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TransDigm Group Reports Impressive Fourth Quarter and Year-End Results for Fiscal 2025

CLEVELAND, Nov. 12, 2025 /PRNewswire/ -- TransDigm Group Incorporated (NYSE: TDG), a premier designer, manufacturer, and supplier of intricately engineered aircraft components, has unveiled its financial performance for the fourth quarter ending September 30, 2025. The results demonstrate a remarkable growth trajectory that reinforces the company's robust position in the aerospace and defense sectors.

Q4 Highlights

During the fourth quarter, TransDigm recorded net sales of $2,437 million, marking a significant 12% increase from the $2,185 million generated in the same quarter last year. The net income reached $609 million, which is 30% higher than the previous year's quarter, showcasing the effectiveness of the company’s strategies to leverage its operational capabilities.

Earnings per share for this quarter also saw an upward shift, climbing to $7.75, up 34% from the prior year’s figure. Moreover, the EBITDA As Defined stood at $1,320 million, reflecting a 15% increase alongside a margin improvement to 54.2%, up from 52.6% year-over-year.

Annual Performance Overview

For the fiscal year 2025, TransDigm’s performance remained equally strong with net sales of $8,831 million, an 11% increase from $7,940 million in the previous fiscal year. Net income rose to $2,074 million, representing a 21% growth compared to the prior period, and earnings per share increased by 25% to $32.08.

The EBITDA for the entire fiscal year reached $4,760 million, up from $4,173 million in fiscal 2024, not only reflecting growth in absolute terms but also a notable increase in the EBITDA margin to 53.9%. Adjusted earnings per share for the fiscal year stood at $37.33, a 10% rise from the previous year’s $33.99.

Factors Behind the Growth

A significant driver behind these impressive results is TransDigm’s value-driven operating strategy, which has been instrumental in enhancing its operational efficiency. The company attributes its success to strong sales performance across its market segments, particularly the commercial aftermarket and defense sectors, both showcasing double-digit growth.

Dividends and Share Repurchase Activity

In addition to revenue growth, TransDigm’s Board declared a special cash dividend of $90.00 per share as part of their capital return strategy. This decision reflects the firm’s commitment to returning value to its shareholders, with approximately $5.2 billion paid out through dividends and share repurchases in 2025.

Changes in Financial Strategy

The company also executed substantial financing activities, which included the issuance of $5 billion in new debt. This financing supported the dividend and provided ample liquidity for ongoing operational needs. Furthermore, TransDigm’s strategic acquisitions, like that of Simmonds Precision Products, will enhance its capabilities in the aerospace and defense markets.

Growth Expectations for 2026

Looking ahead, TransDigm projects a promising fiscal 2026, anticipating net sales to range from $9,750 million to $9,950 million and adjusted earnings per share projected between $36.49 to $38.53. The company expects growth across all market segments, with the commercial OEM market anticipated to experience the highest growth rates.

Mike Lisman, TransDigm Group’s President and CEO, expressed optimism about the company’s performance and mentioned, “We look forward to continuing our growth trajectory and creating value for our shareholders in fiscal 2026.” The guidance underscores TransDigm’s commitment to operational excellence and strategic capital allocation as they navigate the evolving market landscape.

Conclusion

Overall, TransDigm Group has not only demonstrated strong financial performance in the fourth quarter and throughout fiscal 2025 but is also well-positioned for sustained growth in the coming years. With its robust strategy, focus on operational efficiency, and continued innovation, TransDigm stands as a leader in the aerospace sector, poised to capitalize on future opportunities in its core markets.