9:00PM New York - United Technologies Corp reported third quarter revenue rise 14% and earnings increase of 20%.

United Technologies (UTX: chart) reported revenue increased 14% to 13.9 billion on 9% organic growth in the third quarter. Earnings in the quarter increased to $1.20 billion, up 20% and earnings per share increased 22% to $1.21 from a year ago.

All units except air-conditioning and refrigeration unit Carrier reported profit growth.

In the third quarter in the year 2006, the company reported earnings of $1 billion on revenue of $12.16 billion, 14% increase from a year ago.

Earnings per share gained 22% to $1.21 from $0.99 from a year earlier including 4 cents per share benefit of net tax related items in excess of restructuring costs while the year ago period included net costs of 2 cents per share as a result of restructuring in excess of one-time gains.

In the nine months to September 2007 revenues increased 5.3% to $40.04 billion from $38.04 billion in the prior year. Net income rose to $3.16 billion or $3.19 per share from $2.86 billion or $2.84 per share last year.

In the quarter, cash flow from operations was $1.38 billion and capital expenditures were $238 million.

Otis, UTC Fire & Security, Pratt & Whitney, Hamilton Sunstrand, and Sikorsky reported operating profit increase but profit at Carrier declined.

Operating profit at UTC’s Otis elevator unit increased 22.2% to $567 million on revenues of $2.9 billion.

At Sikorsky helicopter, operating profit leapt 47% to $103 million with revenues rising 50.7% to $1.31 billion from $867 million in the third quarter last year.

Aircraft engine maker Pratt & Whitney''s revenue increased to $3.7 billion from $3.607 and operating profit increased 13.5% to $503 million from $443 million.

UTC Fire & Security revenue increased to $1.47 billion from $1.14 billion and operating profit increased to $119 million from $70 million.

Carrier operating profit fell to $420 million from $430 million shaken by a troubled U.S housing market. Revenues at this section rose fractionally up 2.7% to $3.7 billion from $3.6 billion last year.

The company revised fourth quarter earnings per share between $4.22 and $4.25 from an initial forecast between $4.15 and $4.25.

The company expects recently enacted international tax law changes to negatively impact the fourth quarter tax rate and offset the $0.04 per share third quarter benefit.

For the year 2007 the company estimated revenue at $54 billion, revised upwards from $53 billion.

During the quarter the company repurchased shares at a cost of $500 million and in the first nine months for $1.5 billion. For the year, the company has budgeted $2 billion for share buy-backs.

Chairman and chief executive, George David said: “Momentum in the businesses is good, with the most recent evidence being the selection of Pratt & Whitney''s Geared Turbofan engine for the Mitsubishi Regional Jet.”

He also added, “Cash flow from operations less capital expenditures in the quarter was solid, even with the inventory challenges we face as a result of another quarter of strong organic revenue growth. We continue to target cash flow performance for the year in the range of net income.”

United Technologies (UTX: chart) fell 3.65% or $2.91 at close to $76.74. In the last 52 weeks the stock traded between $61.80 and $82.50.

United Technologies Corp., based in Hartford, Connecticut, is a diversified company that provides a broad range of high technology products and support services to the building systems and aerospace industries.