(Reuters) - Diversified U.S. manufacturer Honeywell International Inc reported a 10 percent rise in quarterly earnings as declining natural gas prices helped boost profits at its UOP chemical arm, offsetting weakness in Europe.
The maker of aircraft electronics and building control systems said on Friday that third-quarter earnings came to $950 million, or $1.20 per share, compared with $862 million, or $1.10 per share, a year earlier.
The results came in 6 cents per share ahead of the analysts’ average estimate of $1.14, according to Thomson Reuters I/B/E/S.
Honeywell tightened its full-year profit forecast to a range of $4.45 to $4.50 per share. Its previous outlook was $4.40 to $4.55, and analysts had expected $4.50.
“Looking ahead to 2013, we are planning for a continued challenging macro environment, but expect to deliver good growth,” Chief Executive Officer Dave Cote said in a statement.
Third-quarter sales were up less than 1 percent to $9.34 billion, shy of Wall Street’s $9.51 billion target. Sales rose 4 percent at the Morris Township, New Jersey-based company’s aerospace arm, reflecting strength in commercial aviation, but fell 10 percent at the transportation systems unit on weak European demand for automotive turbochargers.
Honeywell shares fell 1 percent to $60.80 in premarket trading.
Reporting by Scott Malone and Tim McLaughlin in Boston; Editing by Lisa Von Ahn