Honeywell's aerospace segment revenues rose by $550 million in the second quarter of 2024, a 16% increase from the same quarter last year, company executives announced today.
"While Aerospace continues to lead our growth, we are seeing broader participation across our portfolio, with three of our four segments contributing positive growth for the quarter,” Vimal Kapur, Honeywell's chief executive officer, said in a company statement. “All four segments grew sequentially in the quarter as well, giving us further confidence in our expectation of a second half organic growth acceleration."
Defense and space profits within the aerospace segment grew 19% due to “sustained demand from the current geopolitical climate and further supply chain improvements enabled us to convert on our robust backlog,” the company’s release adds.
The North Carolina-based company also reported $9.6 billion in sales during the quarter, up 5% from the same quarter in 2023.
During the company’s earnings call, Kapur added that last month’s acquisition of CAES Systems -- a producer of sensing and instrumentation systems used in current U.S. military aircraft and guided munitions -- would “enhance” Honeywell’s position within current modernization programs.
Partnering with Sikorsky-Lockheed, Honeywell supplied its HTS7500 turboshaft engine as part of a bid for the Army’s Future Long-Range Assault Aircraft program, an aircraft designed to replace the service’s UH-60 helicopters.
In December 2022, the Sikorsky-Boeing FLRAA bid lost to a bid from Bell-Textron, and Honeywell announced it would repurpose the HTS7500 for the Army’s CH-47 Chinook helicopters.
Honeywell also manufactures the AGT1500 gas turbine engine, which the Army uses in the Abrams main battle tank.
During the 2023 Association of the United States Army annual conference, Honeywell unveiled the 360 Display, an augmented and mixed-reality headset that uses multiple sensors and cameras to improve vision for combat vehicle operators.
In 2022, the company announced an effort to further assert itself in satellite communications, networks and navigation technology, among other areas, coinciding with the Army’s shift away from counterinsurgency warfare to focus on near-peer competition.
Honeywell is also subcontracting with Vector Atomic in the Defense Innovation Unit’s quantum sensing initiative to develop an atomic gyroscope, which is designed to improve the position of satellites in space.