Filing Flows › Allison Transmission Holdings (ALSN) › Q4 2025
Allison Transmission Holdings (ALSN) Q4 2025 earnings results (fourth quarter 2025)
10-K filed Feb 24, 2026
Allison Transmission Holdings (ALSN) reported revenue of $737M for the fourth quarter 2025 (Q4 2025), -7% from a year earlier and +6% from the quarter before. Operating margin was 23.2%, net earnings $99.0M (13.4% of revenue).
Allison Transmission Holdings, Q4 2025: revenue $737M (-7% year over year), operating margin 23.2%, net earnings $99.0M, operating cash flow $243M. The chart follows the revenue to costs, profit and cash.
| Q4 2025 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $737M | +6% | -7% |
| Gross profit | $352M | +7% | -6% |
| Operating profit | $171M | -16% | -27% |
| Net earnings | $99.0M | -28% | -43% |
| Operating cash flow | $243M | +7% | +15% |
| Free cash flow | $169M | -8% | +24% |
What changed
Revenue was $737.0M in Q4 2025, down 7% year over year and up 6% from the previous quarter. North America on Highway was the largest line at 49% of revenue.
Gross margin was 47.8%, up 0.9 points from a year earlier. Operating profit was $171.0M, a 23.2% margin (down 6.3 points year over year). Operating expenses grew 31% against a revenue fall of 7%. The fastest-growing cost line was Other operating costs (+2800%). Net earnings were $99.0M, down 43% year over year. The effective tax rate was 32.7%.
Operating cash flow was $243.0M (up 15% year over year), 245% of net earnings. Non-cash charges added back $32.0M of depreciation and amortization and $7.0M of share-based compensation. Working capital and other items added $105.0M. Capital expenditures of $74.0M left free cash flow of $169.0M.
Questions
What was Allison Transmission Holdings' revenue in the fourth quarter 2025?
Allison Transmission Holdings (ALSN) reported revenue of $737M for the fourth quarter 2025 (Q4 2025), -7% from a year earlier and +6% from the quarter before.
Was Allison Transmission Holdings profitable in the fourth quarter 2025?
Operating profit was $171M (23.2% of revenue) and net earnings $99.0M.