By Dean Seal


Honeywell International has realigned its business segments around what it calls the three "compelling megatrends" of automation, the future of aviation and energy transition.

The industrial company said Tuesday that the shift within its businesses, which is set to take effect in the first quarter of 2024, will drive organic sales growth and inorganic capital deployment.

The new reporting structure will include four business units: aerospace technologies, industrial automation, building automation, and energy and sustainability solutions. Honeywell previously reported its results were segmented by aerospace, building technologies, performance materials and technologies, and safety and productivity solutions.

"This realignment will enable us to consistently deliver our upgraded financial algorithm, drive innovation that will help solve the world's toughest sustainability and digitalization challenges, and deploy capital more effectively," Chief Executive Vimal Kapur said.

Starting on Jan. 1, Lucian Boldea will serve as chief executive of the industrial automation segment while Ken West has been tapped to head the energy and sustainability solutions business.

Billal Hammoud will stay in his position as chief executive of the newly renamed building automation segment, formerly called the building technologies unit, and Jim Currier will do the same for what will now be called the aerospace technologies segment.

Honeywell also said Tuesday that it expects third-quarter sales and segment margin to be in line with its issued guidance and for earnings per share to possibly come in higher than previously expected.


Write to Dean Seal at dean.seal@wsj.com


(END) Dow Jones Newswires

10-10-23 0659ET