Honeywell Tops Q2 Views, Shares Surge

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jumped more than 4 percent in pre-market trading after the company reported stronger-than-expected results for its second quarter. The Morris Township, New Jersey-based company posted quarterly earnings of $1.22 billion, or $1.51 per share, compared to $1.13 billion, or $1.38 per share, in the year-ago quarter. Its sales slipped to $9.78 billion from $10.25 billion. However, analysts were expecting a profit of $1.49 per share on sales of $9.74 billion. The average estimate among 28 Estimize users was for earnings of $1.51 per share and revenue of $9.91 billion. Sales for the Aerospace segment dropped 5 percent year-over-year in the quarter, while sales for the Automation and Control Solutions segment slipped 1 percent. Sales for the Performance Materials and Technologies dipped 9 percent for the quarter. Expenses declined around 7 percent during the quarter. "Honeywell had a terrific second quarter capping off a strong first half of 2015," said Honeywell Chairman and CEO Dave Cote. "We delivered 3% core organic sales growth and had another quarter of double-digit earnings growth when normalized for tax. We saw growth acceleration in both the short- and long-cycle businesses within Aerospace, continued growth in our commercial and industrial businesses within ACS, and higher volume across our Advanced Materials portfolio, particularly in Fluorine Products." Honeywell now expects full-year earnings of $6.05 to $6.15 per share, versus its previous forecast of $6.00 to $6.15 per share. It maintained its sales outlook at $39 billion to $39.6 billion. Honeywell shares climbed 4.52 percent to $108.25 in pre-market trading.