Computer companies reported diverging results Monday, as Honeywell said its profit fell 31.2% in the second quarter while NCR reported an 18% gain.
In addition to producing mainframe computers, both companies make a wide range of other products.
Honeywell, headquartered in Minneapolis, said it earned $36.1 million in the quarter ended June 29, down from $52.5 million in the same period a year earlier. Revenue was $1.5 billion, up 11.8% from $1.33 billion.
Edson Spencer, Honeywell's chairman and chief executive, blamed the earnings decline primarily on weakness in U.S. computer markets.
Honeywell specializes in computers and equipment for factory automation and building controls and is expanding into office automation. It also makes products for the defense and aerospace industries.
Dayton, Ohio-based NCR said it had a profit of $78.8 million in the quarter, compared to $66.7 million a year earlier. Revenue for the three months increased 13%.
NCR Chairman Charles Exley Jr. said earnings were helped by a significant improvement in the profitability of semiconductor products and general purpose terminals as well as the benefits of the dollar's decline against foreign currencies.