# TransDigm Group (TDG) Forecast Calculator

Interactive five-year financial forecast and DCF for TransDigm Group. Adjust revenue growth, margins, capex, and WACC to update revenue, free cash flow, and enterprise value.

- Canonical: https://finamodel.com/companies/transdigm-group/forecast
- Industry: Industrials
- Forecast start year: 2026

## Historical data

| Year | Revenue | Free cash flow | EBITDA | Net income |
|---:|---:|---:|---:|---:|
| 2021 | 5103000000 | 913000000 | 2152000000 | 890000000 |
| 2022 | 5103000000 | 1108000000 | 2034000000 | 699000000 |
| 2023 | 4798000000 | 808000000 | 1944000000 | 680000000 |
| 2024 | 5429000000 | 829000000 | 2468000000 | 866000000 |
| 2025 | 6585000000 | 1236000000 | 3191000000 | 1298000000 |

## Frequently asked questions

### What does TransDigm Group (TDG) do?

TransDigm Group designs, produces, and supplies highly engineered, proprietary aircraft components for both commercial and military aircraft. Its business model focuses on asset-light manufacturing with a significant aftermarket moat, where over 90% of sales are proprietary products.

### What drives TransDigm Group's revenue growth and profitability?

TransDigm's revenue is primarily driven by its proprietary products and strong aftermarket sales, which generate the vast majority of its profitability. The company holds monopolistic or oligopolistic positions in niche component markets, allowing it immense pricing power.

### What is TransDigm Group's capital expenditure strategy?

TransDigm Group maintains an extremely low capital intensity, with capex typically 2-3% of revenue, primarily for maintenance and minor tooling. Its manufacturing operations are decentralized across over 50 operating units, and it does not have major capex programs.

### Why does TransDigm Group have such a high proportion of goodwill and intangible assets on its balance sheet?

Goodwill and Intangible Assets make up over 75% of TransDigm's total assets, reflecting its serial acquisition strategy. The company frequently executes both bolt-on and transformational deals, paying typical acquisition multiples of 12x-15x post-synergy EBITDA.

### Can I download a financial model for TransDigm Group (TDG)?

Yes, a downloadable Excel financial model is available for TransDigm Group (TDG). This model evaluates the company's equity valuation and credit profile, with a forecast horizon from FY2026 to FY2030.

### What is TransDigm Group's competitive advantage in the aerospace industry?

TransDigm Group's competitive advantage stems from its proprietary manufacturing operation and massive aftermarket moat, where over 90% of sales are proprietary products. It holds monopolistic or oligopolistic positions in niche component markets, granting it significant pricing power and high barriers to entry.