Honeywell International Inc., the maker of car turbochargers and gas detectors, said profit this year will be higher than it previously predicted because of rising demand from automakers.
Profit will be $2.30 to $2.45 a share, compared with a previous estimate of $2.20 to $2.40, the Morris Township, New Jersey-based company said today in a statement.
Chief Executive Officer David Cote said last month that orders in the first three months strengthened in the turbo technologies unit and some parts of the automation and controls division. Honeywell trimmed more than 4,400 jobs last year to adjust for reduced demand as sales dropped 15 percent.
“Honeywell’s first-quarter performance reflects better- than-expected improvements in many of our end markets, coupled with strong commercial execution and disciplined cost controls,” Cote said in the statement.
First-quarter net income fell to $386 million, or 50 cents a share, from $397 million, or 54 cents, a year earlier. The average estimate in a Bloomberg survey of 10 analysts was 47 cents a share. Sales climbed 2.7 percent to $7.78 billion.
Honeywell rose 75 cents to $47.44 yesterday in New York Stock Exchange composite trading. The shares gained 21 percent this year before today.
To contact the reporter on this story: Will Daley in New York at email@example.com.