Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 ____________________________________ FORM 10-Q ____________________________________ ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2023 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 001-39221 ____________________________________ OTIS ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON D.C. 20549 ____________________________________ FORM 10-K ____________________________________ ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2022 or ¨ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ______ to ______. Commission file number 001-39221 ________________________________ ...

| --- | --- | --- | |-------|------------------------|-------| | | | | | | | | | | Q4 2022 Earnings Call | | | | February 1, 2023 | | | | | | | | | | Note: All results and expectations in this presentation reflect continuing operations unless otherwise noted. 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 ...

Otis Worldwide Corporation (NYSE:OTIS) Q3 2022 Earnings Conference Call October 26, 2022 8:30 AM ET Company Participants Michael Rednor - Senior Director of Investor Relations Judy Marks - President, Chief Executive Officer and Chairman Anurag Maheshwari - Executive Vice President and Chief Financial Officer Conference Call Participants Nigel Coe - Wolfe Research Jeffrey Sprague - Vertical Research Julian Mitchell - Barclays Stephen Tusa - JPMorgan John Walsh - Credit Suisse Joseph O'Dea - Wells Fargo Gauta ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 ____________________________________ FORM 10-Q ____________________________________ ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Delaware 83-3789412 One Carrier Place, Farmington, Connecticut 06032 (Address of principal executive offices, including zip code) (860) 674-3000 For the transition period from to Commission file number 001-39221 ____________________________________ ...

| --- | --- | --- | --- | |-------|-------|-----------------------------------------|-------| | | | | | | | | | | | | | Q3 2022 Earnings Call October 26, 2022 | | | | | | | | | | © 2022 OTIS WORLDWIDE CORPORATION. | | Forward-Looking Statements Note: All results and expectations in this presentation reflect continuing operations unless otherwise noted. This communication contains statements which, to the extent they are not statements of historical or present fact, constitute "forward-looking statements" un ...

Summary of Otis Worldwide Corporation Conference Call Company Overview - **Company**: Otis Worldwide Corporation (NYSE:OTIS) - **Event**: Morgan Stanley 10th Annual Laguna Conference - **Date**: September 16, 2022 - **Participants**: Judy Marks (Chairman, President, and CEO), Josh Pokrzywinski (Morgan Stanley) Key Points Industry and Market Performance - Otis has shown strong performance since its spin-off, becoming more agile and focused, leading to improved operational and financial results [4][6] - Between 2019 and 2021, Otis gained 2 percentage points in market share, achieved a 3% compound annual growth rate (CAGR) in organic growth, and improved margins by 1 percentage point despite headwinds [4] - The service business is crucial, contributing 80% of profits, with a 3.5% portfolio growth in Q2, the best in over a decade [6] Strategic Focus - The primary value driver is portfolio growth, with a target to exceed 3.5% growth by year-end, particularly driven by strong performance in China [10][11] - Otis has implemented an IoT strategy, with one-third of its service portfolio now equipped with IoT technology [10] - The company aims to enhance service through margin expansion opportunities, focusing on portfolio growth, productivity, and pricing [6] Financial Performance and Shareholder Value - Otis has paid down debt significantly, including a $500 million payment, and increased dividends by 45% since the spin-off [7] - The company plans to execute $700 million in stock buybacks in addition to $725 million from the previous year [7] - The backlog in New Equipment is strong, with a 10% increase year-over-year, indicating robust future revenue potential [27] Challenges and Opportunities in China - Otis has about 16,000 employees in China and continues to gain market share despite COVID-related challenges [13] - The company anticipates a 10% decline in the overall market in China for the year but remains optimistic about its growth potential [14] - Urbanization in China presents significant opportunities, with projections of substantial new construction in the coming years [24] Competitive Landscape - Otis has maintained a competitive edge due to its efficient operations and product offerings, including the successful introduction of the Gen3 product line [19][21] - The company has a retention rate of over 94%, attributed to excellent service and customer satisfaction [43] Input Costs and Pricing Strategy - Input costs, particularly for raw materials, are being managed effectively, with expectations of a shift from headwinds to tailwinds in 2023 [40] - The company has successfully implemented price increases, achieving a 3% price increase in service contracts [49] Technological Advancements - Otis ONE, the company's IoT solution, is being deployed effectively, enhancing customer loyalty and operational efficiency [51] - The integration of multimedia capabilities into service contracts is expected to drive additional revenue streams [53] Currency and Economic Factors - The strong U.S. dollar has posed challenges, but Otis has managed to offset some of the impacts through strategic financial maneuvers [56] - The company is projecting EPS growth of 7% to 9% despite facing headwinds from foreign exchange and commodity costs [57] Conclusion Otis Worldwide Corporation is positioned for continued growth through strategic focus on service, technological innovation, and effective financial management. The company remains optimistic about its prospects in China and the broader market, despite facing challenges from external factors.

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 ____________________________________ FORM 10-Q ____________________________________ ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2022 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 001-39221 ____________________________________ OTIS ...

| --- | --- | --- | --- | |-------|------------------------------------|--------------------------------------|-------| | | | | | | | | | | | | | Q2 2022 Earnings Call July 27, 2022 | | | | | | | | | © 2022 OTIS WORLDWIDE CORPORATION. | | | Forward-Looking Statements Note: All results and expectations in this presentation reflect continuing operations unless otherwise noted. This communication contains statements which, to the extent they are not statements of historical or present fact, constitute "forward ...

Financial Data and Key Metrics Changes - Otis reported net sales of $3.5 billion, down 5.8% primarily due to the strengthening of the U.S. dollar [19] - Organic sales increased by 0.4%, marking the seventh consecutive quarter of growth [20] - Adjusted EPS grew by 12% or $0.09, with a $0.06 headwind from foreign exchange translation offset by strong operational performance [22] - Free cash flow generation was robust at $326 million, with a total of $800 million for the first half of the year [10][30] Business Line Data and Key Metrics Changes - New equipment orders were up 16.5% at constant currency, with orders in the Americas increasing over 50% [23] - Service organic sales grew for the sixth consecutive quarter, up 5.2%, with maintenance and repair growing 4.9% [28] - Adjusted operating profit was down $21 million, but up $16 million at constant currency, driven by strong service performance [20] Market Data and Key Metrics Changes - Orders in China were down low teens, outperforming a market estimated to be down about 20% [24][49] - EMEA orders increased by 29%, with strong growth in both Europe and the Middle East [23] - The backlog in new equipment increased by 6% globally, with a 10% increase at constant currency [24] Company Strategy and Development Direction - The company is focusing on accelerating service growth, driving productivity, and optimizing the tax rate [33] - Otis plans to increase its share repurchase target from $500 million to $700 million, reflecting a disciplined capital allocation strategy [17] - The company aims to continue its bolt-on M&A strategy, particularly in the service business, to enhance growth [116] Management's Comments on Operating Environment and Future Outlook - Management expressed concerns about the long-term sustainability of operations in Russia, leading to the divestment of that business [7][8] - The outlook for 2022 was revised, expecting organic sales growth of 2.5% to 3.5% and adjusted EPS in the range of $3.17 to $3.21 [15][36] - Management remains confident in the health of the business in China, citing strong performance and share gains despite market challenges [49][114] Other Important Information - The company completed $400 million in share repurchases year-to-date, contributing to adjusted EPS growth [22][30] - The service segment's profit at constant FX was up $39 million, with margins improving for ten consecutive quarters [29] Q&A Session Summary Question: Update on China market outlook - Management noted that the market growth estimates were reduced due to lockdown impacts, with expectations for a 10% decline in the market for 2022 [47] - Confidence in business health remains strong, with share gains and a focus on high-tier cities contributing positively [49] Question: Context on Americas orders and revenue slippage - Management indicated that orders were driven by volume rather than large projects, with strength seen particularly in residential sectors [59] - Revenue slippage was attributed to delays in general construction labor rather than issues within Otis [60] Question: Backlog and project cancellations - Management confirmed that while some projects may be canceled, overall trends remain stable with no significant changes year-over-year [70] Question: Tax rate reduction sustainability - The tax rate was reduced to about 26.5%, with ongoing efforts to lower it further, though the pace of reduction may not be as rapid in the future [76] Question: Margin profile of modernization - Modernization margins are slightly lower than new equipment but are still profitable and contribute to overall labor absorption [80] Question: Commodity pricing and hedging practices - The company is about 80% locked for the year on commodity prices, with expectations for a small tailwind in Q4 due to decreasing steel prices [106]