Honeywell posts better-than-expected profit on aviation boost, lifts forecast

Industrial conglomerate Honeywell International Inc posted a better-than-expected quarterly profit and slightly raised its full-year forecasts on Thursday, on strong performance in its aviation business.

Honeywell's share price was down 3% in premarket trading on Thursday.

Aviation suppliers, such as Honeywell and General Electric, have gained from faster-than-expected rebound in air travel, which has driven demand for parts and services.

Sales at Honeywell's aerospace business, which counts Boeing and Airbus as customers, were up 16% on an organic basis in the second quarter.

Honeywell lifted the lower-end of its 2023 sales forecast by $200 million to $36.7 billion to $37.3 billion.

Full-year adjusted profit per share was bumped to $9.05 to $9.25 per share, from $9.00 to $9.25 forecast earlier.

The company also reported its second-quarter profit rose 17.9% to $1.49 billion. On an adjusted basis, profit was $2.23 per share, compared with expectations of $2.21 per share, as per Refinitiv data.

Quarterly sales rose about 2% to $9.15 billion, slightly below average analyst expectations of $9.17 billion.

(Reporting by Abhijith Ganapavaram in Bengaluru)