Honeywell Gives Mixed Guidance Update After 2Q Sales Climb

By Dean Seal

Honeywell International raised its full-year sales outlook after its aerospace technologies unit's gains pushed the top line higher in the second quarter, though it cut earnings guidance for the year.

The industrial conglomerate now expects $39.1 billion to $39.7 billion in sales for the year, up half a billion dollars at the midpoint from its previous guidance.

The adjusted earnings view has meanwhile been cut to $10.05 to $10.25 a share from a prior outlook for $10.15 to $10.45 a share.

For the second quarter, Honeywell posted a profit of $1.54 billion, or $2.36 a share, compared with $1.49 billion, or $2.22 a share, in the same quarter a year ago.

Adjusted earnings were $2.49 a share. Analysts polled by FactSet had been expecting $2.42 a share.

Revenue rose 5% to $9.58 billion, topping analyst forecasts for $9.41 billion.

Sales in the company's aerospace technologies segment were up 16% on an organic basis at $3.89 billion, marking the eighth consecutive quarter of double-digit growth as commercial aviation and commercial original equipment sales posted big gains.

Industrial automation sales meanwhile fell 8% on an organic basis from soft volumes in warehouse and workflow solutions.

Honeywell said the mixed outlook revision was driven by second-quarter results and the impact of acquisitions.

Shares fell 6.4% in premarket trading to $200.01.

Write to Dean Seal at dean.seal@wsj.com

(END) Dow Jones Newswires

July 25, 2024 06:59 ET (10:59 GMT)

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