The earnings call reflects a balanced sentiment. While the company showcased strong service performance and successful strategic initiatives like the UpLift program, challenges in the China market and declines in New Equipment orders and profits present notable headwinds.

Company Guidance

In the fourth quarter of 2024, Otis reported an organic sales growth of 1.9%, largely driven by a 7.8% increase in the Service segment, which includes Maintenance, Repair, and Modernization. The company's Maintenance portfolio grew by over 4% for the third consecutive year, reaching approximately 2.4 million units. Modernization orders surged by 18% in the quarter, contributing to a 13% increase in backlog at constant currency. Despite challenges in the New Equipment market, primarily in China where orders fell over 20%, Otis maintained its overall new equipment market share at 20% and achieved an adjusted EPS growth of 8.2%. The company generated $682 million of adjusted free cash flow, its highest quarterly result since its spin-off, and returned $1.6 billion to shareholders through dividends and share repurchases. Looking ahead, Otis aims to leverage its Service-driven business model to continue expanding margins and expects to achieve $200 million in annual run-rate savings from its UpLift program by the second half of 2025.

Strong Service Performance

Service segment grew 7.8% in the fourth quarter and accounted for 93% of overall operating profit in 2024. Maintenance portfolio increased more than 4% for the third consecutive year, with a total of 2.4 million units.

Modernization Growth

Modernization orders grew 18% in Q4, with backlog up 13% at constant currency. This includes over 20% growth in Asia Pacific each quarter.

Adjusted Free Cash Flow

Otis generated $682 million of adjusted free cash flow in Q4 2024, the highest quarterly result since spin, driven by excellent collections and reduction in net working capital.

UpLift Program Success

The UpLift program is expected to deliver $200 million in annual run rate savings by the second half of 2025, with approximately $70 million of savings achieved in 2024.

Positive Developments in Americas and Asia Pacific

New Equipment orders increased approximately 11% excluding China, with strong performance in the Americas (mid-teens growth in Q4) and Asia Pacific (greater than 20% growth).

ESG Recognition

Received a gold rating from EcoVadis for the third consecutive year, reflecting strong ESG initiatives aligned with business strategy.

---

Otis Worldwide (OTIS) Earnings, Revenues Date & History

The upcoming earnings date is based on a company’s previous reporting, and may be updated when the actual date is announced

Daily Earnings Calendar >

OTIS Earnings History

Report Date	Fiscal Quarter	Forecast / EPS	Last Year's EPS	EPS YoY Change	Slides	Play Transcript
Apr 23, 2025	2025 (Q1)	0.91 / -	0.88	―	―	―
Jan 29, 2025	2024 (Q4)	0.96 / 0.93	0.87	6.90% (+0.06)
Oct 30, 2024	2024 (Q3)	0.97 / 0.96	0.95	1.05% (+0.01)
Jul 24, 2024	2024 (Q2)	1.02 / 1.06	0.92	15.22% (+0.14)
Apr 24, 2024	2024 (Q1)	0.87 / 0.88	0.8	10.00% (+0.08)
Jan 31, 2024	2023 (Q4)	0.86 / 0.87	0.75	16.00% (+0.12)
Oct 25, 2023	2023 (Q3)	0.88 / 0.95	0.8	18.75% (+0.15)
Jul 26, 2023	2023 (Q2)	0.86 / 0.92	0.86	6.98% (+0.06)
Apr 26, 2023	2023 (Q1)	0.76 / 0.80	0.77	3.90% (+0.03)
Feb 01, 2023	2022 (Q4)	0.73 / 0.75	0.72	4.17% (+0.03)

The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.

Beat

Missed

---

OTIS Earnings-Related Price Changes

Report Date	Price 1 Day Before	Price 1 Day After	Percentage Change
Jan 29, 2025	$95.49	$94.27	-1.28%
Oct 30, 2024	$100.57	$97.51	-3.04%
Jul 24, 2024	$97.20	$90.33	-7.07%
Apr 24, 2024	$95.91	$91.88	-4.20%

Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.

---