United Technologies’s estimated 2Q16 earnings date
United Technologies (UTX), a diversified industrial (RGI) conglomerate, is expected to release its 2Q16 earnings on July 19, 2016. It will contain key financial and operating metrics from April 1–June 30, 2016.
Two of UTX’s competitors in the aerospace (PPA) and industrial (XLI) spaces will also post their results in July. General Electric (GE) and Honeywell (HON) will both declare their quarterly results on July 22.
Company views on Brexit
United Technologies (UTX) derived roughly 4% of its 2015 sales, or $2 billion, from the United Kingdom. The company has more than 8,000 employees in the UK. After the unexpected results of Britain’s referendum on leaving the EU, UTX stock fell by 3.4% to $98.89 on June 24.
UTX’s management stated that the results are unlikely to have any impact in the near term. By the end of the month, the stock had totally reversed its losses and the stock closed at $102.55 on June 30.
Gregory Hayes, United Technologies’s CEO, stated, “We believe that the current benefits of a free and open trading zone will largely remain at the conclusion of this process. As a globally diversified company, we are well equipped to manage these types of uncertainties.”
The company stated that it has maintained its full-year guidance following its overly optimistic statement. If business fundamentals deteriorate, the full-year guidance could be at risk of being downgraded, given that the guidance assumes an exchange rate of $1.52 per British pound. The current rate is ~$1.32 per British pound.
The cushion of the British pound holding up to that rate is no longer present. The company expects to earn adjusted earnings per share of $6.30–$6.60 in fiscal 2016 on sales of $56 billion–$58 billion. The company anticipates organic sales growth of 1%–3%.