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UTC reports third-quarter drop in sales, income

Farmington aerospace manufacturer United Technologies Corp. said its third-quarter profits were $2.3 billion, down 13 percent compared to the same quarter of 2014. Overall sales were $13.7 billion, down 6.5 percent from the third quarter last year.

UTC says the sales decrease was attributable largely to adverse foreign exchange. There was also a 1 percent decline in organic sales primarily attributed to a delay in engine deliveries as a result of the transition to a new logistics center at Pratt & Whitney, the company said in announcing its results.The third quarter segment operating margin was 17.2 percent.

Gregory Hayes, UTC President and CEO, said in a statement. “We are on track to deliver results within our previous guidance ranges for full-year [earnings per share] of $6.15 to $6.30 and sales between $57 and $58 billion.”

Third quarter earnings per share of $1.61 and net income attributable to common shareowners of $1.4 billion were down 17 percent and 19 percent, respectively, versus the third quarter of 2014. Results for the current quarter include restructuring costs of 6 cents per share, while earnings per share in the year ago quarterincluded 22 cents of favorable one-time items net of restructuring.

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UTC also announced it expects the sale of its Sikorsky unit to close in the fourth quarter of 2015. The UTC board has authorized a new $12 billion share repurchase program, including the $6 billion accelerated share repurchase using the net proceeds from the Sikorsky sale. The new share repurchase program replaces the previous program announced in July.

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