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UTX Reiterates 2013 Outlook

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United Technologies Corp. (UTX - Free Report) recently reiterated its outlook for 2013 based on steady improvements in key end markets and solid execution of its operational plans. At the same time, the company intends to remain committed to delivering sustainable organic growth through continued focus on product development, best-in-class margins, and strong cash generation.

For full year 2013, United Technologies expects sales to be in the range of $64 billion to $65 billion, while earnings are expected to be in the range of $5.85 to $6.15 per share. Cash flow from operations net of capital expenditures is anticipated to be equal to or higher than net income attributable to common shareholders.

By segments, organic sales in Otis and Climate, Controls, & Security are expected to be up mid single digit each, while that in UTC Aerospace Systems are expected to be up by high single digit. Organic sales in Pratt & Whitney and Sikorsky are anticipated to rise by low single digit each.

Operating profit from both Otis and Pratt & Whitney segments are expected to increase by $100 million - $150 million each. UTC Aerospace Systems are expected to report an increase in operating profit to the tune of $2.1 billion, while Climate, Controls, & Security is expected to register an increase in the range of $150 million to $200 million. However, operating profit in the Sikorsky segment is set to dip by $100 million to $150 million.

Based in Hartford, CT, United Technologies provides high-end technology products and services to the building systems and aerospace industries worldwide. The company is a diversified business conglomerate serving various end markets such as aerospace, defense and commercial construction. The business diversification allows the company to remain profitable amid tough economic times.

The operations of the company are primarily classified into two principal businesses: commercial and aerospace. Under its commercial business, the company has Otis and the UTC Climate, Controls & Security division, which combined the former Carrier and UTC Fire & Security divisions. The aerospace business of the company consists of Sikorsky aircraft and the UTC Propulsion & Aerospace Systems, which includes UTC Aerospace Systems and Pratt & Whitney divisions.

United Technologies faces stiff competition from industry bigwigs such as Koninklijke KPN N.V. (KKPNF - Free Report) and Jardine Strategic Holdings Ltd. , each carrying a Zacks Rank #1 (Strong Buy), and China Merchants Holdings (International) Company Limited that carries a Zacks Rank #2 (Buy). United Technologies presently has a Zacks Rank #3 (Hold).

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