[PART I FINANCIAL INFORMATION](index=4&type=section&id=PART%20I%20FINANCIAL%20INFORMATION) [Financial Statements](index=4&type=section&id=ITEM%201%20Financial%20Statements) The unaudited condensed consolidated financial statements present the company's financial position, results of operations, and cash flows for the recent reporting periods [Condensed Consolidated Balance Sheets](index=4&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) Total assets were $18.84 billion as of April 2, 2022, with a stockholders' deficit of $2.89 billion Condensed Consolidated Balance Sheet Highlights (in millions) | Account | April 2, 2022 | September 30, 2021 | | :--- | :--- | :--- | | **Assets** | | | | Cash and cash equivalents | $4,216 | $4,787 | | Total current assets | $6,564 | $7,030 | | Goodwill | $8,544 | $8,568 | | Total Assets | $18,841 | $19,315 | | **Liabilities & Stockholders' Deficit** | | | | Total current liabilities | $1,301 | $1,663 | | Long-term debt | $19,394 | $19,372 | | Total liabilities | $21,734 | $22,225 | | Total stockholders' deficit | $(2,893) | $(2,910) | | **Total Liabilities & Stockholders' Deficit** | **$18,841** | **$19,315** | [Condensed Consolidated Statements of Income](index=5&type=section&id=Condensed%20Consolidated%20Statements%20of%20Income) Net sales grew to $1.33 billion for the quarter, driving net income to $199 million and diluted EPS to $3.38 Statement of Income Summary (in millions, except per share data) | Metric | Thirteen Weeks Ended April 2, 2022 | Thirteen Weeks Ended April 3, 2021 | Twenty-Six Weeks Ended April 2, 2022 | Twenty-Six Weeks Ended April 3, 2021 | | :--- | :--- | :--- | :--- | :--- | | Net Sales | $1,327 | $1,194 | $2,521 | $2,301 | | Gross Profit | $736 | $592 | $1,397 | $1,132 | | Income from Operations | $520 | $394 | $975 | $709 | | Net Income | $199 | $105 | $363 | $155 | | Diluted EPS | $3.38 | $1.79 | $5.35 | $1.40 | [Condensed Consolidated Statements of Cash Flows](index=9&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Net cash from operations was $366 million for the twenty-six week period, with significant cash used for stock repurchases Cash Flow Summary - Twenty-Six Week Periods Ended (in millions) | Activity | April 2, 2022 | April 3, 2021 | | :--- | :--- | :--- | | Net cash provided by operating activities | $366 | $372 | | Net cash used in investing activities | $(54) | $(952) | | Net cash used in financing activities | $(872) | $(73) | | **Net decrease in cash and cash equivalents** | **$(571)** | **$(645)** | | Cash and cash equivalents, end of period | $4,216 | $4,072 | [Notes to Condensed Consolidated Financial Statements](index=10&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements) Key notes detail the company's business, M&A activity, a new stock repurchase program, and an ongoing DoD OIG audit - TransDigm is a **leading global designer, producer, and supplier** of highly engineered aircraft components for nearly every commercial and military aircraft[13](index=13&type=chunk) - On March 14, 2022, the Company entered into a definitive agreement to acquire **DART Aerospace for $360 million**, expected to close in the second half of fiscal 2022[15](index=15&type=chunk) - On January 27, 2022, the Board authorized a **new stock repurchase program for up to $2.2 billion**; during Q2 2022, the company repurchased 1,046,815 shares for **$667 million**[42](index=42&type=chunk)[43](index=43&type=chunk) - The Department of Defense (DoD) Office of Inspector General (OIG) completed an audit and recommended a voluntary refund of $20.8 million; **TransDigm disagrees with the findings** and has not recorded a loss contingency[91](index=91&type=chunk)[92](index=92&type=chunk)[93](index=93&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=28&type=section&id=ITEM%202%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Net sales increased 11.1% in Q2 2022, driven by strong organic growth from the continued recovery in commercial aerospace markets [Results of Operations](index=30&type=section&id=Results%20of%20Operations) Q2 net sales rose 11.1% to $1.33 billion, fueled by a 45.6% surge in commercial aftermarket sales and improved gross margins Net Sales Change - Thirteen Weeks Ended April 2, 2022 (in millions) | Category | Thirteen Weeks Ended April 2, 2022 | Thirteen Weeks Ended April 3, 2021 | Change | % Change | | :--- | :--- | :--- | :--- | :--- | | Organic sales | $1,327 | $1,146 | $181 | 15.1% | | Acquisition and divestiture sales | $0 | $48 | $(48) | (4.0)% | | **Net sales** | **$1,327** | **$1,194** | **$133** | **11.1%** | - The increase in organic sales was driven by a **$117 million (45.6%) rise in commercial aftermarket sales** and a **$62 million (27.8%) increase in commercial OEM sales**, reflecting the ongoing recovery in commercial air travel[111](index=111&type=chunk) - Gross profit margin for Q2 2022 **increased to 55.5% from 49.6%** in the prior-year quarter, driven by a favorable sales mix and the application of value-driven operating strategies[114](index=114&type=chunk)[115](index=115&type=chunk) Net Income and EPS - Thirteen Weeks Ended | Metric | April 2, 2022 | April 3, 2021 | % Change | | :--- | :--- | :--- | :--- | | Net Income Attributable to TD Group (millions) | $199 | $104 | 91.3% | | Earnings per Share (Diluted) | $3.38 | $1.79 | 88.8% | [Business Segments](index=35&type=section&id=Business%20Segments) Both Power & Control and Airframe segments delivered strong sales and EBITDA growth, benefiting from the commercial aerospace recovery Segment Net Sales - Thirteen Weeks Ended (in millions) | Segment | April 2, 2022 | April 3, 2021 | % Change | | :--- | :--- | :--- | :--- | | Power & Control | $708 | $641 | 10.5% | | Airframe | $579 | $513 | 12.9% | | Non-aviation | $40 | $40 | 0.0% | | **Total Net Sales** | **$1,327** | **$1,194** | **11.1%** | Segment EBITDA As Defined - Thirteen Weeks Ended (in millions) | Segment | April 2, 2022 | % of Sales | April 3, 2021 | % of Sales | % Change | | :--- | :--- | :--- | :--- | :--- | :--- | | Power & Control | $374 | 52.8% | $309 | 48.2% | 21.0% | | Airframe | $273 | 47.2% | $208 | 40.5% | 31.3% | | Non-aviation | $14 | 35.0% | $16 | 40.0% | (12.5)% | [Liquidity and Capital Resources](index=42&type=section&id=Liquidity%20and%20Capital%20Resources) The company maintains a strong liquidity position with $4.2 billion in cash and continues to execute its capital allocation priorities, including share repurchases Liquidity Position as of April 2, 2022 (in millions) | Component | Amount | | :--- | :--- | | Cash and cash equivalents | $4,216 | | Availability on revolving credit facility | $775 | | **Total Cash Liquidity** | **$4,991** | - Capital allocation priorities are: (1) capital spending, (2) acquisitions, (3) special dividends and/or share repurchases, and (4) debt prepayment[146](index=146&type=chunk) - In Q2 2022, the company **repurchased 1,046,815 shares** of common stock for approximately **$667 million**[147](index=147&type=chunk) - The company's debt consists of a **$7.34 billion Term Loans Facility** and various senior notes, and the company **is in compliance with all debt covenants**[163](index=163&type=chunk)[167](index=167&type=chunk)[181](index=181&type=chunk) [Quantitative and Qualitative Disclosure About Market Risk](index=51&type=section&id=ITEM%203%20Quantitative%20and%20Qualitative%20Disclosure%20About%20Market%20Risk) There have been no material changes to the company's primary market risks, which relate to interest rates and foreign currency exchange - **Market risks have not materially changed** for the second quarter of fiscal year 2022, as described in the most recent Form 10-K[198](index=198&type=chunk) [Controls and Procedures](index=51&type=section&id=ITEM%204%20Controls%20and%20Procedures) Management concluded that disclosure controls and procedures were effective, with no material changes to internal controls during the quarter - The President, CEO, and CFO concluded that the company's **disclosure controls and procedures are effective**[199](index=199&type=chunk) - **No material changes** were made to the company's internal control over financial reporting during the fiscal quarter ended April 2, 2022[200](index=200&type=chunk) [PART II OTHER INFORMATION](index=52&type=section&id=PART%20II%20OTHER%20INFORMATION) [Legal Proceedings](index=52&type=section&id=ITEM%201%20Legal%20Proceedings) Current legal proceedings are not expected to have a material adverse effect on the company's financial condition - The company believes that the results of current legal proceedings **will not have a material adverse effect** on its financial condition, results of operations, or cash flows[202](index=202&type=chunk) - There have been **no material changes** to the legal proceedings information disclosed in the Annual Report on Form 10-K for the fiscal year ended September 30, 2021[203](index=203&type=chunk) [Risk Factors](index=52&type=section&id=ITEM%201A%20Risk%20Factors) There have been no material changes to the risk factors previously disclosed in the company's Annual Report on Form 10-K - There have been **no material changes** to the risk factors described in the Form 10-K filed on November 16, 2021[204](index=204&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds: Purchases of Equity Securities by the Issuer](index=52&type=section&id=ITEM%202%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds%3A%20Purchases%20of%20Equity%20Securities%20by%20the%20Issuer) The company repurchased 1,046,815 shares for $667 million in Q2 2022 under a new $2.2 billion repurchase program Share Repurchases - Q2 Fiscal 2022 | Period | Total Number of Shares Repurchased | Average Price Paid Per Share | Total Dollar Value (millions) | | :--- | :--- | :--- | :--- | | Jan 2 - Jan 29, 2022 | — | $— | $— | | Jan 30 - Feb 26, 2022 | 243,319 | $646.69 | ~$157.3 | | Feb 26 - Apr 2, 2022 | 803,496 | $633.97 | ~$509.4 | | **Total** | **1,046,815** | **$636.93** | **~$666.7** | - A new **$2.2 billion stock repurchase program** was authorized on January 27, 2022, replacing the previous $650 million program; as of April 2, 2022, **$1,533 million remains available**[205](index=205&type=chunk) [Exhibits](index=53&type=section&id=ITEM%206%20Exhibits) The filing includes required CEO/CFO certifications and Inline XBRL documents as exhibits - Exhibits filed include **CEO and CFO certifications** pursuant to Sarbanes-Oxley Act Sections 302 and 906, a list of subsidiary guarantors, and Inline XBRL documents[206](index=206&type=chunk) [Signatures](index=54&type=section&id=SIGNATURES) The report was duly signed by the Principal Executive Officer and Principal Financial Officer on May 10, 2022 - The report was signed by **Kevin Stein (CEO)** and **Michael Lisman (CFO)** on May 10, 2022[208](index=208&type=chunk)

TransDigm Group Incorporated (NYSE:TDG) Q1 2022 Earnings Conference Call February 8, 2022 11:00 AM ET Company Participants Jaimie Stemen - Director, IR Kevin Stein - President, CEO and Director Jorge Valladares - COO Mike Lisman - CFO Conference Call Participants Myles Walton - UBS Elizabeth Grenfell - Bank of America Merrill Lynch David Strauss - Barclays Ken Herbert - RBC Capital Markets Robert Spingarn - Melius Research Robert Stallard - Vertical Research Partners Peter Arment - Robert W. Baird Matt Aker ...

FY 2022 Q1 Earnings Call February 8, 2022 Agenda TransDigm Overview, Highlights and Outlook Kevin Stein President and CEO Market Review Jorge L. Valladares III COO Operating Performance and Financial Results Mike Lisman CFO Q&A 1 Forward Looking Statements & Special Notice Regarding Pro Forma and Non‐GAAP Information FORWARD LOOKING STATEMENTS This presentation contains forward‐looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including information regarding our ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q ☒ Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the quarterly period ended January 1, 2022 ☐ Transition Report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the transition period from to Commission File Number 001-32833 TransDigm Group Incorporated (Exact name of registrant as specified in its charter) Delaware (State or other jurisdic ...

FY 2021 Q4 Earnings Call November 16, 2021 Agenda TransDigm Overview, Highlights and Outlook Kevin Stein President and CEO Market Review Jorge L. Valladares III COO Operating Performance and Financial Results Mike Lisman CFO Q&A 1 Forward Looking Statements & Special Notice Regarding Pro Forma and Non‐GAAP Information FORWARD LOOKING STATEMENTS This presentation contains forward‐looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including information regarding our ...

TransDigm Group Incorporated (NYSE:TDG) Q4 2021 Results Conference Call November 16, 2021 11:00 AM ET Company Participants Kevin Stein - President and Chief Executive Officer Jorge Valladares - Chief Operating Officer Mike Lisman - Chief Financial Officer Jaimie Stemen - Director of Investor Relations Conference Call Participants Noah Poponak - Goldman Sachs Robert Stallard - Vertical Research Myles Walton - UBS Ken Herbert - RBC Kristine Liwag - Morgan Stanley David Strauss - Barclays Seth Seifman - JPMorg ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION FORM 10-K ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended September 30, 2021 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number 001-32833 TransDigm Group Incorporated (Exact name of registrant as specified in its charter) Delaware (State or other jurisdiction of incorporation or org ...

FY 2021 Q3 Earnings Call August 10, 2021 Agenda TRANSDIGM TransDigm Overview and Highlights Nick Howley Chairman Operating Performance, Market Review Kevin Stein and Outlook President and CEO Financial Results Mike Lisman CFO Q&A 1 Forward Looking Statements & Special Notice Regarding Pro Forma and Non‐GAAP Information FORWARD LOOKING STATEMENTS This presentation contains forward‐looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including information regarding ou ...

Financial Data and Key Metrics Changes - The company reported EBITDA of approximately $559 million for Q3, up 32% compared to the prior year [34] - The EBITDA margin for the quarter was approximately 45.9%, showing sequential improvement from Q2 [34] - Organic growth was positive 15% for the quarter, indicating a return to positive growth territory [44] Business Line Data and Key Metrics Changes - Total commercial OEM revenue increased approximately 1% in Q3 compared to the same period last year, with bookings solidly outpacing sales [24] - Commercial aftermarket revenues increased by approximately 33% in Q3 compared to the prior year, driven by increased demand in the passenger submarket [26] - Defense market revenue grew by approximately 12% in Q3 compared to the prior year, with a strong order book expected to expand [33] Market Data and Key Metrics Changes - Domestic air traffic has shown consistent improvement, with airlines experiencing strong demand for domestic travel, particularly in the U.S. [29] - International air traffic recovery has been slow, with only slight improvements in international revenue passenger miles [30] - Cargo demands have recovered quicker than commercial travel, with global cargo volumes surpassing pre-COVID levels [31] Company Strategy and Development Direction - The company focuses on proprietary aerospace businesses with significant aftermarket content, aiming for private equity-like returns with public market liquidity [9][10] - The company is actively looking for M&A opportunities while being cautious with capital allocation [12] - The management emphasizes a decentralized organization structure and a unique compensation system aligned with shareholder interests [9] Management's Comments on Operating Environment and Future Outlook - The management expressed optimism about the recovery in the commercial aerospace market, although uncertainty remains regarding the pace of recovery [41] - The company anticipates continued growth in defense revenue in the mid-single-digit percent range for fiscal 2021 [38] - The management is cautious about issuing formal guidance for the remainder of fiscal 2021 due to market uncertainties [37] Other Important Information - The company completed the sale of three less proprietary businesses for about $240 million during Q3 [12] - The company ended Q3 with $4.5 billion in cash, up from $4.1 billion at the end of the previous quarter [47] - The net debt to LTM EBITDA ratio improved to 7.6x, down from 8.2x at the end of the previous quarter [48] Q&A Session Summary Question: Expectations for EBITDA margins in the last quarter - Management is hopeful that the 44% EBITDA margin target is conservative and does not anticipate detrimental impacts in Q4 [52] Question: Changes in cost structure ratios - The cost structure remains largely unchanged, with approximately 50% materials, 35% overhead, and 15% other costs [54] Question: Factors driving cash generation improvements - Improved accounts receivable management has been a significant driver of better cash generation [61] Question: Trends in bookings for the quarter - Bookings were down 7% sequentially but still outpaced shipments, indicating a positive trend overall [70] Question: Update on the DoD IG audit - A rough draft of the audit is expected in the fall, with anticipated similar conclusions to prior audits [72] Question: Insights on defense business growth - The defense business is expected to continue modest growth due to geopolitical unrest, with no specific program driving the growth [85] Question: Outlook for commercial aftermarket recovery - Recovery is expected to be lumpy, with improvements anticipated but not seamless [86] Question: Trends in business jet utilization - Business jet activity has rebounded significantly, primarily driven by leisure travel [94] Question: Impact of wide-body versus narrow-body aircraft on aftermarket revenues - Wide-body aircraft have shown better performance than expected, contributing positively to aftermarket revenues [103]

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q ☒ Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 for the quarterly period ended July 3, 2021 ☐ Transition Report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the transition period from to Commission File Number 001-32833 TransDigm Group Incorporated 41-2101738 (I.R.S. Employer Identification No.) 1301 East 9th Street, Suite 3000, Cleveland ...