Elevator maker Otis beats Q3 estimates on strong sales, margin growth

Otis Worldwide

29/10/2025 10:15

Overview

Otis Q3 net sales up 4% to $3.7 bln, beating analyst expectations

Adjusted EPS for Q3 rises 9%, beating consensus

GAAP EPS down 29% due to prior year's non-recurring tax benefits

Outlook

Otis raises midpoint of 2025 EPS outlook due to strong Service performance

Company highlights strong order book for modernization and recovery in New Equipment

Result Drivers

SERVICE SALES GROWTH - Service net sales increased 9% with organic sales up 6%, driven by maintenance and repair sales growth

MODERNIZATION ORDERS - Modernization orders increased 27% at constant currency, contributing to organic modernization sales growth of 14%

OPERATING PROFIT MARGIN EXPANSION - Service segment operating profit margin increased by 70 bps due to higher volume, favorable pricing, and productivity

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Sales
Beat
$3.70 bln
$3.64 bln (7 Analysts)
Q3 Adjusted EPS
Beat
$1.05
$0.99 (8 Analysts)
Q3 EPS
$0.95


Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 5 "strong buy" or "buy", 10 "hold" and 1 "sell" or "strong sell"

The average consensus recommendation for the heavy electrical equipment peer group is "buy."

Wall Street's median 12-month price target for Otis Worldwide Corp is $100.00, about 8.7% above its October 28 closing price of $91.30

The stock recently traded at 21 times the next 12-month earnings vs. a P/E of 23 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact RefinitivNewsSupport@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)