Honeywell Aerospace Inc.

Company facts

Industry

Aircraft Engines & Engine Parts

Headquarters

Phoenix, Arizona

Most recent report

10-Q, filed Aug 5, 2026

Incorporated

Delaware

Filings on record

77 filings

On EDGAR

CIK 2089271

Fiscal year ends

December

Filer status

Non-accelerated filer

What to read: Jun 2026 10-Q

SECSift found 3 of 13 sections worth reading, with 0 positive, 5 notable, and 5 negative flags.

• Financial Statements (Item 1)

  Spin-off created $5.6B equity deficit; net income halved; $16B debt; huge transaction costs.
  Notable

  • Issued $16.0B of senior unsecured notes on March 16, 2026; long-term debt now $15.85B.
  • Trademark license requires $1,125M in payments over 5 years, starting with $18.75M monthly.
  • Board authorized $3.5B share repurchase on July 23, 2026; no buybacks yet as of filing.
  Negative

  • Environmental liabilities could be 2x to 3x larger than the $828M accrued, with payments beyond 20 years.
  • Flexjet settlement cost $434M total, with $375M paid in Q1 2026 and $59M in Dec 2025.

• Management's Discussion (Item 2)

  Spin-off, debt, segment profit drops, and cash flow decline require attention.
  Notable

  • Issued $16B in senior unsecured notes; $15.5B fixed-rate notes outstanding as of June 27, 2026.
  Negative

  • Engines & Power Systems segment profit dropped 32% in Q2, margin fell 6 points to 12%.
  • Control Systems segment profit down 11% YTD 2026, margin fell 4 points to 28%.
  • Operating cash flow dropped $679M to $346M in H1 2026, hit by $450M spin-off costs and $377M Flexjet settlement.

• Controls and Procedures (Item 4)

  Spin-off specifics: relying on Honeywell processes and TSA, still building own controls.
  Notable

  • Post-spin-off, company is building own controls and relying on Honeywell under a Transition Services Agreement.