Diversified manufacturer United Technologies (NYSE:UTX) beat the Street on Wednesday as broad sales growth triggered a 10.5% increase in third-quarter earnings.
The Hartford, Conn.-based member of the Dow Jones Industrial Average also raised its full-year profit outlook and reaffirmed its pledge to generate sales of $58 billion.
Continue Reading Below
United Technologies, which is the No. 1 global maker of elevators and air conditioners, said it earned $1.32 billion, or $1.47 a share, last quarter. A year earlier it earned $1.2 billion, or $1.30 a share. Analysts had called for EPS of $1.44.
Revenue increased 8.7% to $14.8 billion, surpassing the Street’s view of $14.55 billion.
“This was another solid quarter for UTC, with continued organic sales growth across all six of our businesses," CEO Louis Chenevert said in a statement. "Cash generation was also strong and we now expect cash flow from operations less capital expenditures to exceed net income attributable to common shareowners for the full year.”
United Technologies, which last month acquired Goodrich (NYSE:GR) for $16.5 billion, said it now sees 2011 EPS of $5.47, up from $5.35 to $5.45 previously. That profit, which would translate to a 15% increase, would beat forecasts from analysts for $5.44.
Full-year sales are still seen rising 7% to $58 billion, compared with estimates for $58.31 billion.
United Technologies reported rising new orders at a number of its divisions, including a 19% jump at its Otis elevator business and an 11% bump in commercial HVAC new equipment orders at its Carrier A/C business.
Despite the earnings beat and upbeat guidance, shares of United Technologies slipped 0.16% to $74.00 ahead of Wednesday’s open. The company’s stock has declined almost 6% year-to-date. Fellow diversified manufacturer General Electric (NYSE:GE) is scheduled to report results on Friday.