjusted EBITDA | $47,118 | $35,031 | $90,251 | $68,062 | | Adjusted EBITDA Margin | 38.3% | 36.1% | 38.0% | 36.0% | [Three months ended June 30, 2025 compared with three months ended June 30, 2024](index=18&type=section&id=Three%20months%20ended%20June%2030%2C%202025%20compared%20with%20three%20months%20ended%20June%2030%2C%202024) This section compares the company's financial performance for the three months ended June 30, 2025, against the same period in 2024 [Net Sales](index=18&type=section&id=Net%20Sales%20(3M)) This section analyzes the drivers of net sales growth for the three months ended June 30, 2025, including organic and acquisition contributions - Net sales for the three months ended June 30, 2025, increased by **$26.1 million**, or **26.9%**, to **$123.1 million**[91](index=91&type=chunk) - Net organic sales increased by **$11.0 million** (**11.3%**) to **$108.0 million**, driven by increases in OEM total commercial sales, aftermarket total commercial sales, and defense sales[95](index=95&type=chunk) - Net acquisition sales from AAI contributed **$15.1 million**, representing **15.6%** of the total net sales increase[96](index=96&type=chunk) [Gross Profit and Cost of Sales](index=19&type=section&id=Gross%20Profit%20and%20Cost%20of%20Sales%20(3M)) This section examines changes in cost of sales and gross profit, highlighting factors influencing the gross profit percentage for the three months - Cost of sales increased by **$7.4 million** (**15.0%**) to **$56.9 million**, primarily due to increased sales[97](index=97&type=chunk) - Cost of sales as a percentage of net sales decreased by **4.8%** to **46.2%**, driven by operating leverage, strategic value drivers, and favorable sales mix[97](index=97&type=chunk) - Gross profit increased by **$18.7 million** (**39.3%**) to **$66.2 million**, with the gross profit percentage improving to **53.8%** from **49.0%**[97](index=97&type=chunk) [Selling, General and Administrative Expenses](index=19&type=section&id=Selling%2C%20General%20and%20Administrative%20Expenses%20(3M)) This section details the increase in selling, general, and administrative expenses, attributing it to public company costs and amortization - Selling, general and administrative expenses increased by **$9.6 million** to **$36.9 million**, or **30.0%** as a percentage of net sales[98](index=98&type=chunk)[99](index=99&type=chunk) - The increase was primarily due to additional costs associated with being a public company (SOX compliance), amortization of intangible assets, and research and development expenses, partially offset by lower stock-based compensation[99](index=99&type=chunk) [Transaction Expenses](index=20&type=section&id=Transaction%20Expenses%20(3M)) This section reports the increase in transaction expenses, including costs related to a secondary offering - Transaction expenses increased to **$2.0 million** from **$0.9 million**, including approximately **$0.9 million** related to a secondary offering[100](index=100&type=chunk) [Operating Income](index=20&type=section&id=Operating%20Income%20(3M)) This section analyzes the change in operating income and its percentage of net sales for the three months ended June 30, 2025 - Operating income increased to **$27.3 million**, or **22.2%** as a percentage of net sales, from **$22.2 million** (**22.9%**) in the prior year[101](index=101&type=chunk) [Interest Expense](index=20&type=section&id=Interest%20Expense%20(3M)) This section details the decrease in interest expense, primarily due to debt repayment and lower interest rates - Interest expense decreased by **$4.2 million** (**39.1%**) to **$6.5 million**, primarily due to debt repayment from IPO proceeds and lower interest rates[102](index=102&type=chunk) [Income Tax Provision](index=20&type=section&id=Income%20Tax%20Provision%20(3M)) This section reports the increase in income tax provision, driven by higher earnings for the three months - The income tax provision increased to **$4.1 million** from **$2.3 million**, driven by higher earnings[103](index=103&type=chunk) [Net Income](index=20&type=section&id=Net%20Income%20(3M)) This section highlights the increase in net income and its margin for the three months ended June 30, 2025 - Net income increased to **$16.7 million**, or **13.6%** as a percentage of net sales, from **$7.6 million** (**7.9%**) in the prior year[104](index=104&type=chunk) [Six months ended June 30, 2025 compared with six months ended June 30, 2024](index=21&type=section&id=Six%20months%20ended%20June%2030%2C%202025%20compared%20with%20six%20months%20ended%20June%2030%2C%202024) This section compares the company's financial performance for the six months ended June 30, 2025, against the same period in 2024 [Net Sales](index=21&type=section&id=Net%20Sales%20(6M)) This section analyzes the drivers of net sales growth for the six months ended June 30, 2025, including organic and acquisition contributions - Net sales for the six months ended June 30, 2025, increased by **$48.9 million**, or **25.9%**, to **$237.8 million**[105](index=105&type=chunk) - Net organic sales increased by **$21.2 million** (**11.2%**) to **$210.1 million**, driven by aftermarket total commercial sales, defense sales, and OEM total commercial sales[107](index=107&type=chunk) - Net acquisition sales from AAI contributed **$27.7 million**, representing **14.7%** of the total net sales increase[108](index=108&type=chunk) [Gross Profit and Cost of Sales](index=21&type=section&id=Gross%20Profit%20and%20Cost%20of%20Sales%20(6M)) This section examines changes in cost of sales and gross profit, highlighting factors influencing the gross profit percentage for the six months - Cost of sales increased by **$15.0 million** (**15.5%**) to **$111.9 million**, primarily due to increased sales[109](index=109&type=chunk) - Cost of sales as a percentage of net sales decreased by **4.2%** to **47.1%**, driven by operating leverage, strategic value drivers, and favorable sales mix[109](index=109&type=chunk) - Gross profit increased by **$33.9 million** (**36.9%**) to **$125.9 million**, with the gross profit percentage improving to **52.9%** from **48.7%**[109](index=109&type=chunk) [Selling, General and Administrative Expenses](index=21&type=section&id=Selling%2C%20General%20and%20Administrative%20Expenses%20(6M)) This section details the increase in selling, general, and administrative expenses, attributing it to public company costs and amortization - Selling, general and administrative expenses increased by **$19.8 million** to **$70.0 million**, or **29.4%** as a percentage of net sales[110](index=110&type=chunk)[111](index=111&type=chunk) - The increase was due to additional costs associated with being a public company (SOX compliance), amortization of intangible assets, stock-based compensation, and research and development expenses[111](index=111&type=chunk) [Transaction Expenses](index=22&type=section&id=Transaction%20Expenses%20(6M)) This section reports the increase in transaction expenses, including costs related to a secondary offering - Transaction expenses increased to **$2.4 million** from **$1.1 million**, including approximately **$0.9 million** related to a secondary offering[112](index=112&type=chunk) [Operating Income](index=22&type=section&id=Operating%20Income%20(6M)) This section analyzes the change in operating income and its percentage of net sales for the six months ended June 30, 2025 - Operating income increased to **$53.5 million**, or **22.5%** as a percentage of net sales, from **$43.5 million** (**23.0%**) in the prior year[113](index=113&type=chunk) [Interest Expense](index=22&type=section&id=Interest%20Expense%20(6M)) This section details the decrease in interest expense, primarily due to debt repayment and lower interest rates - Interest expense decreased by **$15.4 million** (**54.4%**) to **$12.9 million**, primarily due to debt repayment from IPO proceeds and lower interest rates[114](index=114&type=chunk) [Income Tax Provision](index=22&type=section&id=Income%20Tax%20Provision%20(6M)) This section reports the increase in income tax provision, driven by higher earnings for the six months - The income tax provision increased to **$8.5 million** from **$3.6 million**, driven by higher earnings[115](index=115&type=chunk) [Net Income](index=22&type=section&id=Net%20Income%20(6M)) This section highlights the increase in net income and its margin for the six months ended June 30, 2025 - Net income increased to **$32.0 million**, or **13.5%** as a percentage of net sales, from **$9.9 million** (**5.2%**) in the prior year[116](index=116&type=chunk) [Liquidity and Capital Resources](index=22&type=section&id=Liquidity%20and%20Capital%20Resources) This section discusses the company's liquidity position, capital resources, and cash flow activities from operations, investing, and financing Capitalization Summary (in thousands) | Metric | June 30, 2025 | December 31, 2024 | | :------------------------------------ | :-------------- | :---------------- | | Cash and cash equivalents | $103,342 | $54,066 | | Total debt | $280,960 | $280,695 | | Stockholders' equity | $1,128,733 | $1,088,505 | | Total capitalization (debt plus equity) | $1,409,693 | $1,369,200 | | Total debt to total capitalization | 20% | 21% | - As of June 30, 2025, the company had availability of **$100 million** in delayed draw term loan commitments and a **$50 million** revolving line of credit[118](index=118&type=chunk) - Management believes that net cash provided by operating activities and available borrowings will be sufficient to fund cash requirements for at least the next twelve months[118](index=118&type=chunk) [Operating Activities](index=23&type=section&id=Operating%20Activities%20(Cash%20Flow)) This section analyzes net cash provided by operating activities, driven by net income and non-cash operating items - Net cash provided by operating activities increased by **$34.3 million** to **$52.2 million** for the six months ended June 30, 2025, driven by higher net income and increased non-cash operating items[119](index=119&type=chunk) [Investing Activities](index=23&type=section&id=Investing%20Activities%20(Cash%20Flow)) This section details net cash used in investing activities, primarily related to capital expenditures - Net cash used in investing activities was **$4.7 million** for the six months ended June 30, 2025, primarily related to capital expenditures[120](index=120&type=chunk) [Financing Activities](index=23&type=section&id=Financing%20Activities%20(Cash%20Flow)) This section discusses net cash provided by financing activities, including stock option exercises and IPO proceeds - Net cash provided by financing activities was **$1.7 million** for the six months ended June 30, 2025, primarily from stock option exercises[121](index=121&type=chunk) - In the prior year, net cash provided by financing activities was **$37.6 million**, principally from IPO proceeds offset by debt repayments[121](index=121&type=chunk) [Credit Agreement](index=23&type=section&id=Credit%20Agreement%20(Liquidity)) This section outlines the terms and amendments of the Credit Agreement, including maturity, interest margins, and loan commitments - The Credit Agreement was amended on May 10, 2024, to extend the maturity date to **May 10, 2030**, and reduce the applicable interest margin[125](index=125&type=chunk) - A **$360 million** incremental term loan was made available on August 26, 2024, to finance the AAI acquisition[127](index=127&type=chunk) - Significant debt repayments were made in 2024: **$284.6 million** using IPO proceeds in May and **$330.0 million** using follow-on offering proceeds in December[124](index=124&type=chunk)[128](index=128&type=chunk) - As of June 30, 2025, **$281.4 million** was outstanding under the Credit Agreement, with **$100.0 million** in delayed draw term loan commitments and **$50.0 million** in revolving line of credit available[129](index=129&type=chunk) [Other Obligations and Commitments](index=24&type=section&id=Other%20Obligations%20and%20Commitments%20(Liquidity)) This section addresses other obligations and commitments, noting no material changes except for a pending acquisition - No material changes to other obligations and commitments occurred during the six months ended June 30, 2025, other than the pending LMB acquisition[130](index=130&type=chunk) [Off-Balance Sheet Arrangements](index=24&type=section&id=Off-Balance%20Sheet%20Arrangements%20(Liquidity)) This section confirms the absence of material off-balance sheet arrangements impacting the company's financial condition - As of June 30, 2025, the company did not have any off-balance sheet arrangements that have or are reasonably likely to have a current or future material effect on its financial condition, results of operations, or cash flows[131](index=131&type=chunk) [Critical Accounting Estimates](index=24&type=section&id=Critical%20Accounting%20Estimates) This section refers to the company's critical accounting policies and estimates, emphasizing management's judgment and potential for different results - A complete discussion of the company's most critical accounting policies and estimates is included in Management's Discussion and Analysis of Financial Condition and Results of Operations in its Annual Report on Form 10-K for the year ended December 31, 2024[133](index=133&type=chunk) - Management's judgment is required in the selection and application of certain accounting policies and methods, and the sensitivity of financial statements to these estimates could create materially different results under different conditions[132](index=132&type=chunk) [Non-GAAP Financial Measures](index=24&type=section&id=Non-GAAP%20Financial%20Measures) This section explains the use of non-GAAP financial measures like EBITDA and Adjusted EBITDA, including their limitations and reconciliation - The company presents EBITDA, Adjusted EBITDA, and Adjusted EBITDA Margin as non-GAAP measures to evaluate operating performance, assess management, and evaluate acquisitions[134](index=134&type=chunk) - These non-GAAP measures have limitations, as they do not reflect significant interest expense, cash requirements for asset replacement, integration costs, amortization expense, or tax payments[135](index=135&type=chunk)[138](index=138&type=chunk) Reconciliation of Net Income to Adjusted EBITDA (in thousands, except percentages) | Metric | 3 Months Ended June 30, 2025 | 3 Months Ended June 30, 2024 | 6 Months Ended June 30, 2025 | 6 Months Ended June 30, 2024 | | :------------------------------------ | :--------------------------- | :--------------------------- | :--------------------------- | :--------------------------- | | Net income | $16,713 | $7,641 | $32,029 | $9,890 | | Interest expense, net | $6,481 | $10,636 | $12,940 | $28,370 | | Refinancing costs | — | $1,645 | — | $1,645 | | Income tax provision | $4,123 | $2,266 | $8,492 | $3,640 | | Depreciation | $3,050 | $2,730 | $5,948 | $5,408 | | Amortization | $9,637 | $7,039 | $19,197 | $14,304 | | **EBITDA** | **$40,004** | **$31,957** | **$78,606** | **$63,257** | | Other income, net | — | $(2,867) | — | $(2,867) | | Transaction expenses | $1,984 | $929 | $2,444 | $1,105 | | Stock-based compensation | $3,650 | $4,387 | $6,739 | $4,474 | | Acquisition and facility integration costs | $1,480 | $625 | $2,462 | $2,093 | | **Adjusted EBITDA** | **$47,118** | **$35,031** | **$90,251** | **$68,062** | | Net sales | $123,123 | $97,015 | $237,782 | $188,859 | | Adjusted EBITDA Margin | 38.3% | 36.1% | 38.0% | 36.0% | [JOBS Act Election](index=26&type=section&id=JOBS%20Act%20Election) This section discusses the company's election as an 'emerging growth company' under the JOBS Act and its implications for accounting standard compliance - As an "emerging growth company" under the JOBS Act, the company has elected to use the extended transition period for complying with new or revised accounting standards[139](index=139&type=chunk) - This election may result in the company's financial statements not being comparable to companies that comply with new or revised accounting pronouncements as of public company effective dates[139](index=139&type=chunk) [Item 3. Quantitative and Qualitative Disclosures About Market Risk](index=26&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) This section states that the company's market risks have not materially changed for the six months ended June 30, 2025, and refers to the more comprehensive disclosure in its Annual Report on Form 10-K for the year ended December 31, 2024 - The company's market risks have not materially changed for the six months ended June 30, 2025, and are described more fully in the Annual Report on Form 10-K for the year ended December 31, 2024[140](index=140&type=chunk) [Item 4. Controls and Procedures](index=26&type=section&id=Item%204.%20Controls%20and%20Procedures) This section addresses the company's compliance with SEC rules regarding internal controls, noting that no material changes to internal control over financial reporting occurred during the three months ended June 30, 2025. The first Section 404 assessment will be for the fiscal year ending December 31, 2025 - The company is required to comply with Section 302 of the Sarbanes-Oxley Act following its initial public offering on April 29, 2024[141](index=141&type=chunk) - No material changes in the company's internal control over financial reporting occurred during the three months ended June 30, 2025[142](index=142&type=chunk) - The first assessment of the effectiveness of internal control over financial reporting under Section 404 will be for the fiscal year ending December 31, 2025[141](index=141&type=chunk) [PART II. OTHER INFORMATION](index=27&type=section&id=PART%20II.%20OTHER%20INFORMATION) This part contains other information not included in the financial statements, such as legal proceedings, risk factors, and exhibits [Item 1. Legal Proceedings](index=27&type=section&id=Item%201.%20Legal%20Proceedings) This section states that there are no legal proceedings to report for the company - No legal proceedings were reported[146](index=146&type=chunk) [Item 1A. Risk Factors](index=27&type=section&id=Item%201A.%20Risk%20Factors) This section directs readers to the comprehensive list of risk factors detailed in the company's Annual Report on Form 10-K for the year ended December 31, 2024 - Readers should refer to the risk factors disclosed in Part I, Item 1A of the Annual Report on Form 10-K for the year ended December 31, 2024[147](index=147&type=chunk) [Item 2. Unregistered Sales of Equity Securities and Use of Proceeds](index=27&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) This item is marked as not applicable for the current report - This item is not applicable[148](index=148&type=chunk) [Item 3. Defaults Upon Senior Securities](index=27&type=section&id=Item%203.%20Defaults%20Upon%20Senior%20Securities) This item is marked as not applicable for the current report - This item is not applicable[149](index=149&type=chunk) [Item 4. Mine Safety Disclosures](index=27&type=section&id=Item%204.%20Mine%20Safety%20Disclosures) This item is marked as not applicable for the current report - This item is not applicable[150](index=150&type=chunk) [Item 5. Other Information](index=27&type=section&id=Item%205.%20Other%20Information) This section reports that no directors or executive officers adopted, terminated, or modified Rule 10b5-1 trading arrangements or non-Rule 10b5-1 trading agreements during the three months ended June 30, 2025 - No directors or officers adopted, terminated, or modified Rule 10b5-1 trading arrangements or non-Rule 10b5-1 trading agreements during the three months ended June 30, 2025[151](index=151&type=chunk) [Item 6. Exhibits](index=28&type=section&id=Item%206.%20Exhibits) This section lists all exhibits filed with the Form 10-Q, including corporate governance documents, various agreements, and certifications required by the Securities Exchange Act - The report includes exhibits such as the Certificate of Incorporation, By-laws, Waiver to Registration Rights Agreement, Amended and Restated 2024 Equity Incentive Plan, Amended and Restated Commitment Letter, Seventeenth Amendment to Credit Agreement, and various certifications[152](index=152&type=chunk) [SIGNATURES](index=29&type=section&id=SIGNATURES) This section contains the official signatures for the Form 10-Q, certifying its submission on behalf of Loar Holdings Inc [SIGNATURES](index=29&type=section&id=SIGNATURES_Details) This section provides the details of the official certification and signing of the Form 10-Q by the company's authorized officer - The report was signed by Glenn D'Alessandro, Treasurer and Chief Financial Officer of Loar Holdings Inc., on August 13, 2025[158](index=158&type=chunk)