Honeywell's 3Q Sales: $9.3 Billion
Earnings per share of $1.10 are 45 percent above 76 cents a year earlier. Sales rose by 14 percent for the company as a whole and also for the Automation and Control Solutions segment.
Reporting third-quarter 2011 results Oct. 21, Honeywell continued the year's run of strong performance by industry leaders when it announced $1.10 in earnings per share and $9.3 billion in sales. The sales figure was 14 percent above the $8.1 billion a year earlier, while EPS was 45 percent better than the 76 cents per share of a year before.
Grainger already reported its 3Q sales were up 11 percent this year, at $2.1 billion. Reporting next week will be Kimberly-Clark (Oct. 24), DuPont and 3M (Oct. 25), and MSA (Oct. 27).
Honeywell raised its 2011 sales and EPS outlook and now expects sales of $36.5 to 36.7 billion this year, approximately 13 percent above 2010 sales.
"Honeywell's strong third quarter results are a continuation of the momentum we've seen across our businesses in 2011," Honeywell Chairman and CEO Dave Cote said Oct. 21. "Our third quarter sales growth reflects a particularly robust Commercial Aerospace up cycle, with growth in both original equipment and aftermarket sales. It also highlights the company's extensive innovation pipeline and increasing presence in high growth regions in all our businesses. Our long-cycle backlog continues at near record levels, with sustained strong orders growth particularly at UOP, ACS Solutions, and Commercial Aerospace. Further, our short-cycle businesses, such as Turbo Technologies, Advanced Materials, and ACS Products are performing well overall.
"Despite signals of slower economic growth, we expect positive organic growth to continue the rest of this year and into 2012," he added. "The repositioning actions we took in the third quarter, funded by non-operational gains, better position our businesses for 2012 and beyond. These repositioning tailwinds, combined with our great positions in good industries, execution track record, and disciplined playbook, will be keys to our continued outperformance."
Automation and Control Solutions highlights for the quarter included:
- Building Solutions was awarded a $20.5 million contract to provide an integrated fire safety, public address, and voice alarm system for Heathrow Airport's new Terminal 2.
- Process Solutions won a $2.5 million contract from PetroChina Company Limited in Dalian, China for an integrated process control system in a liquid natural gas facility. Honeywell said it will provide its Experion Process Knowledge System, Safety Instrumented Systems, Operator Training Systems, and fire and gas solutions to fully automate the facility, optimize the maintenance and testing of process safety instruments, and improve overall reliability.
- Honeywell Life Safety was selected by the Department of Fire & Rescue in Prince William County, Va. to provide PPE for 600 firefighters and more than 1,000 volunteers.
- Life Safety will provide as many as 4,000 Honeywell Optima Plus gas detectors, valued at a potential $4 million, for the 2014 World Cup and the 2016 Olympics in Rio de Janeiro.