Otis Worldwide Corporation · NYSE:OTIS
Otis Worldwide — Q1 2026 Earnings Presentation
26 slides from Otis Worldwide's earnings presentation, Apr 22, 2026
Slide 1: Q1 2026 Earnings Call
Q1 2026 Earnings Call April 22, 2026 © 2026 OTIS WORLDWIDE CORPORATION.
Slide 2: Forward-Looking Statements
Forward-Looking Statements Note: All results and expectations in this presentation reflect continuing operations unless otherwise noted. This communication contains statements which, to the extent they are not statements of historical or present fact, constitute "forward-looking statements" under th
Slide 3: Q1 2026 Highlights
Q1 2026 highlights Q1 2026 Solid start to the year, supported by continued strength in Service... • Organic1 sales up 1%… Service up 5% 5% • Repair organic1 sales up 10% Service organic1 sales growth • Modernization orders up 11%; backlog up 30% at constant currency1 • New Equipment orders up 1% at
Slide 4: Q1 2026 Orders
Q1 2026 orders Q1 2026 highlights (YOY Changes) Orders1 Otis Total Otis ex-China New Equipment 1% 5% Modernization 11% 6% Metropolitan Transport Authority Austin Convention Center Total 4% 5% Marseille, France Texas, USA Backlog1 Otis Total Otis ex-China New Equipment 3% 11% Modernization 30% 30% To
Slide 5: Q1 2026 Results
Q1 2026 results ($ millions, except per share amounts) Sales Operating profit Diluted earnings per share GAAP 411 539 GAAP $0.61 $0.87 Adjusted1 Adjusted1 Adjusted margin1 Organic1 1% Adjusted operating profit down $38M at Adjusted EPS1 drivers constant currency1, excluding $28M of FX FX 5% tailwind
Slide 6: Q1 2026 Service Segment Results
Q1 2026 Service segment results Service 94% ($ millions) Segment Operating Profit Sales Operating Profit Y/Y Y/Y 11% 4% Organic1 Operating profit margin New Equipment 5% (160) bps Operating profit down $10M at constant currency1 Organic1 sales up 5% + Volume + -- Pricing • Maintenance & repair up 4%
Slide 7: Q1 2026 New Equipment Segment Results
Q1 2026 New Equipment segment results New Equipment 6% ($ millions) Segment Operating Profit Sales Operating Profit Y/Y Y/Y (1%) (42%) Organic1 Operating profit margin (5%) (240) bps Service Organic1 sales down 5% Operating profit down $27M at constant currency1 + -- • Americas down 1% Productivity
Slide 8: Addressing Near-Term Service Margin
Addressing near-term Service margin Impacts on Q1 Service margin Confidence in recovery - focus areas Q1 Investments Monetize Service excellence investments, • ~$5M maintenance excellence continuing retention improvement and topline • ~$10M sales & pricing capabilities > growth • Ongoing onboarding
Slide 9: 2026 Industry & Otis Outlook
2026 Industry & Otis outlook1 New Equipment Otis • Industry updates Net sales of $15.1 to $15.3B; organic2 up low to mid-single digits 2026 VPY: Industry units • Americas up • Adjusted operating profit2 of ~$2.5B, • EMEA up Change in industry units ~8% ~6% ~2% up $20M to $60M at constant currency2;
Slide 10: 2026 Total and Organic Sales Outlook
2026 total and organic1 sales outlook Prior outlook (Jan 28, 2026) Current outlook Service sales up mid to high single digits up mid to high single digits (Organic) New Equipment sales down low single digits to flat down low single digits to flat (Organic) Total sales up low to mid-single digits up
Slide 11: 2026 Financial Outlook
2026 financial outlook Organic1 sales Constant currency1 adj. op profit1 Constant Adjustedcurrency adj. free cash flow1 up low to mid-single digits up $20 to $60M operating profit1 3% ~$1.625B $32M $40M $46M $40M ~ Flat Adjusted operating profit1 growth sustained despite incremental investments and
Slide 12: 2026 Adjusted EPS Growth Outlook Drivers
2026 adjusted EPS1 growth outlook drivers ~$0.02 + $20M to $60M at constant currency1 ~$0.08 ~$0.02 $0.03 to $0.10 FX BOY EUR @ 1.18 $4.05 CNY @ 6.96 $4.20 to $4.24 1 1 MSD adjusted EPS1 growth 1 See appendix for additional information regarding these non-GAAP financial measures. © 2026 OTIS WORLDWI
Slide 13: © 2026 OTIS WORLDWIDE CORPORATION.
© 2026 OTIS WORLDWIDE CORPORATION. 13
Slide 14: Appendix
Appendix © 2026 OTIS WORLDWIDE CORPORATION. 14
Slide 15: Backlog and Orders
Appendix Backlog and orders ($ billions, at constant currency1) Modernization orders Remaining performance obligation Q1 2026 Y/Y Y/Y Total Otis 11% 19.6 5% 18.6 18.9 Otis ex-China 6% Modernization 30% Maintenance New Equipment orders 2% & repair Region Q1 2026 Y/Y Total Otis 1% New Otis ex-China 5%
Slide 16: Q1 2026 Adjusted Operating Profit Drivers
Appendix Q1 2026 adjusted operating profit1 drivers Actual currency ($28M) +$19M ($1M) ($10M) ($38M) at constant currency1 + + -- Productivity Volume + -- Volume Pricing Price & Mix Labor and material costs - Investments net of productivity Mix 1 1 Adjusted operating profit margin1 of 15.4% 1 See ad
Slide 17: Use and Definitions of Non-GAAP Financial Measures
Appendix Use and Definitions of Non-GAAP Financial Measures Otis Worldwide Corporation (“Otis”) reports its financial results in accordance with accounting principles generally accepted in the United States ("GAAP"). We supplement the reporting of our financial information determined under GAAP with
Slide 18: Additional Information
Appendix Additional information Actuals FY26 outlook Prior 1Q26 Current (Jan 28, 2026) UpLift restructuring expense $0M ~$20M ~$20M Other restructuring expense $7M ~$60M ~$60M Non-service pension cost (benefit) $0M ~$5M ~$5M Adjusted net interest expense $59M ~$265M ~$265M Adjusted effective tax rat
Slide 19: 2026 GAAP to Adjusted Financials Reconciliation
Appendix 2026 GAAP to adjusted financials reconciliation ($ millions) Income 1Q26 Net income attributable to Otis 340 Noncontrolling interest in subsidiaries’ earnings 13 Income tax expense (benefit) 127 Net interest expense 59 GAAP operating profit 539 Other restructuring 7 Separation-related adjus
Slide 20: 2025 GAAP to Adjusted Financials Reconciliation
Appendix 2025 GAAP to adjusted financials reconciliation ($ millions) Income 1Q25 2Q25 3Q25 4Q25 FY 2025 Net income attributable to Otis 243 393 374 374 1,384 Noncontrolling interest in subsidiaries’ earnings 13 30 18 10 71 Income tax expense (benefit) 110 98 129 142 479 Net interest expense 45 26 6
Slide 21: Organic Sales Reconciliation
Appendix Organic sales reconciliation Maintenance & Q1 2026 Y/Y Total Otis New Equipment Service Modernization repair Organic 1% (5%) 5% 4% 6% FX 5% 4% 5% 5% 3% Acquisitions / divestitures, net and other1 0% 0% 1% 2% 1% Total net sales growth 6% (1%) 11% 11% 10% 1 Includes rounding. © 2026 OTIS WORL
Slide 22: Segment and Total Adjusted Operating Profit Reconciliations
Appendix Segment and total adjusted operating profit at constant currency reconciliations ($ millions) Q1 2025 Q1 2026 Y/Y New Equipment Operating profit 66 38 (28) Impact of foreign exchange 0 1 1 Operating profit at constant currency 66 39 (27) Service Operating profit 537 556 19 Impact of foreign
Slide 23: SG&A Reconciliation
Appendix SG&A reconciliation ($ millions) Q1 2025 Q1 2026 Net sales 3,350 3,566 SG&A expense 464 510 UpLift restructuring (11) 0 Other restructuring (8) (4) Adjusted SG&A expense 445 506 Adjusted SG&A % of sales 13.3% 14.2% © 2026 OTIS WORLDWIDE CORPORATION. 23
Slide 24: Diluted EPS and Tax Reconciliations
Appendix Diluted EPS and Tax reconciliations Q1 2025 Q1 2026 GAAP diluted earnings per share $0.61 $0.87 Impact of non-recurring items on diluted earnings per share $0.31 $0.02 Adjusted earnings per share $0.92 $0.89 Q1 2025 Q1 2026 Effective tax rate 30.1% 26.5% Impact of adjustments on effective t
Slide 25: Adjusted Free Cash Flow Reconciliation
Appendix Adjusted free cash flow reconciliation ($ millions) Q1 2025 Q1 2026 Operating cash flow 190 413 Capital expenditures (34) (33) Free cash flow 156 380 UpLift restructuring payments 11 8 UpLift transformation payments 19 4 Separation-related payments (a) 0 6 German Tax Litigation refunds (b)
Slide 26: Other Reconciliations
Appendix Other reconciliations Remaining performance obligation (RPO) ($ billions) Q1 2025 Q4 2025 Q1 2026 RPO at actual currency (GAAP measure) 18.6 19.1 19.8 FX / Other1 0.0 (0.2) (0.2) RPO at constant currency 18.6 18.9 19.6 Backlog New Maintenance Q1 2026 Y/Y Growth Modernization Equipment & rep