Printer Friendly

HONEYWELL REPORTS $116.8 MILLION NET INCOME, $1.67 EARNINGS PER SHARE IN FIRST QUARTER

 HONEYWELL REPORTS $116.8 MILLION NET INCOME,
 $1.67 EARNINGS PER SHARE IN FIRST QUARTER
 MINNEAPOLIS, April 14 -- Honeywell Inc. (NYSE: HON) today reported first-quarter 1992 net income of $116.8 million, or $1.67 per share, up 62.7 percent from $71.8 million, or $1.01 per share, in the year-earlier quarter.
 Worldwide sales in the first quarter increased to $1.48 billion from $1.47 billion in the same period of 1991. Income before income taxes for the quarter was $183.9 million, compared with $112.2 million a year earlier.
 "In the first quarter, we produced solid earnings in the midst of a languid economy," said James J. Renier, chairman and chief executive officer. "This performance is consistent with our ongoing commitment to deliver value to our shareholders, customers, employees and communities."
 Renier said 1992 first-quarter results included the following items:
 -- Honeywell recognized a $108.3 million gain ($65 million, or $0.93 per share, after taxes) from the settlement of a patent infringement lawsuit against the Minolta Camera Co. The $108.3 million represents the gain to the company after expenses associated with the settlement. The lawsuit resulted in a $127.5 million settlement to Honeywell.
 -- Honeywell provided $32.1 million ($19.3 million, or $0.28 per share, after taxes) for costs associated with productivity improvement programs and the anticipated disposition of certain non-strategic product lines.
 "On a comparable basis, Honeywell earned $1.02 per share in the first quarter of 1992, which is consistent with our expectations," Renier said.
 Home and Building Control. Operating profit was $46.2 million, up 1.3 percent from $45.6 million a year earlier, and included provisions for work-force reductions. Sales increased 5.7 percent, to $547.5 million from $518.2 million, led by a strong performance in residential and building controls. Orders increased at a double-digit rate from year-earlier levels. The company increased its market penetration with original equipment manufacturers and retailers, and experienced growth with new product introductions.
 Industrial. Operating profit of $30 million was down from $46.6 million in the 1991 first quarter, and included provisions for work-force reductions and manufacturing rationalization in the components business. Sales of $394.6 million were up 8 percent from $365.4 million in the same period last year on the strength of process controls. The performance was highlighted by additional business in process controls as industry invests to meet increasingly stringent environmental regulations. In the components business, key end-markets showed no signs of improvement. Industrial orders in the quarter declined modestly from strong year-earlier levels.
 Space and Aviation. First-quarter 1992 operating profit of $50 million included margin improvements in all three divisions, offset by provisions for work-force reductions. Operating profit in the 1991 first quarter was $58.6 million. First-quarter sales were $512.7 million, down 7.5 percent from $554.2 million in the 1991 first quarter. The decline is attributable to a slowing production rate of new aircraft as airlines delay deliveries, and to expected reductions in U.S. defense spending. Orders for commercial avionics were flat, while the timing of government contract awards led to a decline in orders in the military and space divisions.
 Other. Sales from other operations were $26.8 million in the quarter, compared with $31.2 million a year earlier. An operating loss of $10.6 million included a provision for anticipated loss on the disposition of certain non-strategic product lines.
 Honeywell is a global controls company that provides products, systems and services for homes and buildings, industry, and aviation and space. The company employs 58,000 people worldwide and had 1991 sales of $6.2 billion.
 HONEYWELL INC. AND SUBSIDIARIES
 INCOME STATEMENT (Unaudited)
 (Dollars in Millions Except Per Share Amounts)
 FIRST QUARTER
 1992 1991 Percent
 SALES $1,481.6 $1,469.0 0.9
 COSTS AND EXPENSES
 Cost of sales 1,019.3 997.6 --
 Research and development 69.0 71.3 --
 Selling, general and administrative(1) 193.3 274.2 --
 Interest - net 16.0 13.4 --
 Equity loss 0.1 0.3 --
 -- 1,297.7 1,356.8
 Income before income taxes 183.9 112.2 --
 Provision for income taxes 67.1 40.4 --
 Net income $116.8 $71.8 62.7
 Earnings per common share $1.67 $1.01 65.3
 Average number of common
 shares outstanding 69,928,953 70,969,119
 (1) Includes Minolta autofocus litigation settlement, less related
 expenses, of $108.3 in 1992.
 HONEYWELL INC. AND SUBSIDIARIES
 SALES AND OPERATING PROFIT BY SEGMENT (UNAUDITED)
 (Dollars in Millions)
 FIRST QUARTER
 1992 1991
 SALES
 Home and Building Control $547.5 $518.2
 Industrial 394.6 365.4
 Space and Aviation 512.7 554.2
 Other 26.8 31.2
 -- $1,481.6 $1,469.0
 OPERATING PROFIT
 Home and Building Control $46.2 $45.6
 Industrial 30.0 46.6
 Space and Aviation 50.0 58.6
 Other (10.6) (2.0)
 Total operating profit 115.6 148.8
 Interest expense (23.4) (22.6)
 Equity loss (0.1) (0.3)
 General corporate income (expense) 91.8 (13.7)
 Income before income taxes $183.9 $112.2
 -0- 4/14/92
 /CONTACT: Kevin Whalen of Honeywell, 612-870-2524 or 612-687-9244/
 (HON) CO: Honeywell, Inc. ST: Minnesota IN: SU: ERN


AL -- MN003 -- 8066 04/14/92 08:42 EDT
COPYRIGHT 1992 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1992 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Apr 14, 1992
Words:885
Previous Article:PHM CORPORATION RELEASES 1992 FIRST-QUARTER EARNINGS
Next Article:ENRON OIL & GAS REPORTS 87 PERCENT EARNINGS INCREASE TO $22.3 MILLION OR $.29 PER SHARE IN FIRST QUARTER OF 1992


Related Articles
HEILIG-MEYERS COMPANY REPORTS RESULTS
HONEYWELL EARNS $331.1 MILLION IN 1991 Performance Steady in Recessionary Economy
HONEYWELL REPORTS $85.1 MILLION NET INCOME, $1.23 EARNINGS PER SHARE IN SECOND QUARTER
FIRST AMERICAN REPORTS RECORD EARNINGS
PUBLIC SERVICE CO. OF COLORADO ANNOUNCES THIRD QUARTER RESULTS
THE HANOVER INSURANCE COMPANY REPORTS 1992 THIRD QUARTER RESULTS
ARVIN REPORTS RECORD SALES FOR FOURTH QUARTER AND FULL YEAR 1992
STANDARD COMMERCIAL CORPORATION REPORTS QUARTERLY SALES AND EARNINGS DIP
USLIFE CORPORATION REPORTS 15 PERCENT INCREASE IN FIRST QUARTER RESULTS; COMMON STOCK DIVIDEND DECLARED
WILMINGTON TRUST ANNOUNCES THIRD QUARTER EARNINGS

Terms of use | Copyright © 2017 Farlex, Inc. | Feedback | For webmasters