Otis Q1 sales beat expectations, EPS meets; FY forecast revised

Otis Worldwide

22/04/2026 11:19

Overview

Elevator and escalator maker's Q1 net sales rose 6%, beating analyst expectations

Adjusted EPS for Q1 met analyst expectations

Company repurchased about $400 mln in shares and announced majority investment in WeMaintain

Outlook

Otis revises full-year outlook

Company sees 2026 net sales of $15.1 bln to $15.3 bln

Company expects 2026 adjusted EPS of $4.20 to $4.24

Otis forecasts 2026 adjusted free cash flow of $1.60 bln to $1.65 bln

Result Drivers

SERVICE GROWTH - Q1 net sales were driven by 11% growth in Service, with all lines expanding and repair sales up 16%

NEW EQUIPMENT WEAKNESS - Declines in New Equipment sales, particularly in China and Asia Pacific, offset some growth

COST AND INVESTMENT PRESSURES - Higher labor and material costs, continued Service investments, and tariff impacts weighed on margins

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Sales
Beat
$3.566 bln
$3.499 bln (8 Analysts)
Q1 Adjusted EPS
Meet
$0.89
$0.89 (9 Analysts)
Q1 EPS
$0.87


Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 6 "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 $98.00, about 24.3% above its April 21 closing price of $78.87

The stock recently traded at 18 times the next 12-month earnings vs. a P/E of 20 three months ago

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