Second-quarter sales surged 10% from a year ago at

Honeywell

(HON) - Get Report

, as the conglomerate's four major business lines each saw solid demand.

The company earned $306 million, or 36 cents a share, in the quarter, compared with $361 million, or 42 cents a share, last year. The latest quarter included a charge of 18 cents a share to cover the repatriation of overseas earnings.

Excluding the charge, Honeywell's second-quarter earnings rose 29% from a year ago to 54 cents a share, including 3 cents a share of earnings from discontinued operations. Sales totaled $7.03 billion in the latest quarter compared with $6.39 billion a year ago.

Analysts were predicting earnings of 50 cents a share on sales of $6.95 billion in the latest quarter.

For all of 2005, Honeywell now expects to earn $2.05 to $2.15 a share before the repatriation charge on sales of $27.8 billion to $28.0 billion. Analysts were expecting earnings of $2.04 a share on sales of $27.64 billion for the year.

By segment, Honeywell's aerospace division saw second-quarter sales rise 8% from a year ago, while margins were 15.7% in the latest quarter compared with 15.0% a year ago. At automation and controls, sales rose 21% from a year ago while margins were 10.1% compared with 10.5%.

In transportation, sales rose 12% from a year ago while margins were 13.5% compared with 14.1%. Sales slid 12% at Honeywell's specialty materials segment due to a divestiture. On an organic basis, sales rose 1% from last year. Margins in specialty materials were 9.8% compared with 5.7% a year ago.