United Technologies Corp.’s chief financial officer reiterated the industrial conglomerate’s 2009 profit forecast today, even voicing optimism in the face of the deteriorating economy.
CFO Greg Hayes told analysts at a conference in New York that it’s too early to reduce the Hartford company’s outlook.
At 3 p.m., UTC shares traded at $48.13, up 60 cents, or 1.3 percent.
The maker of Sikorsky helicopters, Otis elevators and Pratt & Whitney jet engines in December predicted full-year earnings per share of $4.65 to $5.15. That would be plus and minus 5 percent over the $4.90 per share in earnings reported for 2008 and mostly above the $4.66 per share estimated by analysts surveyed by Thomson Reuters.
“We feel pretty good about that guidance,” Hayes said. “I know there’s some concern that the high end of that range might be difficult and we all agree the markets are pretty tough. But as we sit here in February, I don’t think anybody wants to give up for the year.”
“I feel good about the business. I think it’s not as dire as perhaps everybody seems to think, but it’s tough,” he added.
Some analysts had questioned whether United Technologies would reach the targets it set in December before the global economy worsened.
Analyst Cai von Rumohr of Cowen and Co. wrote in a note to investors last month following the release of fourth-quarter and 2008 results that UTC may have trouble performing better than the bottom of its 2009 guidance.
And Rick Whittington, an analyst at JSA Research, said in January that United Technologies will have to rely more on its market for repairs and maintenance at Pratt & Whitney and Sikorsky — though even that may not help it reach its profit targets.
UTC said in its earnings announcement Jan. 21 that it expects a tough first half in 2009, as its 2008 fourth-quarter profit was hurt by declines in its elevator and air conditioning businesses. (AP)
