Honeywell raises outlook after standalone automation earnings improve

Honeywell Technologies ($HON) reported third-quarter 2026 revenue of $5.0 billion, up 1% on a reported basis and 7% organically, in its first quarter as a standalone automation company after the aerospace separation. Segment margin increased to 21.3%, while adjusted earnings rose 34% to $2.27 per share.

Management increased full-year 2026 adjusted earnings guidance to $8.40–$8.45 per share, lifting the midpoint by $0.23. It expects sales of $20.0–$20.1 billion and organic growth of 4%–5%, with segment margin around 20.5%. GAAP earnings declined 20% to $2.40 per share because the prior-year comparison included a one-time Resideo ($REZI)-related gain. The improvement in adjusted profitability therefore needs to be assessed alongside both the portfolio separation and the unusual prior-year accounting benefit.

Sources:

• Business Wire
• wyow.marketminute.com