CHARLOTTE — Honeywell Technologies raised its 2026 sales, adjusted earnings and free-cash-flow outlook after reporting higher third-quarter sales and a 7% increase in backlog in its first quarter as a standalone company.
The Charlotte-headquartered automation company reported third-quarter sales of $4.994 billion, up 1% from $4.929 billion a year earlier. Organic sales grew 7%, and backlog rose 7% year over year to nearly $19 billion, excluding two divested businesses.
Operating income increased 79% to $740 million, while adjusted earnings per share rose 34% to $2.27. Free cash flow increased 15% to $688 million. Reported earnings per share from continuing operations fell 20% to $2.40 because the prior-year comparison included a one-time gain.
Honeywell Technologies now expects full-year sales of $20.0 billion to $20.1 billion, compared with its previous range of $19.8 billion to $20.0 billion. The company raised its adjusted earnings-per-share forecast to $8.40 to $8.45 from $8.05 to $8.35 and increased its free-cash-flow outlook to about $2.1 billion from about $2.0 billion.
Building Automation generated $2.020 billion in sales and 8% organic growth. Process Automation and Technology posted $1.859 billion in sales and 8% organic growth, while Industrial Automation recorded $1.115 billion in sales and 4% organic growth despite a reported decline tied to divestitures.
The Wall Street Journal reported that sales rose 1.3% to about $4.99 billion and that the company raised its outlook after its first quarter as a standalone company.
The raised outlook changes full-year expectations for a Charlotte-headquartered public company and provides its first quarterly operating benchmark after the aerospace separation.