Otis Worldwide Corporation (OTIS) Q3 2025 Earnings Call

Investor webinar replay

Replay transcript excerpt

Good morning and welcome to Otis's third quarter 2025 earnings conference call. This call is being carried live on the internet and recorded for replay presentation materials are available for download from Otis's website at www.otis.com. I'll now turn it over to Rob Cortaro, vice president of investor relations. Please go ahead. Thank you, Sarah. Welcome to Otis's third quarter 2025 earnings conference call. On the call with me today are Judy Marks, Chair, CEO, and President, and Christina Mendez, Executive Vice President and CFO. Please note, except where otherwise noted, the company will speak to results from continuing operations, excluding restructuring and significant non-recurring items. A reconciliation of these measures can be found in the appendix of the webcast. We also remind listeners that the presentation contains forward-looking statements, which are subject to risks and uncertainties. Otis's SEC filings, including our Form 10-K and quarterly reports on Form 10-Q, provide details on important factors that could cause actual results to differ materially. Now, I'll turn it over to Judy. Thank you, Rob. Good morning, afternoon, and evening, everyone. Thank you for joining us. We hope that everyone listening is safe and well. Starting with Q3 highlights on slide three. Otis delivered strong third quarter results and returned to growth as we executed well on our service driven business model. Organic sales in the quarter were up 2% driven by service which grew 6%. Notably, modernization organic sales grew 14%. Adjusted operating profit margin expanded by 20 basis points overall driven by service margin expansion of 70 basis points. This strong performance, together with a lower share count, drove a 9% increase in adjusted earnings per share in the quarter. ...