United Technologies profit rises 6 pct

The world's largest maker of elevators and air conditioners raised the low end of its full-year profit forecast by 10 cents and expects earnings of $4.90 to $4.95 per share. But it acknowledged on Thursday that order rates had started to slow and said it would "aggressively" cut costs.

"While we did see order rates slow in some businesses in the quarter given the current turmoil, our backlogs across UTC remain strong," said Louis Chenevert, president and chief executive, in a statement. "In the face of ongoing economic challenges, we continue to aggressively cut costs and restructure our business."

The company noted North American elevator orders had slowed -- a reflection of slowing construction demand -- but said that worldwide heating and cooling equipment orders were up.

Third-quarter profit increased to $1.27 billion, or $1.33 per share, from $1.2 billion, or $1.21 per share, a year earlier.

Factoring out restructuring costs, profit came to $1.36 per share, ahead of analysts' average forecast of $1.32, according to Reuters Estimates.

Revenue climbed 6.9 percent to $14.8 billion, with three points of that growth due to the weak dollar.

United Tech's results had been helped by the weak dollar over the past year, though the greenback's summer recovery will reduce that tailwind.

The Hartford, Connecticut-based company, which generates about 60 percent of its revenue outside the United States, has benefited from continued strong nonresidential construction activity outside the United States.

As of Wednesday's close, United Tech shares were down about 36 percent this year, roughly in line with the decline of the blue-chip Dow Jones industrial average. The shares were little changed in light pre-market trading, dipping to $49 from a $49.25 close on the New York Stock Exchange.

Earlier this week, United Tech withdrew its $40-per-share offer for Diebold Inc DBD.N, a maker of automated-teller machines, which that company has rebuffed as too low.

United Tech's main competitors include General Electric Co GE.N in jet engines, EADS EAD.PA subsidiary Eurocopter in helicopters and Swiss Schindler Holding SCHN.S in elevators.