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Investor Relations14 Oct 2025
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Otis Worldwide (OTIS) investor relations material
Otis Worldwide Morgan Stanley’s 13th Annual Laguna Conference summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.Morgan Stanley’s 13th Annual Laguna Conference summary12 Sep, 2025
Geographic performance and market trends
Strong global presence with robust service business, reducing exposure to construction cycle volatility.
New equipment orders up 11% ex-China in Q2; backlog up 8%.
North America shows four consecutive quarters of double-digit new equipment growth.
Asia-Pacific growth led by India, Southeast Asia, and Japan; Korea and China remain weak but show signs of stabilization.
China’s new equipment market expected to stabilize by year-end, with revenue impact in late 2026.
Service and modernization business
Service organic growth softened in H1 due to repair business transition and organizational changes.
Repair business rebounded in Q2, with 6% growth and 8% backlog; expected to return to high single-digit growth.
Modernization (mod) backlog up 22% in Q2; U.S. and Canada up 50%, China mod revenue up 20%.
Mod revenue guided to finish the year at 10%+ growth, with strong resources and backlog.
Repair and mod are key profit drivers, with mod margins now consistently above new equipment margins.
Portfolio growth and retention
Maintenance portfolio grew 4%, adding 100,000 units annually; density drives service margin expansion.
Retention rate dropped to 92.4% in 2024 from 94% in 2022; focus on quality of service and field labor investment to improve retention.
Otis ONE digital platform connects 1 million units, enhancing customer stickiness and predictive maintenance.
Independent service providers (ISPs) service 55% of global units, mainly older, non-connected ones; competition remains but not a major share threat.
Address the retention rate decline to 92.4%
Mod industrialization and margin expansion
Why is high single-digit repair growth sustainable?
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Next Otis Worldwide earnings date
Q3 202529 Oct, 2025
Next Otis Worldwide earnings date
Q3 202529 Oct, 2025
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Frequently asked questions
Otis Worldwide Corporation designs, manufactures, installs and services vertical transportation equipment worldwide. The Company operates in three segments: Otis Elevator Company (Otis Elevator), Otis International Europe, Middle East and Africa (IMEA) and Otis Escalator company. OEC's principal products include elevators, escalators and moving walks for commercial, industrial, institutional and residential buildings. Otis Worldwide Corporation is based in Farmington, Connecticut.
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