Allison Transmission names Scott Mell as new CFO

INDIANAPOLIS - Allison Transmission (NYSE: ALSN), a global provider of commercial and defense vehicle propulsion solutions with a market capitalization of $7.57 billion, has named Scott Mell as its new Chief Financial Officer and Treasurer, effective April 14, 2025. The appointment comes at a time when InvestingPro analysis shows the company maintaining strong financial health with a "GREAT" overall score. Mell's appointment comes after Fred Bohley's transition to Chief Operating Officer in June 2024, a role he took on while continuing his duties as CFO and Treasurer during the search for his successor.

Mell brings nearly three decades of experience in strategic and financial leadership to Allison Transmission, with a background that spans international operations, including significant involvement in Asia, Europe, and South America. His expertise includes navigating complex challenges and driving consensus among diverse stakeholders, with a focus on achieving positive outcomes across various market conditions. He joins the company as it maintains solid financial metrics, including a P/E ratio of 10.55 and annual revenue of $3.23 billion. According to InvestingPro, the company has maintained dividend payments for 14 consecutive years, with a recent dividend growth of 17.4%.

David Graziosi, Chair and CEO of Allison Transmission, expressed confidence in Mell's capabilities, stating, "His international experience as well as his extensive financial and operational expertise will be instrumental as we continue to drive growth and innovation."

As CFO, Mell will oversee the Finance organization and manage all aspects of financial planning, budgeting, reporting, analysis, and compliance. He will also set the treasury strategy, encompassing cash management, risk management, and investor relations. Mell's strategic guidance is expected to be pivotal in Allison's next phase of growth and development.

Mell shared his enthusiasm about joining the company, noting Allison Transmission's commitment to innovation and excellence. He aims to enhance financial performance, support strategic growth initiatives, and increase shareholder value.

Previously, Mell served as CFO at TriMas Corporation and held leadership roles at Riveron Consulting LLC, Ernst & Young LLP, McKinsey & Company, and AlixPartners, LLP. He is a graduate of James Madison University with a Bachelor of Business Administration.

Allison Transmission, headquartered in Indianapolis and founded in 1915, is known for its medium- and heavy-duty fully automatic transmissions and has a presence in over 150 countries. The company operates manufacturing facilities in the USA, Hungary, and India, and maintains regional headquarters in the Netherlands, China, and Brazil. Investors should note that the company's next earnings report is scheduled for April 23, 2025. For deeper insights into ALSN's financial health and growth prospects, including exclusive ProTips and comprehensive analysis, check out the detailed Pro Research Report available on InvestingPro.

This news is based on a press release statement and contains forward-looking statements that involve known and unknown risks and uncertainties. Allison Transmission advises not to place undue reliance on these forward-looking statements, which are subject to change.

In other recent news, Allison Transmission Holdings Inc. reported its fourth-quarter results, surpassing analyst expectations with adjusted earnings per share of $2.01 against an estimate of $1.89. The company's revenue increased by 2.7% year-over-year to $796 million, exceeding forecasts of $777.81 million. However, the guidance for 2025 disappointed investors, with projected full-year revenue between $3.2 billion and $3.3 billion, slightly below Wall Street's consensus of $3.22 billion. Citi analyst Kyle Menges revised the price target for Allison Transmission to $115 from $120, maintaining a Neutral rating due to concerns over North American on-highway volumes and potential margin impacts from raw material costs and tariffs.

Additionally, Allison Transmission announced an increase in its quarterly dividend from $0.25 to $0.27 per share and expanded its stock repurchase program by an additional $1 billion, bringing the total authorization to $5 billion. This marks the sixth consecutive year of dividend increases, reflecting the company's strong financial performance and commitment to returning capital to shareholders. The company also highlighted a 10% year-over-year increase in net sales in its North America On-Highway segment and an 8% rise in its Defense segment for the fourth quarter. Despite these positive developments, the company's cautious outlook for 2025 has raised concerns among analysts and investors.

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