UL Solutions Q4 revenue slightly beats on Industrial Segment strength

UL Solutions

19/02/2026 12:05

Overview

Safety science leader's Q4 revenue grew 6.8%, slightly beating analyst expectations

Adjusted EBITDA for Q4 beat analyst expectations, rising 28.4%

Company announced 11.5% increase in quarterly dividend

Outlook

UL Solutions expects mid-single digit constant currency organic revenue growth in 2026

Company anticipates Adjusted EBITDA margin improvement to between 26.5% and 27.0%

UL Solutions plans capital expenditures between 7% and 8% of revenue in 2026

Result Drivers

CONSUMER TECHNOLOGY - Revenue gains driven by consumer technology, including electromagnetic compatibility testing

INDUSTRIAL SEGMENT - Revenue gains driven by energy and automation and fire safety

OPERATING LEVERAGE - Margin improvement driven by higher revenue and operating leverage

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q4 Revenue
Slight Beat*
$789 mln
$782.31 mln (10 Analysts)
Q4 Adjusted EPS
$0.53
Q4 EPS
$0.32
Q4 Adjusted Net Income
$114 mln
Q4 Net Income
$71 mln
Q4 Adjusted EBITDA
Beat
$217 mln
$187.98 mln (10 Analysts)
Q4 Operating Income
$118 mln
Q4 Pretax Profit
$105 mln


*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 7 "strong buy" or "buy", 5 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the business support services peer group is "buy"

Wall Street's median 12-month price target for UL Solutions Inc is $88.10, about 23.6% above its February 18 closing price of $71.25

The stock recently traded at 35 times the next 12-month earnings vs. a P/E of 40 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)