Loar Holdings Inc. Q2 2026 Earnings Recap

Loar Holdings shares dropped 6.3% following the earnings release, reflecting investor disappointment likely tied to cautious commentary on new business pipeline conversion and continued sales variability despite record quarterly results.

Key Takeaways

• Reported a 16th consecutive quarter of sequential adjusted EBITDA growth, with record sales and adjusted EBITDA margins exceeding 40%.
• Commercial OE segment saw a remarkable 28% sales increase, driven by Boeing 787, A320 family, and 737 platforms.
• Defense segment sales improved 8% year-over-year but remain subject to expected quarterly volatility.
• New business pipeline conversion stood at approximately 25%, below internal expectations, with ongoing efforts to develop remaining opportunities.
• Updated 2026 adjusted EBITDA guidance to $265 million–$270 million, reflecting confidence but tempered by a cautious outlook on near-term pipeline visibility.