NYSE$OTIS

Otis Worldwide Corp · Q1 2021 earnings

Q1 2021 earnings · · Investor relations

Briefing

Delivered strong first quarter results with sales growth and margin expansion in both segments and double digit New Equipment orders growth; improved 2021 outlook.

Otis reported strong first quarter results with a 14.9% increase in net sales and a 10.3% increase in organic sales. GAAP EPS increased 86.8% to $0.71, and adjusted EPS increased 20.0% to $0.72. The company has improved its full-year outlook.

  • Net sales up 14.9%; organic sales up 10.3%
  • GAAP operating profit up $180 million with 380 basis points of margin expansion
  • New Equipment orders up 18.4%; backlog up 8%, 2% at constant currency
  • GAAP cash flow from operations of $585 million; free cash flow of $541 million

Headline financials

Total Revenue

$3.41B

Previous: $2.97B+14.9%
EPS (adj)

$0.72

Previous: $0.38+89.5%
Organic Sales Growth

10.3%

Previous: -2.1%+590.5%
Free Cash Flow

$308M

Previous: $165M+86.7%
Net Income

$308M

Previous: $165M+86.7%
Operating Income

$509M

Previous: $329M+54.7%
Gross Profit

$1.02B

Previous: $2.97B-65.6%
Cash & Equivalents

$1.73B

Previous: $1.21B+42.9%
Total Assets

$10.5B

Previous: $9.52B+10.3%
Stock-Based Comp

$14M

Previous: $11M+27.3%

Revenue & EPS history

Otis · Revenue · Quarterly

$3.41B

Q1 2021+14.9%vs Q1 2020
Beat estimate in 7 of 11 quarters(64%)
ActualEstimate

Revenue by segment

Otis · $3.41B total across 2 segments · Q1 2021

  • Service
    $1.95B
  • New Equipment
    $1.46B+29.8%

Forward guidance

Otis is improving its full year outlook with net sales of $13.6 to $13.9 billion, organic sales up 4 to 6%, adjusted EPS $2.78 to $2.84, and free cash flow of $1.35 to $1.45 billion.

Tailwinds

  • Net sales of $13.6 to $13.9 billion, up 6.7 to 8.7%
  • Organic sales up 4 to 6%
  • Organic New Equipment sales up 7.5 to 8.5%
  • Organic Service sales up 2 to 4%
  • Adjusted EPS $2.78 to $2.84, up 10 to 13%

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q1 2021

Historical avgQ1 2021

-0.1%

Avg return

Earnings day

-0.6%

Avg return

5 days after

+4.0%

Avg return

30 days after

30%

9 / 30 earnings

Positive

+10.8%

Q1 2021

Best reaction

-6.7%

Q1 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-2.5%-1.8%-7.7%
Q4 2025-1.9%-4.9%+2.2%
Q3 2025+2.3%-1.2%-2.7%
Q2 2025-1.9%-0.7%-0.2%
Q1 2025-6.7%-5.4%-2.2%
Q4 2024-1.3%-1.4%+4.1%
Q3 2024-3.1%-1.9%+1.6%
Q2 2024-5.4%-5.4%-4.2%
Q1 2024-4.6%-4.2%+0.1%
Q4 2023-0.5%+1.0%+6.3%
Q3 2023-2.3%-0.9%+10.1%
Q2 2023+2.4%+3.9%-4.2%
Q1 2023+3.9%+4.0%-1.0%
Q4 2022+2.0%+1.8%+5.7%
Q3 2022+1.7%+2.6%+14.3%
Q2 2022+5.7%+7.6%+3.5%
Q1 2022-1.4%-0.8%+0.1%
Q4 2021+1.0%-0.4%-4.8%
Q3 2021-6.3%-6.2%-1.4%
Q2 2021-0.3%+1.2%+2.9%
Q1 2021+10.8%+9.2%+9.1%
Q4 2020-0.0%-1.1%+3.6%
Q3 2019-1.9%+0.3%+8.7%
Q3 2020-2.3%-3.4%+6.2%
Q2 2019-0.3%-0.5%+0.3%
Q2 2020+10.3%+7.6%+8.4%
Q1 2019+0.0%-6.9%+13.0%
Q1 2020+0.0%-6.9%+13.0%
Q4 2019+0.0%-6.9%+13.0%
Q4 2018+0.0%+2.9%+21.2%

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