TransDigm raises fiscal 2023 outlook on strong aerospace demand
Aug 8 (Reuters) - Aerospace supplier TransDigm Group raised its forecast for fiscal 2023 on Tuesday, as robust travel demand has led to increased orders for components and aftermarket parts from planemakers and carriers.
Aerospace firms are enjoying a strong demand for aircraft parts as planemakers raise production to meet increased orders from airlines trying to expand capacity.
Delayed deliveries of new planes has also forced carriers to extend the usage of old aircraft, leading to increased orders for more profitable aftermarket parts.
"We are optimistic that the favorable trends in the commercial aerospace market will continue," said TransDigm CEO Kevin Stein.
TransDigm now expects its fiscal 2023 adjusted profits in the range of $24.94 to $25.36 per share, compared with its previous forecast of $23.31 to $24.19 per share.
It also raised its sales forecast for the year to a range of $6.53 billion to $6.59 billion, from the earlier estimate of $6.41 billion to $6.50 billion.
The Cleveland, Ohio-based firm, which counts planemakers Boeing and Airbus as its customers, reported adjusted profit of $7.25 per share for its third quarter ended July 1, beating analysts' average estimate of $6.39 per share.
Net sales for the quarter jumped about 25% to $1.74 billion, compared with a Wall Street consensus of $1.69 billion.
(Reporting by Shivansh Tiwary in Bengaluru; Editing by Krishna Chandra Eluri)
