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Dec 31, 2021
Otis Q4 2021 Earnings Report
Delivered strong fourth quarter and full year results with organic sales and EPS growth.
Key Takeaways
Otis reported a strong fourth quarter, with net sales up 2.2% and organic sales up 2.8%. GAAP EPS increased by 12.1% and adjusted EPS increased by 9.1%. The company's maintenance portfolio units grew by 3% and new equipment orders increased by 7.3%.
4Q Net sales up 2.2% and organic sales up 2.8% with GAAP EPS up 12.1% and adjusted EPS up 9.1%
4Q New Equipment orders up 7.3%; FY up 13.2%; backlog up 1%, up 3% at constant currency
Maintenance portfolio units up 3%
Announcing 2022 outlook* with organic sales up 2.5 to 4.5%, adjusted earnings per share of $3.20 to $3.30 and free cash flow of ~$1.6 billion
Otis
Otis
Otis Revenue by Segment
Forward Guidance
Otis is announcing its full year outlook:
Positive Outlook
- Net sales of $14.4 to $14.7 billion, up 1 to 3%
- Organic sales up 2.5 to 4.5%
- Organic New Equipment sales up 0.5 to 3.0%
- Organic Service sales up 4 to 6%
- Adjusted operating profit of $2.24 to $2.3 billion, up $95 to $165 million at constant currency; up $50 to $120 million at actual currency
Challenges Ahead
- Adjusted EPS of $3.20 to $3.30, up 6 to 10%; adjusted effective tax rate between 27.5% and 28.0%
- Free cash flow of approximately $1.6 billion with conversion of 115 to 120% of GAAP net income