Honeywell 3Q Profit Falls But Tops Expectations

STEPHEN SINGER

Honeywell International Inc. said Friday its third-quarter profit fell 15 percent as sales dropped in all its divisions with key markets in aviation and industrial products continuing to struggle.

More than half of the Morris Township, N.J., company's sales are overseas. As a result of its exposure, Honeywell has been hit hard by some of the economy's weakest sectors such as the aerospace, automotive and construction markets, which have been in a prolonged slump.

The company earned $608 million, or 80 cents per share, in the quarter ended Sept. 30, down from $719 million, or 97 cents per share, a year ago.

Its profit was helped by 4 cents a share for a lower-than-expected tax expense, the company said.

Revenue fell 17 percent to $7.7 billion from $9.28 billion a year ago.

Analysts surveyed by Thomson Reuters expected lower earnings of 72 cents per share on higher revenue of $7.88 billion.

Honeywell backed its previous 2009 guidance of earnings of $2.85 per share on revenue of $31 billion. Analysts are looking for earnings of $2.78 a share on revenue of $31.46 billion.