Honeywell (HON) Q4 2025 Earnings
How Did HON Stock React to Q4 2025 Earnings?
S&P 500 over the same 30 days: −1.98%.
Did HON Beat Earnings? Q4 2025 Results
Yes. Honeywell reported Q4 2025 earnings of $2.59 a share on Jan 29, 2026, beating the $2.18 consensus estimate by 18.8%. Revenue was $9.8B against a $7.0B estimate.
Honeywell closed out fiscal 2025 with a strong fourth quarter, posting adjusted EPS of $2.59 against a consensus estimate of $2.54, a beat of 1.97%, while revenue of $9.76 billion cleared the $7.02 billion estimate by nearly 39%, though reported sales slipped 3.3% year over year amid ongoing portfolio transformation. The single most compelling driver was Aerospace Technologies, where 21% organic sales growth, powered by commercial aftermarket momentum and a sustained defense build-up, anchored the quarter's outperformance. Record orders grew 23% organically, pushing backlog above $37.00 billion, a figure that underscores the durability of demand even as GAAP results were weighed down by a $373.00 million Flexjet litigation charge and goodwill impairments tied to businesses classified as held for sale. Honeywell's <a href="https://247wallst.com/investing/2025/12/03/3m-expands-margins-while-honeywell-absorbs-restructuring-pressure/">ongoing restructuring pressure</a> has not derailed its trajectory; management guided 2026 adjusted EPS to $10.35 to $10.65, representing 6% to 9% growth, with free cash flow expected between $5.30 billion and $5.60 billion as the planned aerospace separation moves ahead to Q3 2026.
- Strong commercial aftermarket demand in aerospace with 13% organic growth
- Defense and space sales rose 10% driven by sustained elevated global demand
- Orders grew 23% organically in Q4, driving record backlog over $37 billion
- Building Automation organic growth of 8% led by double-digit services growth
- Commercial original equipment growth accelerated from improving supply chain
- LNG acquisition contributing to ESS orders growth
“We concluded 2025 with strong results that exceeded the high end of our guidance for adjusted sales and adjusted EPS. Orders grew 23% stemming from robust demand in the Aerospace Technologies and Energy and Sustainability Solutions segments, including from our LNG acquisition that closed last year. As a result, we exited 2025 with a record backlog of over $37 billion which positions us well for 2026.”
Honeywell CEO, on the earnings call
What Was Honeywell's Outlook in Q4 2025?
For 2026, Honeywell expects sales of $38.8 billion to $39.8 billion with organic sales growth of 3% to 6%. Segment margin is expected to be 22.7% to 23.1%, with expansion of 20 to 60 basis points. Adjusted EPS is expected to be $10.35 to $10.65, representing 6% to 9% growth. Operating cash flow is expected to be $4.7 billion to $5.0 billion, and free cash flow is expected to be $5.3 billion to $5.6 billion, representing growth of 4% to 10%. The outlook includes full-year expected results for Aerospace, PSS, and WWS, and does not incorporate the pending acquisition of Johnson Matthey's Catalyst Technologies business.
HON YoY Financials
| Metric | Q4 2025 | Q4 2024 | Year over year |
|---|---|---|---|
| Revenue | $9.8B | $10.1B | −3.3% |
| Operating Income | $996.0M | $1.9B | −47.5% |
| Net Income | $287.0M | $1.3B | −77.7% |
HON Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.