Honeywell sales for the third quarter were up 6% on a reported basis and up 7% on an organic basis. (The difference between reported and organic sales primarily relates to the impact of foreign currency translation). Third-quarter reported earnings per share was US$3.11, which includes US$233 million of separation costs (including net tax impacts) associated with the Garrett and Resideo spin-offs and a US$1 billion favorable adjustment to the charge the company took in the fourth quarter of 2017 related to U.S. tax legislation.
Aerospace sales for the third quarter were up 10% on an organic basis driven by robust demand from business aviation original equipment manufacturers, continued strength in the U.S. and international defense business, growth in the air transport and business aviation aftermarket, and demand for light vehicle gas turbochargers in Transportation Systems (which was spun-off as Garrett Motion Inc. effective October 1). Segment margin expanded 80 basis points to 22.1%, primarily driven by higher defense and aftermarket volumes, Commercial Excellence and lower customer incentives.
