ALSO IN EARNINGS
- Bonus Bloodbath: Europe Banker Backlash Continues
- Stocks Looking Past Europe for a New Driver of the Rally
- SEC Reaches Settlement in Bear Stearns Fraud Case
- Israel Likely to Bomb Iran This Year: Political Analyst
- EU Agrees Rules for $700 Trillion Derivatives Market
- The World's Best Beers
- In Europe, Stagnation as a Way of Life
- Citigroup Takes $50 Million Loss in Lending Rate Probe
- Criminal Probe Trail Going Cold at MF Global
MOST SHARED
- Criminal Probe Trail Going Cold at MF Global
- Global Markets Update: Markets Soften After Failure to Clinch Greek Deal
- Israel Likely to Bomb Iran This Year: Political Analyst
- Bank of America’s Worst-Case Scenario Gets More Real
- EU Agrees Rules for $700 Trillion Derivatives Market
- Stocks Seen Lower; Greek Debt Hurdles Remain
- CPAC 2012: Energized or Demoralized?
- Greek Aid Deal 'Much Better' Than Euro Exit: Summers
- Global Markets Update: European Markets Follow Asia Lower
- Greeks on Strike as the Second Bailout Is in Limbo
MOST POPULAR
HOT ON FACEBOOK
Honeywell Profit Rises 22% on Strong Demand
Text Size 
Diversified U.S.manufacturer Honeywell International Friday posted profit that topped Wall Street's expectations, as strong growth outside the United States overshadowed weak demand for consumer products such as thermostats and antifreeze.
 |
CNBC.com |
The company, whose shares rose 4 percent in early trading, said profit rose 22 percent on strong demand from the aviation and commercial construction sectors.
"We're well positioned to execute and deliver results in a tougher macroeconomic environment," said Chairman and Chief Executive Dave Cote, on a conference call with investors. "Despite pockets of softness in selected end markets, our portfolio overall remains strong."
Honeywell cited Asia and the Middle East as "leading the way" in growth and noted that two-thirds of its 10.6 percent revenue rise came outside the United States.
Shares [HON
Loading...
()
] of the world's largest maker of cockpit electronics rose 3.7 percent on the news, on a day that Caterpillar [CAT
Loading...
()
] also reported better-than-expected results, helping to ease investor anxiety after last week's stunning earnings drop at General Electric [GE
Loading...
()
].
Caterpillar also cited international growth as key to its strong first quarter.
Profit Tops Estimates
Honeywell, which also makes thermostats and other control systems for large commercial buildings, reported a first-quarter profit of $643 million, or 85 cents per diluted share, compared with $526 million, or 66 cents per share, a year earlier.
Analysts on average expected a profit of 82 cents per share, according to Reuters Estimates.
Revenue at the company came to $8.9 billion, up 10.6 percent from $8 billion a year earlier.
"The results handily beat our segment profit estimate with across the board upside growth," wrote JPMorgan analyst Stephen Tusa, in a note to clients. "Sales growth was stronger in each segment."
Honeywell raised the low end of its full-year profit outlook by a nickel and expects earnings of $3.70 to $3.80 per share. The company also set a second-quarter earnings target of 92 cents to 94 cents per share on sales of about $9.2 billion.
Wall Street expects a second-quarter profit of 93 cents per share and full-year earnings of $3.76 per share.
Honeywell's results have been boosted of late by robust demand for aircraft as well as continued strong investment in airports, refineries and other infrastructure projects, particularly in the the developing world.
The fastest profit growth came at Honeywell's specialty materials arm, where earnings were up 38 percent. That unit, which makes resins, specialty films and materials for petroleum refining was boosted by pricing and productivity gains, the company said.
Shares of Morris Township, New Jersey-based Honeywell, which also makes automotive turbochargers and consumer products such as antifreeze, rose 4 percent to $59.71 on the New York Stock Exchange.
Publisher Dow Jones in February dropped Honeywell from its 30-member Dow Jones industrial average, the oldest and most-watched gauge of stock performance in the world.
- How much did the Facebook founder pay for other shareholders' voting rights? Not a heck of a lot, says the NY Times.
- Here’s a look at Westminster Kennel Club’s most successful breeds and how much they cost.
- The oft-mentioned jobs "miracle" in European economic powerhouse Germany has a dark side that's largely escaped comment.
- When looking for that next career move, workers need to look at the differences between a start-up and a public firm.
- After enduring the recession, many Baby Boomers say money isn’t the most important thing they hope to leave to their kids.
- The ‘Fast Money’ traders weigh in on fashion related stocks from apparel to footwear to accessories and fragrances.
Data is a real-time snapshot *Data is delayed at least 15 minutes
