Image source: Getty Images.

What: Shares of Triumph Group (NYSE:TGI), a global leader in manufacturing and overhauling aerospace structures, systems and components, plunged 18% Thursday morning after the company released its first quarterly results of fiscal 2017.

So what: By the numbers, it was a difficult quarter for Triumph Group, as 2017 will be a year of transition. Triumph's first-quarter sales declined 7% from the prior year to $893.3 million. Despite a mid-single-digit decline in the top line, its operating income took a large hit, declining by 57% over the same time period, from nearly $108 million down to $46.7 million.

The massive decline in operating income was in large part due to pre-tax charges of $46.1 million for multiple events. First, a $15.7 million charge was for strike costs related to the ratified IAM collective bargaining agreement in Spokane. Second, a $14.2 million charge was related to a memorandum of understanding with Northrop Grumman. Third, a $10.1 million charge was for restructuring costs. Lastly, a $6.1 million inventory writedown was associated with excess start-up costs.

Excluding those charges, Triumph's net income was $51.6 million, or $1.04 per diluted share -- still a significant decline from last year's $1.27 per diluted share.

Now what: There's no denying that the company's fiscal 2017 will be challenging amid facility consolidations, cost reduction and divestiture actions. However, on the bright side, the company noted growing partnerships with Lockheed Martin, Northrop Grumman and Spirit AeroSystems -- three important top-tier customers. Investors can hope that after this nearly 20% decline, the company's new four-business unit structure will create more sustainable, and more profitable, financial performances in the quarters ahead -- but expect a bumpy road. 

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium advisory service. We’re motley! Questioning an investing thesis -- even one of our own -- helps us all think critically about investing and make decisions that help us become smarter, happier, and richer.