ULS
UL Solutions Inc.77.53
+0.10+0.13%
Dec 16, 4:00:02 PM EST
Earnings Call Transcripts
This Quarter (Q1 '26)
No earnings call transcript available yet
Last Quarter (Q4 '25)
FY Q4 '25
Q&A adds data center, cap alloc color
Q&A largely reaffirmed prepared remarks on mid-single-digit organic growth and 26.5-27% adjusted EBITDA margins for 2026, driven by operational leverage and restructuring. Management detailed data center tailwinds fueling double-digit growth across power, cooling, and fire testing, beyond scripted megatrends. Pricing contributed evenly to certification and non-cert growth. Proceeds from $210M EHS software sale prioritize debt paydown, then CapEx and M&A; buybacks to offset dilution over time. Data centers ignite demand. Industrial growth normalized to high-single digits post-2024 tariff pull-forward. Watch lab utilization for margin durability.
Key Stats
Market Cap
15.58BP/E (TTM)
46.43Basic EPS (TTM)
1.67Dividend Yield
0.01%Recent Filings
10-K
FY2025 results
UL Solutions delivered FY2025 revenue of $3.1B, up 6.4% organically, with Q4 driving acceleration across segments—Industrial up 7.1%, Consumer 6.1%, Software & Advisory 3.7%—fueled by certification testing and non-certification services amid rising safety demands. Margins expanded sharply to 25.9% adjusted EBITDA, reflecting pricing power and efficiency gains, while free cash flow surged to $403M (13.2% margin) on $197M capex. Debt fell to $494M after refinancing; quarterly dividends rose to $0.145/share. Q4 momentum signals sustained growth, but AI disruption poses quarterly risks.
8-K
Strong 2025 results, dividend hike
UL Solutions topped $3B in 2025 revenue, up 6.4% with 6.2% organic growth, while Adjusted EBITDA soared 20.7% to $792M on 300bps margin expansion despite $35M restructuring hit. Cash from operations hit record $600M. Signed deal February 12 to sell Employee Health and Safety software, closing Q2 2026. Dividend jumps 11.5% to $0.145/share.
8-K
12.5M shares sold at $78
8-K
Q3 beats, restructuring announced
UL Solutions posted Q3 revenue up 7.1% to $783M with 6.3% organic growth and Adjusted EBITDA soaring 18.6% to $217M, margin at 27.7%. Yet it launched a Restructuring Plan axing 3.5% of staff, expecting $42-47M pre-tax costs but $25-30M annual operating income boost post-2027 completion. Momentum holds strong.
10-Q
Q3 FY2025 results
UL Solutions posted Q3 revenue of $783M, up 7.1% y/y from $731M, with operating income climbing 20.0% to $156M and margins expanding to 19.9% from 17.8% on organic growth across Industrial (8.2% to $343M) and Consumer (5.9% to $340M) segments. Diluted EPS hit $0.49, matching 203M shares. Cash swelled to $255M while net debt fell to $544M long-term; free cash flow reached $317M on $456M operating cash minus $139M capex, up from $215M y/y. Debt includes $300M senior notes due 2028 at 6.5% and term loans to 2027. Yet competition sharpens in testing services.
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