Allison Transmission Holdings, Inc. · NYSE:ALSN
Allison Transmission — Q2 2022 Earnings Presentation
13 slides from Allison Transmission's earnings presentation, Aug 3, 2022
Slide 1: Q2 2022 Earnings Release
Q2 2022 Earnings Release August 3rd, 2022 Dave Graziosi, Chairman & Chief Executive Officer Fred Bohley, Senior 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 EBITDA and Adjusted EBITDA as a percent of net sales to measure our operating profitability. We believe that Adjusted EBITDA and Adjusted EBITDA as a percent of net sales provide management, investors and creditors with useful measures of the operationa
Slide 4: Call Agenda
Call Agenda Q2 2022 Performance 2022 Guidance Update 4
Slide 5: Q2 2022 Performance Summary
Q2 2022 Performance Summary ($ in millions) Q2 2022 Q2 2021 % Variance Net Sales $664 $603 10% Gross Profit $311 $288 8% Net Income $122 $110 11% Adjusted EBITDA(1) $227 $213 7% Diluted Earnings Per Share $1.26 $1.01 25% Net Sales: increase principally driven by: – 13 percent increase in net sales
Slide 6: Q2 2022 Net Sales Performance
Q2 2022 Net Sales Performance ($ in millions) End Markets Q2 2022 Q2 2021 % Variance Commentary Principally driven by continued strength in customer demand for last mile North America On-Hwy $340 $302 13% delivery, regional haul and vocational trucks North America Off-Hwy $20 $9 122% Principally dri
Slide 7: Q2 2022 Financial Performance
Q2 2022 Financial Performance ($ in millions, except per share data) Q2 2022 Q2 2021 $ Var % Var Commentary Increase was principally driven by price increases on certain products, higher demand in the NA On- Net Sales $664 $603 $61 10% Highway, Global Off-Highway, Service Parts, Support Equipment &
Slide 8: Q2 2022 Cash Flow Performance
Q2 2022 Cash Flow Performance ($ in millions) Q2 2022 Q2 2021 $ Variance % Variance Commentary Principally driven by higher operating working Net Cash Provided by Operating capital funding requirements and higher cash $66 $140 ($74) (53%) income taxes partially offset by higher gross Activities prof
Slide 9: 2022 Guidance Update
2022 Guidance Update We are narrowing the full year 2022 guidance ranges provided to the market on February 16. ($ in millions) Guidance Net Sales $2,650 to $2,750 Net Income $450 to $500 Adjusted EBITDA1 $885 to $955 Net Cash Provided by Operating Activities $590 to $660 Capital Expenditures $170 t
Slide 10: Appendix: Non-GAAP Financial Information
APPENDIX Non-GAAP Financial Information 10
Slide 11: Non-GAAP Reconciliations (1 of 3)
Non-GAAP Reconciliations (1 of 3) Adjusted EBITDA Reconciliation Last twelve Three months ended months ended $ in millions, Unaudited For the year ended December 31, June 30, June 30, 2017 2018 2019 2020 2021 2021 2022 2022 Net Income (GAAP) $504 $639 $604 $299 $442 $110 $122 $463 plus: Interest exp
Slide 12: Non-GAAP Reconciliations (2 of 3)
Non-GAAP Reconciliations (2 of 3) 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, 2017 2018 2019 2020 2021 2021 2022 2022 Net Cash Provided by Operating Activities (GAAP) $658 $837 $847 $561
Slide 13: Non-GAAP Reconciliations (3 of 3)
Non-GAAP Reconciliations (3 of 3) Guidance Reconciliation $ in millions Guidance Year Ending December 31, 2022 Low High Net Income (GAAP) $ 450 $ 500 plus: Depreciation and amortization 158 158 Income tax expense 130 150 Interest expense, net 119 119 Stock-based compensation expense 18 18 Unrealized
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