TransDigm Q4 FY2026: sales up 23.0%, EPS $10.33, FY27 guide $12.05 billion
TransDigm finished fiscal 2026 with a $2.99 billion quarter and issued a fiscal 2027 revenue guide of $12.05 billion at the midpoint, 14.0% above the year just closed. Operating momentum is real, but profit is being squeezed by interest on $32.76 billion of long-term debt and by dilution from acquisitions. Read the sales line for growth, the margin line for cost, and the balance sheet for the risk.
1 · Expected vs. Actual
Free preview belowGAAP EPS of $10.33 rose 33.0% from $7.75, but the prior-year figure was dragged down by dividend equivalent payments of $2.75 per share, plus there were fewer shares (56.7 million versus 58.1 million). Adjusted EPS of $12.44 rose 15.0%. Net income itself fell 4.0% to $0.59 billion on higher interest and tax, so the headline per-share gain is mostly mechanical, not operating leverage.
Revenue of $2.99 billion rose 23.0% from $2.44 billion a year earlier, and management attributes 14.0% of that to organic growth rather than acquisitions. Gross margin of 59.0% means about $0.59 of every sales dollar survived cost of revenue. The acquisition slice of growth is genuine but not repeatable for free — it came with roughly $4.40 billion of deals in fiscal 2026.
Management guides fiscal 2027 net sales to $11.95 billion to $12.15 billion, a $12.05 billion midpoint and 14.0% growth, with adjusted EPS of $47.09 to $47.94. The EBITDA As Defined margin guide of roughly 52.0% sits below the 52.7% just delivered, so the company is not promising margin recovery. The track record supports the sales number: the fiscal 2026 guide was lifted from $9.85 billion to $10.51 billion and actual sales landed at $10.56 billion.
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Figures on this page come from the company's original SEC filings. The analysis is generated automatically and checked against validation rules, but may still contain errors or omissions. Not investment advice. · Generated 2026-11-10
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