Filing Flows › Allison Transmission Holdings (ALSN) › Q3 2025
Allison Transmission Holdings (ALSN) Q3 2025 earnings results (third quarter 2025)
10-Q filed Oct 30, 2025
Allison Transmission Holdings (ALSN) reported revenue of $693M for the third quarter 2025 (Q3 2025), -16% from a year earlier and -15% from the quarter before. Operating margin was 29.4%, net earnings $137M (19.8% of revenue).
Allison Transmission Holdings, Q3 2025: revenue $693M (-16% year over year), operating margin 29.4%, net earnings $137M, operating cash flow $228M. The chart follows the revenue to costs, profit and cash.
| Q3 2025 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $693M | -15% | -16% |
| Gross profit | $330M | -18% | -17% |
| Operating profit | $204M | -20% | -22% |
| Net earnings | $137M | -30% | -31% |
| Operating cash flow | $228M | +24% | -7% |
| Free cash flow | $184M | +20% | -12% |
What changed
Revenue was $693.0M in Q3 2025, down 16% year over year and down 15% from the previous quarter. North America on Highway was the largest line at 47% of revenue. North America on Highway lost $130.0M year over year (down 28%), 99% of the total change.
Gross margin was 47.6%, down 0.4 points from a year earlier. Operating profit was $204.0M, a 29.4% margin (down 2.1 points year over year). Operating expenses fell 7% while revenue fell 16%. Net earnings were $137.0M, down 31% year over year. The effective tax rate was 24.7%.
Operating cash flow was $228.0M (down 7% year over year), 166% of net earnings. Non-cash charges added back $32.0M of depreciation and amortization and $6.0M of share-based compensation. Working capital and other items added $53.0M. Capital expenditures of $44.0M left free cash flow of $184.0M.
Questions
What was Allison Transmission Holdings' revenue in the third quarter 2025?
Allison Transmission Holdings (ALSN) reported revenue of $693M for the third quarter 2025 (Q3 2025), -16% from a year earlier and -15% from the quarter before.
Was Allison Transmission Holdings profitable in the third quarter 2025?
Operating profit was $204M (29.4% of revenue) and net earnings $137M.