Quarterly revenue and profit move differently

TransDigm reported fiscal fourth-quarter net sales of US$2.988 billion on November 10, up 23% from US$2.437 billion a year earlier. The quarter ended September 30, 2026. Organic sales growth was 14%, distinct from the headline total-sales increase.

Net income fell 4% to US$586 million from US$609 million. The company attributed the decline primarily to higher interest and tax expense, partly offset by stronger sales and operating performance. The revenue increase therefore should not be read as an equivalent rise in net profit.

Keep the adjusted measure separate

TransDigm’s company-defined EBITDA As Defined rose to US$1.583 billion from US$1.320 billion. Its margin nevertheless declined to 53.0% from 54.2%; the company says recent acquisitions diluted the quarter’s margin by approximately two percentage points.

This is an adjusted, non-GAAP measure, separate from the US$586 million net-income result. The release provides reconciliations showing how interest, taxes and other adjustments bridge those measures.

The full year and the next-year forecast

For fiscal 2026, TransDigm reported US$10.557 billion in sales, up 20%, and US$2.108 billion in net income, up 2%. These full-year figures cover a different period from the fourth-quarter totals.

Management’s initial fiscal 2027 outlook calls for sales of US$11.950 billion to US$12.150 billion and net income of US$2.442 billion to US$2.490 billion. Those are forecast ranges, not completed sales or profits.

The next scheduled company discussion

The issuer schedules its results call for November 10 at 10:00am Eastern, equivalent to 15:00 UTC. The call requires registration for telephone access. The announcement read for this report does not establish what management will say during that later call.

Readers following NYSE-listed TDG can compare the release’s unaudited financial tables and non-GAAP reconciliations before treating different growth percentages as interchangeable. No market-price reaction or investment-return prediction is established here.