UL Solutions Forecasts Approximately 6.5% Constant-Currency Organic Revenue Growth for 2026

The Tip Desk · November 3, 2026 · 3 min read

Third-quarter revenue reached a record $823 million as organic growth accelerated to 7.0% and Adjusted EBITDA margin hit a record 28.6%.

UL Solutions Inc. (ULS), a global leader in applied safety science, reported record third-quarter revenue of $823 million, up 5.1% from $783 million a year earlier, and said its 2026 outlook includes constant-currency organic revenue growth of approximately 6.5%.

Organic growth accelerated to 7.0% from 6.6% in the second quarter, when total revenue rose 5.2% to $816 million. The company said the third-quarter organic increase was led by the Industrial and Consumer segments.

Adjusted EBITDA rose 8.3% to $235 million. Adjusted EBITDA margin expanded 90 basis points to a record 28.6%, after a 140 basis-point expansion to 26.8% in the second quarter. The company said the expansion resulted from higher revenue and operating leverage, led by Consumer and Industrial, and included an estimated incremental 30 basis-point impact from acquisition and divestiture transaction costs.

Net income was $117 million, up 10.4%, and net income margin increased 70 basis points to 14.2%. Diluted earnings were $0.53 a share. Adjusted net income was $135 million, and adjusted diluted earnings were $0.62 a share.

Industrial revenue rose 8.2% to $410 million, with 8.4% organic growth. Consumer revenue increased 5.9% to $360 million. Risk & Compliance Software revenue fell 17.2% to $53 million; organic growth in that segment was 4.7%, with a $14 million acquisition and divestiture drag.

By service category, certification testing revenue was $248 million, ongoing certification services were $270 million, non-certification testing and other services were $244 million, and software was $61 million.

President and CEO Jennifer Scanlon said the quarter’s record revenue and margin expansion reflected a strategic focus on megatrends including the global energy transition and electrification. Chief Financial Officer Ryan Robinson said the company achieved 7.0% organic revenue growth and expanded Adjusted EBITDA margin to a record 28.6%, driven by broad-based demand, operating leverage and productivity gains.

For the nine months ended September 30, 2026, net cash provided by operating activities was $594 million, up 30.3% from $456 million a year earlier. Free cash flow increased 24.6% to $395 million. The company paid a dividend of $0.145 a share, or $29 million, in the third quarter.

Cash and cash equivalents were $1,016 million at September 30, compared with $295 million at year-end 2025. Total debt was $766 million, prior to unamortized issuance costs, after borrowings from the revolving credit facility in preparation for the E&E Transaction.

On October 1, 2026, UL Solutions completed the E&E Transaction for approximately $686 million in cash, the largest acquisition in its history, to strengthen testing, inspection and certification capabilities in electromagnetic compatibility, wireless testing, electrical safety and medical devices. On October 30 it sold its shareholding in DQS Holding GmbH for approximately $117 million and used the proceeds to repay revolving credit borrowings. Earlier in 2026 it sold its Employee Health and Safety software business for $201 million in cash and acquired Evnia Consulting Firm Inc. for about $6 million.

The company reaffirmed a full-year Adjusted EBITDA margin of approximately 27.0%, including about 200 basis points of underlying expansion offset by about 90 basis points of incremental transaction costs versus 2025. It also expects an effective tax rate of approximately 26% and capital expenditures of approximately 8.5% of revenue. The organic growth outlook includes about 70 basis points of revenue reduction from business exits announced in its Restructuring Plan.