TransDigm Group Reports Fiscal 2025 Second Quarter Results

Core Insights - TransDigm Group reported strong financial results for the second quarter of fiscal 2025, with net sales increasing by 12.0% to $2,150 million compared to $1,919 million in the same quarter last year [2][17] - The company achieved a net income of $479 million, reflecting an 18.6% increase from $404 million in the prior year [3][11] - Adjusted net income for the quarter rose by 14.5% to $529 million, or $9.11 per share, compared to $462 million, or $7.99 per share, in the same quarter last year [4][13] - EBITDA for the quarter increased by 18.5% to $1,089 million, with an EBITDA As Defined margin of 54.0%, up from 53.2% in the prior year [5][6] Quarterly Performance - Net sales for the quarter reached $2,150 million, a 12.0% increase from the previous year [2] - Organic sales growth was reported at 6.9% as a percentage of net sales [2] - Net income for the quarter was $479 million, an increase of $75 million or 18.6% from the previous year [3] - Adjusted net income for the quarter was $529 million, representing a 14.5% increase [4] Year-to-Date Results - For the twenty-six week period ended March 29, 2025, net sales increased by 12.1% to $4,156 million from $3,708 million in the comparable period [10] - Year-to-date net income rose by 23.7% to $972 million from $786 million [11] - Adjusted net income for the year-to-date period increased by 12.7% to $986 million [13] - EBITDA for the year-to-date period increased by 22.5% to $2,176 million [14] Share Repurchase Activity - During the second quarter, TransDigm repurchased approximately $53 million of its common stock [7] - Subsequent to the quarter-end, an additional $131 million of common stock was repurchased [9] - The company repurchased a total of 295,469 shares for approximately $369 million during the twenty-six week period [8] Fiscal 2025 Outlook - The company reaffirmed its fiscal 2025 financial guidance, expecting net sales in the range of $8,750 million to $8,950 million [25] - Anticipated net income for fiscal 2025 is projected to be between $1,925 million and $2,037 million [25] - Earnings per share are expected to be in the range of $32.27 to $34.19 [25] - The guidance incorporates the impact of recently enacted tariffs, with no significant headwinds anticipated [19]