OTIS · 10-Q · 2026Q3 · Full report
Balance Sheet and Liquidity
Otis Worldwide Corp · 2026-10-29 · Importance 61 · Surprise 32 · In source text
At September 30, 2026, Otis had $866 million of cash and cash equivalents, with approximately 86% held by foreign subsidiaries, and total debt of $8,275 million. Net debt was $7,409 million, up from $6,860 million at December 31, 2025. The company had no borrowings under its $1.5 billion revolving credit facility or $1.5 billion commercial paper programs. In May 2026, Otis issued $700 million of three-year notes at 4.488%, primarily to fund repayment at maturity of Euro notes due in December 2026.
Key facts
- Otis issued $700 million of unsecured, unsubordinated three-year notes on May 7, 2026, due May 7, 2029, at an interest rate of 4.488%; most proceeds were intended to repay Euro notes maturing December 15, 2026. source
- Otis had $866 million of cash and cash equivalents as of September 30, 2026, approximately 86% of which was held by foreign subsidiaries. source
- Otis had a $1.5 billion unsecured, unsubordinated five-year revolving credit facility and no borrowings under it as of September 30, 2026. source
- Otis's restricted cash was $12 million as of September 30, 2026, compared with $9 million as of December 31, 2025. source
- Otis estimated the remaining amount payable to RTX related to the German tax litigation at $55 million after indemnity payments and adjustments in the nine months ended September 30, 2026. source
- Otis's estimate of the final German tax litigation indemnity could change because the parties continue to dispute the scope of the final amount, which will be resolved under the TMA procedures. source
- Otis did not expect significant impacts from macroeconomic conditions on its capital and financial resources, including its overall liquidity, based on available cash and cash equivalents and access to credit facilities and capital markets. source
- Otis repaid its Japanese yen-denominated 0.370% notes at maturity on March 16, 2026, using cash on hand. source
Impact estimates
| metric | direction | stage | expected | basis |
|---|---|---|---|---|
| liability | negative | realized | -6.2% | Otis issued $700 million of unsecured, unsubordinated three-year notes on May 7, 2026, due May 7, 2029, at an interest rate of 4.488%;… |
| cash | positive | realized | +6.2% | Otis issued $700 million of unsecured, unsubordinated three-year notes on May 7, 2026, due May 7, 2029, at an interest rate of 4.488%;… |
| liability | positive | probable | — | Otis issued $700 million of unsecured, unsubordinated three-year notes on May 7, 2026, due May 7, 2029, at an interest rate of 4.488%;… |
| cash | negative | probable | — | Otis issued $700 million of unsecured, unsubordinated three-year notes on May 7, 2026, due May 7, 2029, at an interest rate of 4.488%;… |