Otis Q3 sales slightly beat estimates on service revenue growth

Otis Worldwide

28/10/2026 10:15

Overview
U.S. elevator maker's Q3 sales rose 6%, slightly beating analyst expectations
Adjusted EPS for Q3 beat analyst expectations, remaining flat year-over-year
Company saw strong service revenue growth and sequential service margin improvement

Outlook
Otis broadly maintains its full-year 2026 outlook
Company says Service margin improvement and growth initiatives support confidence in sustained growth

Result Drivers
SERVICE REVENUE GROWTH - Co said Q3 service net sales rose 8% with organic sales up 7%, driven by growth across all lines of business
MODERNIZATION SALES - Co said organic modernization sales increased 20% in Q3, contributing to service segment growth
ABSENCE OF NON-RECURRING COSTS - Co said GAAP operating profit and EPS rose due to absence of UpLift transformation costs, separation-related adjustments, and other non-recurring items

Company press release: Full Story

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Sales
Slight Beat*
$3.90 bln
$3.87 bln (7 Analysts)
Q3 Adjusted EPS
Beat
$1.05
$1.03 (8 Analysts)
Q3 EPS
 
$1.08
 
*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 7 "strong buy" or "buy", 9 "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 Corporation is $84.50, about 13.9% above its October 27 closing price of $74.19
The stock recently traded at 17 times the next 12-month earnings vs. a P/E of 16 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.)