Otis Worldwide Corp Files 2024 10-K

Ticker: OTIS · Form: 10-K · Filed: Feb 4, 2025 · CIK: 1781335

Sentiment: neutral

Topics: 10-K, annual-report, financials

TL;DR

Otis filed its 2024 10-K. Full financials are in.

AI Summary

Otis Worldwide Corp filed its 2024 10-K on February 4, 2025, reporting its financial performance for the fiscal year ending December 31, 2024. The filing provides detailed financial statements and disclosures as required by the SEC. Key financial data and operational highlights for the year are presented within the report.

Why It Matters

This 10-K filing provides investors and analysts with a comprehensive overview of Otis Worldwide Corp's financial health and operational performance for the fiscal year 2024, enabling informed investment decisions.

Risk Assessment

Risk Level: low — This is a standard annual financial filing with no immediate red flags.

Key Players & Entities

FAQ

What is the primary business of Otis Worldwide Corp?

Otis Worldwide Corp is primarily involved in the manufacturing and servicing of elevators and escalators, as indicated by its SIC code for 'ELECTRONIC & OTHER ELECTRICAL EQUIPMENT (NO COMPUTER EQUIP)' and its business operations.

When did Otis Worldwide Corp file its 2024 10-K report?

Otis Worldwide Corp filed its 2024 10-K report on February 4, 2025.

What is the fiscal year end for Otis Worldwide Corp?

The fiscal year end for Otis Worldwide Corp is December 31.

What is the SEC file number for Otis Worldwide Corp?

The SEC file number for Otis Worldwide Corp is 001-39221.

Where is Otis Worldwide Corp headquartered?

Otis Worldwide Corp is headquartered at One Carrier Place, Farmington, CT 06032.

Filing Stats: 4,417 words · 18 min read · ~15 pages · Grade level 14.1 · Accepted 2025-02-04 16:50:42

Key Financial Figures

Filing Documents

Business

Item 1. Business 1 Cautionary Note Concerning Factors That May Affect Future Results 9

Risk Factors

Item 1A. Risk Factors 10

Unresolved Staff Comments

Item 1B. Unresolved Staff Comments 21

Cybersecurity

Item 1C. Cybersecurity 22

Properties

Item 2. Properties 23

Legal Proceedings

Item 3. Legal Proceedings 23

Mine Safety Disclosures

Item 4. Mine Safety Disclosures 23 PART II

Market for Registrant's Common Equity, Related Stockholder Matters and Issuer of Purchases of Equity Securities

Item 5. Market for Registrant's Common Equity, Related Stockholder Matters and Issuer of Purchases of Equity Securities 24

[Reserved]

Item 6. [Reserved] 25

Management's Discussion and Analysis of Financial Condition and Results of Operations

Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations 26

Quantitative and Qualitative Disclosures About Market Risk

Item 7A. Quantitative and Qualitative Disclosures About Market Risk 47

Financial Statements and Supplementary Data

Item 8. Financial Statements and Supplementary Data 49

Changes in and Disagreements with Accountants on Accounting and Financial Disclosure

Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure 99

Controls and Procedures

Item 9A. Controls and Procedures 99

Other Information

Item 9B. Other Information 99

Disclosure Regarding Foreign Jurisdictions that Prevent Inspections

Item 9C. Disclosure Regarding Foreign Jurisdictions that Prevent Inspections 99 PART III

Directors, Executive Officers and Corporate Governance

Item 10. Directors, Executive Officers and Corporate Governance 100

Executive Compensation

Item 11. Executive Compensation 101

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters

Item 12. Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters 102

Certain Relationships and Related Transactions, and Director Independence

Item 13. Certain Relationships and Related Transactions, and Director Independence 103

Principal Accounting Fees and Services

Item 14. Principal Accounting Fees and Services 103 PART IV

Exhibits and Financial Statement Schedule

Item 15. Exhibits and Financial Statement Schedule 104

Form 10-K Summary

Item 16. Form 10-K Summary 109

SIGNATURES

SIGNATURES 110 Table of Contents Otis Worldwide Corporation's and its subsidiaries' names, abbreviations thereof, logos, and product and service designators are all either the registered or unregistered trademarks or tradenames of Otis Worldwide Corporation and its subsidiaries. Names, abbreviations of names, logos, and product and service designators of other companies are either the registered or unregistered trademarks or tradenames of their respective owners. As used herein, the terms "we", "us", "our", "the Company" or "Otis", unless the context otherwise requires, mean Otis Worldwide Corporation and its subsidiaries. References to Internet websites in this Form 10-K are provided for convenience only. Information available through these websites is not incorporated by reference into this Form 10-K. PART I

Business

Item 1. Business Our Company Otis is t he world's leading elevator and escalator manufacturing, installation and service company. We serve customers in ov er 200 countries and territories around t he world. Otis has global scale and local focus, with more than 1,400 branc hes and offices, and a direct physical presence in more than 70 co untries. The following description of our busin ess should be read in conjunction with Item 7 in this Form 10-K, including the information contained therein under the heading "Business Overview." Description of Business by Segment Our Company is organized into two segments, New Equipment and Service, which, for 2024, contributed 38% and 62% of our net sales, and 13% and 87% of our segment operating profit, respectively. Our international operations represented appro ximately 70% of our net sales for 2024. New Equipment Through our New Equipment segment, we design, manufacture, sell and install a wide range of passenger and freight elevators, as well as escalators and moving walkways for residential, commercial and infrastructure projects. Our New Equipment customers include real estate and building developers and general contractors who develop and/or design buildings for residential, commercial, retail or mixed-use activity. We also sell New Equipment to government agencies, particularly, to support infrastructure projects, such as airports, railways or metros. We generally sell directly to our customers through our New Equipment sales personnel. Due to the nature of the customer base in China and certain other geographies, our direct sales force is augmented by agents and distributors. Given the breadth of our customer base and the large number of customers to whom we deliver new equipment on an annual basis, we are not dependent on any single customer and do not have any contracts material to Otis as a whole with any single customer. The same is true for our broad and geographically dispersed network of agents and

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