HON · Earnings call · 2026Q3T · Full report

U.S. Refinery Maintenance Deferrals

HONEYWELL INTERNATIONAL INC · 2026-10-22 · Importance 20 · Surprise 24

Management confirmed that U.S. refiners’ deferral of shutdowns is delaying some maintenance-related activity, including equipment replacement and catalyst refurbishment, but described the demand as deferred rather than lost. Online services, including cybersecurity hardening and control-system upgrades, can continue without plant shutdowns. Globally, services and catalyst demand was described as stable; catalyst demand was expected to grow in the high teens in Q4 and at a mid-single-digit rate next year, while services growth was expected to remain stable.

Key facts

• Shutdown-dependent demand for replacements such as a Sundyne or catalyst refurbishment was moving to the right, not lost, and was pent-up demand expected to show up eventually.
• U.S. refiners' deferrals of uptime were factually correct, and some shutdown-dependent activity could not be performed.
• Many Honeywell automation offerings and services can be performed online without a plant shutdown, including cybersecurity hardening and migration to the current version.
• High utilization and a lack of shutdowns did not change Honeywell's overall near-term business dynamics.