Common-Size Income Statement
Quarterly Data
Honeywell International Inc., common-size consolidated income statement (quarterly data)
Based on: 10-Q (reporting date: 2025-09-30), 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31).
- Product and Service Sales Composition
- Product sales as a percentage of net sales show a gradual decline from early 2020 through 2025, moving from approximately 74.5% to around 68%. In contrast, service sales increase steadily over the same period, rising from about 25.5% up to an average near 31–32%. This indicates a strategic shift or growing emphasis on services relative to product sales.
- Cost Structure
- The combined cost of products and services sold as a percentage of net sales decreased significantly from around 70.56% in mid-2020 to roughly 61% by late 2023, before fluctuating and rising again to near 66% towards the end of the period. The cost of products sold specifically exhibits a downward trend in percentage terms from over 55% to about 44% in several quarters, with some intermittent increases. Conversely, the cost of services sold slightly increases over time, moving from approximately 14% in early periods to above 20% in some later quarters, suggesting increased costs associated with service offerings.
- Profitability Trends
- Gross profit margins improved steadily from under 30% in mid-2020 to close to 39% in several late periods, with some variability in the most recent quarters showing a decline back to around 34%. Operating income fluctuated but generally shows a positive trend with peaks above 20% of net sales between 2022 and 2025, indicating improving operational efficiency. Income before taxes presents volatility but mostly remains positive around 15% to 22%, highlighting overall profitability persistence.
- Expenses
- Research and Development expenses are introduced starting in late 2021, maintaining a consistent level near 4% of net sales, indicating sustained investment in innovation. Selling, general and administrative expenses tend to hover between 13% and 15% of net sales, with some spikes reaching 17% but generally showing a slight reduction toward the end of the period, implying cost control efforts.
- Other Income and Financial Charges
- Other income fluctuates with both positive and negative values but generally contributes positively, with peaks above 5% in early 2021 and again near 8% in late 2025. Interest and other financial charges increase gradually from under 1% to approximately 3.4% by 2025, suggesting rising financing costs or debt levels.
- Taxation and Net Income
- Tax expense as a percentage of net sales varies considerably, with some quarters showing low tax rates around 1.6% and others higher around 5%, indicating variability in taxable income or tax strategy. Net income attributable to the company follows trends similar to operating income, improving from under 10% in late 2020 to peaks above 17% in recent periods, although it also experiences volatility. Overall, net profitability shows an upward trend with some quarters reflecting strong earnings performance.
- Minority Interest
- Net income attributable to noncontrolling interest remains relatively minor and fluctuates around zero with occasional small positive or negative contributions, suggesting minimal impact on consolidated net income figures.