A hybrid electric vehicle powertrain has an engine, a motor, a generator and a battery that define electro-mechanical power flow paths to vehicle traction wheels in both a forward drive operating mode and a reverse drive operating mode. The engine drives a power input element of a power-dividing gearset and the generator is connected to a reaction element of the power-dividing gearset. A torque reversing gearset drivably connects a power output element of the power-dividing gearset to final drive gearing to complement reverse driving motor torque.