United Technologies Q2 Profit Down; Raises 2016 Outlook

(RTTNews) - United Technologies Corp. (UTX) reported a profit for the second-quarter that declined about 11 percent from the previous year. The company raised the low end of its 2016 adjusted earnings per outlook by 15 cents to $6.45 to $6.60 per share, on increased sales of $57 billion to $58 billion.

"United Technologies had a solid first half of the year with 2 percent organic sales growth, and we remain on track to meet our growth targets for 2020," UTC President and Chief Executive Officer Gregory Hayes said.

Net income attributable to common shareowners for the second-quarter declined 10.96 percent to $1.373 billion from the prior year's $1.542 billion.

Second quarter GAAP earnings per share from continuing operations of $1.71 was up 4 percent versus the prior year and included 11 cents of net restructuring and other significant non-operational items.

Adjusted earnings per share from continuing operations grew to $1.82 from $1.67 last year. Analysts polled by Thomson Reuters expected the company to report earnings of $1.68 per share for the second-quarter. Analysts' estimates typically exclude special items.

Net Sales for the quarter grew 1.22 percent to $14.87 billion from $14.69 billion in the prior year. Wall Street expected revenues of $14.67 billion for the quarter.

Looking ahead for 2016, the company expects adjusted earnings per share to be in the range of $6.45 to $6.60 compared to the prior outlook of $6.30 to $6.60 per share.

The company now expects sales for fiscal year 2016 to be in the range of $57 billion to $58 billion, compared to the previous outlook of $56 billion to $58 billion. This represents year over year growth of 2% to 3%, including organic sales growth of 1% to 3%.

Wall Street currently is looking for fiscal year 2016 earnings of $6.55 per share on annual revenues of $57.04 billion.

UTX closed Monday' regular trading at $104.65, down $0.48 or 0.46 percent.