Industry Insights IronAxis Technical Team 28 Jul 2026 views ( )

Honeywell Technologies Reports Second-Quarter 2026 Results

Honeywell Technologies (NASDAQ: HON) recently announced its second-quarter 2026 results. The consolidated financial statements include the operating results of Honeywell Aerospace (NASDAQ: HONA). Honeywell Aerospace completed its separation from Honeywell Technologies on June 29, 2026, and now operates as an independent company.
Second-Quarter 2026 Consolidated Results (Including Legacy Aerospace Business):
Orders increased 4%, driving total backlog to approximately $38 billion.
Sales reached $9.7 billion, with reported sales up 4% year over year and organic sales up 4% year over year.
Operating margin was 17.9%, and segment margin was 23.1%.
Earnings per share (EPS) were $17.83, which included a one-time gain from the Quantinuum separation; adjusted EPS was $4.52.
Second-Quarter 2026 Honeywell Technologies Results (Excluding Legacy Aerospace Business):
Orders increased 16%, driving total backlog to approximately $20 billion.
Sales reached $5.2 billion, with reported sales up 3% year over year and organic sales up 4% year over year.
Operating margin was 12.8%, and segment margin was 19.0%.
Earnings per share (EPS) were $16.65, with adjusted EPS at $1.95.
"The second quarter marked a milestone for Honeywell Technologies. We successfully completed the Aerospace separation, opening a new chapter focused on our automation portfolio. The results this quarter reflect over a year of portfolio simplification that is now delivering tangible outcomes. Honeywell Technologies achieved strong organic order and sales growth, expanded segment margins by 100 basis points, and delivered double-digit EPS growth in the second quarter, further reinforcing our confidence in the long-term targets shared at our recent Investor Day. As a more focused and streamlined company, Honeywell Technologies will continue to accelerate profitable growth and create long-term value for shareholders by leveraging our deep domain expertise and large installed base," said Vimal Kapur, Chairman and Chief Executive Officer of Honeywell Technologies.
2026 Outlook
Driven by strong second-quarter performance and improving underlying organic growth fundamentals in the Process and Industrial businesses in the second half of the year, Honeywell Technologies has updated its full-year guidance. The company now expects full-year sales of $19.8 billion to $20.0 billion, representing 3% to 4% year-over-year organic sales growth, with second-half organic sales growth expected to be 4% to 6%. Segment margin is projected to be 20.1% to 20.5%, an increase of 250 to 290 basis points year over year. Adjusted EPS is expected to be $8.05 to $8.35, representing 25% to 29% year-over-year growth. Operating cash flow is projected to be approximately $2.1 billion, while free cash flow expectations remain unchanged at approximately $2.0 billion. This guidance incorporates the impact of the Johnson Matthey Catalyst Technologies acquisition, which closed on July 17, 2026, as well as the anticipated impact of the divestitures of the Productivity Solutions and Services (PSS) and Warehouse and Workflow Solutions (WWS) businesses, which are expected to close in early August.
Honeywell Aerospace
The legacy Aerospace business now operates independently as Honeywell Aerospace and began trading on the Nasdaq under the ticker symbol "HONA" following its separation from Honeywell Technologies on June 29. Consistent with historical separation practices, Honeywell Aerospace’s reported financial results may differ from the legacy Aerospace segment information presented in Honeywell Technologies' consolidated financial statements due to factors such as the definition of the transaction scope, allocation of Honeywell Technologies corporate-level costs, and the treatment of intercompany transactions. This applies to both the current and historical reporting periods. Due to the extended settlement cycle required to prepare separation financial statements, Honeywell Aerospace announced it will release its standalone second-quarter earnings report after market close on August 5.
In the second quarter, Aerospace sales reached $4.5 billion, with organic growth of 5% year over year. Mechanical component supply chains improved sequentially during the quarter, though material supply chains continued to constrain sales growth across end markets. Commercial aviation original equipment (OEM) sales increased 17% year over year, primarily driven by the alignment of delivery cadence with production schedules, particularly in commercial air transport. Commercial aviation aftermarket sales grew 7% year over year, supported by increased installed-base demand. Segment profit increased 2% year over year to $1.1 billion, which included approximately $40 million in inventory impairment charges resulting from reduced demand for certain existing inventory due to emerging repair technologies extending product lifecycles.
About Honeywell Technologies
Honeywell Technologies is a global automation-focused company dedicated to addressing critical global challenges through continuous innovation, improving the quality of life for people and communities worldwide. Leveraging the Honeywell Technologies Accelerator operating system and the Honeywell Technologies Connected Platform, the company provides a broad portfolio of products, services, and solutions for the building, process, and industrial sectors. By combining the deep domain expertise of its more than 50,000 employees with decades of data from its global installed base, Honeywell Technologies is leading the industrial transition from automation to autonomy.
Source: Honeywell Technologies