Honeywell Seeks Growth with Automation Focus

Honeywell has undergone a significant transformation since its breakup into a pure-play automation company. CEO Vimal Kapur outlined the company's new strategy at Morgan Stanley's 14th Annual Laguna Conference.

The focus is now on building, process, and industrial automation, with targets of 4% to 6% organic growth. Honeywell Forge, the company's software and AI platform, is expected to reach $1 billion in annual recurring revenue by the end of 2026, growing at a rate of about 15% per year.

Kapur emphasized that the new Honeywell is built around three end markets: building automation, process automation, and industrial automation. The company has also separated three other businesses and acquired six more as part of its portfolio overhaul.