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TransDigm (TDG) Q3 Earnings: Taking a Look at Key Metrics Versus Estimates

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For the quarter ended June 2024, TransDigm Group (TDG - Free Report) reported revenue of $2.05 billion, up 17.3% over the same period last year. EPS came in at $9.00, compared to $7.25 in the year-ago quarter.

The reported revenue represents a surprise of +2.59% over the Zacks Consensus Estimate of $1.99 billion. With the consensus EPS estimate being $8.45, the EPS surprise was +6.51%.

While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.

As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.

Here is how TransDigm performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

  • Net sales to external customers- Non-aviation

    : $49 million versus the four-analyst average estimate of $50.52 million. The reported number represents a year-over-year change of +2.1%.
  • Net sales to external customers- Airframe

    : $974 million versus $934.67 million estimated by three analysts on average. Compared to the year-ago quarter, this number represents a +16.7% change.
  • Net sales to external customers- Power & Control

    : $1.02 billion versus $991.78 million estimated by three analysts on average. Compared to the year-ago quarter, this number represents a +18.8% change.
  • Net sales to external customers- Airframe- Commercial and non-aerospace OEM

    : $323 million versus the two-analyst average estimate of $300.65 million. The reported number represents a year-over-year change of +27.2%.
  • Net sales to external customers- Airframe- Defense

    : $303 million compared to the $291.45 million average estimate based on two analysts. The reported number represents a change of +10.6% year over year.
  • Net sales to external customers- Power & Control- Defense

    : $477 million versus $457.21 million estimated by two analysts on average. Compared to the year-ago quarter, this number represents a +16.3% change.
  • Net sales to external customers- Power & Control- Commercial and non-aerospace aftermarket

    : $317 million compared to the $327.11 million average estimate based on two analysts. The reported number represents a change of +16.5% year over year.
  • Net sales to external customers- Power & Control- Commercial and non-aerospace OEM

    : $229 million versus the two-analyst average estimate of $212.36 million. The reported number represents a year-over-year change of +27.9%.
  • Net sales to external customers- Airframe- Commercial and non-aerospace aftermarket

    : $348 million compared to the $337.41 million average estimate based on two analysts. The reported number represents a change of +13.4% year over year.
  • EBITDA- Power & Control

    : $587 million versus $552.25 million estimated by three analysts on average.
  • EBITDA- Unallocated corporate expenses

    : -$21 million versus -$21.13 million estimated by three analysts on average.
  • EBITDA- Non-aviation

    : $22 million compared to the $20.31 million average estimate based on three analysts.
View all Key Company Metrics for TransDigm here>>>

Shares of TransDigm have returned -2.6% over the past month versus the Zacks S&P 500 composite's -5.9% change. The stock currently has a Zacks Rank #2 (Buy), indicating that it could outperform the broader market in the near term.

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