Here are a few analogies for Allison Transmission (ALSN):

• Like Intel, but for automatic transmissions in trucks and buses.
• The Cummins of transmissions for commercial vehicles.

• Fully Automatic Commercial Transmissions: Designed for medium- and heavy-duty commercial vehicles, including refuse, construction, distribution, bus, and fire & emergency applications.
• Off-Highway Transmissions: Used in various industries such as energy, mining, construction, and specialty equipment.
• Defense Transmissions: Specifically engineered for military wheeled and tracked vehicles, including combat and tactical systems.
• Electric Hybrid Propulsion Systems: Advanced electric propulsion solutions primarily for urban bus applications to enhance fuel efficiency and reduce emissions.
• Service Parts and Components: Provides genuine Allison parts and components to support the maintenance and repair of their transmission products throughout their lifecycle.

Allison Transmission (ALSN) primarily sells its products to other companies, specifically Original Equipment Manufacturers (OEMs) that integrate Allison's fully automatic transmissions into their vehicles. The company does not primarily sell to individuals.

Allison's customer base consists of a diverse set of global OEMs across various sectors, including:

• Commercial Trucks: Manufacturers of heavy-duty, medium-duty, and vocational trucks.
• Buses: Producers of school buses, transit buses, and motorcoaches.
• Defense Vehicles: Contractors and government entities for military and tactical vehicles.
• Off-Highway & Specialty Vehicles: Manufacturers of equipment for construction, mining, energy, and other industrial applications.

While Allison Transmission does not publicly disclose a comprehensive list of all individual major customers due to competitive reasons, and no single customer accounted for 10% or more of its net sales in recent years, the company partners with a wide array of global OEMs. Based on industry knowledge and common partnerships, some of their significant public company customers include:

• Daimler Truck Holding AG (Symbol: DTRUY)
• PACCAR Inc (Symbol: PCAR)
• Volvo Group (Symbol: VOLVY)
• Oshkosh Corporation (Symbol: OSK)
• Blue Bird Corporation (Symbol: BLBD)

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David S. Graziosi, Chair, President & Chief Executive Officer

Mr. Graziosi has served as Chair of the Board since 2021 and President and Chief Executive Officer of Allison Transmission since June 2018. He joined Allison in November 2007 as Executive Vice President, Chief Financial Officer, and Treasurer, and was promoted to President in January 2016. Before joining Allison, Mr. Graziosi served as Executive Vice President and Chief Financial Officer of Covalence Specialty Materials Corporation from 2006 to 2007. He also held various positions at Hexion Specialty Chemicals, Inc., Resolution Performance Products LLC, General Chemical Industrial Products Inc., Sun Chemical Group B.V., Colgate-Palmolive Company, and Arthur Andersen LLP. Mr. Graziosi joined Allison shortly after its sale by General Motors to The Carlyle Group and Onex Corporation in 2007, and was instrumental in the company's subsequent initial public offering in 2012.

Scott Mell, Chief Financial Officer & Treasurer

Mr. Mell assumed the role of Chief Financial Officer and Treasurer, effective April 14, 2025. He brings nearly 30 years of extensive financial and operational leadership experience to Allison Transmission. Most recently, he served as Chief Financial Officer at TriMas Corporation from May 2021 to March 2025. Prior to that, Mr. Mell provided operational and financial advisory services for over 25 years, including with Riveron Consulting LLC from 2018 to 2021. He also held senior leadership positions at Ernst & Young LLP, McKinsey & Company, and AlixPartners, LLP.

G. Frederick Bohley, Chief Operating Officer

Mr. Bohley currently serves as Chief Operating Officer, a position he has held since April 2025. He joined Allison Transmission in 1991 in the Finance organization. His career at Allison includes roles such as National Account Executive, Director of Latin American Operations, Director of International Marketing and Business Planning, and Executive Director of Financial Planning and Analysis, Pricing and International Finance. He was promoted to Vice President, Chief Financial Officer, and Treasurer in 2018, and served as Senior Vice President, Chief Financial Officer, and Treasurer from June 2019 until June 2024, at which point he was appointed COO. Mr. Bohley was with Allison when it was divested from General Motors and subsequently became a publicly traded company.

John M. Coll, Senior Vice President, Global Marketing, Sales & Service

Mr. Coll serves as the Senior Vice President of Global Marketing, Sales & Service for Allison Transmission.

Ryan Milburn, Vice President, Engineering and Technology Development

Mr. Milburn has served as Vice President, Engineering and Technology Development for Allison Transmission since August 2021. His previous roles include Vice President, E-Mobility Engineering, Vice President, Mechatronics & Controls Software, Executive Director, Embedded Controls, Managing Director Europe, Middle East and Africa, and Vice President and Chief Information Officer.

Allison Transmission (ALSN) operates in several key markets, primarily focusing on propulsion solutions for commercial and defense vehicles.

Main Products and Addressable Markets:

• Fully Automatic Transmissions for Medium and Heavy-Duty Commercial Vehicles: Allison Transmission is a leading global manufacturer of fully automatic transmissions for a diverse range of on-highway commercial vehicles, including those used in distribution, refuse, construction, fire and emergency services, as well as school, transit, and coach buses. The global commercial vehicle transmission market was valued at approximately USD 26.9 billion in 2024 and is projected to reach USD 36.4 billion by 2030, growing at a CAGR of 5.2%. Another estimate places the global market at USD 28.5 billion in 2025, forecasted to grow to USD 46.9 billion by 2035. The automatic transmission segment is expected to hold the largest share within this market. The global medium & heavy commercial vehicles transmission market alone was valued at USD 11 billion in 2022.
• Off-Highway Transmissions: Allison also provides propulsion solutions for off-highway vehicles and equipment used in demanding applications such as energy, mining, and construction. The global off-highway transmission market size was estimated at USD 12.8 billion in 2024 and is forecasted to reach USD 20.6 billion by 2033. Similarly, the global off-highway equipment transmission component market was valued at an estimated USD 2.9 billion in 2024, with projections to reach USD 4.8 billion by 2034. The global market for off-highway gearboxes, which are integral to these systems, was approximately USD 12 billion in 2023 and is expected to grow to around USD 19 billion by 2032.
• Electric and Hybrid Propulsion Systems (e.g., eGen Power®, eGen Flex): Allison is a leader in electrified propulsion solutions, including electric hybrid and fully electric systems for commercial and specialty vehicles, such as transit buses and medium- and heavy-duty fleets. The global electric vehicle (EV) transmission market was valued at approximately USD 11.32 billion in 2024 and is projected to reach USD 28.99 billion by 2032, exhibiting a CAGR of 12.2%. Another report estimates the electric vehicle transmission market size at USD 9.22 billion in 2024, growing to USD 21.55 billion in 2029. The broader global electric commercial vehicle market was valued at USD 72.3 billion in 2024.
• Defense Solutions: Allison designs and manufactures transmissions for defense vehicles, including both wheeled and tracked military applications. While Allison has seen increased demand and sales in its Defense end market, a specific global market size for defense transmissions was not identified in the provided information.

• Expansion in the Global Defense Market: Allison Transmission anticipates significant revenue growth from its defense segment. The company has secured new contracts and forged strategic partnerships for defense programs in various regions, including India's Future Infantry Combat Vehicle program, and with the British and German militaries for Boxer armored vehicles. Additionally, Allison is involved in defense vehicle programs in Canada and Poland, with production slated to begin in 2025. This expansion outside traditional markets is a key diversification strategy, with the company optimistic about a $400 million growth opportunity in this sector.
• Strategic Price Increases: Allison Transmission has consistently cited higher pricing as a significant contributor to its revenue and gross margin expansion. Management commentary from recent earnings calls indicates that price realization is a key factor in offsetting various market pressures and driving financial performance.
• Growth in International On-Highway and Off-Highway Markets: The company is actively pursuing growth opportunities in international markets beyond North America. This includes increased demand in regions such as South America, Europe, and Asia, particularly in India where Allison plans to significantly expand its manufacturing footprint by 2026. Efforts to diversify and broaden its revenue base globally are expected to contribute to future sales.
• Development and Commercialization of New Propulsion Solutions, including Electrification: Allison Transmission is investing heavily in new product development, focusing on both conventional and advanced propulsion solutions, including its electrification strategy. This includes the eGen Power® portfolio for electric vehicles and the Next Generation Electrified Transmission (NGET) initiative, which aims to provide flexible power modes for electrified vehicle fleets. New conventional products like the FracTran for oilfield services, TerraTran for construction and mining, and the Allison 3414 Regional Haul Series for the Class 8 Tractor Day Cab market are also expected to contribute incremental annual revenue.

Share Repurchases

• Allison Transmission's Board of Directors approved a $1 billion increase to its stock repurchase authorization in February 2025, bringing the total program to $5 billion, with approximately $519 million remaining available as of December 31, 2024.
• The company repurchased over $260 million of its common stock in 2023, representing nearly 6% of outstanding shares.
• Between April and June 2025, Allison repurchased 1,088,028 shares for $102.49 million.

Share Issuance

• Allison Transmission's shares outstanding have consistently declined over the past few years due to share repurchase programs. For instance, 2024 shares outstanding were 0.088 billion, a 3.3% decline from 2023, and 2023 shares outstanding were 0.091 billion, a 5.21% decline from 2022.

Outbound Investments

• Allison has entered into a definitive agreement to acquire Dana's Off-Highway business for approximately $2.7 billion.
• This acquisition is intended to be financed with new debt and cash on hand, with the closing anticipated in late Q4 2025.
• The strategic rationale for this acquisition is to strengthen Allison's position as a premier industrial company and accelerate current and future global growth opportunities.

Capital Expenditures

• Allison expects capital expenditures to be in the range of $165 million to $175 million for 2025.
• The company's expected capital expenditures for 2024 were in the range of $125 million to $135 million.
• Higher capital expenditures contributed to a decrease in adjusted free cash flow in the fourth quarter of 2024 compared to the same period in 2023.