ULS · UL Solutions Inc.

UL Solutions Inc. delivered robust Q1 2026 performance, with revenue up 7.5% to $758 million, driven by 5.7% organic growth primarily from the Industrial segment's momentum in certification services and testing demand. Margin expansion was notable, with net income margin improving 270 basis points to 12.8% and Adjusted EBITDA margin surging 320 basis points to 26.0%, fueled by higher revenue, operating leverage, and disciplined expense management including headcount control. CEO Jennifer Scanlon highlighted the extension of strong performance track record and strategic alignment with global megatrends, while CFO Ryan Robinson emphasized organic growth exceeding expectations and ongoing portfolio optimization. Cash generation strengthened significantly, with operating cash flow rising to $219 million from $154 million year-over-year, supporting $150 million free cash flow after $69 million capex, and a $29 million dividend payout. Portfolio actions underscore strategic focus: closed sale of Employee Health and Safety software for $202 million cash on April 1, announced Eurofins E&E acquisition for €575 million to bolster Consumer segment capabilities (funded by cash, credit, and divestiture proceeds), and agreed to sell 28% DQS stake for €105 million. Effective Q1 2026, segment reorganization moved Advisory to Industrial, renaming Software and Advisory to Risk & Compliance Software, with no consolidated impact but aligned to CEO evaluation metrics; Exhibit 99.2 recasts 2025 figures showing Industrial revenue $1,480 million. Full-year outlook strengthened to mid-single digit constant currency organic growth (net of ~1% Restructuring Plan drag), 27.0% Adjusted EBITDA margin, 26% tax rate, and 7-8% revenue capex, reflecting confidence amid geopolitical uncertainties.