Allison Transmission’s sales, profit surge to annual record

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Allison Transmission Holdings Inc. saw sales surge 10 percent in the fourth quarter, capping a record year for the company in terms of revenue and profit.

The Indianapolis-based manufacturer on Monday reported fourth-quarter net sales of $647 million, up from $588 million in the same quarter of 2017. The increase was principally driven by higher demand in Allison’s Outside North America Off-Highway and North America On-Highway end markets, the company said.

Allison realized a fourth quarter profit of $147 million, or $1.15 per share, down from $215 million, or $1.52 per share, in the year-ago period. However, earnings from the fourth quarter of 2017 included a one-time income tax benefit of $152 million.

For the year, the automatic transmission maker reported sales of $2.71 billion and profit of $639 million, or $4.81 per share. That compares with 2017 sales of $2.26 billion and a profit of $504 billion, or $3.38 per share.

“I am pleased to report that 2018 was a record year for Allison Transmission,” Allison CEO David Graziosi said in written comments. “Full-year results exceeded our initial net sales guidance ranges across all of our end markets.”

Shares in Allison were up 3.9 percent Tuesday morning, to $52.33 each.

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