OEM : Aerospace
At TransDigm, we maintain a consistent focus on innovation to benefit our customers. We invest in our business and the businesses we acquire with clear objectives in mind to create significant shareholder value: improving product quality and on-time delivery. We deliver on those objectives by innovating not just across our product lines, but in all aspects of the business – from manufacturing equipment and processes to supply chain infrastructure to operations. Our company-wide culture of innovation drives our customers to select us when new business opportunities arise. Our parts are designed into and sold as original aircraft equipment, and we generate recurring aftermarket revenue over the lives of the aircraft, which average about 30 years. Historically, prior to the COVID-19 pandemic, approximately 55% of our revenues were generated from aftermarket sales. As a result of the steep decline in commercial air travel due to COVID-19, currently about 50% of our revenues are generated from aftermarket sales, but we expect that to increase as the commercial aerospace market recovers. About 90% of our sales are of proprietary products for which we own the design. In addition, approximately 80% of our sales are from products for which we are the sole source supplier. We provide components for a large, diverse installed base of aircraft and are not overly dependent on any single airframe.