NYSE$OTIS
Otis Worldwide Corp · Q4 2023 earnings
Q4 2023 earnings · · Investor relations
Briefing
Delivered strong fourth quarter and full year results; announced 2024 outlook with solid sales and earnings growth with continued Service momentum.
Otis delivered excellent fourth quarter results with mid-teens adjusted EPS growth, the third consecutive quarter of high-single digit Service organic sales growth, and a return to New Equipment orders growth. Full year 2023 was marked by mid-single digit organic sales growth, operating profit margin expansion and low teens adjusted EPS growth.
- 4Q Net sales up 5.3% and organic sales up 3.8%; GAAP EPS up 11.3% and adjusted EPS up 16.0%
- 4Q New Equipment orders up 3%; backlog up 2%
- 4Q Mod orders up 11%; backlog up 15%
- Maintenance portfolio units up 4.2%
Headline financials
Revenue & EPS history
Otis · Revenue · Quarterly
$3.62B
Revenue by segment
Otis · $3.52B total across 2 segments · Q3 2023
- Service$2.09B+10.1%59.3%
- New Equipment$1.44B-0.8%40.7%
Forward guidance
Otis is announcing its full year outlook: •Net sales of $14.5 to $14.8 billion, up 2 to 4% •Organic sales up 3 to 5% ◦Organic New Equipment sales approximately flat ◦Organic Service sales up 6 to 7% •Adjusted operating profit of $2.40 to $2.45 billion, up $150 to $190 million at constant currency; up $125 to $175 million at actual currency •Adjusted EPS of $3.80 to $3.90, up 7 to 10%; adjusted effective tax rate of approximately 25.5% •Adjusted free cash flow of approximately $1.6 billion
Tailwinds
- Net sales of $14.5 to $14.8 billion, up 2 to 4%
- Organic sales up 3 to 5%
- Organic New Equipment sales approximately flat
- Organic Service sales up 6 to 7%
- Adjusted operating profit of $2.40 to $2.45 billion, up $150 to $190 million at constant currency; up $125 to $175 million at actual currency
Headwinds
- Adjusted EPS of $3.80 to $3.90, up 7 to 10%
- Adjusted effective tax rate of approximately 25.5%
- Adjusted free cash flow of approximately $1.6 billion
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 Q4 2023
-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
| Quarter | Report date | Reaction (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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