Otis Worldwide Corporation (OTIS) Earnings Call Transcripts
Otis Worldwide Corporation's Latest Earnings Call - Q2 FY2026
In the second quarter of fiscal year 2026, Otis Worldwide Corporation reported net sales of $3.9 billion, reflecting a 6% organic sales growth. Adjusted EPS declined 4% to $0.96, driven by operational performance challenges, particularly in service margins. Management maintained its full-year guidance for net sales between $15.1 billion and $15.3 billion but revised EPS guidance down to a range of $4.01 to $4.05 due to increased productivity headwinds and tempered micro pricing initiatives.
Reported metrics
| Metric | Value |
|---|---|
| Net Sales | $3.9B (beat) |
| Adjusted EPS | $0.96 (miss) |
| Organic Sales Growth | 6% (beat) |
| Service Organic Sales Growth | 9% (positive) |
| Modernization Growth | 24% (positive) |
| Adjusted Operating Profit Margin | 15.2% (negative) |
Guidance from management
Management maintained its full-year sales outlook of $15.1 billion to $15.3 billion but lowered EPS guidance to $4.01 to $4.05, reflecting increased productivity headwinds and retention challenges.
What management said
Thank you, Krista. In 2026, we are investing in capabilities to accelerate our top line growth and profitability. Together with fundamental tailwinds of the aging installed base, Otis is well positioned to deliver attractive, sustainable long-term shareholder value through our service business. Thank you all for joining us today. Please stay safe and well. .
What analysts pressed on
Analysts expressed concerns regarding the slower-than-expected improvement in retention rates and the impact of productivity headwinds on margins. There were questions about the effectiveness of the micro pricing strategy and its influence on customer retention amidst quality challenges.
Main topics on the call
- Service Growth Acceleration — Otis experienced a significant 9% organic sales growth in its service segment, with modernization growth at 24%. Management stated, "Service remains the key growth engine of the business," highlighting strong cash genera...
- New Equipment Stability — While new equipment orders declined 5%, the backlog increased by 4%, indicating stability. Management noted, "We're encouraged by the sequential improvement in sales and the stabilization in margins," particularly in the...
- Margin Pressures — Service margins declined year-over-year due to inflation and productivity challenges, with adjusted operating profit margin at 15.2%. Management acknowledged, "Service margins declined year-over-year as labor and materia...
- Revised EPS Guidance — Management lowered the EPS guidance to a range of $4.01 to $4.05, reflecting a $0.20 cut due to retention challenges and productivity headwinds. They stated, "The revision reflects the retention and tempered maintenance ...
Read the full Otis Worldwide Corporation transcript (Q2 FY2026) → Summary generated from the call transcript; every figure above is stated by management on the record.
About Otis Worldwide Corporation
Otis Worldwide Corporation (OTIS) is a publicly listed company in the Machinery industry, within the Industrials sector. It trades on NYSE and is based in US. EarningsCalls.dev maintains a free, full-text archive of its earnings call transcripts — 39 calls on record spanning February 11, 2020 to July 22, 2026. Every transcript is split into speaker-by-speaker segments with headline metrics, free to read or available through our REST API.
Earnings Call History
EarningsCalls.dev has 39 Otis Worldwide Corporation earnings call transcripts on record, spanning February 11, 2020 to July 22, 2026. Based on this history, Otis Worldwide Corporation reports quarterly. The most recent call on file is dated July 22, 2026. The full list is below — each row opens the complete, free-to-read transcript.
- Ticker
- OTIS
- Exchange
- NYSE
- Country
- US
- Sector
- Industrials
- Industry
- Machinery
- Calls on record
- 39
- First call
- February 11, 2020
- Most recent
- July 22, 2026
- Reporting cadence
- quarterly