Allison Transmission Holdings reported all-time high full year net sales of $3.2 billion, increasing 6% from 2023. Diluted EPS for the year increased 12% year over year to a record $8.31.
David S. Graziosi, chair and chief executive officer of Allison Transmission said, “Closing out the year, unprecedented demand for Class 8 vocational vehicles persisted in the fourth quarter of 2024, leading to record full year net sales of $1.8 billion in our North America On-Highway end market. Driven by the realization of our growth initiatives, we achieved decade-high full year net sales in our Defense end market and all-time high full year net sales in our Outside North America On-Highway end market.”
Graziosi continued, “In addition to notable top-line performance across multiple end markets, Allison’s full year earnings per share increased 12% from 2023 to a company record diluted EPS of $8.31. In 2024, we returned cash to shareholders by increasing our quarterly dividend for the fifth consecutive year while repurchasing over $250 million of our common stock, representing over 3% of outstanding shares, and paying down $101 million of existing term loan debt. At the midpoint, we are guiding to another record revenue year for 2025 driven by price increases on certain products, increased demand for Tracked vehicle applications and robust North America vocational demand.”
Full Year & Fourth Quarter Financial Highlights
Net sales for the year were $3,225 million. Year over year results were led by:
- A $223 million increase in net sales in the North America On-Highway end market principally driven by strength in demand for Class 8 vocational and medium-duty trucks and price increases on certain products
- A 28% increase in net sales in the Defense end market principally driven by increased demand for Tracked vehicle applications
- A $16 million increase in net sales in the Outside North America On-Highway end market principally driven by higher demand in Asia and price increases on certain products, partially offset by lower demand in Europe
Net income for the year was $731 million. Diluted EPS for the year was $8.31. Adjusted EBITDA, a non-GAAP financial measure, for the year was $1,165 million. Net cash provided by operating activities for the year was $801 million. Adjusted free cash flow, a non-GAAP financial measure, for the year was $658 million.
Net sales for the quarter were $796 million. Year over year results were led by:
- A 10% increase in net sales in the North America On-Highway end market principally driven by strength in demand for Class 8 vocational vehicles and price increases on certain products
- A 5% increase in net sales in the Service Parts, Support Equipment and Other end market principally driven by price increases on certain products
- An 8% increase in net sales in the Defense end market principally driven by increased demand for Tracked vehicle applications
Net income for the quarter was $175 million. Diluted EPS for the quarter was $2.01. Adjusted EBITDA for the quarter was $270 million. Net cash provided by operating activities for the quarter was $211 million. Adjusted free cash flow for the quarter was $136 million.
Full Year & Fourth Quarter Net Sales by End Market
For additional information from the Allison Transmission financial report, click here.
