Honeywell Aerospace Slashes Sales Growth Forecast Amid Supply Chain Woes
Honeywell Aerospace has revised its forecast for sales growth in 2026 due to ongoing supply-chain issues. The company, which separated from Honeywell in June and debuted on the Nasdaq, previously expected organic sales growth of 7-9%. However, it now predicts a more modest 4-5% increase.
The aerospace supplier's shares fell 12% in after-hours trading following the announcement. Second-quarter results showed adjusted earnings per share falling 32% to $1.87, while revenue rose 5% to $4.52 billion. Both figures missed analysts' expectations.
Honeywell Aerospace is shifting its focus towards supplying original equipment to Boeing and Airbus, which has led to a reallocation of production between original-equipment and aftermarket operations. The company's leadership acknowledges that demand remains strong but is hindered by supply-chain disruptions.