OTIS WORLDWIDE Reports Record Second Quarter Revenue and Net Income for FY2023
July 28, 2023
🌥️Earnings Overview
For the second quarter of FY2023, ending June 30 2023, OTIS WORLDWIDE ($NYSE:OTIS) reported total revenue of USD 3720.0 million, a 6.7% increase from the same quarter of the prior year. Net income for the quarter was USD 376.0 million, a 17.1% increase year-over-year.
Price History
OTIS WORLDWIDE, a global leader in elevators, escalators, and moving walkways, reported record second quarter revenue and net income for the fiscal year 2023 on Wednesday. The company’s stock opened at $85.9 and closed at $90.7, up 3.6% from the previous closing price of $87.6. This surge in stock prices is attributed to the strong results reported by OTIS WORLDWIDE which exceeded analyst expectations. This impressive performance was driven by an increase in orders from Asia-Pacific and Europe regions and improved margins from its service and modernization businesses. The company also revealed that it benefited from strong demand for its new products such as the Gen2 platform and Demand Flow Technology (DFT).
Overall, OTIS WORLDWIDE delivered a strong performance in the second quarter of FY2023 and the outlook for the rest of the year is positive. The company is focusing on expanding its presence in key markets and is investing in new technologies to further drive growth. Investors will be closely monitoring future developments at OTIS WORLDWIDE to assess the potential impact on stock prices. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Otis Worldwide. More…
| Total Revenues | Net Income | Net Margin |
| 13.85k | 1.33k | 9.6% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Otis Worldwide. More…
| Operations | Investing | Financing |
| 1.43k | -114 | -1.3k |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Otis Worldwide. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 10.13k | 14.76k | -11.74 |
Key Ratios Snapshot
Some of the financial key ratios for Otis Worldwide are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 3.0% | 8.3% | 15.3% |
| FCF Margin | ROE | ROA |
| 9.4% | -27.2% | 13.0% |
Analysis
At GoodWhale, we conducted an analysis of OTIS WORLDWIDE‘s wellbeing. Our Star Chart showed that the company is strong in profitability, medium in dividend and weak in asset and growth. This indicates that OTIS WORLDWIDE is classified as a ‘cow’, a type of company that has the track record of paying out consistent and sustainable dividends. This may be attractive to investors who are looking for a steady and reliable income stream, as well as those who are confident in the company’s ability to maintain its current dividend payments. Furthermore, OTIS WORLDWIDE has a high health score of 8/10 considering its cashflows and debt — it is capable to safely ride out any crisis and not be at risk of bankruptcy. More…
Peers
Otis Worldwide Corp is one of the world’s leading manufacturers of elevators, escalators, and moving walkways. Its competitors include Vestas Wind Systems A/S, KONE Oyj, and VAT Group AG.
– Vestas Wind Systems A/S ($OTCPK:VWDRY)
Vestas Wind Systems A/S is a Danish wind turbine company. The company is the largest wind turbine manufacturer in the world as of 2021. The company was founded in 1945 and has its headquarters in Aarhus, Denmark. The company designs, manufactures, installs, and services wind turbines across the globe, and as of 2021, it had a total of 102 GW of wind turbines in operation. The company has a market cap of 19.24B as of 2022 and a Return on Equity of -5.53%.
– KONE Oyj ($OTCPK:KNYJY)
KONE is one of the world’s leading elevator and escalator companies. It has been in business for over a century and is headquartered in Finland. The company has a strong presence in Europe, North America, and Asia-Pacific. KONE provides innovative solutions for the transport industry and has a strong commitment to sustainability. The company’s market cap is 20.6 billion as of 2022 and its ROE is 28.72%. KONE’s products and services are used in a variety of settings, including office buildings, shopping malls, hospitals, and transportation hubs.
– VAT Group AG ($OTCPK:VACNY)
VAT Group AG is a world leader in the design and manufacture of industrial valves and related products. The company has a market capitalization of 6.34 billion as of 2022 and a return on equity of 31.51%. VAT Group AG designs, manufactures, and markets a broad range of valves and related products for use in a variety of industries, including oil and gas, power generation, water and wastewater, and chemical processing. The company’s products are used in a variety of applications, including the control of fluids, the regulation of pressure, and the measurement of flow.
Summary
OTIS WORLDWIDE reported strong financial results for its second quarter of FY2023, with total revenue increasing 6.7% year-over-year to USD 3720.0 million and net income rising 17.1% to USD 376.0 million. According to the reported data, OTIS WORLDWIDE has demonstrated strong financial performance and investor confidence in the company was reflected by the stock price moving up the same day. This indicates OTIS WORLDWIDE could be a strong investment opportunity, with potential to outperform the market in the long term.
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