economy
As Honeywell Aerospace readies for its standalone debut, its CEO is forecasting big growth
By 2030 Honeywell is targeting annual earnings of at least $6.5 billion and full-year free cash flow of at least $4 billion.
TL;DR
- Honeywell Aerospace is spinning off as an independent company later this month.
- CEO Jim Currier is focused on accelerating growth in avionics, engine control systems, and other aerospace technologies.
- Projected full-year 2026 adjusted EBIT of $4.65-$4.75 billion and second-half 2026 free cash flow of $1-$1.5 billion.
- Targeting at least $6.5 billion in annual earnings and $4 billion in free cash flow by 2030.
- Growth opportunities are strong in the commercial transport and defense/space markets, with record backlog orders from Airbus and Boeing.
- The spin-off is driven by Honeywell International's overall struggle to generate competitive stock returns.
- Honeywell Aerospace aims for organic annual sales growth of 6%-8% and annual earnings growth of 9% through 2030.
- Recent temporary supply chain issues in Q1, linked to the war in the Middle East, have reportedly been corrected.