Honeywell’s (NYSE: HON) produced adjusted earnings, which narrowly beat estimates on Friday, and the company raised its forecast for 2018 profit, citing lower tax rates.
The net loss was $2.41 billion, or $3.18 per share, in the quarter ended Dec. 31, compared with a profit of $1.03 billion, or $1.34 per share, a year earlier.
Excluding the $3.8-billion tax provision, Honeywell earned $1.85 per share in the quarter, compared with expectations of $1.84.
The company's revenue rose 8.6% to $10.84 billion, topping estimates of $10.75 billion.
Honeywell sales for the fourth quarter were up 6% on an organic basis and up nine percent on a reported basis. The difference between reported and organic sales relates to the impact of foreign currency translation.
Aerospace sales for the fourth quarter were up five percent on an organic basis driven by growth in the commercial aftermarket and U.S. defense, and demand for light vehicle gas and commercial vehicle turbochargers in Transportation Systems.
Honeywell, which makes everything from jet engines to thermostats, said it now expects 2018 earnings in the range of $7.75 to $8.00 per share, compared with $7.55 to $7.80 per share previously.
The company also announced plans to boost its employee 401(k) match as a result of the new U.S. corporate tax law.
Said CEO Darius Adamczyk,"Our strong performance in 2017, together with the enactment of new U.S. tax legislation, has enabled us to increase our 401(k) match in the U.S.
"This is a sustained, annual benefit that will provide a more secure retirement for our employees. We believe that enhancing this benefit is extremely valuable and important to our employees over the long term."
Honeywell shares staggered nine cents to $161.75 Friday morning
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