The drive axle is a special type of transmission that reduces the speed of the drive from the engine and transmission and divides the power to the wheels. Power enters the axle from the driveshaft via the companion flange. The flange is mounted on the drive pinion shaft. The drive pinion shaft and gear which carry the power into the differential turn at the speed of the transmission output shaft. The gear on the end of the pinion shaft drives a large ring gear whose axis of rotation is 90° away from the pinion. The pinion and gear reduce the gear ratio of the axle, and change the direction of rotation to turn the axle shafts that drive both wheels. The axle gear ratio is found by dividing the number of pinion gear teeth into the number of ring gear teeth.
The ring gear drives the differential case. The case provides the two mounting points for the ends of a pinion shaft on which are mounted two pinion gears. The pinion gears drive the two side gears, one of which is located on the inner end of each axle shaft.
By driving the axle shafts through this arrangement, the differential allows the outer drive wheel to turn faster than the inner drive wheel in a turn.
The main drive pinion and the side bearings, which bear the weight of the differential case, are shimmed to provide proper bearing preload, and to position the pinion and ring gears properly.