Rockwell Collins continues to exceed expectations after the acquisition, United Technologies Corp. said in its earnings report for the three months through June and raised the outlook for the full year. The diversified industrial producer based in Farmington, Connecticut, earned $2.2 per diluted share, a drop of 14.1% year over year, on a 7.2% decline in profit to $1.9 billion.
The company attributed the slump to the one-off gain in the comparable quarter from the divestiture of Taylor. Shares rallied 2.7% in premarket trading. Revenue landed at $19.63 or up 17.5% on an annual basis and above market expectations of which the report highlighted 6% organic growth. Adjusted earnings advanced 11.7% to $2.2 per share, also beating consensus.
"Based on a solid first half, we feel confident raising our outlook for the full year with an improved organic sales growth outlook of 4% to 5% and adjusted EPS range of $7.9 to $8.05. We continued to see outperformance at Collins Aerospace this quarter as we made significant progress on the integration of Rockwell Collins, which more than offset softness in Carrier's end markets," chairman and chief executive Gregory Hayes said. The previous outlook was 3% to 5% and $7.8 to $8, respectively.
