Honeywell unveils post-spin-off targets for aerospace unit
While sticking to its 2026 guidance prior to the upcoming Honeywell Aerospace spin-off scheduled for June 29, Honeywell has outlined 2026 targets for the remaining group post-separation, which will continue operations under the name Honeywell Technologies.
For this post-spin-off entity, the group aims for adjusted EPS between $3.95 and $4.15, segment margins of 19.8% to 20.3% (representing a 220-to-270 bp increase), and revenues ranging from $19.9bn to $20.2bn (reflecting organic growth of 2% to 3%).
Also for 2026, Honeywell Technologies anticipates operating cash flow of about $2.1bn and free cash flow of around $2bn.
In addition to the aerospace divestiture, these new outlooks incorporate the impact of the planned disposals of Productivity Solutions and Services (PSS) and Warehouse and Workflow Solutions, which Honeywell expects to finalize in Q4.
Conversely, they include the estimated results from the acquisition of Johnson Matthey Catalyst Technologies, which is slated for completion in Q3.
Honeywell International Inc. is a global, pure-play automation company. The Company serves the building, industrial, and process sectors with a portfolio of services, solutions, and products supported by its Honeywell Technologies Accelerator operating system and Honeywell Technologies Forge intelligence layer. It provides solutions in Building Automation, Process Automation and Technology and Industrial Automation segments across refineries, mines, plants, power grids, data centers, hospitals and others. Its Building Automation segment develops the products, software, solutions and technologies that enable building owners and occupants to ensure their facilities are safe and energy efficient. Its Process Automation and Technology segment provides end-to-end automation and technology solutions. Its industrial automation solutions that deliver sustainable and secure operations for customers in the refining, petrochemicals, life sciences, utilities and warehouse and logistics segments.
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