Loar Holdings Q3 2026 sales rise 39% to $176M
Loar raised its 2026 sales, net income and Adjusted EBITDA outlook and provided full-year 2027 ranges.
Sentiment and the balance of points
Rhea-AI Sentiment reads the wording of the document, how positive or negative its language is on a 1 to 5 scale. The balance of points shown with the takes weighs what the document actually discloses, so the two can disagree, for example when a trial that missed its main goal is described in upbeat language.
Rhea-AI Filing Summary
Loar Holdings Inc. reported third-quarter 2026 net sales of $176.2 million, up 39.0% year over year, and Adjusted EBITDA of $71.9 million, up 46.5%; Adjusted EBITDA Margin was 40.8%, versus 38.7%. Net income was $19.6 million, compared with $27.6 million, and diluted earnings per share were $0.20, compared with $0.29. The company attributed lower net income to higher interest and income tax expense and non-cash amortization of acquired intangible assets.
For the first nine months, net sales were $503.8 million, up 38.2%, and Adjusted EBITDA was $204.6 million, up 46.8%; net income was $47.5 million versus $59.6 million. Loar raised its 2026 outlook for the third time, setting net sales at $669 million to $679 million and Adjusted EBITDA at $270 million to $275 million. Its 2027 outlook calls for net sales of $745 million to $755 million and Adjusted EBITDA of $312 million to $317 million.
How this balance works
Rhea-AI gives every point it takes from this document a weight. Minor counts 1, Moderate 3 and Major 9, so one Major point outweighs several Minor ones. The bar adds up the weights on each side, and when neither side holds more than 65% of the total the balance reads Mixed.
It reads the document as published, with the same rules for every company, and it does not look at what the market expected or at how the stock traded, so a point can be objectively good on a day the stock falls.
Rhea-AI Sentiment measures something else, the tone of the wording.
Hollow bars mark forward-looking points. How the balance works
Positive
- Major point. Forward-looking: it has not happened yet and may not happen.2026 net sales outlook increased to $669 million–$679 million.
- Moderate pointQuarterly net sales increased 39.0% to $176.2 million.
- Moderate pointAdjusted EBITDA increased 46.5% to $71.9 million.
Negative
- Moderate pointQuarterly net income was $19.6 million, versus $27.6 million.
Filing Explained
Nine-month acquisition payments of $249,841 thousand and debt proceeds of $240,000 thousand; September 30 cash was $159,321 thousand and long-term debt $941,850 thousand.
This Form 8-K furnishes Loar's third-quarter results; for the nine months ended
For the same nine-month period, operating activities provided
The release defines Adjusted EBITDA as EBITDA plus specified adjustments; Loar says it is not a U.S. GAAP measure and should not be considered cash available to invest in business growth.
8-K Event Classification
Key Figures
Key Terms
Adjusted EBITDA Margin financial
organic financial
inventory step-up financial
non-GAAP financial measures financial
Earnings Snapshot
Revised 2026 outlook: net sales $669 million to $679 million; net income $60 million to $64 million; Adjusted EBITDA $270 million to $275 million; diluted earnings per share $0.62 to $0.66; Adjusted Earnings Per Share $1.36 to $1.40. 2027 outlook: net sales $745 million to $755 million; net income $91 million to $95 million; Adjusted EBITDA $312 million to $317 million; diluted earnings per share $0.93 to $0.97; Adjusted Earnings Per Share $1.64 to $1.68.
FAQ
AI-generated questions and answers. How Rhea-AI works. Not financial advice.
What was LOAR's organic sales growth in Q3 2026?
What is LOAR's 2027 earnings outlook?
AI-generated analysis. How Rhea-AI works. Not financial advice.
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): |
(Exact name of Registrant as Specified in Its Charter)
(State or Other Jurisdiction |
(Commission File Number) |
(IRS Employer |
||
|
|
|
|
|
|
||||
|
||||
(Address of Principal Executive Offices) |
|
(Zip Code) |
||
Registrant’s Telephone Number, Including Area Code: |
(Former Name or Former Address, if Changed Since Last Report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
Securities registered pursuant to Section 12(b) of the Act:
|
|
Trading |
|
|
|
|
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§ 230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§ 240.12b-2 of this chapter).
Emerging growth company
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Item 2.02 Results of Operations and Financial Condition.
On November 5, 2026, Loar Holdings Inc. announced its financial results for the quarter ended September 30, 2026. A copy of the press release is furnished as Exhibit 99.1 to this Current Report on Form 8-K and is incorporated by reference.
The information in Item 2.02 and in the accompanying Exhibit 99.1 is being furnished and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that section, nor shall they be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, regardless of any general incorporation language in such filing, except as expressly set forth by specific reference in such a filing.
Item 9.01 Financial Statements and Exhibits.
(d) Exhibits.
Exhibit Number |
|
|
Description |
99.1 |
|
|
Press release issued by Loar Holdings Inc. on November 5, 2026 |
104 |
|
|
Cover Page Interactive Data File (embedded within the Inline XBRL document) |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
|
|
|
|
|
|
|
|
Date: |
November 5, 2026 |
By: |
/s/ Glenn D’Alessandro |
|
|
|
Glenn D’Alessandro |
Exhibit 99.1
Loar Holdings Inc. Reports Q3 2026 Record Results and Upward Revision to 2026 Outlook and Full Year 2027 Outlook
November 5, 2026
WHITE PLAINS, NY., November 5, 2026 /ACCESSWIRE/ -- Loar Holdings Inc. (NYSE: LOAR) (the “Company,” “Loar,” “we,” “us” and “our”), reported record results for the third quarter of 2026, upward revision to 2026 outlook and full year 2027 outlook.
“Our record results in the third quarter of 2026 reflects our continued successful execution along all our value drivers” said Dirkson Charles, Loar Holdings Chief Executive Officer and Executive Co-Chairman of the Board of Directors. “Most noteworthy our operating cash flow for the quarter after being reduced by our capital expenditures were a record for the quarter improving 46% over the comparative previous year period.”
Third Quarter 2026
Loar reported net sales for the quarter of $176.2 million, an increase of $49.4 million or 39.0% over the prior year’s quarter. Organically,(1) net sales increased 15.8% or $20.1 million, to $146.8 million.
Net income for the quarter was $19.6 million, compared to $27.6 million for the prior year’s quarter. Net income for the quarter was impacted by higher interest expense, higher income tax expense, and higher non-cash amortization of acquired intangible assets.
Adjusted EBITDA for the quarter was $71.9 million, an increase of 46.5% or $22.8 million compared to the prior year’s quarter. Adjusted EBITDA Margin was 40.8%, compared to 38.7% in the third quarter of the prior year. The increase in Adjusted EBITDA Margin was due to the execution of our strategic value drivers and the accretive impact of increased sales.
Year-to-Date
Loar reported net sales for the nine months ended September 30, 2026 of $503.8 million, an increase of $139.3 million or 38.2% over the comparable period of the prior year. Organically,(1) net sales increased 13.2% or $48.4 million, to $412.8 million.
Net income for the nine months ended September 30, 2026 was $47.5 million, a decrease of $12.1 million compared to the same period of the prior year. The decrease in net income was primarily driven by higher interest expense, higher non-cash amortization of acquired intangible assets, higher income tax expense, and non-cash expense of inventory step-up attributable to the acquisitions of LMB and Harper Engineering.
Adjusted EBITDA for the nine months ended September 30, 2026 was $204.6 million, an increase of 46.8% or $65.3 million over the comparable period of the prior year. Adjusted EBITDA Margin was 40.6%, compared to 38.2% for the comparable prior year period. The increase in Adjusted EBITDA Margin was due to the execution of our strategic value drivers and the accretive impact of increased sales.
Please see the attached Table 4 for a reconciliation of net income to EBITDA, Adjusted EBITDA and
Adjusted EBITDA Margin for the periods discussed in this press release.
(1) |
Net organic sales represent net sales from our existing businesses for comparable periods and exclude net sales from new acquisitions. We include net sales from new acquisitions in net organic sales from the 13th month after the acquisition on a comparative basis with the prior period. |
Full Year 2026 Outlook – Revised
“We’re raising our full year 2026 outlook for the third time this year,” said Glenn D’Alessandro, Loar Holdings Treasurer and Chief Financial Officer. “The increase reflects our confidence in being able to convert our record orders and current backlog into increased sales, profits and cash flow through the balance of 2026.” Our outlook for the full year 2026 includes:
Full Year 2027 Outlook
“Demand is building across every one of our end markets as we head into 2027,” said Dirkson Charles, Loar Holdings Chief Executive Officer and Executive Co-Chairman of the Board of Directors. “Commercial OEM is benefiting from higher production rates, the Commercial Aftermarket remains strong as airlines keep an aging fleet flying longer, and our Defense business continues to grow with global demand driven by geo-political and kinetic conflicts. These tailwinds combined with the strength of our proprietary portfolio, we believe positions Loar to have another year of strong performance.” Our outlook for 2027 is as follows:
Adjusted EBITDA, Adjusted Earnings Per Share and Adjusted EBITDA Margin are non-GAAP financial measures provided in the “Full Year 2026 Outlook – Revised” and the “Full Year 2027 Outlook” sections on a forward-looking basis. The Company does not provide a reconciliation of such forward-looking measures to the most directly comparable financial measures calculated and presented in accordance with GAAP because to do so would be potentially misleading and not practical given the difficulty of projecting event-driven transactional and other non-core operating items in any future period. The magnitude of these items, however, may be significant.
Earnings Conference Call
A conference call will be held at 11:00 a.m., Eastern Time on November 5, 2026. To participate in the call telephonically please dial +1 877-407-0670 / +1 215-268-9902. International participants can find a list of toll-free numbers here. A live audio webcast will also be available at the following link as well as through the Investor section of Loar Holdings website; https://ir.loargroup.com.
The webcast will be archived and available for replay later in the day.
About Loar Holdings Inc.
Loar Holdings Inc. is a diversified manufacturer and supplier of niche aerospace and defense components that are essential for today’s aircraft and aerospace and defense systems. Loar has established relationships across leading aerospace and defense original equipment manufacturers and Tier Ones worldwide.
Non-GAAP Supplemental Information
We present in this press release certain financial information based on our EBITDA, Adjusted EBITDA, Adjusted EBITDA Margin, Adjusted Net Income and Adjusted Earnings Per Share. References to “EBITDA” mean earnings before interest, taxes, depreciation and amortization, references to “Adjusted EBITDA” mean EBITDA plus, as applicable for each relevant period, certain adjustments as set forth in the reconciliations of net income to EBITDA and Adjusted EBITDA, and references to “Adjusted EBITDA Margin” refer to Adjusted EBITDA divided by net sales. References to “Adjusted Net Income” mean net income plus certain adjustments as set forth in the reconciliations below to derive Adjusted EBITDA from EBITDA and the amortization of acquired intangible assets, less the tax effect of these adjustments. References to "Adjusted Earnings Per Share" mean Adjusted Net Income divided by weighted average common shares outstanding—diluted. EBITDA, Adjusted EBITDA, Adjusted EBITDA Margin, Adjusted Net Income and Adjusted Earnings Per Share are not measurements of financial performance under U.S. GAAP. We present EBITDA, Adjusted EBITDA, Adjusted EBITDA Margin, Adjusted Net Income and Adjusted Earnings Per Share because we believe they are useful indicators for evaluating operating performance. In addition, our management uses Adjusted EBITDA to review and assess the performance of the management team in connection with employee incentive programs and to prepare its annual budget and financial projections. Moreover, our management uses Adjusted EBITDA of target companies to evaluate acquisitions.
Although we use EBITDA, Adjusted EBITDA, Adjusted EBITDA Margin, Adjusted Net Income and Adjusted Earnings Per Share as measures to assess the performance of our business and for the other purposes set forth above, the use of non-GAAP financial measures as analytical tools has limitations, and you should not consider any of them in isolation, or as a substitute for analysis of our results of operations as reported in accordance with U.S. GAAP. Some of these limitations are:
Because of these limitations, EBITDA, Adjusted EBITDA, Adjusted EBITDA Margin, Adjusted Net Income and Adjusted Earnings Per Share should not be considered as measures of cash available to us to invest in the growth of our business. Management compensates for these limitations by not viewing EBITDA, Adjusted EBITDA, Adjusted EBITDA Margin, Adjusted Net Income and Adjusted Earnings Per Share in isolation and specifically by using other U.S. GAAP measures, such as net sales, operating profit, and net income to measure our operating performance. EBITDA, Adjusted EBITDA, Adjusted EBITDA Margin, Adjusted Net Income and Adjusted Earnings Per Share are not measurements of financial performance under U.S. GAAP, and they should not be considered as alternatives to net income or cash flow from operations determined in accordance with U.S. GAAP. Our calculations of EBITDA, Adjusted EBITDA,
Adjusted EBITDA Margin, Adjusted Net Income and Adjusted Earnings Per Share may not be comparable to the calculations of similarly titled measures reported by other companies.
Foward Looking Statements
This press release includes express or implied forward-looking statements. Forward-looking statements include all statements that are not historical facts, including those that reflect our current views with respect to, among other things, our operations and financial performance. The words “anticipate,” “assume,” “believe,” “continue,” “could,” “estimate,” “expect,” “intend,” “may,” “plan,” “potential,” “predict,” “project,” “future,” “will,” “seek,” “foreseeable,” the negative version of these words or similar terms and phrases may identify forward-looking statements in this press release, but the absence of these words does not mean that a statement is not forward-looking.
The forward-looking statements contained in this press release, including, but not limited to, the statements under the headings “Full Year 2026 Outlook – Revised” and the “Full Year 2027 Outlook” are based on management’s current expectations and are not guarantees of future performance. Our expectations and beliefs are expressed in management’s good faith, and we believe there is a reasonable basis for them, however, the forward-looking statements are subject to various known and unknown risks, uncertainties, assumptions, or changes in circumstances that are difficult to predict or quantify. Actual results may differ materially from these expectations due to changes in global, regional, or local economic, business, competitive, market, regulatory, and other factors, many of which are beyond our control. We believe that these factors include but are not limited to the following: the almost exclusive focus of our business on the aerospace and defense industry; our heavy reliance on certain customers for a significant portion of our sales; the fact that we have in the past consummated acquisitions and our intention to continue to pursue acquisitions, and that our business may be adversely affected if we cannot consummate acquisitions on satisfactory terms, or if we cannot effectively integrate acquired operations; and the other risks and uncertainties described in Part I, Item 1A of the Annual Report on Form 10-K for the year ended December 31, 2025 filed with the Securities and Exchange Commission (“SEC”), and other periodic reports filed by the Company from time to time with the SEC.
These factors should not be construed as exhaustive and should be read in conjunction with the other cautionary statements that are included in this press release. Should one or more of these risks or uncertainties materialize, or should any of our assumptions prove incorrect, our actual results may vary in material respects from those projected in the forward-looking statements. Any forward-looking statement made by us in this press release speaks only as of the date of this press release and is expressly qualified in its entirety by the cautionary statements included in this press release. Factors or events that could cause our actual results to differ may emerge from time to time, and it is not possible for us to predict all of them. We may not actually achieve the plans, intentions or expectations disclosed in our forward-looking statements and you should not place undue reliance on our forward-looking statements. Our forward-looking statements do not reflect the potential impact of any future acquisitions, mergers, dispositions, joint ventures, investments, or other strategic transactions we may make. We undertake no obligation to publicly update or review any forward-looking statement, whether as a result of new information, future developments or otherwise, except as may be required by any applicable law.
Contact
Ian McKillop
Loar Holdings Inc. Investor Relations
IR@loargroup.com
Loar Holdings Inc.
Table 1: Condensed Consolidated Balance Sheets
(Unaudited, amounts in thousands except share amounts)
|
|
September 30, 2026 |
|
|
December 31, 2025 |
|
||
Assets |
|
|
|
|
|
|
||
Current assets: |
|
|
|
|
|
|
||
Cash and cash equivalents |
|
$ |
159,321 |
|
|
$ |
84,827 |
|
Accounts receivable, net |
|
|
107,287 |
|
|
|
88,026 |
|
Inventories |
|
|
128,633 |
|
|
|
109,036 |
|
Other current assets |
|
|
14,690 |
|
|
|
11,123 |
|
Income taxes receivable |
|
|
7,082 |
|
|
|
5,486 |
|
Total current assets |
|
|
417,013 |
|
|
|
298,498 |
|
Property, plant and equipment, net |
|
|
89,657 |
|
|
|
82,536 |
|
Finance lease assets |
|
|
1,686 |
|
|
|
1,894 |
|
Operating lease assets |
|
|
11,989 |
|
|
|
6,229 |
|
Other long-term assets |
|
|
31,335 |
|
|
|
25,935 |
|
Intangible assets, net |
|
|
722,204 |
|
|
|
606,406 |
|
Goodwill |
|
|
1,079,835 |
|
|
|
1,008,377 |
|
Total assets |
|
$ |
2,353,719 |
|
|
$ |
2,029,875 |
|
|
|
|
|
|
|
|
||
Liabilities and stockholders' equity |
|
|
|
|
|
|
||
Current liabilities: |
|
|
|
|
|
|
||
Accounts payable |
|
$ |
25,687 |
|
|
$ |
18,606 |
|
Current portion of long-term debt, net |
|
|
6,736 |
|
|
|
4,362 |
|
Current portion of finance lease liabilities |
|
|
317 |
|
|
|
279 |
|
Current portion of operating lease liabilities |
|
|
1,362 |
|
|
|
818 |
|
Income taxes payable |
|
|
2,226 |
|
|
|
3,022 |
|
Accrued expenses and other current liabilities |
|
|
41,178 |
|
|
|
36,419 |
|
Total current liabilities |
|
|
77,506 |
|
|
|
63,506 |
|
Deferred income taxes |
|
|
78,524 |
|
|
|
68,377 |
|
Long-term debt, net |
|
|
941,850 |
|
|
|
711,338 |
|
Finance lease liabilities |
|
|
2,650 |
|
|
|
2,891 |
|
Operating lease liabilities |
|
|
10,968 |
|
|
|
5,605 |
|
Other long-term liabilities |
|
|
20,650 |
|
|
|
3,405 |
|
Total liabilities |
|
|
1,132,148 |
|
|
|
855,122 |
|
|
|
|
|
|
|
|
||
Commitments and contingencies |
|
|
|
|
|
|
||
|
|
|
|
|
|
|
||
Stockholders' equity: |
|
|
|
|
|
|
||
Preferred stock, $0.01 par value, 1,000,000 shares authorized, and no shares issued or outstanding |
|
|
— |
|
|
|
— |
|
Common stock, $0.01 par value, 485,000,000 shares authorized; 93,690,471 and 93,622,471 issued and outstanding at September 30, 2026 and December 31, 2025, respectively |
|
|
937 |
|
|
|
936 |
|
Additional paid-in capital |
|
|
1,140,615 |
|
|
|
1,125,015 |
|
Retained earnings |
|
|
99,055 |
|
|
|
51,586 |
|
Accumulated other comprehensive loss |
|
|
(19,036 |
) |
|
|
(2,784 |
) |
Total stockholders' equity |
|
|
1,221,571 |
|
|
|
1,174,753 |
|
Total liabilities and stockholders' equity |
|
$ |
2,353,719 |
|
|
$ |
2,029,875 |
|
Loar Holdings Inc.
Table 2: Condensed Consolidated Statements of Income
(Unaudited, amounts in thousands except per common share amounts)
|
|
Three Months Ended September 30, |
|
|
Nine Months Ended September 30, |
|
||||||||||
|
|
2026 |
|
|
2025 |
|
|
2026 |
|
|
2025 |
|
||||
Net sales |
|
$ |
176,170 |
|
|
$ |
126,751 |
|
|
$ |
503,837 |
|
|
$ |
364,533 |
|
Cost of sales |
|
|
80,763 |
|
|
|
59,973 |
|
|
|
237,987 |
|
|
|
171,850 |
|
Gross profit |
|
|
95,407 |
|
|
|
66,778 |
|
|
|
265,850 |
|
|
|
192,683 |
|
Selling, general and administrative expenses |
|
|
47,858 |
|
|
|
35,758 |
|
|
|
138,865 |
|
|
|
105,758 |
|
Transaction expenses |
|
|
780 |
|
|
|
1,846 |
|
|
|
3,580 |
|
|
|
4,290 |
|
Other expense, net |
|
|
589 |
|
|
|
154 |
|
|
|
1,856 |
|
|
|
154 |
|
Operating income |
|
|
46,180 |
|
|
|
29,020 |
|
|
|
121,549 |
|
|
|
82,481 |
|
Interest expense, net |
|
|
20,012 |
|
|
|
6,012 |
|
|
|
58,736 |
|
|
|
18,952 |
|
Income before income taxes |
|
|
26,168 |
|
|
|
23,008 |
|
|
|
62,813 |
|
|
|
63,529 |
|
Income tax provision (benefit) |
|
|
6,584 |
|
|
|
(4,598 |
) |
|
|
15,344 |
|
|
|
3,894 |
|
Net income |
|
$ |
19,584 |
|
|
$ |
27,606 |
|
|
$ |
47,469 |
|
|
$ |
59,635 |
|
Earnings per share: |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Basic |
|
$ |
0.21 |
|
|
$ |
0.29 |
|
|
$ |
0.51 |
|
|
$ |
0.64 |
|
Diluted |
|
$ |
0.20 |
|
|
$ |
0.29 |
|
|
$ |
0.50 |
|
|
$ |
0.62 |
|
Weighted average common shares outstanding: |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Basic |
|
|
93,688 |
|
|
|
93,622 |
|
|
|
93,653 |
|
|
|
93,588 |
|
Diluted |
|
|
95,769 |
|
|
|
95,875 |
|
|
|
95,647 |
|
|
|
95,912 |
|
Loar Holdings Inc.
Table 3: Condensed Consolidated Statements of Cash Flows
(Unaudited, amounts in thousands)
|
|
Nine Months Ended September 30, |
|
|||||
|
|
2026 |
|
|
2025 |
|
||
Operating activities |
|
|
|
|
|
|
||
Net income |
|
$ |
47,469 |
|
|
$ |
59,635 |
|
Adjustments to reconcile net income to net cash provided by operating activities: |
|
|
|
|
|
|
||
Depreciation |
|
|
10,006 |
|
|
|
8,874 |
|
Amortization of intangible and other long-term assets |
|
|
48,849 |
|
|
|
29,060 |
|
Amortization of debt issuance costs |
|
|
2,930 |
|
|
|
670 |
|
Recognition of inventory step-up |
|
|
4,916 |
|
|
|
45 |
|
Stock-based compensation |
|
|
13,400 |
|
|
|
10,617 |
|
Deferred income taxes |
|
|
5,903 |
|
|
|
(2,753 |
) |
Non-cash lease expense |
|
|
930 |
|
|
|
451 |
|
Adjustment to contingent consideration liability |
|
|
2,050 |
|
|
|
— |
|
Changes in assets and liabilities, net of acquisitions: |
|
|
|
|
|
|
||
Accounts receivable |
|
|
(14,106 |
) |
|
|
(13,276 |
) |
Inventories |
|
|
(13,393 |
) |
|
|
(9,559 |
) |
Other assets |
|
|
(9,657 |
) |
|
|
(6,443 |
) |
Accounts payable |
|
|
7,646 |
|
|
|
4,430 |
|
Income taxes receivable |
|
|
(1,875 |
) |
|
|
(752 |
) |
Accrued expenses and other current liabilities |
|
|
1,842 |
|
|
|
1,278 |
|
Operating lease liabilities |
|
|
(775 |
) |
|
|
(420 |
) |
Net cash provided by operating activities |
|
|
106,135 |
|
|
|
81,857 |
|
|
|
|
|
|
|
|
||
Investing activities |
|
|
|
|
|
|
||
Capital expenditures |
|
|
(12,484 |
) |
|
|
(7,493 |
) |
Payment for acquisitions, net of cash acquired |
|
|
(249,841 |
) |
|
|
(32,813 |
) |
Net cash used in investing activities |
|
|
(262,325 |
) |
|
|
(40,306 |
) |
|
|
|
|
|
|
|
||
Financing activities |
|
|
|
|
|
|
||
Net proceeds from issuance of common stock |
|
|
2,201 |
|
|
|
1,859 |
|
Proceeds from issuance of long-term debt |
|
|
240,000 |
|
|
|
1,500 |
|
Payments of long-term debt |
|
|
(5,138 |
) |
|
|
— |
|
Financing costs |
|
|
(4,800 |
) |
|
|
— |
|
Payments of finance lease liabilities |
|
|
(202 |
) |
|
|
(173 |
) |
Net cash provided by financing activities |
|
|
232,061 |
|
|
|
3,186 |
|
|
|
|
|
|
|
|
||
Effect of translation adjustments on cash and cash equivalents |
|
|
(1,377 |
) |
|
|
152 |
|
Net increase in cash, cash equivalents and restricted cash |
|
|
74,494 |
|
|
|
44,889 |
|
|
|
|
|
|
|
|
||
Cash, cash equivalents and restricted cash, beginning of period |
|
|
84,827 |
|
|
|
54,066 |
|
Cash, cash equivalents and restricted cash, end of period |
|
$ |
159,321 |
|
|
$ |
98,955 |
|
|
|
|
|
|
|
|
||
Supplemental information |
|
|
|
|
|
|
||
Interest paid during the period, net of capitalized amounts |
|
$ |
57,871 |
|
|
$ |
19,399 |
|
Income taxes paid during the period, net |
|
$ |
10,629 |
|
|
$ |
7,676 |
|
Loar Holdings Inc.
Table 4: Reconciliation of Net income to EBITDA and Adjusted EBITDA
(Unaudited, amounts in thousands)
|
|
Three Months Ended September 30, |
|
|
Nine Months Ended September 30, |
|
||||||||||
|
|
2026 |
|
|
2025 |
|
|
2026 |
|
|
2025 |
|
||||
Net income |
|
$ |
19,584 |
|
|
$ |
27,606 |
|
|
$ |
47,469 |
|
|
$ |
59,635 |
|
Adjustments: |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Interest expense, net |
|
|
20,012 |
|
|
|
6,012 |
|
|
|
58,736 |
|
|
|
18,952 |
|
Income tax provision (benefit) |
|
|
6,584 |
|
|
|
(4,598 |
) |
|
|
15,344 |
|
|
|
3,894 |
|
Operating income |
|
|
46,180 |
|
|
|
29,020 |
|
|
|
121,549 |
|
|
|
82,481 |
|
Depreciation |
|
|
3,380 |
|
|
|
2,926 |
|
|
|
10,006 |
|
|
|
8,874 |
|
Amortization |
|
|
16,589 |
|
|
|
9,863 |
|
|
|
48,849 |
|
|
|
29,060 |
|
EBITDA |
|
|
66,149 |
|
|
|
41,809 |
|
|
|
180,404 |
|
|
|
120,415 |
|
Adjustments: |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Recognition of inventory step-up (1) |
|
|
— |
|
|
|
45 |
|
|
|
4,916 |
|
|
|
45 |
|
Other expense, net (2) |
|
|
589 |
|
|
|
154 |
|
|
|
1,856 |
|
|
|
154 |
|
Transaction expenses (3) |
|
|
780 |
|
|
|
1,846 |
|
|
|
3,580 |
|
|
|
4,290 |
|
Stock-based compensation (4) |
|
|
4,427 |
|
|
|
3,878 |
|
|
|
13,400 |
|
|
|
10,617 |
|
Acquisition and facility integration costs (5) |
|
|
— |
|
|
|
1,377 |
|
|
|
457 |
|
|
|
3,839 |
|
Adjusted EBITDA |
|
$ |
71,945 |
|
|
$ |
49,109 |
|
|
$ |
204,613 |
|
|
$ |
139,360 |
|
Net sales |
|
$ |
176,170 |
|
|
$ |
126,751 |
|
|
$ |
503,837 |
|
|
$ |
364,533 |
|
Net income margin |
|
|
11.2 |
% |
|
|
21.8 |
% |
|
|
9.5 |
% |
|
|
16.3 |
% |
Adjusted EBITDA Margin |
|
|
40.8 |
% |
|
|
38.7 |
% |
|
|
40.6 |
% |
|
|
38.2 |
% |
Loar Holdings Inc.
Table 5: Sales by End-Market
(Unaudited, amounts in thousands)
|
|
Three Months Ended September 30, |
|
|
Nine Months Ended September 30, |
|
||||||||||
|
|
2026 |
|
|
2025 |
|
|
2026 |
|
|
2025 |
|
||||
Commercial Net Sales |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Commercial aerospace OEM |
|
$ |
37,864 |
|
|
$ |
20,659 |
|
|
$ |
106,545 |
|
|
$ |
56,163 |
|
Commercial aerospace aftermarket |
|
|
48,412 |
|
|
|
38,169 |
|
|
|
138,183 |
|
|
|
105,408 |
|
Total commercial aerospace |
|
|
86,276 |
|
|
|
58,828 |
|
|
|
244,728 |
|
|
|
161,571 |
|
Business jet & general aviation OEM |
|
|
19,900 |
|
|
|
19,859 |
|
|
|
59,837 |
|
|
|
57,177 |
|
Business jet & general aviation aftermarket |
|
|
14,277 |
|
|
|
12,738 |
|
|
|
38,442 |
|
|
|
36,440 |
|
Total business jet & general aviation |
|
|
34,177 |
|
|
|
32,597 |
|
|
|
98,279 |
|
|
|
93,617 |
|
Total commercial OEM |
|
|
57,764 |
|
|
|
40,518 |
|
|
|
166,382 |
|
|
|
113,340 |
|
Total commercial aftermarket |
|
|
62,689 |
|
|
|
50,907 |
|
|
|
176,625 |
|
|
|
141,848 |
|
Total commercial |
|
|
120,453 |
|
|
|
91,425 |
|
|
|
343,007 |
|
|
|
255,188 |
|
Defense Net Sales |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Total defense OEM |
|
|
28,276 |
|
|
|
13,752 |
|
|
|
78,289 |
|
|
|
39,810 |
|
Total defense aftermarket |
|
|
17,252 |
|
|
|
15,032 |
|
|
|
52,921 |
|
|
|
49,227 |
|
Total defense |
|
|
45,528 |
|
|
|
28,784 |
|
|
|
131,210 |
|
|
|
89,037 |
|
Other Net Sales |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Total other OEM |
|
|
4,907 |
|
|
|
3,315 |
|
|
|
14,676 |
|
|
|
8,836 |
|
Total other aftermarket |
|
|
5,282 |
|
|
|
3,227 |
|
|
|
14,944 |
|
|
|
11,472 |
|
Total other |
|
|
10,189 |
|
|
|
6,542 |
|
|
|
29,620 |
|
|
|
20,308 |
|
Net Sales |
|
$ |
176,170 |
|
|
$ |
126,751 |
|
|
|
503,837 |
|
|
$ |
364,533 |
|
Loar Holdings Inc.
Table 6: Reconciliations of Earnings Per Share to Adjusted Earnings Per Share and Net Income to Adjusted Net Income
(Unaudited, amounts in thousands except per share amounts)
|
|
Three Months Ended September 30, |
|
|
Nine Months Ended September 30, |
|
|
||||||||||
|
|
2026 |
|
|
2025 |
|
|
2026 |
|
|
2025 |
|
|
||||
Reported earnings per share |
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Net income |
|
$ |
19,584 |
|
|
$ |
27,606 |
|
|
$ |
47,469 |
|
|
$ |
59,635 |
|
|
Denominator for basic and diluted earnings per share: |
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Weighted-average common shares outstanding—basic |
|
|
93,688 |
|
|
|
93,622 |
|
|
|
93,653 |
|
|
|
93,588 |
|
|
Effect of dilutive common shares |
|
|
2,081 |
|
|
|
2,253 |
|
|
|
1,994 |
|
|
|
2,324 |
|
|
Weighted average common shares outstanding—diluted |
|
|
95,769 |
|
|
|
95,875 |
|
|
|
95,647 |
|
|
|
95,912 |
|
|
Earnings per share—basic |
|
$ |
0.21 |
|
|
$ |
0.29 |
|
|
$ |
0.51 |
|
|
$ |
0.64 |
|
|
Earnings per share—diluted |
|
$ |
0.20 |
|
|
$ |
0.29 |
|
|
$ |
0.50 |
|
|
$ |
0.62 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Adjusted Earnings Per Share |
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Net income |
|
$ |
19,584 |
|
|
$ |
27,606 |
|
|
$ |
47,469 |
|
|
$ |
59,635 |
|
|
Gross adjustments to EBITDA |
|
|
5,796 |
|
|
|
7,300 |
|
|
|
24,209 |
|
|
|
18,945 |
|
|
Amortization of acquired intangible assets (1) |
|
|
16,570 |
|
|
|
9,637 |
|
|
|
48,849 |
|
|
|
29,060 |
|
|
Tax adjustment (2) |
|
|
(4,229 |
) |
|
|
(3,468 |
) |
|
|
(14,276 |
) |
|
|
(5,923 |
) |
|
Adjusted Net Income |
|
$ |
37,721 |
|
|
$ |
41,075 |
|
|
$ |
106,251 |
|
|
$ |
101,717 |
|
|
Adjusted Earnings Per Share—diluted |
|
$ |
0.39 |
|
|
$ |
0.43 |
|
|
$ |
1.11 |
|
|
$ |
1.06 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Diluted earnings per share to Adjusted Earnings Per Share |
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Earnings per share—diluted |
|
$ |
0.20 |
|
|
$ |
0.29 |
|
|
$ |
0.50 |
|
|
$ |
0.62 |
|
|
Adjustments to diluted earnings per share: |
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Other expense, net |
|
|
— |
|
|
|
— |
|
|
|
0.02 |
|
|
|
— |
|
|
Recognition of inventory step-up |
|
|
— |
|
|
|
— |
|
|
|
0.05 |
|
|
|
— |
|
|
Transaction expenses |
|
|
0.01 |
|
|
|
0.02 |
|
|
|
0.04 |
|
|
|
0.05 |
|
|
Stock-based compensation |
|
|
0.05 |
|
|
|
0.04 |
|
|
|
0.14 |
|
|
|
0.11 |
|
|
Acquisition and facility integration costs |
|
|
— |
|
|
|
0.01 |
|
|
|
— |
|
|
|
0.04 |
|
|
Gross adjustments to EBITDA |
|
|
0.06 |
|
|
|
0.07 |
|
|
|
0.25 |
|
|
|
0.20 |
|
|
Amortization of acquired intangible assets (1) |
|
|
0.17 |
|
|
|
0.10 |
|
|
|
0.51 |
|
|
|
0.30 |
|
|
Refinancing costs |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
Tax adjustment (2) |
|
|
(0.04 |
) |
|
|
(0.03 |
) |
|
|
(0.15 |
) |
|
|
(0.06 |
) |
|
Adjusted Earnings Per Share—diluted |
|
$ |
0.39 |
|
|
$ |
0.43 |
|
|
$ |
1.11 |
|
|
$ |
1.06 |
|
|