A hybrid-electric powertrain and control method for a vehicle having forward traction wheels and rearward traction wheels in an all-wheel drive configuration. An engine and an electric motor deliver power through delivery paths to the traction wheels. The power delivery paths may have multiple ratio gearing so that more power can be delivered mechanically to improve powertrain performance and to allow the electric motor size to be reduced. The powertrain may include a controller for automatically balancing power distribution to the forward and rearward traction wheels to avoid wheel slip.