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Allison Transmission’s Next Big Catalyst — Off-Highway, Defense Growth & $120 Million Of Synergies Converge!

Allison Transmission Holdings Inc. reported strong second-quarter 2026 results, with consolidated net sales rising 92% year-over-year to $1.566 billion. Growth was driven primarily by the newly added Allison Off-Highway business, which contributed $706 million, while the Allison Transmission segment increased 6% to a quarterly record of $860 million. Defense remained a major growth driver, with revenue increasing 57% year-over-year to nearly $100 million. North America On-Highway revenue rose 3%, supported mainly by pricing despite modest volume growth. Off-Highway performance varied by region. Europe and Asia Pacific grew year-over-year, led by construction, material handling, and mining, while the Americas declined because of weaker construction and agriculture demand. Mining remained supported by elevated commodity prices. Allison also secured more than $50 million of annual run-rate net new business through program awards across multiple markets. Adjusted EBITDA reached $404 million, representing a 25.8% margin, while adjusted diluted EPS increased 8% to $2.73.