Honeywell Technologies Q2 2026 earnings: profit forecast raised
Honeywell Technologies raised its full-year profit forecast on Thursday, its first earnings report as a standalone automation company following the completion of a three-way corporate breakup.
Honeywell Technologies lifted its full-year adjusted EPS target to a range of $8.05 to $8.35, compared with the previous guidance of $7.90 to $8.30, the company said. Full-year sales guidance was set at $19.8 billion to $20.0 billion, with organic sales growth of 3% to 4%.
Second-quarter adjusted EPS for the standalone Honeywell Technologies business came in at $1.95, up 10% from a year earlier. Analysts had expected adjusted EPS of $4.81, according to Reuters, citing data from LSEG. That $4.81 figure reflects consolidated results including the former Aerospace Technologies segment; consolidated adjusted EPS for the quarter was $4.52.
Quarterly sales for the standalone business reached $5.2 billion, up 3% from a year earlier and up 4% on an organic basis. The Building Automation segment led the way, with sales rising 10% to $2.0 billion and segment margin expanding 90 basis points to 27.1%, driven by volume leverage and pricing. Process Automation and Technology sales fell 1% organically to $1.7 billion, weighed down by lower catalyst volumes and unfavorable product mix. Industrial Automation sales grew 4% organically to $1.5 billion, supported by strength in utilities projects and warehouse backlog conversion.
"The second quarter marked a historic milestone for Honeywell Technologies as we completed the separation of Honeywell Aerospace and began a new era as a leading pure-play automation company," Honeywell Technologies chairman and chief executive officer Vimal Kapur said in a statement.
Honeywell Technologies stock rose 1.6% before the opening bell.
The earnings follow a period of significant restructuring. As part of what was a planned three-way breakup of Honeywell, the advanced materials division was spun off in October 2025 as Solstice Advanced Materials. Honeywell Aerospace completed its separation on June 29 and began trading on the Nasdaq under the ticker symbol HONA, leaving Honeywell Technologies as the remaining automation-focused entity. The company has also agreed to sell its Warehouse and Workflow Solutions and Productivity Solutions and Services businesses, with those divestitures expected to close by early August.
The updated guidance incorporates results from the acquisition of Johnson Matthey's Catalyst Technologies business, which closed on July 17, the company said. Honeywell Technologies expects organic sales growth of 4% to 6% in the second half of the year.