Honeywell Technologies reported third quarter 2026 results that featured strong margin expansion and organic growth exceeding long-term targets. While total sales of $4.99 billion fell slightly short of the $5.01 billion estimate due to recent divestitures, organic sales grew 7% year-over-year. The company raised its full-year 2026 guidance for organic revenue, adjusted EPS, and free cash flow based on momentum in its pure-play automation portfolio.
Key Highlights
- Adjusted EPS of $2.27 increased 34% year-over-year, significantly beating the analyst estimate of $2.17.
- Building Automation revenue reached $2.02 billion, representing 8% organic growth and surpassing the $2.01 billion expectation.
- Segment margins expanded by 370 basis points to 21.3%, driven by volume leverage and pricing actions that successfully offset inflation.
- The order backlog increased 7% year-over-year to nearly $19 billion, excluding the impact of divestitures in the Industrial Automation segment.