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Dec 31, 2025
UL Solutions Inc Q4 2025 Earnings Report
UL Solutions Inc. reported strong fourth quarter and full-year 2025 results, announced 2026 growth outlook, and increased its quarterly dividend.
Key Takeaways
UL Solutions Inc. delivered strong financial performance in Q4 2025, with revenue increasing by 6.8% to $789 million and Adjusted EBITDA growing by 28.4% to $217 million. The company also reported a significant increase in Adjusted Net Income by 11.8% and expanded its Adjusted EBITDA margin by 460 basis points, driven by higher revenue and operating leverage across its Consumer and Industrial segments.
Fourth quarter revenue grew 6.8% to $789 million, with 5.7% organic growth.
Adjusted EBITDA increased 28.4% to $217 million, with a margin expansion of 460 basis points.
Adjusted Net Income rose 11.8% to $114 million, and Adjusted Diluted EPS increased 8.2% to $0.53.
The company increased its quarterly dividend by 11.5% to $0.145 per share for Q1 2026.
Revenue by Segment
Forward Guidance
For 2026, UL Solutions anticipates mid-single digit constant currency organic revenue growth and continued improvement in Adjusted EBITDA margin, despite a slight revenue reduction from business exits.
Positive Outlook
- Mid-single digit constant currency organic revenue growth expected.
- Adjusted EBITDA margin improvement projected to between 26.5% and 27.0%.
- Continued momentum in underlying business performance.
- Strategic investments supporting customer innovations, global energy transition, and AI-fueled digitalization.
- Disciplined capital allocation and commitment to operational excellence.
Challenges Ahead
- Approximately 1% revenue reduction from business exits announced in the Restructuring Plan.
- Geopolitical environment and increased uncertainty may cause customers to modify, delay, or cancel plans.
- Macroeconomic environment could adversely impact operations and financial condition.
Historical Earnings Impact
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Avg. Return Before/After Earnings
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