Honeywell's $3.8 Billion Tax Charge Causes Fourth-Quarter Loss -- Earnings Review

Honeywell International Inc. (HON) reported its fourth-quarter earnings Friday. Here's what you need to know:

EARNINGS: Honeywell reported a net loss of $2.4 billion, or a loss of $3.18 a share, due to a charge related to the new U.S. tax law. Excluding that and other one-time items, the company earned $1.85 a share. Analysts polled by Thomson Reuters had expected adjusted earnings of $1.84 a share.

REVENUE: Revenue increased 9% to $10.8 billion, which is what analysts expected. Sales rose in each the industrial conglomerate's units, with the biggest increase in the safety and productivity division.

TAX CHARGE: Honeywell's fourth-quarter results included a $3.8 billion one-time charge related to the tax overhaul, which included tax on earnings of non-U.S. subsidiaries, writedowns on deferred tax liabilities and effects of the implementation of a territorial tax system.

GUIDANCE: The company raised its 2018 EPS guidance to a range of $7.75 to $8.00, up from $7.55 to $7.80, to reflect 2017 results and the impact of the new tax law. It didn't change its sales guidance of $41.8 billion to $42.5 billion.

Write to Cara Lombardo at cara.lombardo@wsj.com

(END) Dow Jones Newswires

January 26, 2018 07:03 ET (12:03 GMT)