Honeywell reported sales of aerospace products declined by 1 percent to $2.91 billion, for the first quarter of 2013. The company said the decline was driven by a 1 percent reduction in “commercial businesses primarily driven by higher than normal prior year shipments to commercial airline and BGA original equipment customers."
Despite the drop in its aerospace unit, Honeywell Chairman and CEO Dave Cote expects to deliver “top-tier earnings performance” for the rest of 2013.
“Aerospace sales were down 1 percent in the first quarter as expected, with U.S. defense ramp downs and a prior year comparison to the commercial business, specifically in the commercial aftermarket contributing to our results," Nathan Drevna, a spokesman for Honeywell told Avionics Magazine in an emailed statement.
During the first quarter Honeywell signed a $2.8 billion lifetime contract with Embraer to provide the avionics for the second generation of E-Jets, scheduled to enter service in 2018. The company also signed a purchase agreement to establish a new global headquarters in Morris Plains, N.J.
Related: Commercial Avionics News