UPDATE 2-TransDigm sees FY10 EPS below market view, shares drop

* Q4 adj EPS $0.89 beats est by 5 cents

* Q4 rev $197.4 mln vs est $192.1 mln

* Sees FY10 adj EPS $2.90-$3.10 vs est $3.12

* Sees FY10 rev $770-$800 mln vs est $785.9 mln

* Shares fall 4 pct (Adds details, updates share movement)

Nov 19 (Reuters) - Aircraft parts maker TransDigm Group Inc (TDG.N) posted higher fourth-quarter results that beat market estimates, but forecast fiscal 2010 profit below market expectations, sending it shares down 4 percent.

"We go into fiscal 2010 with considerable market uncertainty," Chief Executive Nicholas Howley said in a statement. "In differing degrees, most of our market segments are still experiencing headwinds."

The company expects commercial OEM segment revenue for fiscal 2010 to fall in the mid-single digit percent range, based on a decline in commercial transport rates in the second half of the fiscal year, as well as lower business jet revenues.

In the commercial aftermarket segment, it expects worldwide traffic growth to be modestly down in the first half and increase in the second half of 2010, for a net flat year over year.

TransDigm gets its business from a number of aircraft platforms like Boeing's (BA.N) B747 and Airbus' (EAD.PA) A330, business jets like the Gulfstream Series, and military helicopters.

The company said with about $190 million in cash and almost $200 million of revolving credit facility, it will pursue acquisition opportunities for further growth.

TransDigm expects fiscal 2010 adjusted earnings of $2.90 to $3.10 a share, on revenue of $770 million to $800 million, assuming no acquisition activity, it said in a statement.

Analysts on average were expecting earnings of $3.12 per share, excluding special items, on revenue of $785.9 million for fiscal 2010, according to Thomson Reuters I/B/E/S.

Q4 TOPS MARKET

For the fourth quarter, the company earned $41.6 million, or 82 cents a share, compared with $38 million, or 75 cents a share, a year ago. Excluding items, it earned 89 cents a share.

The company said results were helped mainly by a strong proprietary business and cost cuts.

Revenue rose 4.3 percent to $197.4 million.

Analysts on average had expected earnings of 84 cents a share, before special items, on revenue of $192.1 million for the fourth quarter.

Shares of the Cleveland-based company were down 3 percent at $40.70 in morning trade Thursday on the New York Stock Exchange. They touched a low of $40.40 earlier in the session.

For alerts, double-click [ID:nWNAB7969] (Reporting by Fareha Khan in Bangalore; Editing by Gopakumar Warrier)