Company Reports Second Quarter In Line;
Delivers More Than $1 Billion in Cash Flow;
Anticipating Continued Tough Economic Conditions
Honeywell announced second quarter 2009 sales of $7.6 billion versus $9.7 billion in the second quarter of 2008 and earnings of $0.60 per share, compared to $0.96 per share in the second quarter last year. Cash flow from operations was $1,126 million versus $1,042 million in the second quarter of 2008 and free cash flow (cash flow from operations less capital expenditures) was $1,009 million, compared to $853 million in the second quarter of last year.
“Honeywell had good second quarter performance in a tough environment,” said Honeywell Chairman and CEO Dave Cote. “We are particularly pleased with our strong free cash flow conversion performance, which reflects our emphasis on effectively managing working capital in these very dynamic market conditions. We also had several important long-term contract wins, including Europe’s Air Traffic Modernization program, and we announced a key acquisition in the attractive gas transmission segment to bolster our Process Solutions business. We continue to invest in new products and services that will help strengthen our great positions in good industries and prepare Honeywell for growth when the economy rebounds.”
“Economic conditions, however, remain challenging and we are not planning for any recovery in 2009,” continued Cote. “Our key process initiatives, such as the Honeywell Operating System, Velocity Product Development™, and Functional Transformation, are enabling the aggressive, company-wide repositioning and cost actions that will help Honeywell continue to deliver earnings and free cash flow in this tough environment.”
Honeywell expects full-year 2009 sales of approximately $31.5 billion and earnings of approximately $2.85 per share, which is at the low end of the company’s previously stated earnings range.
For more information, read the release, view the Second Quarter Investor presentation, or listen to a Webcast of the Investor conference call.
