Honeywell Q4 Commercial Aftermarket Sales Rise 13%; Defense and Space Grow 10%
Honeywell’s commercial aviation aftermarket organic sales rose 13% year over year in Q4 2025 and defense and space organic sales grew 10%, while acquisitions added 4% to sales. The company paid $2.98B in dividends, repurchased $3.8B of stock, and ended 2025 with $27.1B in long-term debt versus $12.5B in cash.
1. Q4 2025 Segment Performance
Honeywell’s commercial aviation aftermarket organic sales rose 13% year over year in the fourth quarter of 2025, while its defense and space business achieved 10% organic sales growth. Rising costs trimmed margins as cost of sales climbed 10.5% and SG&A expenses increased 4.1%.
2. 2026 Outlook and Acquisitions
For 2026, Honeywell expects high-single-digit organic sales growth in its Aerospace Technologies segment driven by continued momentum in commercial aviation and defense and space. In 2025, acquisitions of SparkMeter’s utility platforms and Nexceris’s Li-ion Tamer business strengthened its smart energy and fire life safety portfolios, contributing 4% to sales.
3. Capital Allocation and Balance Sheet
Honeywell returned $2.98 billion in dividends and repurchased $3.8 billion of shares in 2025. It ended the year with $27.1 billion of long-term debt against $12.5 billion in cash and equivalents, reflecting elevated leverage to support acquisitions.