RADNOR, Pa. , March 8,
2024 /PRNewswire/ -- Triumph Group, Inc. (NYSE:
TGI) ("TRIUMPH" or the
"Company") announced today that it has updated its financial
guidance for its full year fiscal 2024, which ends March 31, 2024, in conjunction with the recent
closing on the sale of its former Product Support business and the
related expected paydowns of its debt.
The updated cash guidance includes the cash flows from the
Product Support business through February
29, 2024, as well as reflects certain cash outflows related
to the transaction, including transaction fees and taxes, the
timing of interest and accelerated employee related obligations of
the divested operations, which are expected to be paid in
March 2024, along with modest working
capital timing impacts on the continuing operations.
Full Year Fiscal 2024 Guidance
- Reaffirming net sales of $1.17
billion to $1.20 billion
- Reaffirming operating income of $100.0
million to $110.0 million
- Reaffirming adjusted EBITDAP of $157.0
million to $167.0 million
- Updating cash flow used in operations to a range of
$(15.8) million to $(5.8) million
- Updating free cash use to a range of $(39.6) million to $(29.6)
million
Implied Fourth Quarter Fiscal 2024 Guidance
- Net sales of $336.5 million to
$366.5 million, consistent with prior
implied guidance
- Operating income of $58.4 million
to $68.4 million, consistent with
prior implied guidance
- Adjusted EBITDAP of $71.0 million
to $81.0 million, consistent with
prior implied guidance
- Updating cash flow from operations to a range of $52.5 million to $62.5
million
- Updating free cash flow to a range of $45.0 million to $55.0
million
Balance Sheet Update
- On March 4, 2024, completed the
call of $120.0 million of its Senior
Secured Notes due 2028 at 103%, plus accrued but unpaid interest
for approximately $128.7 million
- On March 5, 2024, settled the
asset sale tender of $1.1 million of
its Senior Secured Notes due 2028 at par, plus accrued but unpaid
interest for approximately $1.2
million
- On March 6, 2024, completed the
call of the remaining $435.6 million
of Senior Notes due 2025 at par, plus accrued but unpaid interest
for approximately $437.6 million
In addition, a presentation including unaudited preliminary
quarterly results for continuing operations reflecting Product
Support as discontinued operations is posted on the Company's
website at
https://www.triumphgroup.com/filings-financial/presentations.
|
|
Implied fourth
quarter
|
|
|
|
|
Fiscal
2024
|
|
Fiscal
2024
|
($ in
millions)
|
|
Guidance
|
|
Guidance
|
Operating
Income
|
|
$58.4 -
$68.4
|
|
$100.0 -
$110.0
|
Adjustments:
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|
|
|
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Loss on sale of assets
and businesses
|
|
--
|
|
$12.2
|
Shareholder cooperation
expenses
|
|
--
|
|
$1.9
|
Legal judgment
loss
|
|
--
|
|
$1.3
|
Other
adjustments
|
|
$1.9
|
|
$1.9
|
Depreciation &
Amortization
|
|
$8.7
|
|
$30.8
|
Amortization of
acquired contract liabilities
|
|
($1.0)
|
|
($2.9)
|
Share-based
compensation
|
|
$3.0
|
|
$11.7
|
Adjusted EBITDAP -
non-GAAP*
|
|
$71.0 -
$81.0
|
|
$157.0 -
$167.0
|
* Differences due to
rounding
|
|
|
|
|
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Implied Fourth
Quarter Fiscal 2024
Guidance
|
|
Fiscal 2024
Guidance
|
$ in
millions
|
|
|
|
|
Cash provided by (used
in) operating activities
|
|
$ 52.5 - $
62.5
|
|
$(15.8) -
$(5.8)
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Less:
|
|
|
|
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Capital
expenditures
|
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$ (7.5)
|
|
$ (23.8)
|
Free cash flow
(use)*
|
|
$ 45.0 - $
55.0
|
|
$(39.6) -
$(29.6)
|
* Differences due to
rounding
|
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About TRIUMPH
TRIUMPH, headquartered in
Radnor, Pennsylvania, designs,
develops, manufactures, repairs and overhauls a broad portfolio of
aerospace and defense systems and components. The company serves
the global aviation industry, including original equipment
manufacturers and the full spectrum of military and commercial
aircraft operators.
More information about TRIUMPH
can be found on the Company's website at triumphgroup.com.
Forward Looking Statements
Statements in this release which are not historical facts are
forward-looking statements under the provisions of the Private
Securities Litigation Reform Act of 1995, including statements of
expectations of or assumptions about financial and operational
performance, revenues, earnings per share, cash flow or use, cost
savings, operational efficiencies and organizational restructurings
and our evaluation of potential adjustments to reported amounts, as
described above. Forward-looking statements may also be identified
because they contain words such as "anticipate," "believe,"
"continue," "could,'' "estimate," "expect," "guidance," "intend,"
"may," "might," "plan," "project," "seek," "should," "target,"
"will," or similar expressions and the negatives of those terms.
All forward-looking statements involve risks and uncertainties
which could affect the Company's actual results and could cause its
actual results to differ materially from those expressed in any
forward-looking statements made by, or on behalf of, the Company.
Such risks and uncertainties include, without limitation the
inability to increase the Company's profitability and growth,
adequately deleverage its business, strengthen its balance sheet,
adequately manage its cash flows and expenses, and win new
business; and risks related to the unaudited preliminary pro forma
results, which are subject to change. Further information regarding
the important factors that could cause actual results to differ
from projected results can be found in Triumph Group's reports
filed with the SEC, including our Annual Report on Form 10-K for
the fiscal year ended March 31,
2023.
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SOURCE Triumph Group