Triumph (US:TGI)2025-05-28 20:30Financial Performance - Net sales for Q4 Fiscal 2025 were $377.9 million, representing a 5% increase year-over-year[5] - Operating income for Q4 was $59.6 million, with an operating margin of 16%; adjusted operating income was $68.9 million, with an adjusted operating margin of 18%[5] - Adjusted EBITDAP for Q4 was $78.4 million, achieving an adjusted EBITDAP margin of 21%[5] - Total net sales for Fiscal 2025 reached $1.26 billion, reflecting a 6% growth compared to the previous year[5] - Net income for the fiscal year ended March 31, 2025, was $40,874, a significant decrease of 92% compared to $512,384 in 2024[23] - The net sales for the year ended March 31, 2025, reached $1,261,962, compared to $1,192,043 for the previous year, representing a growth of 5.8%[33] - The operating income for the three months ended March 31, 2025, was $59,586, an increase from $44,810 in the prior year[41] - The company reported a diluted EPS of $0.36 for the three months ended March 31, 2025, compared to $0.07 for the same period in 2024[37] Cash Flow and Liquidity - Cash flow from operations for Q4 was $147.7 million, with free cash flow of $144.0 million[5] - The company reported a net cash provided by operating activities of $37,885, compared to $9,443 in the previous year[23] - Operating cash flow for the three months ended March 31, 2025, was $147.7 million, a significant increase from $77.7 million in the same period of 2024, representing an increase of 89.8%[44] - Free cash flow for the fiscal year ended March 31, 2025, was $18.8 million, compared to a negative free cash flow of $(12.4) million in 2024, indicating a turnaround in cash generation[44] Sales Breakdown - Military OEM sales increased by $11.9 million, or 4.6%, driven by sales on various military platforms[8] - Commercial aftermarket sales rose by $41.3 million, or 25.2%, primarily due to increased spares sales on Boeing platforms[9] Assets and Liabilities - Total assets decreased to $1,626,928 as of March 31, 2025, down 3.5% from $1,686,270 in 2024[21] - Cash and cash equivalents at the end of the period were $277,164, a decline of 29.3% from $392,511 in the previous year[23] - Current liabilities rose to $395,078, an increase of 10.9% compared to $356,262 in 2024[21] - Long-term debt, less current portion, decreased to $963,715 from $1,074,999, a reduction of 10.3%[21] Inventory and Capital Expenditures - Inventory increased to $357,323, reflecting a rise of 12.5% from $317,671 in 2024[21] - Capital expenditures for the fiscal year were $19,056, down from $21,827 in 2024[23] - Capital expenditures for the three months ended March 31, 2025, were $3.7 million, down from $5.5 million in the same period of 2024, reflecting a reduction of 32.7%[44] Merger and Corporate Actions - Triumph Group entered a merger agreement with affiliates of Warburg Pincus and Berkshire Partners, with a total enterprise value of approximately $3 billion[13] - The company has suspended quarterly earnings conference calls and will not provide financial guidance for Fiscal 2026 due to the pending merger[14] - Merger transaction costs amounted to $9,325 for the three months ended March 31, 2025, and $11,909 for the year ended March 31, 2025[33] Legal and Contingencies - Legal contingencies loss for the year ended March 31, 2025, was $13,664, which impacted the adjusted income from continuing operations[37] Adjusted Income and EBITDAP - Adjusted EBITDA for the three months ended March 31, 2025, was $77,175, up from $58,186 in the prior year, indicating a year-over-year growth of 32.7%[33] - Adjusted EBITDAP margin improved to 20.8% for the three months ended March 31, 2025, compared to 16.3% for the same period in 2024[33] - Segment EBITDAP for Systems & Support increased to $84,358, representing a margin of 25.0%, up from 23.1% in 2024[25] Other Financial Metrics - Share-based compensation for the three months ended March 31, 2025, was $3,159, compared to $657 in the same period of the previous year[33] - The company experienced a loss on modification and extinguishment of debt amounting to $5,369, compared to a loss of $1,694 in 2024[23] - For the three months ended March 31, 2025, the income from continuing operations was $28,155, compared to $5,461 for the same period in 2024, reflecting a significant increase[33] - The adjusted income from continuing operations for the three months ended March 31, 2025, was $37,480, compared to $23,265 for the same period in 2024, reflecting a substantial increase[39]