OTIS REPORTS THIRD QUARTER 2026 RESULTS
Key Highlights
- ➤Q3 net sales $3.9 billion, up 6% year over year
- ➤Adjusted EPS $1.05, flat year over year
- ➤Service sales up 8%; modernization sales increased 20% organically
- ➤New Equipment operating profit fell $17 million; margin contracted 150 basis points
- ➤2026 outlook maintained, including adjusted EPS of $4.01 to $4.05
Expert Statements
Judy Marks, Chair, CEO & President of Otis Worldwide Corporation
“Otis delivered another quarter of strong top-line growth, supported by sustained performance across all Service lines and growth in New Equipment. Our investments in field capability and AI-enabled pricing, combined with disciplined execution, continue to support double digit modernization growth and high single digit repair growth. Alongside our focus on service quality, reliability, uptime, and cost control, these actions drove the incremental increase in Service margin to above 24%”
Judy Marks, Chair, CEO & President of Otis Worldwide Corporation
“The third quarter Service revenue growth and sequential margin improvement continue to reinforce our Service flywheel strategy and give us confidence in the steps we are taking to build a stronger foundation for sustained growth.”
Otis delivers high single digit Service net sales growth and low single digit New Equipment net sales growth; Service operating profit margin improved sequentially; broadly maintaining full year outlook
* Net sales up 6% and organic sales up 6%, driven by Service net sales up 8% with organic sales up 7%, and New Equipment net sales up 3% with organic sales up 3% * GAAP operating profit up $34 million and adjusted operating profit down $6 million * Service operating profit margin improved by 100 bps sequentially to 24.2% * Modernization orders up 10% at constant currency, backlog up 20% at actual and constant currency * Operating cash flow of $337 million; adjusted free cash flow of $272 million Year-to-date 2026
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