Business
Honeywell Beats Guidance And Delivers Outstanding Second-Quarter Results Driven By Sales And Profit Growth; Raises Midpoint Of Adjusted EPS Guidance By 15 Cents
- Sales Growth and Margin Expansion in All Four Segments; Orders up Over 20% - Reported Sales up 18%, Organic Sales up 15% - Operating Margin up 450 Basis
About this update from Honeywell International Inc.
[{"type":"text","content":"- Sales Growth and Margin Expansion in All Four Segments; Orders up Over 20%\n - Reported Sales up 18%, Organic Sales up 15%\n - Operating Margin up 450 Basis Points to 18.1%; Segment Margin up 190 Basis Points to 20.4%\n - Earnings Per Share of $2.04, Adjusted Earnings Per Share¹ of $2.02, up 60%\n - Generated $1.3 Billion in Operating Cash Flow with Conversion of 89%, $1.5 Billion of Free Cash Flow with Adjusted Conversion² of 103%\n\n\nCHARLOTTE, N.C., July 23, 2021 /PRNewswire/ -- Honeywell (NASDAQ: HON) today announced outstanding results for the second quarter that were driven by sales and segment margin growth in all four businesses. The company also raised its full-year sales, segment margin, adjusted earnings per share, and cash flow guidance.\n\n \n \n \n \n \n \n\n \n\"Building on our first-quarter momentum, we executed extremely well in the second quarter. Our results were driven by top-line growth and margin expansion in all four segments. Organic sales grew 15%, led by double-digit growth in Performance Materials and Technologies, Honeywell Building Technologies, and Safety and Productivity Solutions,\" said Darius Adamczyk, chairman and chief executive officer of Honeywell. \"Our increased volumes, streamlined cost base, and relentless focus on execution enabled us to expand segment margin by 190 basis points to 20.4%, exceeding the high end of our guidance by 10 basis points. As a result, we delivered adjusted earnings per share1 of $2.02, up 60% year over year and above the high end of our second-quarter guidance range. Our cash performance in the second quarter was strong, as we generated $1.5 billion of free cash flow with adjusted conversion2 of 103%, all while repurchasing $1.0 billion in Honeywell shares.\"\nAdamczyk continued, \"Our strong performance in the second quarter took place in a recovering but challenging global environment. We are especially pleased to see a turnaround in several of our key end markets that were hardest hit by the pandemic, with commercial aerospace aftermarket and the UOP business returning to growth in the quarter. We are well positioned to capitalize on improving conditions as they unfold around the world and to execute on near-term growth opportunities across our portfolio, including in the warehouse automation, productivity, building products, and advanced materials markets...