Just as expected, a pitiful Q2 earnings call with an on par deflection from management regarding "supply chain issues" (we all know better than that). The after hours trading price tells the truth.
13 replies (most recent on top)
@tn I think a better question would be has HA management prepared for anything? It's 113 in Phoenix and they handed us all black t-shirts to wear!
Was mgt prepped at all for this call? wow.
Either insource or give up ALT.
You need a metal supply pipe that you control in North America , Europe, and Asia. Separate and Honaero owned. Metal too messy? Too hot? Too expensive? You just gave up more than $10B because you lack that supply chain. You think a casting plant costs that much?
Cowardly leaders with no vision and no guts to do the hard things.
Stock down to 156.47 this morning. Ouch.
Snippet From the earnings press release below. Pulled from https://investor.honeywellaerospace.com/static-files/d7c00b51-555e-4af1-9de3-5f7c63915c59
Setting aside how unimpressive those bullet points are, they were making all of those same statements five years ago. HA has forever been "qualifying new suppliers" and "focusing on casting." It's all just lip service.
Several critical supply chain actions are underway, including:
◦ Qualifying over 50 new suppliers, with 50 more expected for the second half;
◦ Increasing investment in supplier tooling, with planned spending up 20% in the second half versus the first half and doubling from 2025 to 2027, of which approximately 70% is going to castings; and
◦ Expanding the number of multi-sourced parts by more than 15% for the year.
In a just world this call will shake up leadership enough to change. Unfortunately we don't live in a just world.
The analysts on the call (usually hand-selected to be friendly BTW) were even calling out Jim literally on the call. Jim could not coherently explain why our supply chain issues were so bad when our competitors were not.
It is clear Jim has no clue how to run Aero. He is an over-promoted salesman who has not built up the cross-functional bench for us to execute.
@b0 Trust me, I shook them up HARD!! I have the ability to remember numbers (TONS of them) and people relied on this ability without having to use their own mind. I had many drawings stored in my mind, every dimension, every note. I would still check revisions to know I was compliant.
Many lazy employees and managers took advantage (or so it seemed to me) of this ability of mine for far too long without learning anything, so I took it away from them. It feels great not to have all of their numbers clouding my mind anymore. It's great for me and my mind, horrible for them and their business.
@d6 stick dropped over 20% today, at 165
Pathetic earnings call!
Earnings call was pathetic too, Analysts asking why HONA is barely growing while the rest of the industry has no supply chain gremlin and is growing at double digits. They mocked Jim’s dog ate my homework level excuse.
He won’t last through the year if he has another pathetic quarter and conference call like that.
Corporate Honeywell squeezed every last dime out of Aero over the last two decades. Our facilities and equipment are in disrepair, our suppliers have been abused and taken advantage of, and the dedicated workforce that made Aero a success is almost entirely gone. The "new" company needs a major overhaul. A lot of money needs to invested to fix all the damage that was done. The uncompetitive wages being paid in the Phx area have turned our factories into revolving doors for unskilled low talent hacks that have no credentials or technical qualifications appropriate for these positions. The talent is gone, the dedication no longer exists, and loyalty means nothing. It's just a bullsht job that will pay the bills for most of us until we can find something better.
The old regime needs to be shaken up. Every single ALT leaders need to be looked at including the functions. Gave people bigger titles expecting a different outcome is mind boggling.
@a3 That is a slight improvement over the 175.93 price it was trading at @ 5.05 eastern time. Nevertheless, this is an indication of things to come.
I worked in Aerospace for many years (20+) and had finally HAD IT with the lack of new ways of thinking, the toxic environment (backstabbing, lying), the continuously crashing systems, incorrect documentation, and the list goes on and on.
I separated myself on the first day of the spin off, one of the best decisions of my life. The Aero location that I left will limping for a long time, I held (and took in my head) much of their despised "tribal knowledge". I call it intellectual property.
A lot of jobs there became a lot more difficult to achieve success.
8/5/26 6:15p eastern and the after hours price is 182.00 down 10.6%. Ouch!