Despite forecasting a challenging economic environment in 2012, Honeywell International (HON) said on Thursday that earnings will likely still grow between 6% and 12%.
The Morristown, N.J.-based diversified manufacturer of engines and controls for the aerospace and automotive industries forecasts earnings in the range of $4.25 to $4.50 a share, which would be up as much as 12% from the year-earlier period.
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Revenue for the fiscal period is forecasted to be between $37.8 billion and $38.9 billion, an increase of 4% to 7% over 2011. Analysts polled by Thomson Reuters are predicting a profit of $4.43 a share on sales of $38.9 billion.
Honeywell CEO Dave Cote said the company is planning for a more challenging macroeconomic environment in the upcoming year. Key economic indicators show slower year-over-year growth in GDP and industrial production globally, however Honeywell predicts it will grow faster than the end markets it serves.
The company reiterated its fiscal 2011 guidance, with sales of $36.5 billion up 13% from 2010 and just below the Street’s view of $36.7 billion. Earnings are expected to be $4.03 a share, up 34% year-over-year and matching average estimates.