What is ALLISON TRANSMISSION HOLDINGS, INC.'s earnings per share (EPS)?

ALLISON TRANSMISSION HOLDINGS, INC. (ALSN) reported diluted earnings per share of $7.33 for fiscal year 2025. This represents a -11.8% change compared to the previous fiscal year. EPS represents the portion of a company's net income allocated to each outstanding share of common stock and is widely used to evaluate profitability on a per-share basis.

ALLISON TRANSMISSION HOLDINGS, INC. (ALSN) Financials

ALSN

Trailing 12 months to June 30, 2026

Revenue $4.4B +37.6% YoY

Net Income $529.0M -30.6% YoY

EPS (Diluted) $6.28 -28.5% YoY

Free Cash Flow $737.0M +12.7% YoY

Market Cap $10.5B as of Sep 12, 2026

Price / Sales 2.4x on $4.4B revenue, trailing 12 months to June 30, 2026

Price / Earnings 19.8x on $529.0M net income, trailing 12 months to June 30, 2026

Price / Book 5.3x on $2.0B equity, Q2 FY2026

A multiple compares the market's price with a filed figure; it says what the market pays, not how the business is doing. The market capitalization is the vendor's as of Sep 12, 2026; every other figure is from the SEC filings on this page. Not financial advice.

Source SEC Filings (10-K/10-Q) Latest period Q2 FY2026, ended Jun 30, 2026 Reported Aug 5, 2026 Currency USD FYE December

Newest figures come from the 10-Q for Q2 FY2026, filed Aug 5, 2026. Each column of the statement tables below links to the filing it was taken from, and every filing is listed on the ALSN SEC filings page.

ALLISON TRANSMISSION HOLDINGS, INC. (ALSN) reported $4.4B in revenue over the twelve months to Jun 30, 2026, up 37.6% from the prior twelve months. This page shows its income statement, balance sheet, cash flow statement, and key financial ratios. View 15 years of annual fundamentals and quarterly data, with year-over-year growth rates and compound annual growth rates (CAGR). All figures are derived from SEC filings (10-K and 10-Q reports).

Rhea AI ALSN FY2025 2026-08-29

A cash-generative industrial model absorbed a 2025 earnings setback while debt-supported balance-sheet expansion kept capital returns moving.

In FY2025, net income was $623M while operating cash flow reached $836M, revealing cash generation that materially exceeded reported profit. Free cash flow held at $661M despite capital expenditures rising from $143M in FY2024, so working-capital or other noncash effects cushioned weaker earnings without eliminating reinvestment.

FY2025 gross margin was 48.6%, yet operating margin was 29.2%, indicating substantial costs below production. Because SG&A rose to $380M as revenue fell, the pressure appears concentrated in operating overhead rather than gross economics.

Long-term debt rose to $2.89B in FY2025 while the current ratio climbed to 4.9x, making short-term liquidity more substantial even as the balance sheet remained debt-supported. Equity increased to $1.87B from $634M in FY2021, allowing debt-to-equity to remain near 1.5x as buybacks continued.

Financial Health Signals

Financial Health Score 72/100

Scored against operating companies for FY2025. Each of the six dimensions is a percentile rank within that peer group; the overall is their average, with missing dimensions counted as zero out of six. A high score means strong standing among peers, not absolute cross-industry strength. How this score is calculated →

Health score ≠ stock price. This rates the quality of ALLISON TRANSMISSION HOLDINGS, INC.'s business: profitability, growth, balance sheet strength. It doesn't tell you whether the stock is a good buy at today's price. Not financial advice. Use it alongside valuation analysis and your own research.

Profitability

ALLISON TRANSMISSION HOLDINGS, INC. has an operating margin of 29.2%, meaning the company retains $29 of operating profit per $100 of revenue. This strong profitability earns a score of 96/100, reflecting efficient cost management and pricing power. This is down from 30.8% the prior year.

Growth

ALLISON TRANSMISSION HOLDINGS, INC.'s revenue declined 6.7% year-over-year, from $3.2B to $3.0B. This contraction results in a growth score of 29/100.

Leverage

ALLISON TRANSMISSION HOLDINGS, INC. has a moderate D/E ratio of 1.55. This balance of debt and equity financing earns a leverage score of 40/100.

Liquidity

With a current ratio of 4.85, ALLISON TRANSMISSION HOLDINGS, INC. holds $4.85 in current assets for every $1 of short-term obligations. This comfortable liquidity earns a score of 91/100.

Cash Flow

ALLISON TRANSMISSION HOLDINGS, INC. converts 22.0% of revenue into free cash flow ($661.0M). This strong cash generation earns a score of 88/100.

Returns

ALLISON TRANSMISSION HOLDINGS, INC. earns a strong 33.4% return on equity (ROE), meaning it generates $33 of profit for every $100 of shareholders' equity. This efficient capital use earns a returns score of 88/100. This is down from 44.3% the prior year.

Altman Z-Score Grey Zone

2.81

ALLISON TRANSMISSION HOLDINGS, INC. scores 2.81, placing it in the grey zone between 1.81 and 2.99. The score is driven primarily by a large market capitalization ($10.5B) relative to total liabilities ($4.2B). This signals moderate financial risk that warrants monitoring.

Distress-screening estimate for non-financial companies. Not computed for banks or insurers, where the Altman model does not apply.

Piotroski F-Score Neutral

6/9

ALLISON TRANSMISSION HOLDINGS, INC. passes 6 of 9 financial strength tests. 3 of 4 profitability signals pass, 2 of 3 leverage/liquidity signals pass, 1 of 2 efficiency signals pass.

Earnings Quality Cash-Backed

1.34x

For every $1 of reported earnings, ALLISON TRANSMISSION HOLDINGS, INC. generates $1.34 in operating cash flow ($836.0M OCF vs $623.0M net income). This indicates profits are well-supported by actual cash generation, not accounting adjustments.

Interest Coverage Safe

9.57x

ALLISON TRANSMISSION HOLDINGS, INC. earns $9.57 in operating income for every $1 of interest expense ($880.0M vs $92.0M). This wide margin provides strong safety for debt servicing, even if earnings decline temporarily.

Key Financial Metrics

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Earnings & Revenue

Revenue

$1.6B

YoY+92.4%

QoQ+11.4%

5Y CAGR+21.0%

10Y CAGR+12.7%

ALLISON TRANSMISSION HOLDINGS, INC. generated $1.6B in revenue in Q2 2026. This represents an increase of 92.4% from the same quarter a year earlier. Against the prior quarter it is up 11.4%.

EBITDA

$377.0M

YoY+31.8%

QoQ+36.6%

5Y CAGR+13.1%

10Y CAGR+8.2%

ALLISON TRANSMISSION HOLDINGS, INC.'s EBITDA was $377.0M in Q2 2026, measuring earnings before interest, taxes, depreciation, and amortization. This represents an increase of 31.8% from the same quarter a year earlier. Against the prior quarter it is up 36.6%.

Net Income

$181.0M

YoY-7.2%

QoQ+61.6%

5Y CAGR+10.5%

10Y CAGR+11.5%

ALLISON TRANSMISSION HOLDINGS, INC. reported $181.0M in net income in Q2 2026. This represents a decrease of 7.2% from the same quarter a year earlier. Against the prior quarter it is up 61.6%.

EPS (Diluted)

$2.15

YoY-6.1%

QoQ+61.7%

5Y CAGR+16.3%

10Y CAGR+19.6%

ALLISON TRANSMISSION HOLDINGS, INC. earned $2.15 per diluted share (EPS) in Q2 2026. This represents a decrease of 6.1% from the same quarter a year earlier. Against the prior quarter it is up 61.7%.

Cash & Balance Sheet

Free Cash Flow

$281.0M

YoY+83.7%

QoQ+172.8%

5Y CAGR+24.2%

10Y CAGR+6.2%

ALLISON TRANSMISSION HOLDINGS, INC. generated $281.0M in free cash flow in Q2 2026, representing cash available after capex. This represents an increase of 83.7% from the same quarter a year earlier. Against the prior quarter it is up 172.8%.

Cash & Debt

$399.0M

YoY-48.7%

QoQ+28.3%

5Y CAGR+10.9%

10Y CAGR+0.9%

ALLISON TRANSMISSION HOLDINGS, INC. held $399.0M in cash against $4.1B in long-term debt as of Q2 2026.

Dividends Per Share

$0.29

YoY+7.4%

QoQ0.0%

ALLISON TRANSMISSION HOLDINGS, INC. paid $0.29 per share in dividends in Q2 2026. This represents an increase of 7.4% from the same quarter a year earlier. It is unchanged from the prior quarter.

Shares Outstanding

83M

YoY-1.2%

QoQ-0.4%

5Y CAGR-4.8%

10Y CAGR-6.8%

ALLISON TRANSMISSION HOLDINGS, INC. had 83M shares outstanding in Q2 2026. This represents a decrease of 1.2% from the same quarter a year earlier. Against the prior quarter it is down 0.4%.

Margins & Returns

Gross Margin

32.9%

YoY-16.6pp

QoQ+4.0pp

5Y change-14.9pp

10Y change-14.9pp

ALLISON TRANSMISSION HOLDINGS, INC.'s gross margin was 32.9% in Q2 2026, indicating the percentage of revenue retained after direct costs. This is down 16.6 percentage points from the same quarter a year earlier. Against the prior quarter it is up 4.0 percentage points.

Operating Margin

18.6%

YoY-12.9pp

QoQ+4.7pp

5Y change-9.1pp

10Y change-8.2pp

ALLISON TRANSMISSION HOLDINGS, INC.'s operating margin was 18.6% in Q2 2026, reflecting core business profitability. This is down 12.9 percentage points from the same quarter a year earlier. Against the prior quarter it is up 4.7 percentage points.

Net Margin

11.6%

YoY-12.4pp

QoQ+3.6pp

5Y change-6.7pp

10Y change-1.3pp

ALLISON TRANSMISSION HOLDINGS, INC.'s net profit margin was 11.6% in Q2 2026, showing the share of revenue converted to profit. This is down 12.4 percentage points from the same quarter a year earlier. Against the prior quarter it is up 3.6 percentage points.

Return on Equity

9.2%

YoY-2.0pp

QoQ+3.3pp

5Y change-5.9pp

10Y change+3.9pp

ALLISON TRANSMISSION HOLDINGS, INC.'s ROE was 9.2% in Q2 2026, measuring profit generated per dollar of shareholder equity. This is down 2.0 percentage points from the same quarter a year earlier. Against the prior quarter it is up 3.3 percentage points.

Capital Allocation

R&D Spending

$56.0M

YoY+30.2%

QoQ+3.7%

5Y CAGR+6.4%

ALLISON TRANSMISSION HOLDINGS, INC. invested $56.0M in research and development in Q2 2026. This represents an increase of 30.2% from the same quarter a year earlier. Against the prior quarter it is up 3.7%.

Share Buybacks

$46.0M

YoY-56.2%

QoQ+130.0%

5Y CAGR-18.8%

10Y CAGR-2.5%

ALLISON TRANSMISSION HOLDINGS, INC. spent $46.0M on share buybacks in Q2 2026, returning capital to shareholders by reducing shares outstanding. This represents a decrease of 56.2% from the same quarter a year earlier. Against the prior quarter it is up 130.0%.

Capital Expenditures

$31.0M

YoY0.0%

QoQ-41.5%

5Y CAGR-7.2%

10Y CAGR+6.8%

ALLISON TRANSMISSION HOLDINGS, INC. invested $31.0M in capex in Q2 2026, funding long-term assets and infrastructure. That is unchanged from the same quarter a year earlier. Against the prior quarter it is down 41.5%.

ALSN Income Statement

Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type. Each change compares the year with the year before it, and each quarter with the same quarter a year earlier.

ALSN quarterly income statement

Metric	TTM	FY2510-K	FY2410-K	FY2310-K	FY2210-K	FY2110-K	FY2010-K	FY1910-K	FY1810-K	FY1710-K	FY1610-K	FY1510-K	FY1410-K	FY1310-K	FY1210-K	FY1110-K
Revenue	$4.4B	$3.0B-6.7%	$3.2B+6.3%	$3.0B+9.6%	$2.8B+15.3%	$2.4B+15.4%	$2.1B-22.9%	$2.7B-0.6%	$2.7B+19.9%	$2.3B+22.9%	$1.8B-7.4%	$2.0B-6.6%	$2.1B+10.4%	$1.9B-10.0%	$2.1B-1.0%	$2.2B
Cost of Revenue	$2.8B	$1.5B-8.8%	$1.7B+8.4%	$1.6B+6.3%	$1.5B+17.1%	$1.3B+16.1%	$1.1B-16.9%	$1.3B+1.0%	$1.3B+14.1%	$1.1B+15.9%	$976.0M-7.2%	$1.1B-8.6%	$1.2B+6.1%	$1.1B-8.6%	$1.2B-1.7%	$1.2B
Gross Profit	$1.6B	$1.5B-4.3%	$1.5B+4.0%	$1.5B+13.3%	$1.3B+13.3%	$1.1B+14.7%	$998.0M-28.4%	$1.4B-2.0%	$1.4B+25.7%	$1.1B+30.9%	$864.0M-7.5%	$934.0M-4.3%	$975.9M+15.9%	$841.9M-11.8%	$954.3M0.0%	$954.5M
R&D Expenses	$199.0M	$174.0M-13.0%	$200.0M+3.1%	$194.0M+4.9%	$185.0M+8.2%	$171.0M+16.3%	$147.0M-4.5%	$154.0M+17.6%	$131.0M+24.8%	$105.0M+19.3%	$88.0M-5.4%	$93.0M-10.4%	$103.8M+6.9%	$97.1M-15.6%	$115.1M-1.1%	$116.4M
SG&A Expenses	$514.0M	$380.0M+13.1%	$336.0M-5.9%	$357.0M+8.8%	$328.0M+7.5%	$305.0M-3.8%	$317.0M-11.0%	$356.0M-3.3%	$368.0M+7.6%	$342.0M+5.6%	$324.0M+2.2%	$317.0M-8.0%	$344.6M+2.9%	$334.9M-20.1%	$419.0M+2.4%	$409.1M
Operating Income	$861.0M	$880.0M-11.3%	$992.0M+7.9%	$919.0M+17.2%	$784.0M+17.2%	$669.0M+25.3%	$534.0M-40.1%	$892.0M-3.4%	$923.0M+41.6%	$652.0M+44.2%	$452.0M+5.4%	$429.0M-16.2%	$512.1M+24.9%	$409.9M-2.5%	$420.2M-2.1%	$429.0M
EBITDA	N/A	$1.0B-9.8%	$1.1B+3.7%	$1.1B+14.3%	$939.0M+14.7%	$819.0M+20.1%	$682.0M-35.6%	$1.1B-2.6%	$1.1B+32.2%	$822.0M+30.9%	$628.0M+2.3%	$614.0M-12.9%	$704.7M+14.8%	$613.9M-8.7%	$672.7M-1.8%	$684.7M
Interest Expense	-$164.0M	-$92.0M-3.4%	-$89.0M+16.8%	-$107.0M+9.3%	-$118.0M-1.7%	-$116.0M+15.3%	-$137.0M-2.2%	-$134.0M-10.7%	-$121.0M-17.5%	-$103.0M-2.0%	-$101.0M	N/A	N/A	N/A	N/A	N/A
Income Tax	$160.0M	$181.0M+9.0%	$166.0M+7.8%	$154.0M+35.1%	$114.0M-12.3%	$130.0M+38.3%	$94.0M-42.7%	$164.0M-1.2%	$166.0M+621.7%	$23.0M-81.7%	$126.0M+17.8%	$107.0M-23.3%	$139.5M+38.5%	$100.7M+133.8%	-$298.0M-726.1%	$47.6M
Net Income	$529.0M	$623.0M-14.8%	$731.0M+8.6%	$673.0M+26.7%	$531.0M+20.1%	$442.0M+47.8%	$299.0M-50.5%	$604.0M-5.5%	$639.0M+26.8%	$504.0M+134.4%	$215.0M+18.1%	$182.0M-20.4%	$228.6M+38.2%	$165.4M-67.8%	$514.2M+399.2%	$103.0M
EPS (Basic)	N/A	$7.42-11.7%	$8.40+12.3%	$7.48+35.3%	$5.53+33.9%	$4.13+57.6%	$2.62-47.1%	$4.95+2.9%	$4.81+42.3%	$3.38+164.1%	$1.28+24.3%	$1.03-18.9%	$1.27+41.1%	$0.90-68.2%	$2.83+396.5%	$0.57
EPS (Diluted)	$6.28	$7.33-11.8%	$8.31+12.3%	$7.40+33.8%	$5.53+33.9%	$4.13+57.6%	$2.62-46.6%	$4.91+2.7%	$4.78+42.3%	$3.36+164.6%	$1.27+23.3%	$1.03-17.6%	$1.25+42.0%	$0.88-68.1%	$2.76+392.9%	$0.56
Diluted Shares (Avg)	N/A	85M-3.4%	88M-3.3%	91M-5.2%	96M-10.3%	107M-6.1%	114M-7.3%	123M-8.2%	134M-10.7%	150M-11.2%	169M-4.5%	177M-2.9%	182M-3.0%	188M+0.9%	186M+1.6%	183M

Metric	Q2'2610-Q	Q1'2610-Q	Q4'2510-Q	Q3'2510-Q	Q2'2510-Q	Q1'2510-Q	Q4'2410-K	Q3'2410-Q
Revenue	$1.6B+92.4%	$1.4B+83.6%	$737.0M-7.4%	$693.0M-15.9%	$814.0M-0.2%	$766.0M-2.9%	$796.0M+2.7%	$824.0M+12.0%
Cost of Revenue	$1.1B+155.7%	$1.0B+157.7%	$384.0M-9.2%	$364.0M-15.0%	$411.0M-2.6%	$388.0M-8.3%	$423.0M+4.7%	$428.0M+12.9%
Gross Profit	$515.0M+27.8%	$406.0M+7.4%	$353.0M-5.4%	$329.0M-16.9%	$403.0M+2.3%	$378.0M+3.3%	$373.0M+0.5%	$396.0M+10.9%
R&D Expenses	$56.0M+30.2%	$54.0M+28.6%	$46.0M-14.8%	$43.0M-15.7%	$43.0M-12.2%	$42.0M-8.7%	$54.0M0.0%	$51.0M+4.1%
SG&A Expenses	$168.0M+61.5%	$157.0M+80.5%	$107.0M+28.9%	$82.0M-3.5%	$104.0M+26.8%	$87.0M+1.2%	$83.0M-9.8%	$85.0M-1.2%
Operating Income	$291.0M+13.7%	$195.0M-21.7%	$171.0M-27.2%	$204.0M-21.5%	$256.0M-2.7%	$249.0M+6.4%	$235.0M+4.4%	$260.0M+17.1%
EBITDA	$377.0M+31.8%	$276.0M-1.1%	$203.0M-23.7%	$236.0M-18.3%	$286.0M-2.1%	$279.0M+4.9%	$266.0M+0.4%	$289.0M+10.7%
Interest Expense	-$54.0M-145.5%	-$61.0M-190.5%	-$25.0M-19.0%	-$24.0M-14.3%	-$22.0M0.0%	-$21.0M+16.0%	-$21.0M+12.5%	-$21.0M+22.2%
Income Tax	$47.0M0.0%	$20.0M-51.2%	$48.0M+37.1%	$45.0M-8.2%	$47.0M0.0%	$41.0M+17.1%	$35.0M-2.8%	$49.0M+40.0%
Net Income	$181.0M-7.2%	$112.0M-41.7%	$99.0M-43.4%	$137.0M-31.5%	$195.0M+4.3%	$192.0M+13.6%	$175.0M+2.9%	$200.0M+26.6%
EPS (Basic)	$2.18-6.0%	$1.35-40.3%	$1.18-41.3%	$1.63-29.1%	$2.32+7.9%	$2.26+17.7%	$2.01+3.1%	$2.30+30.7%
EPS (Diluted)	$2.15-6.1%	$1.33-40.4%	$1.17-41.2%	$1.63-28.2%	$2.29+7.5%	$2.23+17.4%	$1.99+6.4%	$2.27+29.0%
Diluted Shares (Avg)	84M-1.2%	84M-2.3%	N/A	84M-4.5%	85M-3.4%	86M-3.4%	N/A	88M-2.2%

ALSN Balance Sheet

ALSN quarterly balance sheet

Metric	FY2510-K	FY2410-K	FY2310-K	FY2210-K	FY2110-K	FY2010-K	FY1910-K	FY1810-K	FY1710-K	FY1610-K	FY1510-K	FY1410-K	FY1310-K	FY1210-K	FY1110-K
Total Assets	$6.1B+14.0%	$5.3B+6.2%	$5.0B+7.6%	$4.7B+4.8%	$4.5B-0.4%	$4.5B+0.6%	$4.5B+5.0%	$4.2B+0.8%	$4.2B-0.3%	$4.2B-4.3%	$4.4B-5.3%	$4.7B-3.2%	$4.8B-1.1%	$4.9B-6.3%	$5.2B
Current Assets	$2.2B+45.2%	$1.5B+23.0%	$1.3B+44.3%	$866.0M+29.1%	$671.0M-11.2%	$756.0M+10.2%	$686.0M-5.4%	$725.0M+14.7%	$632.0M+15.3%	$548.0M-11.2%	$616.8M-3.4%	$638.3M+5.2%	$606.9M+23.8%	$490.3M-30.2%	$702.7M
Cash & Equivalents	$1.5B+91.4%	$781.0M+40.7%	$555.0M+139.2%	$232.0M+82.7%	$127.0M-59.0%	$310.0M+61.5%	$192.0M-16.9%	$231.0M+16.1%	$199.0M-2.9%	$205.0M-18.7%	$252.0M-4.2%	$263.0M+42.4%	$184.7M+130.3%	$80.2M-74.5%	$314.0M
Short-Term Investments	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0
Inventory	$316.0M+0.3%	$315.0M+14.1%	$276.0M+23.2%	$224.0M+9.8%	$204.0M+12.7%	$181.0M-9.0%	$199.0M+17.1%	$170.0M+10.4%	$154.0M+22.2%	$126.0M-10.9%	$141.4M-1.5%	$143.5M-10.5%	$160.4M+2.1%	$157.1M+0.8%	$155.9M
Accounts Receivable	$333.0M-7.5%	$360.0M+1.1%	$356.0M-1.9%	$363.0M+20.6%	$301.0M+32.0%	$228.0M-9.9%	$253.0M-9.3%	$279.0M+26.2%	$221.0M+12.2%	$197.0M+1.0%	$195.0M-6.0%	$207.4M+18.4%	$175.1M+6.1%	$165.0M-15.3%	$194.7M
Long-Term Investments	$24.0M+118.2%	$11.0M-45.0%	$20.0M-9.1%	$22.0M-52.2%	$46.0M	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0
Goodwill	$2.1B0.0%	$2.1B0.0%	$2.1B0.0%	$2.1B+0.5%	$2.1B0.0%	$2.1B+1.1%	$2.0B+5.2%	$1.9B0.0%	$1.9B0.0%	$1.9B0.0%	$1.9B0.0%	$1.9B0.0%	$1.9B0.0%	$1.9B0.0%	$1.9B
Total Liabilities	$4.2B+14.4%	$3.7B-2.8%	$3.8B-0.1%	$3.8B-0.7%	$3.8B+2.7%	$3.7B+1.4%	$3.7B+2.5%	$3.6B+1.8%	$3.5B+12.0%	$3.1B-2.5%	$3.2B-1.2%	$3.3B-3.4%	$3.4B-3.9%	$3.5B-19.7%	$4.4B
Current Liabilities	$460.0M-9.1%	$506.0M+1.0%	$501.0M+4.4%	$480.0M+4.6%	$459.0M+23.1%	$373.0M-10.6%	$417.0M-2.1%	$426.0M+2.2%	$417.0M+21.9%	$342.0M+12.3%	$304.6M-11.9%	$345.9M-10.7%	$387.2M+2.5%	$377.8M-16.0%	$449.9M
Non-Current Liabilities	$3.8B+18.1%	$3.2B-3.4%	$3.3B-0.8%	$3.3B-1.4%	$3.4B+0.5%	$3.3B+3.0%	$3.3B+3.2%	$3.2B+1.7%	$3.1B+10.8%	$2.8B-4.1%	$2.9B+0.1%	$2.9B-2.5%	$3.0B-4.6%	$3.1B-20.1%	$3.9B
Long-Term Debt	$2.9B+20.5%	$2.4B-4.1%	$2.5B-0.2%	$2.5B-0.1%	$2.5B-0.1%	$2.5B-0.2%	$2.5B-0.4%	$2.5B-0.4%	$2.5B+18.0%	$2.1B-8.7%	$2.4B-4.9%	$2.5B-7.0%	$2.7B-5.0%	$2.8B-16.3%	$3.3B
Total Equity	$1.9B+13.1%	$1.7B+33.9%	$1.2B+41.1%	$874.0M+37.9%	$634.0M-16.1%	$756.0M-3.2%	$781.0M+18.5%	$659.0M-4.4%	$689.0M-36.3%	$1.1B-9.0%	$1.2B-15.0%	$1.4B-2.8%	$1.4B+6.0%	$1.4B+65.1%	$821.7M
Retained Earnings	-$38.0M+84.1%	-$239.0M+61.9%	-$628.0M+34.1%	-$953.0M+15.4%	-$1.1B-15.6%	-$974.0M-0.4%	-$970.0M+11.8%	-$1.1B-4.3%	-$1.1B-80.0%	-$586.0M-31.8%	-$444.5M-106.3%	-$215.5M-24.0%	-$173.8M+14.1%	-$202.3M+70.4%	-$683.7M

Metric	Q2'2610-Q	Q1'2610-Q	Q4'2510-Q	Q3'2510-Q	Q2'2510-Q	Q1'2510-Q	Q4'2410-K	Q3'2410-Q
Total Assets	$8.7B+61.1%	$8.7B+62.2%	$6.1B+14.0%	$5.5B+2.8%	$5.4B+4.5%	$5.4B+6.1%	$5.3B+6.2%	$5.4B+7.6%
Current Assets	$2.4B+50.5%	$2.3B+47.1%	$2.2B+45.2%	$1.7B+5.0%	$1.6B+11.5%	$1.6B+20.4%	$1.5B+23.0%	$1.6B+30.8%
Cash & Equivalents	$399.0M-48.7%	$311.0M-58.7%	$1.5B+91.4%	$902.0M+14.5%	$778.0M+20.1%	$753.0M+36.7%	$781.0M+40.7%	$788.0M+57.3%
Short-Term Investments	$0	$0	$0	$0	$0	$0	$0	$0
Inventory	$840.0M+146.3%	$835.0M+139.3%	$316.0M+0.3%	$331.0M+1.5%	$341.0M+12.5%	$349.0M+20.8%	$315.0M+14.1%	$326.0M+16.0%
Accounts Receivable	$911.0M+142.9%	$892.0M+134.1%	$333.0M-7.5%	$329.0M-16.3%	$375.0M-2.1%	$381.0M-2.8%	$360.0M+1.1%	$393.0M+5.6%
Long-Term Investments	$0-100.0%	$27.0M+80.0%	$24.0M+118.2%	$23.0M+76.9%	$19.0M+72.7%	$15.0M+7.1%	$11.0M-45.0%	$13.0M-38.1%
Goodwill	$2.8B+35.5%	$2.8B+36.2%	$2.1B0.0%	$2.1B0.0%	$2.1B0.0%	$2.1B0.0%	$2.1B0.0%	$2.1B0.0%
Total Liabilities	$6.7B+84.2%	$6.8B+83.7%	$4.2B+14.4%	$3.7B-1.9%	$3.7B-0.9%	$3.7B-0.4%	$3.7B-2.8%	$3.7B-1.5%
Current Liabilities	$1.3B+180.1%	$1.2B+143.1%	$460.0M-9.1%	$438.0M-22.2%	$472.0M-7.6%	$513.0M-1.0%	$506.0M+1.0%	$563.0M+11.7%
Non-Current Liabilities	$5.4B+70.0%	$5.6B+74.2%	$3.8B+18.1%	$3.2B+1.7%	$3.2B+0.2%	$3.2B-0.3%	$3.2B-3.4%	$3.2B-3.5%
Long-Term Debt	$4.1B+71.0%	$4.2B+77.3%	$2.9B+20.5%	$2.4B-0.1%	$2.4B-0.1%	$2.4B-0.1%	$2.4B-4.1%	$2.4B-4.1%
Total Equity	$2.0B+12.9%	$1.9B+14.3%	$1.9B+13.1%	$1.8B+13.6%	$1.8B+18.1%	$1.7B+24.1%	$1.7B+33.9%	$1.6B+36.9%
Retained Earnings	$139.0M+188.5%	$29.0M+112.8%	-$38.0M+84.1%	-$70.0M+74.3%	-$157.0M+60.7%	-$226.0M+57.6%	-$239.0M+61.9%	-$272.0M+59.4%

ALSN Cash Flow Statement

ALSN quarterly cash flow statement

Metric	TTM	FY2510-K	FY2410-K	FY2310-K	FY2210-K	FY2110-K	FY2010-K	FY1910-K	FY1810-K	FY1710-K	FY1610-K	FY1510-K	FY1410-K	FY1310-K	FY1210-K	FY1110-K
Operating Cash Flow	$939.0M	$836.0M+4.4%	$801.0M+2.2%	$784.0M+19.3%	$657.0M+3.5%	$635.0M+13.2%	$561.0M-33.8%	$847.0M+1.2%	$837.0M+27.2%	$658.0M+11.3%	$591.0M+1.9%	$580.0M+1.2%	$573.3M+26.4%	$453.5M-8.8%	$497.5M+6.0%	$469.2M
Depreciation & Amortization	N/A	$124.0M+2.5%	$121.0M-21.4%	$154.0M-0.6%	$155.0M+3.3%	$150.0M+1.4%	$148.0M-11.4%	$167.0M+1.8%	$164.0M-3.5%	$170.0M-3.4%	$176.0M-4.9%	$185.0M-3.9%	$192.6M-5.6%	$204.0M-19.2%	$252.5M-1.3%	$255.7M
Stock-Based Compensation	N/A	$27.0M+3.8%	$26.0M+18.2%	$22.0M+22.2%	$18.0M+28.6%	$14.0M-17.6%	$17.0M+30.8%	$13.0M0.0%	$13.0M+8.3%	$12.0M+33.3%	$9.0M-10.0%	$10.0M-32.0%	$14.7M+7.3%	$13.7M+114.1%	$6.4M-20.0%	$8.0M
Capital Expenditures	$202.0M	$175.0M+22.4%	$143.0M+14.4%	$125.0M-25.1%	$167.0M-4.6%	$175.0M+52.2%	$115.0M-33.1%	$172.0M+72.0%	$100.0M+9.9%	$91.0M+28.2%	$71.0M+22.4%	$58.0M-9.5%	$64.1M-13.8%	$74.4M-40.0%	$123.9M+27.9%	$96.9M
Free Cash Flow	$737.0M	$661.0M+0.5%	$658.0M-0.2%	$659.0M+34.5%	$490.0M+6.5%	$460.0M+3.1%	$446.0M-33.9%	$675.0M-8.4%	$737.0M+30.0%	$567.0M+9.0%	$520.0M-0.4%	$522.0M+2.5%	$509.2M+34.3%	$379.1M+1.5%	$373.6M+0.3%	$372.3M
Investing Cash Flow	-$2.7B	-$184.0M-25.2%	-$147.0M-14.0%	-$129.0M+29.5%	-$183.0M+13.7%	-$212.0M-91.0%	-$111.0M+72.6%	-$405.0M-293.2%	-$103.0M-9.6%	-$94.0M-30.6%	-$72.0M	N/A	N/A	-$81.5M+41.2%	-$138.7M-148.1%	-$55.9M
Financing Cash Flow	$1.4B	$57.0M+113.3%	-$427.0M-28.6%	-$332.0M+9.5%	-$367.0M+39.2%	-$604.0M-80.3%	-$335.0M+30.2%	-$480.0M+31.4%	-$700.0M-22.0%	-$574.0M-1.8%	-$564.0M	N/A	N/A	-$277.5M+53.2%	-$593.5M-60.4%	-$369.9M
Dividends Paid	$94.0M	$91.0M+4.6%	$87.0M+4.8%	$83.0M+3.8%	$80.0M-1.2%	$81.0M+3.8%	$78.0M+6.8%	$73.0M-8.8%	$80.0M-10.1%	$89.0M-11.0%	$100.0M-5.7%	$106.0M+15.7%	$91.6M+18.8%	$77.1M+135.1%	$32.8M	N/A
Share Buybacks	$139.0M	$328.0M+29.1%	$254.0M-3.4%	$263.0M-5.4%	$278.0M-45.8%	$513.0M+128.0%	$225.0M-42.7%	$393.0M-35.5%	$609.0M-31.2%	$885.0M+245.7%	$256.0M-16.3%	$306.0M+22.5%	$249.8M+151.1%	$99.5M	N/A	N/A

Metric	Q2'2610-Q	Q1'2610-Q	Q4'2510-Q	Q3'2510-Q	Q2'2510-Q	Q1'2510-Q	Q4'2410-K	Q3'2410-Q
Operating Cash Flow	$312.0M+69.6%	$156.0M-13.8%	$243.0M+15.2%	$228.0M-7.3%	$184.0M+7.6%	$181.0M+4.6%	$211.0M-11.3%	$246.0M+16.0%
Depreciation & Amortization	$86.0M+186.7%	$81.0M+170.0%	$32.0M+3.2%	$32.0M+10.3%	$30.0M+3.4%	$30.0M-6.3%	$31.0M-22.5%	$29.0M-25.6%
Stock-Based Compensation	N/A	$7.0M+16.7%	N/A	N/A	N/A	$6.0M0.0%	N/A	N/A
Capital Expenditures	$31.0M0.0%	$53.0M+103.8%	$74.0M-1.3%	$44.0M+22.2%	$31.0M+47.6%	$26.0M+136.4%	$75.0M+44.2%	$36.0M+20.0%
Free Cash Flow	$281.0M+83.7%	$103.0M-33.5%	$169.0M+24.3%	$184.0M-12.4%	$153.0M+2.0%	$155.0M-4.3%	$136.0M-26.9%	$210.0M+15.4%
Investing Cash Flow	$0+100.0%	-$2.6B-9961.5%	-$76.0M+1.3%	-$49.0M-28.9%	-$33.0M-65.0%	-$26.0M-116.7%	-$77.0M-32.8%	-$38.0M-26.7%
Financing Cash Flow	-$224.0M-69.7%	$1.3B+795.7%	$425.0M+403.6%	-$52.0M+24.6%	-$132.0M-144.4%	-$184.0M-12.2%	-$140.0M-10.2%	-$69.0M-122.6%
Dividends Paid	$24.0M+9.1%	$25.0M+4.2%	$22.0M+4.8%	$23.0M+4.5%	$22.0M0.0%	$24.0M+9.1%	$21.0M+5.0%	$22.0M+10.0%
Share Buybacks	$46.0M-56.2%	$20.0M-86.7%	$46.0M-62.0%	$27.0M-46.0%	$105.0M+238.7%	$150.0M+188.5%	$121.0M+14.2%	$50.0M+150.0%

ALSN Financial Ratios

Margins and returns are percentages; the remaining ratios are unitless multiples. Each change compares the year with the year before it, and each quarter with the same quarter a year earlier.

ALSN quarterly financial ratios

Metric	FY2510-K	FY2410-K	FY2310-K	FY2210-K	FY2110-K	FY2010-K	FY1910-K	FY1810-K	FY1710-K	FY1610-K	FY1510-K	FY1410-K	FY1310-K	FY1210-K	FY1110-K
Gross Margin	48.6%+1.2pp	47.4%-1.0pp	48.4%+1.6pp	46.8%-0.8pp	47.7%-0.3pp	48.0%-3.7pp	51.7%-0.7pp	52.4%+2.4pp	50.0%+3.0pp	47.0%-0.1pp	47.0%+1.2pp	45.9%+2.2pp	43.7%-0.9pp	44.6%+0.4pp	44.1%
Operating Margin	29.2%-1.5pp	30.8%+0.5pp	30.3%+2.0pp	28.3%+0.5pp	27.9%+2.2pp	25.7%-7.4pp	33.1%-1.0pp	34.0%+5.2pp	28.8%+4.3pp	24.6%+3.0pp	21.6%-2.5pp	24.1%+2.8pp	21.3%+1.6pp	19.6%-0.2pp	19.8%
Net Margin	20.7%-2.0pp	22.7%+0.5pp	22.2%+3.0pp	19.2%+0.8pp	18.4%+4.0pp	14.4%-8.0pp	22.4%-1.2pp	23.5%+1.3pp	22.3%+10.6pp	11.7%+2.5pp	9.2%-1.6pp	10.8%+2.2pp	8.6%-15.4pp	24.0%+19.3pp	4.8%
Return on Equity	33.4%-10.9pp	44.3%-10.3pp	54.6%-6.2pp	60.8%-9.0pp	69.7%+30.2pp	39.6%-37.8pp	77.3%-19.6pp	97.0%+23.8pp	73.2%+53.3pp	19.9%+4.6pp	15.3%-1.0pp	16.4%+4.9pp	11.5%-26.4pp	37.9%+25.4pp	12.5%
Return on Assets	10.2%-3.5pp	13.7%+0.3pp	13.4%+2.0pp	11.4%+1.4pp	9.9%+3.2pp	6.7%-6.9pp	13.6%-1.5pp	15.1%+3.1pp	12.0%+6.9pp	5.1%+1.0pp	4.1%-0.8pp	4.9%+1.5pp	3.4%-7.1pp	10.6%+8.6pp	2.0%
Current Ratio	4.85+1.8x	3.04+0.5x	2.50+0.7x	1.80+0.3x	1.46-0.6x	2.03+0.4x	1.65-0.1x	1.70+0.2x	1.52-0.1x	1.60-0.4x	2.02+0.2x	1.85+0.3x	1.57+0.3x	1.30-0.3x	1.56
Debt-to-Equity	1.55+0.1x	1.45-0.6x	2.03-0.8x	2.86-1.1x	3.95+0.6x	3.32+0.1x	3.22-0.6x	3.83+0.2x	3.68+1.7x	1.990.0x	1.98+0.2x	1.77-0.1x	1.85-0.2x	2.06-2.0x	4.07
Asset Turnover	0.49-0.1x	0.600.0x	0.600.0x	0.59+0.1x	0.54+0.1x	0.46-0.1x	0.610.0x	0.64+0.1x	0.54+0.1x	0.440.0x	0.450.0x	0.46+0.1x	0.400.0x	0.440.0x	0.42
FCF Margin	22.0%+1.6pp	20.4%-1.3pp	21.7%+4.0pp	17.7%-1.5pp	19.1%-2.3pp	21.4%-3.6pp	25.0%-2.2pp	27.2%+2.1pp	25.1%-3.2pp	28.3%+2.0pp	26.3%+2.3pp	23.9%+4.3pp	19.7%+2.2pp	17.4%+0.2pp	17.2%

Metric	Q2'2610-Q	Q1'2610-Q	Q4'2510-Q	Q3'2510-Q	Q2'2510-Q	Q1'2510-Q	Q4'2410-K	Q3'2410-Q
Gross Margin	32.9%-16.6pp	28.9%-20.5pp	47.9%+1.0pp	47.5%-0.6pp	49.5%+1.2pp	49.4%+3.0pp	46.9%-1.0pp	48.1%-0.4pp
Operating Margin	18.6%-12.9pp	13.9%-18.6pp	23.2%-6.3pp	29.4%-2.1pp	31.4%-0.8pp	32.5%+2.9pp	29.5%+0.5pp	31.6%+1.4pp
Net Margin	11.6%-12.4pp	8.0%-17.1pp	13.4%-8.5pp	19.8%-4.5pp	24.0%+1.0pp	25.1%+3.6pp	22.0%0.0pp	24.3%+2.8pp
Return on Equity	9.2%-2.0pp	5.9%-5.6pp	5.3%-5.3pp	7.4%-4.9pp	11.1%-1.5pp	11.5%-1.1pp	10.6%-3.2pp	12.3%-1.0pp
Return on Assets	2.1%-1.5pp	1.3%-2.3pp	1.6%-1.7pp	2.5%-1.3pp	3.6%0.0pp	3.6%+0.2pp	3.3%-0.1pp	3.7%+0.6pp
Current Ratio	1.81-1.6x	1.85-1.2x	4.85+1.8x	3.82+1.0x	3.36+0.6x	3.05+0.5x	3.04+0.5x	2.83+0.4x
Debt-to-Equity	2.07+0.7x	2.23+0.8x	1.55+0.1x	1.30-0.2x	1.37-0.2x	1.44-0.3x	1.45-0.6x	1.48-0.6x
Asset Turnover	0.180.0x	0.160.0x	0.120.0x	0.130.0x	0.150.0x	0.140.0x	0.150.0x	0.150.0x
FCF Margin	17.9%-0.9pp	7.3%-12.9pp	22.9%+5.8pp	26.6%+1.1pp	18.8%+0.4pp	20.2%-0.3pp	17.1%-6.9pp	25.5%+0.8pp

Similar Companies

Newest fiscal year on record for each company. The health score is the peer-relative Financial Health Score for that year; a dash means no score is published for it.

Company	Fiscal year	Revenue	Net income	Net margin	Market cap	Health score
ALLISON TRANSMISSION HOLDINGS, INC. ALSN	FY2025	$3.0B	$623.0M	20.7%	$10.5B	72/100
Modine Manufacturing Co MOD	FY2026	$3.2B	$121.5M	3.8%	$9.5B	64/100
BorgWarner Inc. BWA	FY2025	$14.3B	$277.0M	1.9%	$13.4B	50/100
Gentex Corp GNTX	FY2025	$2.5B	$384.8M	15.2%	$4.8B	77/100
Autoliv, Inc. ALV	FY2025	$10.8B	$735.0M	6.8%	$8.9B	52/100
LKQ Corporation LKQ	FY2025	$13.7B	$608.0M	4.5%	$6.0B	52/100

Where ALLISON TRANSMISSION HOLDINGS, INC. Ranks

Frequently Asked Questions

What is ALLISON TRANSMISSION HOLDINGS, INC.'s annual revenue?

ALLISON TRANSMISSION HOLDINGS, INC. (ALSN) reported $3.0B in total revenue for fiscal year 2025. This represents a -6.7% change compared to the previous fiscal year. Revenue measures the total income earned from the company's primary business operations before any expenses are deducted.

How fast is ALLISON TRANSMISSION HOLDINGS, INC.'s revenue growing?

ALLISON TRANSMISSION HOLDINGS, INC. (ALSN) revenue declined by 6.7% year-over-year, from $3.2B to $3.0B in fiscal year 2025.

Is ALLISON TRANSMISSION HOLDINGS, INC. profitable?

Yes, ALLISON TRANSMISSION HOLDINGS, INC. (ALSN) reported a net income of $623.0M in fiscal year 2025, with a net profit margin of 20.7%.

What is ALLISON TRANSMISSION HOLDINGS, INC.'s EBITDA?

ALLISON TRANSMISSION HOLDINGS, INC. (ALSN) had EBITDA of $1.0B in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization.

How much debt does ALLISON TRANSMISSION HOLDINGS, INC. have?

As of fiscal year 2025, ALLISON TRANSMISSION HOLDINGS, INC. (ALSN) had $1.5B in cash and equivalents against $2.9B in long-term debt.

What is ALLISON TRANSMISSION HOLDINGS, INC.'s gross margin?

ALLISON TRANSMISSION HOLDINGS, INC. (ALSN) had a gross margin of 48.6% in fiscal year 2025, indicating the percentage of revenue retained after direct costs of goods sold.

What is ALLISON TRANSMISSION HOLDINGS, INC.'s operating margin?

ALLISON TRANSMISSION HOLDINGS, INC. (ALSN) had an operating margin of 29.2% in fiscal year 2025, reflecting the profitability of core business operations before interest and taxes.

What is ALLISON TRANSMISSION HOLDINGS, INC.'s net profit margin?

ALLISON TRANSMISSION HOLDINGS, INC. (ALSN) had a net profit margin of 20.7% in fiscal year 2025, representing the share of revenue converted into profit after all expenses.

Does ALLISON TRANSMISSION HOLDINGS, INC. pay dividends?

Yes, ALLISON TRANSMISSION HOLDINGS, INC. (ALSN) paid $1.08 per share in dividends during fiscal year 2025.

What is ALLISON TRANSMISSION HOLDINGS, INC.'s return on equity (ROE)?

ALLISON TRANSMISSION HOLDINGS, INC. (ALSN) has a return on equity of 33.4% for fiscal year 2025, measuring how efficiently the company generates profit from shareholder equity.

What is ALLISON TRANSMISSION HOLDINGS, INC.'s free cash flow?

ALLISON TRANSMISSION HOLDINGS, INC. (ALSN) generated $661.0M in free cash flow during fiscal year 2025. This represents a 0.5% change compared to the previous fiscal year. Free cash flow represents the cash a company generates after accounting for capital expenditures, and is widely used to assess financial flexibility and shareholder value.

What is ALLISON TRANSMISSION HOLDINGS, INC.'s operating cash flow?

ALLISON TRANSMISSION HOLDINGS, INC. (ALSN) generated $836.0M in operating cash flow during fiscal year 2025, representing cash generated from core business activities.

What are ALLISON TRANSMISSION HOLDINGS, INC.'s total assets?

ALLISON TRANSMISSION HOLDINGS, INC. (ALSN) had $6.1B in total assets as of fiscal year 2025, including both current and long-term assets.

What are ALLISON TRANSMISSION HOLDINGS, INC.'s capital expenditures?

ALLISON TRANSMISSION HOLDINGS, INC. (ALSN) invested $175.0M in capital expenditures during fiscal year 2025, funding long-term assets and infrastructure.

How much does ALLISON TRANSMISSION HOLDINGS, INC. spend on research and development?

ALLISON TRANSMISSION HOLDINGS, INC. (ALSN) invested $174.0M in research and development during fiscal year 2025.

Does ALLISON TRANSMISSION HOLDINGS, INC. buy back shares?

Yes, ALLISON TRANSMISSION HOLDINGS, INC. (ALSN) spent $328.0M on share buybacks during fiscal year 2025, returning capital to shareholders by reducing shares outstanding.

How many shares does ALLISON TRANSMISSION HOLDINGS, INC. have outstanding?

ALLISON TRANSMISSION HOLDINGS, INC. (ALSN) had 83M shares outstanding as of fiscal year 2025.

What is ALLISON TRANSMISSION HOLDINGS, INC.'s current ratio?

ALLISON TRANSMISSION HOLDINGS, INC. (ALSN) had a current ratio of 4.85 as of fiscal year 2025, which is generally considered healthy.

What is ALLISON TRANSMISSION HOLDINGS, INC.'s debt-to-equity ratio?

ALLISON TRANSMISSION HOLDINGS, INC. (ALSN) had a debt-to-equity ratio of 1.55 as of fiscal year 2025, measuring the company's financial leverage by comparing total debt to shareholder equity.

What is ALLISON TRANSMISSION HOLDINGS, INC.'s return on assets (ROA)?

ALLISON TRANSMISSION HOLDINGS, INC. (ALSN) had a return on assets of 10.2% for fiscal year 2025, measuring how efficiently the company uses its assets to generate profit.

What is ALLISON TRANSMISSION HOLDINGS, INC.'s P/E ratio?

ALLISON TRANSMISSION HOLDINGS, INC. (ALSN) trades at 19.8x earnings, its market capitalization divided by net income of $529.0M net income, trailing 12 months to June 30, 2026. The market capitalization is $10.5B as of Sep 12, 2026; a multiple compares that price with a filed figure and says nothing about the quality of the business.

What is ALLISON TRANSMISSION HOLDINGS, INC.'s price-to-sales ratio?

ALLISON TRANSMISSION HOLDINGS, INC. (ALSN) trades at 2.4x sales, its market capitalization divided by revenue of $4.4B revenue, trailing 12 months to June 30, 2026. The market capitalization is $10.5B as of Sep 12, 2026; a multiple compares that price with a filed figure and says nothing about the quality of the business.

What is ALLISON TRANSMISSION HOLDINGS, INC.'s Altman Z-Score?

ALLISON TRANSMISSION HOLDINGS, INC. (ALSN) has an Altman Z-Score of 2.81, placing it in the Grey Zone (moderate risk). The Z-Score combines five financial ratios (working capital, retained earnings, EBIT, market capitalization, and revenue relative to total assets) to predict the likelihood of bankruptcy. Scores above 2.99 indicate financial safety while scores below 1.81 suggest financial distress. Learn more in our complete guide to financial health indicators.

What is ALLISON TRANSMISSION HOLDINGS, INC.'s Piotroski F-Score?

ALLISON TRANSMISSION HOLDINGS, INC. (ALSN) has a Piotroski F-Score of 6 out of 9, indicating neutral financial health. The F-Score evaluates nine binary signals across profitability (positive ROA, positive cash flow, improving ROA, earnings quality), leverage (decreasing debt, improving liquidity, no share dilution), and operating efficiency (improving gross margin, improving asset turnover). Scores of 7 to 9 indicate strong and improving fundamentals. Learn more in our complete guide to financial health indicators.

Are ALLISON TRANSMISSION HOLDINGS, INC.'s earnings high quality?

ALLISON TRANSMISSION HOLDINGS, INC. (ALSN) has an earnings quality ratio of 1.34x, considered cash-backed (high quality). This ratio compares operating cash flow to net income. A ratio above 1.0x means the company generates more cash than its reported earnings, indicating sustainable, cash-backed profits. Ratios below 1.0x suggest earnings rely on accounting accruals rather than actual cash generation. Learn more in our complete guide to financial health indicators.

Can ALLISON TRANSMISSION HOLDINGS, INC. cover its interest payments?

ALLISON TRANSMISSION HOLDINGS, INC. (ALSN) has an interest coverage ratio of 9.57x, meaning it can comfortably cover its interest obligations. This ratio divides operating income by interest expense. Ratios above 5x indicate strong debt-servicing ability, while ratios below 2x suggest the company may face difficulty meeting interest payments if earnings decline. Learn more in our complete guide to financial health indicators.

How financially healthy is ALLISON TRANSMISSION HOLDINGS, INC.?

ALLISON TRANSMISSION HOLDINGS, INC. (ALSN) scores 72 out of 100 on our Financial Health Score, indicating strong standing within its operating companies peer group. The score is a 0-100 composite of six dimensions (Profitability, Growth, Leverage, Liquidity, Cash Flow, Returns), each ranked as a percentile relative to companies in the same scoring family (banks against banks, REITs against REITs, and so on) rather than across all industries. It rates the quality of the business, not whether the stock is fairly priced, and is not financial advice. Learn more in our complete guide to financial health indicators.