Form 8-K

8-K — Otis Worldwide Corp

Accession: 0001781335-26-000072

Filed: 2026-04-22

Period: 2026-04-22

CIK: 0001781335

SIC: 3600 (ELECTRONIC & OTHER ELECTRICAL EQUIPMENT (NO COMPUTER EQUIP))

Item: Results of Operations and Financial Condition

Item: Financial Statements and Exhibits

Documents

8-K — otis-20260422.htm (Primary)

EX-99 (a2026-03x318xkerexhibit99.htm)

GRAPHIC (otis-20260422_g1.jpg)

XML — IDEA: XBRL DOCUMENT (R1.htm)

8-K

8-K (Primary)

Filename: otis-20260422.htm · Sequence: 1

otis-20260422

0001781335FALSE00017813352026-04-222026-04-220001781335us-gaap:CommonStockMember2026-04-222026-04-220001781335otis:A0318NotesDue2026Member2026-04-222026-04-220001781335otis:Notes2.875Due2027Member2026-04-222026-04-220001781335otis:A0934NotesDue2031Member2026-04-222026-04-22

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

____________________________________

FORM 8-K

____________________________________

CURRENT REPORT

Pursuant to Section 13 OR 15(d) of The Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): April 22, 2026

____________________________________

OTIS WORLDWIDE CORPORATION

(Exact name of registrant as specified in its charter)

____________________________________

Delaware 001-39221 83-3789412

(State or other jurisdiction

of incorporation) (Commission

File Number) (I.R.S. Employer

Identification No.)

One Carrier Place

Farmington, Connecticut 06032

(Address of principal executive offices, including zip code)

Registrant’s telephone number, including area code

(860) 674-3000

N/A

(Former name or former address, if changed since last report)

____________________________________

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

¨ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

¨ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

¨ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

¨ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company ¨

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ¨

Securities registered pursuant to Section 12(b) of the Act:

Title of each class Trading Symbol(s) Name of each exchange on which registered

Common Stock ($0.01 par value) OTIS New York Stock Exchange

0.318% Notes due 2026 OTIS/26 New York Stock Exchange

2.875% Notes due 2027 OTIS/27 New York Stock Exchange

0.934% Notes due 2031 OTIS/31 New York Stock Exchange

Section 2—Financial Information

Item 2.02. Results of Operations and Financial Condition.

On April 22, 2026, Otis Worldwide Corporation (“Otis”) issued a press release announcing its first quarter 2026 results.

The press release issued April 22, 2026 is furnished herewith as Exhibit No. 99 to this Report, and shall not be deemed filed for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that Section and shall not be deemed to be incorporated by reference into any filing by Otis under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such a filing.

Section 9—Financial Statements and Exhibits

Item 9.01. Financial Statements and Exhibits.

(d) Exhibits.

Exhibit

Number

Exhibit Description

Press Release, dated April 22, 2026, issued by Otis Worldwide Corporation.

104 Cover Page Interactive Data File - the cover page XBRL tags are embedded within the Inline XBRL document.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

OTIS WORLDWIDE CORPORATION

(Registrant)

Date: April 22, 2026 By:

/s/ Cristina Méndez

Cristina Méndez

Executive Vice President and Chief Financial Officer

EX-99

Filename: a2026-03x318xkerexhibit99.htm · Sequence: 2

Document

Exhibit 99

OTIS REPORTS FIRST QUARTER 2026 RESULTS

Otis delivers net sales growth of 6%, driven by Service with growth in all lines of business, led by repair

•Net sales up 6% and organic sales up 1%, driven by Service net sales up 11% with organic sales up 5%

•Repair net sales up 16% with organic sales up approximately 10%

•Modernization orders up 11% at constant currency, backlog up 32%, 30% at constant currency

•New Equipment orders up 1% at constant currency, backlog up 6%, 3% at constant currency

•Operating cash flow of $413 million; adjusted free cash flow of $272 million

•Share repurchases of approximately $400 million

FARMINGTON, Conn., April 22, 2026 – Otis Worldwide Corporation (NYSE:OTIS) reported first quarter 2026 net sales of $3.6 billion with organic sales up 1% versus the prior year. GAAP earnings per share (EPS) increased 43% to $0.87 and adjusted EPS decreased 3% to $0.89.

"Otis delivered a solid quarter, with net sales up 6%. All Service lines of business grew, led by repair which grew 16% at actual currency and 10% organically. Orders and backlog strengthened: modernization orders were up 11% and backlog was up 30% at constant currency. New Equipment orders grew 1% and backlog grew 3% at constant currency. Otis delivered operating cash flow of $413 million and adjusted free cash flow of $272 million, up significantly from a year ago,” said Chair, CEO & President Judy Marks. “This performance allowed Otis to repurchase approximately $400 million of shares while also announcing an exciting majority investment in WeMaintain, a digitally native and AI enabled elevator service provider.”

Judy Marks continued, “While underlying demand remains solid as reflected in our order activity, we faced near‑term pressures, reflected in our Service margins, from cost headwinds and investments in growth. We are taking decisive actions focused on operational execution, pricing, and cost efficiency to address these pressures, while continuing our disciplined capital allocation to drive long‑term shareholder value. The combination of our increasing backlog, pricing actions, and disciplined execution give us confidence in growing momentum into the second quarter and remainder of the year.”

Key Figures

Quarter Ended March 31,

(dollars in millions, except per share amounts) 2026 2025 Y/Y Y/Y (CFX)

Net sales $ 3,566 $ 3,350 6 % 1 %

Organic sales growth 1 %

GAAP

Operating profit $ 539 $ 411 $ 128

Operating profit margin 15.1 % 12.3 % 280 bps

Net income $ 340 $ 243 40 %

Earnings per share $ 0.87 $ 0.61 43 %

Adjusted non-GAAP comparison

Operating profit $ 550 $ 560 $ (10) $ (38)

Operating profit margin 15.4 % 16.7 % (130) bps

Net income $ 347 $ 368 (6) %

Earnings per share $ 0.89 $ 0.92 (3) %

First quarter net sales of $3.6 billion, increased 6% versus the prior year, driven primarily by Service sales with growth in all lines of business, partially offset by a decrease in New Equipment sales in China and Asia Pacific.

First quarter GAAP operating profit of $539 million increased $128 million driven primarily due to a favorable comparison due to UpLift transformation costs, separation-related adjustments, and other non-recurring items in the prior year. Adjusted operating profit of $550 million decreased $10 million at actual currency and $38 million at constant currency, driven by declines in both segments. GAAP operating profit margin expanded 280 basis points to 15.1% and adjusted operating profit margin of 15.4% declined 130 basis points versus the prior year driven by unfavorable segment performance partially offset by segment mix. The performance was impacted by an unfavorable year‑over‑year comparison due to tariff impacts versus the prior year, continued Service investments that began in the second quarter of last year and accelerated this year to support strong repair and modernization order momentum, and shipment delays in New Equipment and modernization related to the geopolitical situation in the Middle East.

GAAP EPS of $0.87 increased 43% compared to the prior year primarily driven by a favorable comparison due to UpLift transformation costs, separation-related adjustments, and other non-recurring items in the prior year. Adjusted EPS of $0.89 decreased 3% driven by operational performance, higher interest, and higher taxes, partially offset by favorable foreign exchange rates and a lower share count.

Service

Quarter Ended March 31,

(dollars in millions) 2026 2025 Y/Y Y/Y (CFX)

Net sales $ 2,417 $ 2,187 11 % 6 %

Organic sales 5 %

Segment operating profit $ 556 $ 537 $ 19 $ (10)

Segment operating profit margin 23.0 % 24.6 % (160) bps

In the first quarter, net sales of $2.4 billion increased 11%, with a 5% increase in organic sales. Organic maintenance and repair sales increased 4% and organic modernization sales increased 6%.

Segment operating profit of $556 million increased $19 million at actual currency and decreased $10 million at constant currency due to higher volume and favorable pricing being more than offset by higher labor and material cost, investments, and mix. Segment operating profit margin contracted 160 basis points to 23.0%.

New Equipment

Quarter Ended March 31,

(dollars in millions) 2026 2025 Y/Y Y/Y (CFX)

Net sales $ 1,149 $ 1,163 (1) % (5) %

Organic sales (5) %

Segment operating profit $ 38 $ 66 $ (28) $ (27)

Segment operating profit margin 3.3 % 5.7 % (240) bps

In the first quarter, net sales of $1.1 billion decreased 1% versus the prior year, with low single digit organic sales growth in EMEA more than offset by a greater than 20% decline in China, a mid-single digit decline in Asia Pacific, and a low single digit decline in the Americas.

Segment operating profit of $38 million decreased $28 million at actual currency and $27 million at constant currency from the impacts of lower volume, unfavorable price, and mix, partially offset by productivity. Segment operating profit margin contracted 240 basis points to 3.3%.

New Equipment orders were up 1% at constant currency with a greater than 20% growth in the Americas, and a low single digit growth in EMEA, partially offset by a greater than 20% decline in Asia Pacific, and a low teens decline in China. New Equipment backlog increased 6% at actual currency and 3% at constant currency.

Cash flow

Quarter Ended March 31,

(dollars in millions) 2026 2025 Y/Y

Cash flow from operations $ 413 $ 190 $ 223

Free cash flow $ 380 $ 156 $ 224

Adjusted free cash flow $ 272 $ 186 $ 86

First quarter cash flow changes were driven by an increase in net income and changes in working capital.

2026 Outlook1

Otis is revising our full year outlook:

•Net sales of $15.1 to $15.3 billion

•Organic sales up low to mid-single digits

◦Organic New Equipment sales down low single digits to flat

◦Organic Service sales up mid to high single digits

•Adjusted operating profit of approximately $2.5 billion, up $20 to $60 million at constant currency; up $60 to $100 million at actual currency

•Adjusted EPS of $4.20 to $4.24

•Adjusted free cash flow of $1.60 to 1.65 billion

1 Note: When we provide outlook for organic sales, adjusted operating profit, adjusted EPS, adjusted effective tax rate and adjusted free cash flow on a forward-looking basis, a reconciliation of the differences between the non-GAAP expectations and the corresponding GAAP measures generally is not available without unreasonable effort. See “Use and Definitions of Non-GAAP Financial Measures” below for additional information.

About Otis

Otis is the world’s leading elevator and escalator manufacturing, installation, service and modernization company. We move 2.5 billion people a day and maintain approximately 2.5 million customer units worldwide, the industry’s largest Service portfolio. Headquartered in Connecticut, USA, Otis is 72,000 people strong, including 45,000 field professionals, all committed to manufacturing, installing and maintaining products to meet the diverse needs of our customers and passengers in more than 200 countries and territories worldwide. For more information, visit www.otis.com and follow us on LinkedIn, YouTube, Instagram and Facebook @OtisElevatorCo.

Use and Definitions of Non-GAAP Financial Measures

Otis Worldwide Corporation ("Otis") reports its financial results in accordance with accounting principles generally accepted in the United States ("GAAP"). We supplement the reporting of our financial information determined under GAAP with certain non-GAAP financial information. The non-GAAP information presented provides investors with additional useful information, but should not be considered in isolation or as substitutes for the related GAAP measures. Moreover, other companies may define non-GAAP measures differently, which limits the usefulness of these measures for comparisons with such other companies. We encourage investors to review our financial statements and publicly filed reports in their entirety and not to rely on any single financial measure. A reconciliation of the non-GAAP measures (referenced in this press release) to the corresponding amounts prepared in accordance with GAAP appears in the attached tables. These tables provide additional information as to the items and amounts that have been excluded from the adjusted measures. Below are our non-GAAP financial measures:

Non-GAAP measure Definition

Organic sales Represents consolidated net sales (a GAAP measure), excluding the impact of foreign currency translation, acquisitions and divestitures completed in the preceding twelve months and other significant items of a non-recurring and/or nonoperational nature ("other significant items"). Management believes organic sales is a useful measure in providing period-to-period comparisons of the results of the Company’s ongoing operational performance.

Adjusted selling, general and administrative ("SG&A") expense Represents SG&A expense (a GAAP measure), excluding restructuring costs and other significant items.

Adjusted operating profit Represents income from continuing operations (a GAAP measure), excluding restructuring costs and other significant items.

Adjusted net interest expense Represents net interest expense (a GAAP measure), adjusted for the impacts of non-recurring acquisition related financing costs and related net interest expense pending the completion of a transaction and other significant items.

Adjusted noncontrolling interest in earnings

Represents noncontrolling interest in earnings (a GAAP measure), excluding restructuring costs and other significant items, including related tax effects.

Adjusted net income

Represents net income attributable to Otis Worldwide Corporation (a GAAP measure), excluding restructuring costs and other significant items, including related tax effects.

Adjusted earnings per share ("EPS")

Represents diluted earnings per share attributable to common shareholders (a GAAP measure), adjusted for the per share impact of restructuring and other significant items, including related tax effects.

Adjusted effective tax rate

Represents the effective tax rate (a GAAP measure) adjusted for other significant items and the tax impact of restructuring costs and other significant items.

Constant currency GAAP financial results include the impact of changes in foreign currency exchange rates ("AFX"). We use the non-GAAP measure "at constant currency" or "CFX" to show changes in our financial results without giving effect to period-to-period currency fluctuations. Under U.S. GAAP, income statement results are translated in U.S. dollars at the average exchange rate for the period presented. Management believes that this non-GAAP measure is useful in providing period-to-period comparisons of the results of the Company’s ongoing operational performance.

Free cash flow Represents cash flow from operations (a GAAP measure) less capital expenditures. Management believes free cash flow is a useful measure of liquidity and an additional basis for assessing Otis’ ability to fund its activities, including the financing of acquisitions, debt service, repurchases of common stock and distribution of earnings to shareholders. Free cash flow should not be considered an alternative to, or more meaningful than, net cash flows provided by operating activities, or any other measure of liquidity presented in accordance with GAAP.

Adjusted free cash flow Represents cash flow from operations (a GAAP measure) less capital expenditures, adjusted to exclude certain items management believes affect the comparability of operating results. Management believes adjusted free cash flow is a useful measure of liquidity that provides investors additional information regarding the Company’s ability to fund its activities, including the financing of acquisitions, debt service, repurchases of common stock and distribution of earnings to shareholders. Adjusted free cash flow should not be considered an alternative to, or more meaningful than, net cash flows provided by operating activities, or any other measure of liquidity presented in accordance with GAAP.

Management believes that organic sales, adjusted SG&A expense, adjusted operating profit, adjusted net interest expense, adjusted noncontrolling interest in earnings, adjusted net income, adjusted EPS and the adjusted effective tax rate are useful measures in providing period-to-period comparisons of the results of the Company’s ongoing operational performance.

When we provide our expectations for adjusted net sales, organic sales, adjusted operating profit, adjusted net interest expense, adjusted noncontrolling interest in earnings, adjusted net income, adjusted effective tax rate, adjusted EPS, free cash flow and adjusted free cash flow on a forward-looking basis, a reconciliation of the differences between the non-GAAP expectations and the corresponding GAAP measures (expected diluted EPS from continuing operations, operating profit, the effective tax rate, net sales and expected cash flow from operations) generally is not available without unreasonable effort due to potentially high variability, complexity and low visibility as to the items that would be excluded from the GAAP measure in the relevant future period, such as unusual gains and losses, the ultimate outcome of pending litigation, fluctuations in foreign currency exchange rates, the impact and timing of potential acquisitions and divestitures, and other structural changes or their probable significance. The variability of the excluded items may have a significant, and potentially unpredictable, impact on our future GAAP results.

Cautionary Statement

This communication contains statements which, to the extent they are not statements of historical or present fact, constitute "forward-looking statements" under the securities laws. From time to time, oral or written forward-looking statements may also be included in other information released to the public. These forward-looking statements are intended to provide management’s current expectations or plans for Otis’ future operating and financial performance, based on assumptions currently believed to be valid. Forward-looking statements can be identified by the use of words such as "believe," "expect," "expectations," "plans," "strategy," "prospects," "estimate," "project," "target," "anticipate," "will," "should," "see," "guidance," "outlook," "medium-term," "near-term," "confident," "goals" and other words of similar meaning in connection with a discussion of future operating or financial performance. Forward-looking statements may include, among other things, statements relating to future sales, earnings, cash flow, results of operations, uses of cash, dividends, share repurchases, tax rates, research & development spend, restructuring or transformation actions (including UpLift and related reorganization and outsourcing activities and such actions with respect to our business in China), credit ratings, net indebtedness and other measures of financial performance or potential future plans, strategies or transactions, or statements that relate to climate change and our intent to achieve certain sustainability targets or other corporate responsibility initiatives, including operational impacts and costs associated therewith, and other statements that are not historical facts. All forward-looking statements involve risks, uncertainties and other factors that may cause actual results to differ materially from those expressed or implied in the forward-looking statements. For those statements, Otis claims the protection of the safe harbor for forward-looking statements contained in the U.S. Private Securities Litigation Reform Act of 1995. Such risks, uncertainties and other factors include, without limitation: (1) the effect of economic conditions in the industries and markets in which Otis and its businesses operate and any changes therein, including financial market conditions, fluctuations in commodity prices and other inflationary pressures, interest rates and foreign currency exchange rates, levels of end market demand in construction, pandemic health issues, natural disasters, whether as a result of climate change or otherwise, and the financial condition of Otis’ customers and suppliers; (2) the effect of changes in political conditions in the U.S. and in other countries in which Otis and its businesses operate, including tensions between the U.S. and China and geopolitical conflicts, including the ongoing conflicts and instability in the Middle East and the conflict between Russia and Ukraine on general market conditions, commodity costs, global trade policies and related sanctions, export controls and tariffs, and currency exchange rates in the near term and beyond; (3) challenges in the development, production, delivery, support, employee adoption, performance and realization of the anticipated benefits of advanced technologies and new products and services; (4) future levels of indebtedness, capital spending and research and development spending; (5) future availability of credit and factors that may affect such availability or costs thereof, including credit market conditions and Otis’ capital structure; (6) the timing and scope of future repurchases of Otis’ common stock, which may be suspended at any time due to various factors, including market conditions and the level of other investing activities and uses of cash; (7) fluctuations in prices and delays and disruptions in delivery of materials and services from suppliers, whether as a result of changes in general economic conditions, geopolitical conflicts or otherwise; (8) cost reduction or containment actions, restructuring or transformation costs and related savings and other consequences thereof, including with respect to UpLift and our China business and related impacts of reorganization, change management and outsourcing activities, as applicable; (9) new business and investment opportunities and the realization of anticipated benefits, including meeting customer expectations and maintaining our competitiveness; (10) the outcome of legal proceedings, investigations and other contingencies; (11) pension plan assumptions and future contributions; (12) the impact of the negotiation of collective bargaining agreements and labor disputes,

labor actions, including strikes or work stoppages, and labor inflation in the markets in which Otis and its businesses operate globally; (13) the effect of changes in laws, regulations and enforcement priorities in the U.S. and other countries in which Otis and its businesses operate; (14) the ability of Otis to retain and hire key personnel; (15) the scope, nature, impact or timing of acquisition and divestiture activity, the integration of acquired businesses into existing businesses and realization of synergies and opportunities for growth and innovation and incurrence of related costs; (16) the determination by the Internal Revenue Service (the "IRS") and other tax authorities that the distribution or certain related transactions should be treated as taxable transactions in connection with the separation (the "Separation") of Otis and Carrier Global Corporation ("Carrier") from United Technologies Corporation (now known as RTX Corporation ("RTX"); and (17) our obligations and disputes that have or may hereafter arise under the agreements we entered into with RTX and Carrier in connection with the Separation. The above list of factors is not exhaustive or necessarily in order of importance. For additional information on identifying factors that may cause actual results to vary from those stated in forward-looking statements, see Otis’ registration statement on Form 10 and the reports of Otis on Forms 10-K, 10-Q and 8-K filed with or furnished to the SEC from time to time. Any forward-looking statement speaks only as of the date on which it is made, and Otis assumes no obligation to update or revise such statement, whether as a result of new information, future events or otherwise, except as required by applicable law.

Otis Worldwide Corporation

Condensed Consolidated Statements of Operations

Quarter Ended March 31,

(Unaudited)

(dollars in millions, except per share amounts; shares in millions) 2026 2025

Net Sales $ 3,566 $ 3,350

Costs and Expenses:

Cost of products and services sold 2,484 2,349

Research and development 38 37

Selling, general and administrative 510 464

Total Costs and Expenses 3,032 2,850

Other income (expense), net 5 (89)

Operating profit 539 411

Non-service pension cost (benefit) — —

Interest expense (income), net 59 45

Net income before income taxes 480 366

Income tax expense (benefit) 127 110

Net income 353 256

Less: Noncontrolling interest in subsidiaries' earnings 13 13

Net income attributable to Otis Worldwide Corporation $ 340 $ 243

Earnings Per Share of Common Stock:

Basic $ 0.88 $ 0.61

Diluted $ 0.87 $ 0.61

Weighted Average Number of Shares Outstanding:

Basic shares 388.1 396.6

Diluted Shares 389.6 399.1

Otis Worldwide Corporation

Reconciliation of Reported (GAAP) to Adjusted Operating Profit & Operating Profit Margin

Quarter Ended March 31,

(Unaudited)

(dollars in millions) 2026 2025

Net Sales

New Equipment $ 1,149 $ 1,163

Service 2,417 2,187

Total Net Sales $ 3,566 $ 3,350

Operating Profit

New Equipment $ 38 $ 66

Service 556 537

Total segment operating profit 594 603

Corporate and Unallocated (55) (192)

Total Otis GAAP Operating Profit 539 411

UpLift restructuring — 20

Other restructuring 7 23

UpLift transformation costs — 23

Separation-related adjustments 1

5 52

Litigation-related settlement costs 2

— 21

Held for sale impairment — 10

Other, net (1) —

Total Otis Adjusted Operating Profit $ 550 $ 560

Reported Total Operating Profit Margin 15.1 % 12.3 %

Adjusted Total Operating Profit Margin 15.4 % 16.7 %

1 Separation-related adjustments in the quarters ended March 31, 2026 and 2025 represent estimated amounts due to RTX Corporation (our former parent) in accordance with the Tax Matters Agreement, including those amounts related to a favorable ruling received in August 2024 regarding a tax litigation in Germany.

2 Litigation-related settlement costs in the quarter ended March 31, 2025 represent the aggregate amount of settlement costs and increase in loss contingency accruals, excluding legal costs, for certain legal matters that are outside of the ordinary course of business due to the size, complexity and/or unique facts of these matters.

Otis Worldwide Corporation

Reconciliation of Reported (GAAP) to Adjusted (Non-GAAP) Net Income, Earnings Per Share, and Effective Tax Rate

Quarter Ended March 31,

(Unaudited)

(dollars in millions, except per share amounts) 2026

2025

Adjusted Operating Profit $ 550 $ 560

Adjusted net interest expense 1

59 46

Adjusted income from operations before income taxes 491 514

Income tax expense (benefit) 127 110

Tax impact on restructuring and non-recurring items 4 21

Adjusted net income from operations 360 383

Adjusted noncontrolling interest 2

13 15

Adjusted net income attributable to common shareholders $ 347 $ 368

GAAP net income attributable to common shareholders $ 340 $ 243

UpLift restructuring — 20

Other restructuring 7 23

UpLift transformation costs — 23

Separation-related adjustments 5 52

Litigation-related settlement costs — 21

Held for sale impairment — 10

Interest income related to non-recurring tax items 1

— (1)

Tax effects of restructuring, non-recurring items and other adjustments (4) (21)

Other, net 2

(1) (2)

Adjusted net income attributable to common shareholders $ 347 $ 368

Diluted Earnings Per Share $ 0.87 $ 0.61

Impact to diluted earnings per share 0.02 0.31

Adjusted Diluted Earnings Per Share $ 0.89 $ 0.92

Effective Tax Rate 26.5 % 30.1 %

Impact of adjustments on effective tax rate 0.2 % (4.5) %

Adjusted Effective Tax Rate 26.7 % 25.6 %

1 In August 2024, we received a favorable ruling regarding a tax litigation in Germany. As a result, income tax benefits and related interest income were recorded in 2024. Net interest expense is reflected as adjusted without $1 million of interest income for quarter ended March 31, 2025.

2 Noncontrolling interest is reflected as adjusted without $2 million of the noncontrolling interest share of Other restructuring for the quarter ended March 31, 2025.

Otis Worldwide Corporation

Components of Changes in Net Sales

Quarter Ended March 31, 2026 Compared with Quarter Ended March 31, 2025

Factors Contributing to Total % Change in Net Sales

Organic FX

Translation Acquisitions /

Divestitures, net and Other Total

New Equipment (5)% 4% —% (1)%

Service 5% 5% 1% 11%

Maintenance and Repair 4% 5% 2% 11%

Modernization 6% 3% 1% 10%

Total Net Sales 1% 5% —% 6%

Components of Changes in New Equipment Backlog

March 31, 2026

Y/Y Growth %

New Equipment Backlog increase at actual currency 6%

Foreign exchange impact to New Equipment Backlog (3)%

New Equipment Backlog increase at constant currency 3%

Components of Changes in Modernization Backlog

March 31, 2026

Y/Y Growth %

Modernization Backlog increase at actual currency 32%

Foreign exchange impact to Modernization Backlog (2)%

Modernization Backlog increase at constant currency 30%

Otis Worldwide Corporation

Reconciliation of Segment and Total Adjusted Operating Profit at Constant Currency

Quarter Ended March 31, 2026 Compared with Quarter Ended March 31, 2025

(dollars in millions) 2026

2025

Y/Y

New Equipment

Segment Operating Profit $ 38 $ 66 $ (28)

Impact of foreign exchange 1 — 1

Segment Operating Profit at constant currency $ 39 $ 66 $ (27)

Service

Segment Operating Profit $ 556 $ 537 $ 19

Impact of foreign exchange (29) — (29)

Segment Operating Profit at constant currency $ 527 $ 537 $ (10)

Otis Consolidated

Adjusted Operating Profit $ 550 $ 560 $ (10)

Impact of foreign exchange (28) — (28)

Adjusted Operating Profit at constant currency $ 522 $ 560 $ (38)

Otis Worldwide Corporation

Condensed Consolidated Balance Sheet

March 31, 2026 December 31, 2025

(dollars in millions) (Unaudited)

Assets

Cash and cash equivalents $ 834 $ 1,096

Accounts receivable, net 3,920 3,688

Contract assets 751 699

Inventories 669 613

Other current assets 290 405

Total Current Assets 6,464 6,501

Future income tax benefits 400 407

Fixed assets, net 744 743

Operating lease right-of-use assets 552 554

Intangible assets, net 333 343

Goodwill 1,682 1,695

Other assets 367 410

Total Assets $ 10,542 $ 10,653

Liabilities and Equity (Deficit)

Short-term borrowings and current portion of long-term debt $ 939 $ 1,056

Accounts payable 1,975 2,142

Accrued liabilities 1,710 1,847

Contract liabilities 3,100 2,611

Total Current Liabilities 7,724 7,656

Long-term debt 6,879 6,900

Future pension and postretirement benefit obligations 416 419

Operating lease liabilities 400 397

Future income tax obligations 225 223

Other long-term liabilities 333 329

Total Liabilities 15,977 15,924

Redeemable noncontrolling interest 74 75

Shareholders' Equity (Deficit):

Common Stock and additional paid-in capital 332 333

Treasury Stock (4,601) (4,198)

Accumulated deficit (378) (440)

Accumulated other comprehensive income (loss) (1,033) (1,087)

Total Shareholders' Equity (Deficit) (5,680) (5,392)

Noncontrolling interest 171 46

Total Equity (Deficit) (5,509) (5,346)

Total Liabilities and Equity (Deficit) $ 10,542 $ 10,653

Otis Worldwide Corporation

Condensed Consolidated Statement of Cash Flows

Quarter Ended March 31,

(Unaudited)

(dollars in millions) 2026 2025

Operating Activities:

Net income from operations $ 353 $ 256

Adjustments to reconcile net income to net cash flows provided by operating activities:

Depreciation and amortization 41 42

Deferred income tax expense (benefit) 4 —

Stock compensation cost 19 21

Change in:

Accounts receivable, net (229) (104)

Contract assets and liabilities, current 432 260

Inventories (58) (18)

Other current assets 137 (2)

Accounts payable (176) (281)

Accrued liabilities (117) 12

Pension contributions (11) (18)

Other operating activities, net 18 22

Net cash flows provided by (used in) operating activities 413 190

Investing Activities:

Capital expenditures (33) (34)

Acquisitions of businesses and intangible assets, net of cash (3) (36)

Other investing activities, net 51 (91)

Net cash flows provided by (used in) investing activities 15 (161)

Financing Activities:

Increase (decrease) in short-term borrowings, net 29 (11)

Repayment of long-term debt (135) —

Dividends paid on Common Stock (163) (155)

Repurchases of Common Stock (400) (253)

Dividends paid to noncontrolling interest (3) (2)

Acquisition of noncontrolling interest shares (10) —

Other financing activities, net (12) (7)

Net cash flows provided by (used in) financing activities (694) (428)

Summary of Activity:

Net cash provided by (used in) operating activities

413 190

Net cash provided by (used in) investing activities 15 (161)

Net cash provided by (used in) financing activities (694) (428)

Effect of exchange rate changes on cash and cash equivalents 5 7

Net increase (decrease) in cash, cash equivalents and restricted cash (261) (392)

Cash, cash equivalents and restricted cash, beginning of period 1,105 2,321

Cash, cash equivalents and restricted cash, end of period 844 1,929

Less: Restricted cash 10 11

Cash and cash equivalents, end of period $ 834 $ 1,918

Otis Worldwide Corporation

Adjusted Free Cash Flow Reconciliation

Quarter Ended March 31,

(Unaudited)

(dollars in millions)

2026 2025

Net cash flows provided by operating activities (GAAP) $ 413 $ 190

Capital expenditures (33) (34)

Free cash flow (Non-GAAP) 380 156

Adjustments for:

UpLift restructuring payments 8 11

UpLift transformation payments 4 19

Separation-related payments 1

6 —

German Tax Litigation refunds 2

(126) —

Adjusted free cash flow (Non-GAAP) $ 272 $ 186

1 These represent payments to RTX Corporation (our former parent) in accordance with the Tax Matters Agreement.

2 In August 2024, we received a favorable ruling regarding a tax litigation in Germany. The Company has started to receive refunds and anticipates the refund process to continue through 2026.

GRAPHIC

Filename: otis-20260422_g1.jpg · Sequence: 7

Binary file (4232 bytes)

Download otis-20260422_g1.jpg

XML — IDEA: XBRL DOCUMENT

XML

Filename: R1.htm · Sequence: 20

v3.26.1

Cover

Apr. 22, 2026

Document Information [Line Items]

Document Type

8-K

Document Period End Date

Apr. 22, 2026

Entity Registrant Name

OTIS WORLDWIDE CORPORATION

Entity Central Index Key

0001781335

Amendment Flag

false

Entity Incorporation, State or Country Code

Entity File Number

001-39221

Entity Tax Identification Number

83-3789412

Entity Address, Address Line One

One Carrier Place

Entity Address, City or Town

Farmington

Entity Address, State or Province

Entity Address, Postal Zip Code

06032

City Area Code

860

Local Phone Number

674-3000

Written Communications

false

Soliciting Material

false

Pre-commencement Tender Offer

false

Pre-commencement Issuer Tender Offer

false

Entity Emerging Growth Company

false

Notes 2.875% due 2027

Document Information [Line Items]

Title of 12(b) Security

2.875% Notes due 2027

Trading Symbol

OTIS/27

Security Exchange Name

NYSE

Common Stock

Document Information [Line Items]

Title of 12(b) Security

Common Stock ($0.01 par value)

Trading Symbol

OTIS

Security Exchange Name

NYSE

.0318% Notes Due 2026

Document Information [Line Items]

Title of 12(b) Security

0.318% Notes due 2026

Trading Symbol

OTIS/26

Security Exchange Name

NYSE

0.934% Notes Due 2031

Document Information [Line Items]

Title of 12(b) Security

0.934% Notes due 2031

Trading Symbol

OTIS/31

Security Exchange Name

NYSE

- Definition

Boolean flag that is true when the XBRL content amends previously-filed or accepted submission.

+ References

No definition available.

+ Details

Name:

dei_AmendmentFlag

Namespace Prefix:

dei_

Data Type:

xbrli:booleanItemType

Balance Type:

Period Type:

duration

- Definition

Area code of city

+ References

No definition available.

+ Details

Name:

dei_CityAreaCode

Namespace Prefix:

dei_

Data Type:

xbrli:normalizedStringItemType

Balance Type:

Period Type:

duration

- Definition

Line items represent financial concepts included in a table. These concepts are used to disclose reportable information associated with domain members defined in one or many axes to the table.

+ References

No definition available.

+ Details

Name:

dei_DocumentInformationLineItems

Namespace Prefix:

dei_

Data Type:

xbrli:stringItemType

Balance Type:

Period Type:

duration

- Definition

For the EDGAR submission types of Form 8-K: the date of the report, the date of the earliest event reported; for the EDGAR submission types of Form N-1A: the filing date; for all other submission types: the end of the reporting or transition period. The format of the date is YYYY-MM-DD.

+ References

No definition available.

+ Details

Name:

dei_DocumentPeriodEndDate

Namespace Prefix:

dei_

Data Type:

xbrli:dateItemType

Balance Type:

Period Type:

duration

- Definition

The type of document being provided (such as 10-K, 10-Q, 485BPOS, etc). The document type is limited to the same value as the supporting SEC submission type, or the word 'Other'.

+ References

No definition available.

+ Details

Name:

dei_DocumentType

Namespace Prefix:

dei_

Data Type:

dei:submissionTypeItemType

Balance Type:

Period Type:

duration

- Definition

Address Line 1 such as Attn, Building Name, Street Name

+ References

No definition available.

+ Details

Name:

dei_EntityAddressAddressLine1

Namespace Prefix:

dei_

Data Type:

xbrli:normalizedStringItemType

Balance Type:

Period Type:

duration

- Definition

Name of the City or Town

+ References

No definition available.

+ Details

Name:

dei_EntityAddressCityOrTown

Namespace Prefix:

dei_

Data Type:

xbrli:normalizedStringItemType

Balance Type:

Period Type:

duration

- Definition

Code for the postal or zip code

+ References

No definition available.

+ Details

Name:

dei_EntityAddressPostalZipCode

Namespace Prefix:

dei_

Data Type:

xbrli:normalizedStringItemType

Balance Type:

Period Type:

duration

- Definition

Name of the state or province.

+ References

No definition available.

+ Details

Name:

dei_EntityAddressStateOrProvince

Namespace Prefix:

dei_

Data Type:

dei:stateOrProvinceItemType

Balance Type:

Period Type:

duration

- Definition

A unique 10-digit SEC-issued value to identify entities that have filed disclosures with the SEC. It is commonly abbreviated as CIK.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef

-Publisher SEC

-Name Exchange Act

-Number 240

-Section 12

-Subsection b-2

+ Details

Name:

dei_EntityCentralIndexKey

Namespace Prefix:

dei_

Data Type:

dei:centralIndexKeyItemType

Balance Type:

Period Type:

duration

- Definition

Indicate if registrant meets the emerging growth company criteria.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef

-Publisher SEC

-Name Exchange Act

-Number 240

-Section 12

-Subsection b-2

+ Details

Name:

dei_EntityEmergingGrowthCompany

Namespace Prefix:

dei_

Data Type:

xbrli:booleanItemType

Balance Type:

Period Type:

duration

- Definition

Commission file number. The field allows up to 17 characters. The prefix may contain 1-3 digits, the sequence number may contain 1-8 digits, the optional suffix may contain 1-4 characters, and the fields are separated with a hyphen.

+ References

No definition available.

+ Details

Name:

dei_EntityFileNumber

Namespace Prefix:

dei_

Data Type:

dei:fileNumberItemType

Balance Type:

Period Type:

duration

- Definition

Two-character EDGAR code representing the state or country of incorporation.

+ References

No definition available.

+ Details

Name:

dei_EntityIncorporationStateCountryCode

Namespace Prefix:

dei_

Data Type:

dei:edgarStateCountryItemType

Balance Type:

Period Type:

duration

- Definition

The exact name of the entity filing the report as specified in its charter, which is required by forms filed with the SEC.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef

-Publisher SEC

-Name Exchange Act

-Number 240

-Section 12

-Subsection b-2

+ Details

Name:

dei_EntityRegistrantName

Namespace Prefix:

dei_

Data Type:

xbrli:normalizedStringItemType

Balance Type:

Period Type:

duration

- Definition

The Tax Identification Number (TIN), also known as an Employer Identification Number (EIN), is a unique 9-digit value assigned by the IRS.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef

-Publisher SEC

-Name Exchange Act

-Number 240

-Section 12

-Subsection b-2

+ Details

Name:

dei_EntityTaxIdentificationNumber

Namespace Prefix:

dei_

Data Type:

dei:employerIdItemType

Balance Type:

Period Type:

duration

- Definition

Local phone number for entity.

+ References

No definition available.

+ Details

Name:

dei_LocalPhoneNumber

Namespace Prefix:

dei_

Data Type:

xbrli:normalizedStringItemType

Balance Type:

Period Type:

duration

- Definition

Boolean flag that is true when the Form 8-K filing is intended to satisfy the filing obligation of the registrant as pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef

-Publisher SEC

-Name Exchange Act

-Number 240

-Section 13e

-Subsection 4c

+ Details

Name:

dei_PreCommencementIssuerTenderOffer

Namespace Prefix:

dei_

Data Type:

xbrli:booleanItemType

Balance Type:

Period Type:

duration

- Definition

Boolean flag that is true when the Form 8-K filing is intended to satisfy the filing obligation of the registrant as pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef

-Publisher SEC

-Name Exchange Act

-Number 240

-Section 14d

-Subsection 2b

+ Details

Name:

dei_PreCommencementTenderOffer

Namespace Prefix:

dei_

Data Type:

xbrli:booleanItemType

Balance Type:

Period Type:

duration

- Definition

Title of a 12(b) registered security.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef

-Publisher SEC

-Name Exchange Act

-Number 240

-Section 12

-Subsection b

+ Details

Name:

dei_Security12bTitle

Namespace Prefix:

dei_

Data Type:

dei:securityTitleItemType

Balance Type:

Period Type:

duration

- Definition

Name of the Exchange on which a security is registered.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef

-Publisher SEC

-Name Exchange Act

-Number 240

-Section 12

-Subsection d1-1

+ Details

Name:

dei_SecurityExchangeName

Namespace Prefix:

dei_

Data Type:

dei:edgarExchangeCodeItemType

Balance Type:

Period Type:

duration

- Definition

Boolean flag that is true when the Form 8-K filing is intended to satisfy the filing obligation of the registrant as soliciting material pursuant to Rule 14a-12 under the Exchange Act.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef

-Publisher SEC

-Name Exchange Act

-Number 240

-Section 14a

-Subsection 12

+ Details

Name:

dei_SolicitingMaterial

Namespace Prefix:

dei_

Data Type:

xbrli:booleanItemType

Balance Type:

Period Type:

duration

- Definition

Trading symbol of an instrument as listed on an exchange.

+ References

No definition available.

+ Details

Name:

dei_TradingSymbol

Namespace Prefix:

dei_

Data Type:

dei:tradingSymbolItemType

Balance Type:

Period Type:

duration

- Definition

Boolean flag that is true when the Form 8-K filing is intended to satisfy the filing obligation of the registrant as written communications pursuant to Rule 425 under the Securities Act.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef

-Publisher SEC

-Name Securities Act

-Number 230

-Section 425

+ Details

Name:

dei_WrittenCommunications

Namespace Prefix:

dei_

Data Type:

xbrli:booleanItemType

Balance Type:

Period Type:

duration

- Details

Name:

dei_DocumentInformationDocumentAxis=otis_Notes2.875Due2027Member

Namespace Prefix:

Data Type:

Balance Type:

Period Type:

- Details

Name:

us-gaap_StatementClassOfStockAxis=us-gaap_CommonStockMember

Namespace Prefix:

Data Type:

Balance Type:

Period Type:

- Details

Name:

us-gaap_StatementClassOfStockAxis=otis_A0318NotesDue2026Member

Namespace Prefix:

Data Type:

Balance Type:

Period Type:

- Details

Name:

us-gaap_StatementClassOfStockAxis=otis_A0934NotesDue2031Member

Namespace Prefix:

Data Type:

Balance Type:

Period Type: