Honeywell International Inc. (NYSE:HON) revealed that it boosted its earnings per share forecast for full year 2017. The move came on the back of delivering better than expected results for the first quarter. Following this, the stock is trading up in pre-market on Friday.
Honeywell lifted its lower end of its EPS forecast by five cents a share to $6.90 – $7.10 for full year 2017. This represents 7 – 10percent growth on a year-over-year basis. Street analysts are looking for an EPS of $7.04. The company indicated that it would continue to focus on accelerating its organic growth by expanding margins with productivity rigor.
The company’s earnings advanced 10 percent to $1.71 a share from $1.56 and came in above the estimates of $1.62. Excluding divestures, it would have delivered an EPS of $1.66, which is also higher than the expectations.
Honeywell’s sales remained flat at $9.49 billion for the first quarter exceeding the Street predictions of $9.32 billion. On organic basis, sales would have increased two percent with segment margin improving by 70 basis points to 18.8 percent.
The company’s president and CEO, Darius Adamczyk, commented on the results saying, “The commercial aftermarket within Aerospace and the global distribution business within Home and Building Technologies remained strong. In Performance Materials and Technologies, robust demand for Solstice® low-global-warming products drove double-digit organic growth in Advanced Materials, and improving conditions in the oil and gas industry bolstered ongoing strength in UOP. In Safety and Productivity Solutions, demand for warehouse solutions and industrial safety products enabled growth in the quarter.”
At time of writing this, Honeywell shares are trading up 0.57 percent in pre-market on Friday.