Allison Transmission Holdings, Inc. · NYSE:ALSN
Allison Transmission — Q2 2013 Earnings Presentation
12 slides from Allison Transmission's earnings presentation, Jul 29, 2013
Slide 1: Q2 2013 Earnings Release
Q2 2013 Earnings Release July 29, 2013 Lawrence Dewey, Chairman, President & Chief Executive Officer David Graziosi, Executive Vice President & Chief Financial Officer 1
Slide 2: Safe Harbor Statement
Safe Harbor Statement The following information contains, or may be deemed to contain, “forward-looking statements” (as defined in the U.S. Private Securities Litigation Reform Act of 1995). The words “believe,” “expect,” “anticipate,” “intend,” “estimate” and other expressions that are predictions
Slide 3: Non-GAAP Financial Information
Non-GAAP Financial Information We use Adjusted net income, Adjusted EBITDA, Adjusted EBITDA excluding technology-related license expenses, Adjusted EBITDA margin, Adjusted EBITDA margin excluding technology-related license expenses, adjusted free cash flow and free cash flow to evaluate our performa
Slide 4: Call Agenda
Call Agenda Q2 2013 Performance Full Year 2013 Guidance Update 4
Slide 5: Q2 2013 Performance Summary
Q2 2013 Performance Summary ($ in millions) Q2 2013 Q2 2012 % Variance Net Sales $512 $559 (8.5%) Gross Margin % 44.2% 45.0% (80 bps) Adjusted Net Income (1) $89 $87 3.4% Adjusted Free Cash Flow (1) $117 $80 45.4% Commentary Net Sales: the decrease was principally driven by lower demand in the North
Slide 6: Q2 2013 Sales Performance
Q2 2013 Sales Performance ($ in millions) End Markets Q2 2013 Q2 2012 % Variance Commentary Flat with the same period in 2012 and up 15% North America On-Hwy $216 $217 (0%) sequentially driven by higher demand for Rugged Duty and Bus Series models North America Hybrid- Increased demand principally d
Slide 7: Q2 2013 Financial Performance
Q2 2013 Financial Performance ($ in millions, except share data) Q2 2013 Q2 2012 $ Var % Var Commentary Net Sales $512.1 $559.4 ($47.3) (8.5%) Decrease was principally driven by lower demand in the North America energy sector’s hydraulic fracturing market, previously considered reductions in U.S. de
Slide 8: Q2 2013 Cash Flow Performance
Q2 2013 Cash Flow Performance ($ in millions) Q2 2013 Q2 2012 $ Variance % Variance Commentary Principally driven by Q2 2012 accounts payable reduction and Net Cash Provided by $130 $107 $23 21.3% lower cash interest expense Operating Activities partially offset by reduced Adjusted EBITDA Principall
Slide 9: Full Year 2013 Guidance Update
Full Year 2013 Guidance Update Guidance Commentary We expect net sales to stabilize on a year-over- year basis, an improvement relative to the sales decline in the first half of the year. We believe there Net Sales are improving trends in the second half of 2013 ($ in millions) $1,920 to $1,960 whic
Slide 10: Appendix: Non-GAAP Financial Information
APPENDIX Non-GAAP Financial Information 10
Slide 11: Non-GAAP Reconciliations (1 of 2)
Non-GAAP Reconciliations (1 of 2) Adjusted Net Income and Adjusted EBITDA reconciliation Three months ended Last twelve months $ in millions, Unaudited For the year ended December 31, June 30, ended June 30, 2009 2010 2011 2012 2012 2013 2013 Net (loss) income ($323.9) $29.6 $103.0 $514.2 $412.8 $50
Slide 12: Non-GAAP Reconciliations (2 of 2)
Non-GAAP Reconciliations (2 of 2) Adjusted Free Cash Flow reconciliation Last twelve Three months ended months ended $ in millions, Unaudited For the year ended December 31, June 30, June 30, 2009 2010 2011 2012 2012 2013 2013 Net Cash Provided by Operating Activities $168.7 $388.9 $469.2 $497.5 $10
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