Honeywell Reaffirms 2026 Outlook and Lays Out a Pro-Forma Plan for “Honeywell Technologies” Before Aerospace Spin-Off

Honeywell on Monday reaffirmed its full-year 2026 guidance and issued a preliminary outlook for the company it expects to operate under the name “Honeywell Technologies” after the upcoming separation of its Aerospace Technologies unit. The update comes as Honeywell prepares for what it has positioned as a major reset of its corporate structure, with the aerospace business slated to become an independent company after the spin-off date of June 29, 2026.

In its guidance update call scheduled for 8:30 a.m. Eastern on June 8, Honeywell said it continues to expect 2026 sales of $38.8 billion to $39.8 billion and organic sales growth in the range of 3% to 6%. The company forecast segment margin of 22.7% to 23.1%, with segment margin expansion of 20 to 60 basis points. Honeywell also projected adjusted earnings per share of $10.35 to $10.65, a non-GAAP measure intended to reflect underlying performance by excluding certain items, along with operating cash flow of $4.7 billion to $5.0 billion and free cash flow of $5.3 billion to $5.6 billion.

Alongside the reaffirmation for Honeywell International on a pre-separation basis, the company provided a “Honeywell Technologies” guidance framework that excludes full-year expected results for the aerospace segment expected to spin off on June 29. Within that framework, Honeywell forecast 2026 sales of $19.9 billion to $20.2 billion and organic sales growth of 2% to 3%, with segment margin of 19.8% to 20.3% and expansion of 220 to 270 basis points. The company projected adjusted EPS of $3.95 to $4.15 for Honeywell Technologies and said it expects free cash flow of approximately $2.0 billion.

Honeywell said its new framework also takes into account divestitures it has agreed to sell, including Productivity Solutions and Services (PSS) and Warehouse and Workflow Solutions, with expected closing by the fourth quarter for the purposes of its 2026 outlook framework. It also included estimated results from the Johnson Matthey Catalyst Technologies acquisition, which Honeywell said it expects to close in the third quarter. The company added that it intends to change how it presents certain adjusted results, including removing income stemming from an overfunded pension liability and removing the consolidated results of Quantinuum following the company’s June 4 initial public offering.

The update is closely linked to Honeywell Aerospace’s own investor preparations. Honeywell Aerospace, which Honeywell said it expects to complete spinning off on June 29, 2026, has already scheduled an investor day for early June, where it said it would provide 2026 pro-forma standalone guidance and 2030 targets. Honeywell Aerospace also indicated it would list on the Nasdaq stock exchange under the ticker “HONA” after the separation.

Honeywell’s “investor day” timing remains a key marker for the separation narrative. Honeywell said the company would discuss its latest outlook during Monday’s investor conference call and that it precedes its 2026 Investor Day on June 11, 2026. The company’s investor relations page shows the June 11 event as an executive forum with presentations and Q&A, intended to help investors understand the standalone direction of the remaining business.

While Honeywell provided an explicit numerical framework for the remaining entity, it did not disclose in Monday’s announcement how the split will affect segment-by-segment performance inside Honeywell Technologies beyond the guidance ranges and certain exclusions. For example, the company’s framework excludes full-year expected aerospace results by design, and it did not provide a full reconciliation of how every removed or retained corporate activity will flow into each standalone metric after the separation. Investors will likely look to the investor day and related materials for more granular definitions, including how margins, cash flow timing, and one-time items are treated once the new capital structures are in place.