Sentiment Analysis of the earnings transcript to help figure out if there are any bullish or bearish sentiments that could be gathered from it. We're doing ML and AI based analysis on the earnings call to get some more insights.
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| Statement |
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| We're getting better visibility on that |
| But that was, again, creating installed base for catalyst and the catalyst business should be very strong |
| We're doing a lot here and I think it's actually going to be super interesting, better than prior year panels |
| But this business should be heading towards a nice growth path as the year progresses as well and we'll get some nice leverage on those margins as the business grows |
| So -- and we feel very bullish again on our technology and it’s capability |
| I'm excited to see, I'm excited for a new year, I'm excited for the platform that we've built here at Honeywell |
| So we are optimistic and yes, this is a business that we're looking for to providing some of the juice that's going to help us here as we progress through the year |
| And we're excited about the mega trends that we are decked up against |
| We're battling the mix challenges that come along with OE and aftermarket, but we're also getting some really nice leverage with mid-teens top line growth |
| So I'm very excited about the forward leverage for the business as it does return to growth |
| We're excited about the financial algorithm that we have to bring to bear for the company, 8% to 12% EPS growth given both our organic growth algorithm, what we've continued to do in terms of our 1% minimum share repurchase |
| I think as you've seen before, we've demonstrated our ability to deliver on our algorithm year after year through ups and downs in the environment that we've seen |
| So very excited about the platform that we've built in Honeywell over the last 20 years, but particularly the last five to six |
| And again, prospectively from this point forward, it has a very nice thematic growth path in the future |
| We've already printed something around 25%, and I'm very confident in hitting that number as we go forward from here |
| And that's also driving strong margins, right? So that's -- if those things are growing at think about a double-digit growth rate in services that is creating some nice margin leverage |
| And the third part of that is just the reminder when we bought this business, the whole point was win install base, create a very healthy aftermarket service business that's now approaching a $600 million part of the portfolio |
| But we've got a great business there and we're going to continue to take advantage of our positions in that business |
| Steve Tusa You guys have a pretty strong backlog, a great collection of long cycle businesses |
| So we're poised for leverage as growth does return |
| HCE continues to have strong double-digit growth in the top line, again, off of a $1.5 billion plus base |
| I think that's our growth expectations remain very bullish in that area |
| We're we expect positivity in the project side, not massive on the top line from a percentage basis, but also a very good pull through on the aftermarket services |
| Taking something like the success we see in HPS extending it across the others, you know our story around HGRs has always been a strength for us |
| HPS has had a very good two years, frankly and continues to see healthy orders |
| We're not going up by $0.5 billion in any given quarter, but it's creeping up still every quarter because the demand remains very strong and we are continuing to get that little bit of incremental each and every quarter, which on a year-over-year basis, is delivering strong [Vs] and that's going to happen this year, going into next year |
| And it had a terrific year |
| But we still have a lot of confidence that we're going to be able to grow our business mid-single digits, not maybe the double-digits that we had expected in the past |
| And so, I would see in the foreseeable future that, that's going to continue to be a very strong driver of demand for us |
| Steve Tusa And you're talking about year-over-year growth, right? Sequentially, do you think you'd be able to grow earnings faster, leverage revenue growth, grow earnings sequentially a little bit faster than revenue growth? Greg Lewis And again, in the second half that should pick up/ Steve Tusa And that should accelerate, but even in one 1Q to 2Q little bit better revenue |
| Statement |
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| Just on the defense side, that was a little weak or it's been slower than we would have expected |
| If I had to call the end of destocking and some of those channels, it's probably Q1 may be a little bit of a bleed over into 2Q, but not really much beyond that |
| The China economy is muted |
| The thing I will tell you though is everyone is struggling for people |
| So -- and the one spot that we all know very well about is the warehouse automation backlog, which has come down significantly, given the warehouse automation, pinch in that market |
| We're going to see a little bit of decline in the equipment business in UOP |
| We were down at the show yesterday and everybody's saying that these warehouse pipelines are definitely expanding but the close rates are relatively a challenge |
| I believe the comments have been a bit muted, but still up |
| There's a couple of spots where we're still working through some challenges but for the most part that's worked its way through |
| And I would say orders are outstripping sales at the moment |
| Maybe on the product side, there's definitely been a destocking for everyone involved in fire and security products |
| One of the things that never let a good crisis go to waste with all of the challenges that we had in semis during the supply chain constraint |
| That business had a nice margin in '22 went down in '23 |
| That's unexpected |
| This business has obviously seen some really dramatic destocking, pretty clear destocking |
| If you do not have that data backbone, you're probably going to be talking about hype cycle and it'll be interesting, but you're a company's ability to execute on that, I think we'll be challenged without that data backbone |
| But like the pie chart for us from an end market perspective is always tough to see on this one |
| And again, that's just because of the cyclicality of some large projects, particularly around LNG that run through it |
| So I would call that de minimis, which is one of the reasons why it gets a little frustrating sometimes when people are like, why are you doing that thing |
| I mean, supply just kind of like it's stalled again or getting |
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