ULS UL Solutions Inc.

Overview and Growth

UL Solutions Inc. generated $3.05B of revenue in fiscal 2025, with net income of $325.00M and an operating cash inflow of $600.00M. Revenue of $3.05B sets the scale for evaluating how effectively sales translated into profit and cash during the year. Compared with $2.87B in fiscal 2024, revenue recorded a 6.4% year-over-year increase. The company reported diluted EPS of $1.60, adding a shareholder-level measure to the absolute income figures considered below. Against diluted EPS of $1.62 in fiscal 2024, the current result was 1.2% lower. Revenue equaled 1.05x of total assets, indicating how much reported top-line activity the company produced relative to its period-end asset base.

Profitability

After reported cost of revenue, the company retained $1.51B as gross profit before recognizing operating expenses and other items. Gross profit represented 49.5% of revenue, showing how much of the top line remained after direct costs. Operating income was $522.00M, the earnings remaining from reported operations after the company’s recognized operating cost structure. Operating margin measured 17.1%, showing the portion of revenue preserved after the full set of operating costs. After all reported below-operating-line items, the company recorded net income of $325.00M for the fiscal year. The final earnings result represented 10.6% of revenue, connecting the absolute net income figure with the company’s top-line scale. Pretax income was $470.00M, isolating the reported earnings outcome before the income-tax provision recognized for the fiscal year. Pretax income represented 15.4% of revenue, placing earnings before tax in the context of the company’s operating scale. Income tax expense totaled $125.00M, providing the reported tax component that separates pretax and after-tax earnings. The effective relationship between income tax and positive pretax income was 26.6%, without assuming a statutory-rate comparison.

Liquidity and Capital Structure

Total assets were $2.92B, supported by $1.63B of liabilities and $1.29B of shareholder equity. At period end, current assets of $1.00B compared with current liabilities of $760.00M, defining the company’s short-term resource position. Current assets covered current liabilities by 1.32x, leaving a positive buffer for near-term obligations. Reported cash and equivalents were $295.00M, separating immediately recognizable cash resources from the rest of the current-asset base. Cash and equivalents represented 38.8% of current liabilities, showing the portion of near-term obligations matched by reported cash alone. The company carried $491.00M of total debt at period end, which frames its leverage and debt-service burden. The debt-to-equity relationship was 0.38x, showing how much debt the company carried for each unit of book equity. Relative to total assets, debt measured 16.8%, showing how much of the asset base was matched by borrowing. The liabilities-to-assets relationship was 55.7%, placing reported obligations against the full positive asset balance. The cash-to-assets relationship was 10.1%, comparing reported cash and equivalents with the full positive asset balance.

Cash Flow and Earnings Quality

Cash flow from operations was $600.00M, a reported cash inflow that can be compared directly with net income and capital spending. The operating-cash-flow-to-net-income relationship was 1.85x, comparing cash generated by operations with the bottom-line earnings result. The cash-flow statement records $197.00M of capital expenditures, the investment amount considered after operating cash generation. Capital spending absorbed 32.8% of operating cash flow, quantifying the share of cash from operations directed to investment. The combination of operating cash flow and capital spending produced $403.00M of positive free cash flow for the period. Free cash flow represented 13.2% of revenue, linking post-investment cash generation with the company’s operating scale. Measured against total assets, free cash flow represented 13.8%, showing the cash productivity of the company’s assets.

Based on the annual report for the fiscal year ending Dec 31, 2025. Analysis generated Oct 21, 2026.