What are the new reporting segments for Honeywell?

Effective the first quarter of 2024, Honeywell will report its financial performance across four segments: Aerospace Technologies, Industrial Automation, Building Automation, and Energy and Sustainability Solutions.

Who has been appointed to lead the new business units?

Lucian Boldea has been appointed President and Chief Executive Officer of Industrial Automation, and Ken West has been appointed President and Chief Executive Officer of Energy and Sustainability Solutions. Both appointments are effective January 1, 2024.

Will historical financial results be restated to reflect the new segment structure?

No, the historical financial results will not be restated. However, Honeywell plans to make available certain historical segment results presented on a basis consistent with the new reporting structure later in 2023 and in 2024.

What is the strategic rationale behind this business unit realignment?

The realignment is intended to better align Honeywell's business units with three powerful global megatrends: Automation, the Future of Aviation, and the Energy Transition, thereby enhancing focus and capitalizing on growth opportunities within these key areas.

HON/HONIV 8-K: Earnings & Results & Leadership Changes

Summary

Honeywell International Inc. (HON) filed an 8-K on October 10, 2023, announcing a significant organizational realignment and executive appointments aimed at better aligning its business units with key global megatrends. Effective the first quarter of 2024, the company will restructure its reportable business segments to focus on Aerospace Technologies, Industrial Automation, Building Automation, and Energy and Sustainability Solutions. This strategic shift is designed to enhance focus and capitalize on growth opportunities within these distinct areas. Alongside the structural changes, Honeywell has appointed Lucian Boldea as President and CEO of Industrial Automation and Ken West as President and CEO of Energy and Sustainability Solutions, both effective January 1, 2024. These appointments, along with the business unit realignment, signal a proactive approach by Honeywell's leadership to drive future growth and operational efficiency by concentrating on areas of significant market potential and innovation. The company intends to provide historical segment data aligned with the new structure to facilitate consistent performance tracking.

Key Highlights

1Honeywell is realigning its business units into four reportable segments: Aerospace Technologies, Industrial Automation, Building Automation, and Energy and Sustainability Solutions, effective Q1 2024.
2This realignment is designed to align the company's structure with key global megatrends.
3Lucian Boldea has been appointed President and CEO of the newly created Industrial Automation segment, effective January 1, 2024.
4Ken West has been appointed President and CEO of the newly created Energy and Sustainability Solutions segment, effective January 1, 2024.
5The new segment structure will be used for both internal and external reporting starting in Q1 2024.
6Honeywell will provide historical segment financial data consistent with the new reporting structure to aid investor analysis.
7The announced changes do not impact the company's historical consolidated financial position, results of operations, or cash flows.

HONEYWELL INTERNATIONAL INC 8-K Report, Financial Results (Oct 10, 2023)

Summary

Key Highlights

Frequently Asked Questions