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As a subscriber you can listen to articles at work, in the car, or while you work out. Subscribe NowAllison Transmission Holdings Inc. on Monday topped Wall Street expectations with its quarterly earnings report.
The Indianapolis-based manufacturer reported third-quarter profit of $167 million, or $1.27 per share, a 50 percent increase over the $111 million profit it reported in the same quarter of 2017. The results topped the average prediction of $1.09 per share from six analysts surveyed by Zacks Investment Research.
Allison revenue rose 16 percent from a year ago, to $692 million, topping analyst expectations of $652.3 million.
The results prompted Allison to raise its annual guidance for sales and profit.
The company anticipates net sales to increase by 18 percent to 19 percent in 2018 from the $2.3 billion recorded in 2017. The prior expectation was a rise in the range of 15 percent to 18 percent.
It expects 2018 profit in the range of $600 to $620 million, compared with a range of $570 to $600 million stated earlier.
Allison said sales increases were principally driven by higher demand in the Global On-Highway, Outside North America Off-Highway and Service Parts, Support Equipment & Other end markets.
Share in Allison were up 3.7 percent Tuesday morning, to $45.55 each.
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