David Strauss

Phebe declined on competitive grounds, noting they stopped giving model and years-out detail, and promised clarity next year.

Danny attributed the softer second half to material receipt timing and confirmed continued growth, if not at the same pace.

Danny attributed growth to successful pivot from legacy to differentiated systems aligned with administration priorities: strategic deterrent, unmanned, space, encryption, precision munitions.

Kim acknowledged CapEx impact on cash flow but said they are working to offset it through working capital reduction. Limited specifics provided.

Acknowledged margin gap versus historical levels, pointed to Marine as the most obvious improvement opportunity, Deep cited program-level learning curves as key focus

Acknowledged customer caution around tariff impacts but confirmed pipeline remains strong across all product models

Confirmed productive conversations on CR supplemental but noted Block 6 and second Columbia build need prerequisite building blocks before proceeding this year

Clarified combined G800 and remaining G650 deliveries will roughly equal prior G650 volume, with G650 production ending by midyear

Confirmed 1:1 book-to-bill assumption underpins working capital and growth expectations for 2025

CEO confirmed a dual-track process and cited significant inbound interest but would not commit to a path or structure.

CFO reaffirmed the prior charge range and timing assumption without revision.

Donnelly said EMD acceleration underway with LRIP pulled forward ~18 months to eliminate gap between EMD and production. FY27 budget to include production dollars.

Donnelly said King Air was the last line to recover from strike disruption but has now stabilized. Expects considerably higher Q3/Q4 deliveries.

Rosenberg said accelerated share repurchases lowered average share count enough to offset 200-300bp tax rate increase.

Donnelly said Kautex risk is macro auto demand, not tariffs. Q1 volumes in line with expectations and follows IHS forecasts.

Rosenberg confirmed aftermarket sold with the business and proceeds were immaterial, to appear in Q2 results.

Donnelly said supply chain is in better shape than 2024, workforce retention improved post-contract, and takt times are operating as expected.

Donnelly clarified the miss was from losing a third of the quarter to the strike, not supply chain. Factory didn't restart until November.

Sarah explained the Q3 margin of 52.8% implies a Q4 drop with conservatism baked in, given the first full quarter of the newly acquired Jet Parts and Victor Sierra units.

Mike said the engine portion of the gap is narrowing with strong engine growth and the inventory/channel noise is largely behind, but gave no specific timeline.

Mike declined to forecast relative peer performance but expects continued commercial aftermarket growth. Said they don't have that level of forecasting accuracy and precision.

Mike said aftermarket growth is in line with expectations. TDG weighs less toward engine than peers, which explains the growth gap. Over the last 4 years, TDG is about where it should be given takeoffs and landings growth of 3-4%.

Kevin said all submarkets above pre-pandemic except interiors which lags due to refurb market not recovering to 2018-2019 levels. Biz jet well above pre-pandemic.

Kevin confirmed aftermarket came in a little stronger than expected. Aftermarket is largely book-and-ship making it difficult to forecast.

Kevin explained FY2025 margin guidance accounts for a full year of acquisition dilution impact, roughly four percentage points, which absorbs the underlying margin expansion.

Mike explained TDG uses bottoms-up customer-by-customer forecasting rather than top-down RPM assumptions, which he said produces more accurate 12-month outlooks.

CEO said change incorp was inside the last EAC and refused to discuss customer terms publicly; CFO answered the working capital half directly, calling it a source of cash.

Malave confirmed $1B Spirit cash drag in 2026 from operations and CapEx, similar level in 2027, then improving beyond 2027 from performance, productivity, and synergy capture.

Ortberg explained roughly 30 777s need change incorporation varying by build date, older planes require more structural work. All aircraft brought to common configuration. Already in EAC and operating plan, not a new cost item.

West confirmed 787 at high end of 70-80 range. MAX delivered 209 first half including 37 from inventory; tracking to beat 400 for full year.

787 KPI previously below threshold now green. 737 still has one rework KPI trending down per plan. Fastener fire from SPS being managed without expected aircraft program delays.

Ortberg gave a thorough answer on production restart, KPIs with FAA, and Spirit fuselage improvements. West provided delivery framework for 2025.

Stiehle said revenue growth will be fairly linear through the year. Newport News growth is 2/3 labor and 1/3 material; Ingalls is the reverse. Expects consistent steady incremental ramp. Guide at 6% may prove conservative.

Kastner described it as a pacing quarter with a minor LHA 8 EAC adjustment. DDGs showing improvement with milestones holding. LPD 30 making good progress. High confidence in Ingalls team.

Stiehle noted net zero EAC adjustments ($80M up, $80M down). Q2 guide is conservative given remaining risk to burn down and cost reduction progress still playing out.

Stiehle explained the CTIF structure as a hybrid covering both parties' concerns with parameters around cost boundaries. Management happy with the balanced approach reflecting current business environment.

Kastner clarified no plans to buy additional shipyards; W International acquisition was opportunistic to retain 500 trained shipbuilders. Prefers developing outsource partners over vertical integration.

Stiehle expects cash flow to ramp up tracking margin improvement as pre-COVID contracts roll off. No share buyback guidance for 2025; dividend approach unchanged.

Culp said retrofits are a multi-year effort on the normal shop-visit schedule, not a pull-forward.

Culp acknowledged lag effect from departures softness but expressed strong confidence in delivering high end of 2026 guide given backlog visibility. Ghai added fleet is young with low retirement rates.

Rahul detailed 9X cost curve: 30% reduction by unit 50, another 30% by unit 250, peak losses one year post-EIS (expected 2026), profitable in 2030s. Larry confirmed LEAP target of 2,500 deliveries in 2028, up from current ramp of 15-20% in 2025.

Larry noted departures holding well globally, took conservative 2H view. Highlighted 2-4 quarter lag before slowdown impacts, with spare parts backlog providing buffer.

Rahul detailed that earnings drive FCF growth, inventory build expected to be less than 2024's $1.5B, with higher cash taxes and CapEx as offsets.