Honeywell 2Q Profit Trumps Wall Street on Aerospace Sales
Citing robust growth in the aerospace commercial aftermarket, Honeywell (NYSE:HON) revealed on Friday a 43% increase in second-quarter profit that topped Wall Street estimates, and raised its 2011 view.
The Morristown, N.J.-based maker of diversified industrial products posted net income of $810 million, or $1.02 a share, compared with $566 million, or 74 cents a share, in the same quarter last year. The results were ahead of average analyst estimates polled by Thomson Reuters of 98 cents a share.
Revenue for the three months ended June 30 was $9.1 billion, up 15% from $7.9 billion a year ago, missing the Streets view of $9.27 billion. In a statement, the company said sales growth reflects its extensive innovation pipeline and increasing presence in high growth regions.
Honeywell's strong second quarter performance reflects terrific execution and continued momentum in our key end markets, contributing to our upside performance in the first half of 2011, said Honeywell CEO Dave Cote.
Reflecting an optimistic outlook the company raised its fiscal view, now expecting earnings in the range of $3.85 a share to $4 a share, up from its earlier view of $3.80 a share to $3.95 a share. Analysts on average are expecting a profit of $3.97 a share.
Honeywell sees sales between $36.1 billion and $36.7 billion, which would be an increase of 12% to 14% over 2010, but below Wall Streets view of $36.8 billion