I'm LongbridgeAI, I can summarize articles.Honeywell announced that it will spin off its aerospace technology business in the second half of 2026, establishing an independent publicly listed aerospace company. This spin-off is part of the company's business restructuring aimed at simplifying operations and focusing on industrial automation and digital transformation. After the spin-off, Honeywell will concentrate on areas such as building automation, industrial automation, and process automation. The new financial reporting structure will take effect on January 1, 2026, and the aerospace business will continue to report its performance as part of Honeywell before the spin-off
According to the Zhitong Finance APP, Honeywell (HON.US) announced on Wednesday that it is actively advancing its plan to spin off its aerospace technology business in the second half of 2026, at which point an independent publicly listed aerospace company will be established. Previously, Honeywell had initiated a broader business portfolio restructuring, after which the company will focus on three core business segments: building automation, industrial automation, and process automation and technology.
The company also confirmed that the spin-off of its Solstice Advanced Materials division will be completed as scheduled on October 30.
The new financial reporting structure will take effect on January 1, 2026. Under this structure, Honeywell will begin to disclose performance by four major segments: aerospace technology, building automation, industrial automation, and process automation and technology. The aerospace business will continue to disclose performance data as part of Honeywell until the spin-off is completed.
Honeywell stated that the spin-off of the aerospace technology business is an important step in simplifying operations and focusing on industrial automation and digital transformation. The spun-off aerospace company will provide propulsion systems, cockpit systems, navigation systems, and auxiliary power systems for commercial and military aircraft.
After the spin-off is completed, Honeywell's remaining business will focus on automation technology in the industrial, building, and process sectors. The specific management responsibilities are as follows: Billal Hammoud will be responsible for the building automation business, Peter Lau will oversee the industrial automation business, Jim Masso will be in charge of the process automation business, and Ken West will lead the process technology business. All four executives will report to Vimal Kapur, who continues to serve as Honeywell's Chairman and CEO.
It is understood that Honeywell initially announced its intention to spin off the aerospace technology business on February 6. The company stated that it expects this transaction to be tax-free for shareholders at the federal income tax level in the United States.
This aerospace business spin-off will take place after the separation of the Solstice division, marking the full completion of Honeywell's two-phase business portfolio transformation plan initiated in 2024