In An Uncertain Market, UTC To Continue Cutting Costs

United Technologies says it will continue to cut costs in the face of an uncertain economic recovery. The Hartford-based conglomerate reported a 13% rise in third quarter profits. WNPR’s Harriet Jones reports.

UTC is the parent company of Pratt & Whitney, Sikorsky, Hamilton Sundstrand, Otis Elevator, Carrier and others. The company earned $1.2 billion or $1.30 per share in the third quarter, up from $1.14 a share in the same period last year.

The results beat analysts’ expectations by two cents a share, although the company missed revenue forecasts. Chief Financial Officer Greg Hayes says they take nothing for granted:

“The global economic recovery remains uneven. The global airline industry continues to gain traction, on the other hand, commercial construction markets remain weak, with the exception of emerging markets. In the face of this economic picture, UTC will continue to focus on cost containment and rigorous process improvement in our factories, our back offices and our supply chain.”

The company has cut some 15,000 jobs since this time last year, helping UTC to boost profit margins. UTC raised its profit forecasts for the full year to the top end of its previous range, the third time this year that it has raised expectations.

For WNPR, I'm Harriet Jones.