Net earnings for Honeywell in its second quarter didn’t reflect a more than 10-percent increase in sales, or a substantial increase in revenue for its division that includes is security and fire alarm products. Honeywell blamed a tax charge for the repatriation of foreign earnings related to the provisions of the American Jobs Creation Act of 2004 as the reason why its second quarter earnings were down to $306 million compared to $361 million from the year before. However, revenues were up to $7 billion for the three months that ended June 30 compared to $6.4 billion in second quarter sales a year ago.
Meanwhile, sales were up 21 percent for Honeywell’s Automation and Control Solutions (ACS) segment that includes the security and life safety properties. In fact, Honeywell credits security and fire products for much of the sales increase.
ACS sales were $2.4 billion in 2005’s second quarter compared to $1.9 billion the year before, with a net profit of $242 million.
Overall, ACS sales are up 11 percent for the first half of 2005.
In other earnings news …
GE: Earnings were up 24 percent for GE in its second quarter, with all 11 of GE’s businesses showing double-digit percentage earnings growth. Among those businesses was a 25-percent earnings hike and a 43-percent increase in sales for Infrastructure, which includes GE’s security and fire alarm products.
Infrastructure yielded $6 billion in sales for the quarter ended June 30, with a net profit of $168 million.
Overall, GE had second-quarter revenue of $41.6 billion with net earnings of $4.6 billion.
