Allison Trims 2019 Profit, Showcases Company Growth
[undated photo] Allison Transmission's global headquarters are located in Indianapolis. (photo courtesy of Allison Transmission)
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As a subscriber you can listen to articles at work, in the car, or while you work out. Subscribe NowIndianapolis-based Allison Transmission Holdings Inc. (NYSE: ALSN) is reporting full-year net income of $604 million for 2019, compared to $639 million the previous year.
The company also says fourth-quarter net income comes in at $107 million, down from $147 million from the same period a year earlier.
Net sales in Q4 slipped 5% with the company saying it was principally due to lower demand in the Global Off-Highway end market. But overall, it was a year of growth for the company.
“2019 was an important year for Allison Transmission. We successfully completed three acquisitions, broke ground on two state-of-the-art technology facilities and achieved meaningful market share gains in North America,” said David Graziosi, president and chief executive officer of Allison Transmission. “Full-year 2019 results exceeded our guidance expectations, and both our North America and Outside North America On-Highway end markets concluded a third consecutive record revenue year.”
The company says North America On-Highway end market net sales were up 9% percent from the same period in 2018, driven in part by demand for electric-hybrid propulsion models.
In April, Inside INdiana Business reported on two Allison acquisitions that seem to stem from the industry’s growing focus on electric-powered vehicles.
The company announced in June a $400 expansion plan to build new facilities and hire as many as 300 new workers.
Last fall, Allison completed the acquisition of a Tennessee-based castings company that was a supplier to the transmission maker.
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