Allison Transmission Posts Record Quarterly Sales
[Stay on top of transportation news: Get TTNews in your inbox.]
Class 8 truck sales in North America were the foundation on which record quarterly revenues at Allison Transmission were built in the first three months of 2023, the original equipment manufacturer said April 27.
Indianapolis-based Allison posted net income for the most recent quarter of $170 million, or diluted earnings per share of $1.85, compared with $129 million, $1.30, in the same period a year earlier, it said.
The earnings of $1.85 per share beat the consensus estimate of $1.52 per share, according to Zacks Equity Research.
Allison posted record quarterly sales of $741 million in the first quarter, topping the year-earlier period’s total of $677 million by 9%, as well as surpassing the Zacks consensus estimate by 3.58%.
The company’s North American on-highway sales totaled $376 million in the most recent quarter, compared with $346 million in the year-ago period, it said.
A $30 million increase in net sales in the North America On-Highway end market was principally driven by strength in customer demand for medium-duty and Class 8 vocational trucks and price increases on certain products drove that increase, it added.
Allison’s first-quarter results “continue the trend of strong performance after a record year in 2022.
Want more news? Listen to today's daily briefing above or go here for more info
Record quarterly net sales were achieved in the first quarter, demonstrating our value proposition and strength in our Service Parts, Support Equipment and Other and North America end markets,” CEO David Graziosi said in a statement accompanying the results.
Speaking on the company’s earnings call after the April 27 market close, Graziosi added: “As we think about the balance of the year, we expect some continuation of that level of improvement. Some of it is burning through for the industry backlog that you see.”