ALSN

As the Q1 earnings season comes to a close, it’s time to take stock of this quarter’s best and worst performers in the heavy transportation equipment industry, including Allison Transmission (NYSE:ALSN) and its peers. Heavy transportation equipment companies are investing in automated vehicles that increase efficiencies and connected machinery that collects actionable data. Some are also developing electric vehicles and mobility solutions to address customers’ concerns about carbon emissions, creating new sales opportunities. On the other hand, heavy transportation equipment companies are at the whim of economic cycles. Interest rates, for example, can greatly impact the construction and transport volumes that drive demand for these companies’ offerings. The 12 heavy transportation equipment stocks we track reported a satisfactory Q1. As a group, revenues along with next quarter’s revenue guidance were in line with analysts’ consensus estimates. While some heavy transportation equipment stocks have fared somewhat better than others, they have collectively declined. On average, share prices are down 1% since the latest earnings results. Helping build race cars at one point, Allison Transmission (NYSE:ALSN) offers transmissions to original equipment manufacturers and fleet operators. Allison Transmission reported revenues of $1.41 billion, up 83.6% year on year. This print exceeded analysts’ expectations by 2.6%. Overall, it was a strong quarter for the company with a solid beat of analysts’ adjusted operating income and EPS estimates. David S. Graziosi, Chair, President and Chief Executive Officer of Allison commented, "Encouraging momentum in key end markets supported solid demand for both Allison business units in the first quarter. Despite ongoing geopolitical uncertainty, we will look to capitalize on further improvement in end markets conditions throughout the year, while continuing to integrate the Allison Off-Highway business unit, maintaining focus and confidence in our synergy capture target in support of our long-term growth and value creation strategy. For the first quarter, adjusted diluted EPS was $2.57, with expectation for the acquisition of the Allison Off-Highway business unit to be accretive to net income and diluted EPS in 2026." Allison Transmission achieved the fastest revenue growth of the whole group. Investor expectations, however, wer...

Allison Transmission’s first quarter results were met with a negative market reaction, as investors weighed robust top-line growth against declining profitability. The company’s recent acquisition and integration efforts expanded its business, contributing to strong revenue performance, but also introduced significant one-time costs and operational complexities. Management emphasized that synergy realization is underway, with early financial benefits expected later in the year. CEO David S. Graziosi noted that “integration is progressing as expected, and value capture is materializing,” while also acknowledging ongoing challenges from higher costs related to the acquisition and broader market uncertainty. Is now the time to buy ALSN? Find out in our full research report (it’s free). Revenue: $1.41 billion vs analyst estimates of $1.37 billion (83.6% year-on-year growth, 2.6% beat) Adjusted EPS: $2.57 vs analyst estimates of $2.10 (22.7% beat) Adjusted EBITDA: $362 million vs analyst estimates of $351.6 million (25.7% margin, 3% beat) The company reconfirmed its revenue guidance for the full year of $5.75 billion at the midpoint EBITDA guidance for the full year is $1.44 billion at the midpoint, below analyst estimates of $1.47 billion Operating Margin: 13.9%, down from 32.5% in the same quarter last year Market Capitalization: $10.32 billion While we enjoy listening to the management's commentary, our favorite part of earnings calls are the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention. Robert Cameron Wertheimer (Melius Research) asked about changes in the business environment post-acquisition. CEO David S. Graziosi said the broader operational footprint has proven more beneficial than originally expected, providing flexibility amid market volatility. Timothy W. Thein (Raymond James) inquired about the timeline for achieving targeted adjusted EBITDA margins. Graziosi responded that the 27%-29% margin range remains attainable within a few years, with value capture efforts ongoing despite near-term challenges. Ian Alton Zaffino (Oppenheimer & Company) questioned the outlook for medium-duty trucks and capital allocation priorities. COO G. Frederick Bohley noted early signs of improvement in medium-duty, while CFO Sco...

INDIANAPOLIS, May 6, 2026 /PRNewswire/ -- Allison Transmission Holdings Inc. (NYSE: ALSN), a global leader in high-performance mobility and work solutions built for the needs of the modern industrial world, announced today that its Board of Directors has declared a cash dividend of $0.29 per share on the Company's common stock for the second quarter of 2026. Payment will be made on May 29, 2026, to stockholders of record at the close of business on May 18, 2026. The payment of any future dividends will be at the discretion of the Board of Directors and will be dependent upon Allison's financial position, results of operations, available cash, cash flow, capital requirements and other factors deemed relevant by the Board of Directors. About Allison Allison (NYSE: ALSN) is a global leader in high-performance mobility and work solutions built for the needs of the modern industrial world. Allison operates through two business units: Allison Transmission and Allison Off-Highway Drive & Motion Systems. Headquartered in Indianapolis, Indiana, USA, the Company manufactures solutions which offer industry-leading value propositions across vital sectors such as infrastructure, mining, energy, agriculture, construction, transportation and national security. For over 110 years, Allison has been recognized as a reliable partner of choice, keeping essential industries moving anytime, in over 150 countries around the world. For more information, visit https://allisontransmission.com. Forward-Looking Statements This press release contains forward-looking statements. The words "believe," "expect," "anticipate," "intend," "estimate" and other expressions that are predictions of or indicate future events and trends and that do not relate to historical matters identify forward-looking statements. You should not place undue reliance on these forward-looking statements. Although forward-looking statements reflect management's good faith beliefs, reliance should not be placed on forward-looking statements because they involve known and unknown risks, uncertainties and other factors, which may cause actual results, performance or achievements to differ materially from anticipated future results, performance or achievements expressed or implied by such forward-looking statements. Forward-looking statements speak only as of the date the statements are made. We undertake no obligation...

INDIANAPOLIS (AP) — INDIANAPOLIS (AP) — Allison Transmission Holdings Inc. (ALSN) on Monday reported first-quarter earnings of $112 million. The Indianapolis-based company said it had profit of $1.33 per share. Earnings, adjusted for non-recurring costs and amortization costs, were $2.57 per share. The automatic transmission maker posted revenue of $1.41 billion in the period, which beat Street forecasts. Four analysts surveyed by Zacks expected $1.38 billion. Allison Transmission expects full-year revenue in the range of $5.58 billion to $5.93 billion. Allison Transmission shares have risen 33% since the beginning of the year. In the final minutes of trading on Monday, shares hit $130, a climb of 34% in the last 12 months. _____ This story was generated by Automated Insights (http://automatedinsights.com/ap) using data from Zacks Investment Research. Access a Zacks stock report on ALSN at https://www.zacks.com/ap/ALSN

Allison says integration of the acquired Off‑Highway business is proceeding in a disciplined manner, expects initial synergy realization later in 2026 and reiterated a $120 million annual run‑rate synergy target. Q1 adjusted results were strong: adjusted diluted EPS of $2.57 (up 6%) and adjusted EBITDA of $362 million (up 22%, 26% margin), while GAAP net income was $112 million (diluted EPS $1.33) weighed down by ~ $76 million of PPA items, $22 million of amortization and integration costs. Management reaffirmed 2026 guidance (consolidated net sales of $5.575B–$5.925B and adjusted EBITDA of $1.365B–$1.515B), and is focused on deleveraging (targeting ~2x net leverage), raising the quarterly dividend to $0.29 and continuing share repurchases. Interested in Allison Transmission Holdings, Inc.? Here are five stocks we like better. 5 Stocks Using Buybacks to Drive Serious Upside Into 2026 Allison Transmission (NYSE:ALSN) executives said first-quarter results reflected steady performance across the company’s newly expanded portfolio, while management reaffirmed full-year 2026 guidance amid ongoing geopolitical and regulatory uncertainty. On the company’s Q1 2026 earnings call, Chair, President, and CEO David Graziosi highlighted early progress integrating the recently acquired off-highway business, saying the effort is “proceeding in a disciplined and structured manner.” Graziosi said Allison is beginning to see “the initial phases of synergy realization take shape across several key areas” and expects to begin seeing financial benefits later in 2026. The company reiterated its target of $120 million in annual run-rate synergies. → Roblox Stock Slides to New Low as Safety Changes Weigh on Outlook Massive Buybacks: 3 Stocks Returning Big Cash to Shareholders Graziosi said the acquisition has expanded Allison’s global footprint and improved its flexibility in a volatile environment. Responding to a question on what has changed versus the original deal model, he said the company is “very pleased with the acquisition” and currently views it as “exceeding expectations” due to added capabilities, operational footprint flexibility, and regional talent that helps mitigate market volatility and trade developments. On the legacy Allison Transmission business, Graziosi reported first-quarter net sales of $733 million, down 4% year-over-year against what he called a “robust Q...

Management reports that the integration of the newly acquired Allison Off Highway business is proceeding in a disciplined manner, with initial synergy realization beginning to take shape. The acquisition thesis is centered on accelerating sales growth through a strategic combination of business units and strengthening the company's localized production footprint to mitigate trade and tariff risks. North America On-Highway performance is characterized by cautious optimism as strong order trends are tempered by uncertainty regarding tariffs and final EPA emissions regulations. The Defense segment experienced exceptional 64% year-over-year growth, driven by international demand for tracked vehicle programs amid heightened global national security concerns. Off-Highway performance was bolstered by elevated commodity prices in mining and steady investment in European construction markets, despite a muted global agriculture environment. Management noted that while the Middle East conflict has undetermined implications, the company has not yet experienced material disruptions to its supply chain or operations. The company provided 2026 revenue guidance of $5.575 billion to $5.925 billion, noting that while order trends imply a slight ramp, uncertainty regarding geopolitical impacts and emissions regulations continues to hinder new vehicle purchasing decisions. Management maintains a long-term adjusted EBITDA margin target of 27% to 29%, expected to be achieved within a few years through value capture and synergy realization. The 2026 financial outlook includes over $100 million in one-time pretax expenses related to the separation and integration of the Off Highway business unit. Capital allocation priorities focus on reducing net leverage to a target of two times within the next couple of years through both debt repayment and earnings growth. Guidance for the second half of 2026 assumes a sequential step-up in medium-duty demand, though the scale of a potential pre-buy remains dependent on EPA regulatory clarity. First quarter results were impacted by $76 million in one-time purchase price accounting items related to stepped-up inventory basis and fixed asset depreciation. The company introduced a new reporting structure consisting of three segments: Allison Transmission, Allison Off Highway, and the Allison Central Group cost center. Operating cash flow guidance...

Net Sales of $1,406 million, up 84% year over year, including the addition of the Allison Off-Highway business unit acquired on January 1, 2026 Net Income of $112 million, 8% of Net Sales Diluted EPS of $1.33, Adjusted Diluted EPS of $2.57, up 6% year over year Adjusted EBITDA of $362 million, 26% of Net Sales, up 22% year over year First quarter results include segment reporting for Allison Transmission and Allison Off-Highway business units INDIANAPOLIS, May 4, 2026 /PRNewswire/ -- Allison Transmission Holdings Inc. (NYSE: ALSN) today reported first quarter net sales of $1,406 million with adjusted EBITDA margin of 26 percent and net cash provided by operating activities of $156 million. David S. Graziosi, Chair, President and Chief Executive Officer of Allison commented, "Encouraging momentum in key end markets supported solid demand for both Allison business units in the first quarter. Despite ongoing geopolitical uncertainty, we will look to capitalize on further improvement in end markets conditions throughout the year, while continuing to integrate the Allison Off-Highway business unit, maintaining focus and confidence in our synergy capture target in support of our long-term growth and value creation strategy. For the first quarter, adjusted diluted EPS was $2.57, with expectation for the acquisition of the Allison Off-Highway business unit to be accretive to net income and diluted EPS in 2026." Graziosi continued, "During the first quarter, we announced the seventh consecutive annual increase to our quarterly dividend and repurchased more than $20 million of our common stock, demonstrating Allison's consistent commitment to returning cash to shareholders as part of our capital allocation priorities. Also during the quarter, as we progress toward our 2.0x net leverage target with prudent balance sheet management, our strong cash flow generation enabled us to repay $150 million of amounts outstanding under our revolving credit facility." First quarter results include segment reporting for Allison Transmission, the Company's legacy business, excluding certain costs now accounted for within the Allison Central Group, and Allison Off-Highway, the business acquired from Dana Incorporated on January 1, 2026. The Allison Central Group is a centralized cost center which includes certain functional costs that support the Company's global operations. Allison C...

Allison Transmission (ALSN) came out with quarterly earnings of $2.57 per share, beating the Zacks Consensus Estimate of $2.54 per share. This compares to earnings of $2.23 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +1.38%. A quarter ago, it was expected that this automatic transmission maker would post earnings of $1.56 per share when it actually produced earnings of $1.7, delivering a surprise of +8.97%. Over the last four quarters, the company has surpassed consensus EPS estimates three times. Allison Transmission, which belongs to the Zacks Automotive - Original Equipment industry, posted revenues of $1.41 billion for the quarter ended March 2026, surpassing the Zacks Consensus Estimate by 2.15%. This compares to year-ago revenues of $766 million. The company has topped consensus revenue estimates three times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Allison Transmission shares have added about 34% since the beginning of the year versus the S&P 500's gain of 5.6%. While Allison Transmission has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Allison Transmission was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future...

Allison Transmission (ALSN) reported Q1 adjusted earnings late Monday of $2.57 per diluted share, up

Image source: The Motley Fool. Monday, May 4, 2026 at 5 p.m. ET Chair, President, and Chief Executive Officer — David S. Graziosi Chief Financial Officer and Treasurer — Scott A. Mell Chief Operating Officer and Allison Transmission Business Unit Leader — G. Frederick Bohley Allison Off Highway Business Unit Leader — Craig Price Vice President, Investor Relations — Jacalyn C. Bolles Need a quote from a Motley Fool analyst? Email [email protected] Jacalyn C. Bolles: Thank you, Shamali. Good afternoon, and thank you for joining us for our first quarter 2026 earnings conference call. With me this afternoon are David S. Graziosi, our Chair, President and Chief Executive Officer; Scott A. Mell, our Chief Financial Officer and Treasurer; G. Frederick Bohley, Allison Transmission Holdings, Inc.’s Chief Operating Officer and Allison Transmission business unit leader; and Craig Price, Allison Off Highway business unit leader. As a reminder, this conference call, webcast, and this afternoon's presentation are available on the Investor Relations section of allisontransmission.com. A replay of this call will be available through May 18. As noted on slide two of the presentation, many of our remarks today contain forward-looking statements based on current expectations. These forward-looking statements are subject to known and unknown risks, including those set forth in our Annual Report on Form 10-K for the year ended 12/31/2025. Should one or more of these risks or uncertainties materialize, or should underlying assumptions or estimates prove incorrect, actual results may vary materially from those that we express today. In addition, as noted on slide three of the presentation, some of our remarks today contain non-GAAP financial measures as defined by the SEC. You can find reconciliations of the non-GAAP financial measures to the most comparable GAAP measures in the appendix to the presentation and in our first quarter 2026 earnings press release. Today's call is set to end at 5:45 p.m. Eastern Time. In order to maximize participation opportunities on the call, please take just one question from each analyst. Please turn to slide four of the presentation for the call agenda. During today's call, David S. Graziosi will provide a business update and briefly review the company's performance. Scott A. Mell will then discuss Allison Transmission Holdings, Inc.’s segment reportin...

Image source: The Motley Fool. Monday, August 4, 2025 at 5 p.m. ET Chair and Chief Executive Officer — David S. Graziosi Chief Operating Officer — G. Frederick Bohley Chief Financial Officer and Treasurer — Scott A. Mell Director, Investor Relations — Jacalyn C. Bolles Jacalyn C. Bolles: Thank you, Paul. Good afternoon, and thank you for joining us for our Second Quarter 2025 Earnings Conference Call. With me this afternoon are Dave Graziosi, our Chair and Chief Executive Officer; Fred Bohley, our Chief Operating Officer; and Scott Mell, our Chief Financial Officer and Treasurer. As a reminder, this conference call, webcast in this afternoon's presentation are available on the Investor Relations section of allisontransmission.com. A replay of this call will be available through August 18. As noted on Slide 2 of the presentation, many of our remarks today contain forward-looking statements based on current expectations. These forward-looking statements are subject to known and unknown risks, including those set forth in our second quarter 2025 earnings press release and our annual report on Form 10-K for the year ended December 31, 2024. Should one or more of these risks or uncertainties materialize or should underlying assumptions or estimates prove incorrect, actual results may vary materially from those that we express today. In addition, as noted on Slide 3 of the presentation, some of our remarks today contain non-GAAP financial measures as defined by the SEC. You can find reconciliations of the non-GAAP financial measures to the most comparable GAAP measures attached as an appendix to the presentation and to our second quarter 2025 earnings press release. Today's call is set to end at 5:45 p.m. Eastern Time. In order to maximize participation opportunities on the call, we'll take just 1 question from each analyst. Please turn to Slide 4 of the presentation for the call agenda. During today's call, Dave Graziosi and Fred Bohley will review recent announcements across our business, including the recently announced acquisition of Dana Incorporated's Off-Highway business. Scott Mell will then review our second quarter 2025 financial performance and full year 2025 guidance prior to commencing Q&A. Now I'll turn the call over to Dave. David S. Graziosi: Thank you, Jackie. Good afternoon, and thank you for joining us. Starting with recent non-acquisition-relat...

Allison Transmission Holdings Inc. ALSN reported first-quarter 2026 adjusted earnings of $2.57 per share, which beat the Zacks Consensus Estimate of $2.54 by 1.38% and increased 6% year over year. Quarterly revenues of $1.41 billion rose 84% from the year-ago quarter’s level and topped the Zacks Consensus Estimate of $1.38 billion by 2.15%. The quarter marked the first to include the Allison Off-Highway business, acquired on Jan. 1, 2026, from Dana Incorporated. Integration efforts are progressing, with approximately $120 million in expected annual cost savings. Adjusted EBITDA margin for the quarter was 26%. Allison Transmission Holdings, Inc. price-consensus-eps-surprise-chart | Allison Transmission Holdings, Inc. Quote Profitability was impacted by one-time costs tied to the Off-Highway acquisition. Results were weighed down by approximately $76 million in acquisition-related expenses, primarily caused by higher inventory costs and incremental depreciation from revalued assets such as property, plant and equipment. These factors weighed on the bottom line. Net income was $112 million, with diluted earnings of $1.33 per share. The year-over-year decline in net income was largely attributable to acquisition-related costs and higher interest expenses, partially offset by lower income taxes. Operating expenses rose as the company integrated the new business. Selling, general and administrative expenses amounted to $157 million, up $70 million from the prior-year period’s level. The increase was mainly due to the addition of the Off-Highway unit, including $21 million in amortization related to intangible assets and about $17 million in one-time acquisition-related integration costs. Engineering, research and development expense totaled $54 million, up $12 million year over year. The increase was mainly due to the addition of the Off-Highway business, partly offset by lower spending on product-initiatives in the legacy Allison Transmission unit. The legacy Allison Transmission business reported net sales of $733 million, down 4% year over year, mainly due to lower volumes and higher material costs. This was partly offset by price increases on certain products. Segment operating profit amounted to $252 million, representing a strong 34% of net sales. Within the Transmission unit, results were mixed across different markets. North America on-highway sales totale...