UL Solutions Inc. (NYSE: ULS)

UL Solutions Inc. is a global leader in safety science, providing Testing, Inspection, and Certification (TIC) services, along with related software and advisory offerings. The company operates in the safety science industry, with a mission to create a safer world through its comprehensive solutions. UL Solutions traces its roots back to 1894, originating from the nonprofit Underwriters Electrical Bureau, a predecessor to Underwriters Laboratories Inc. The company's history and expertise have enabled it to achieve over 650 technical accreditations and maintain active participation in over 1,200 standards panels and technical committees globally.

UL Solutions generates revenue through four primary service categories: Certification Testing, Ongoing Certification Services, Non-certification Testing and Other Services, and Software. Certification Testing accounts for approximately 28% of revenue and involves evaluating products, components, and systems against global or regional regulatory requirements. Ongoing Certification Services, contributing around 33% of revenue, ensure continued compliance with certification program requirements. Non-certification Testing and Other Services make up about 30% of revenue and address performance and other requirements not necessarily tied to certification. Software, comprising approximately 9% of revenue, includes Software as a Service (SaaS) and license-based software solutions that help customers manage regulatory requirements, supply chain transparency, and sustainability. The company serves over 80,000 customers across more than 110 countries, catering to a diverse range of industries and end markets.

• Industrial: This segment provides TIC services to ensure industrial products meet international standards for safety, performance, and sustainability. It serves end markets such as energy, industrial automation, engineered materials, and the built environment. The segment caters to manufacturers, building and asset owners, end users, and regulators, offering services for high cost of failure components.

• Consumer: The Consumer segment offers global product market acceptance and risk mitigation services for consumer products, including electronics, medical devices, information technologies, appliances, HVAC, lighting, and retail. Services include safety certification testing, ongoing certification, global market access, and critical systems advisory and training.

• Software and Advisory (S&A): This segment provides software and advisory solutions that complement TIC services. Offerings include data-driven product stewardship, chemicals management, supply chain insights, ESG data and reporting, EHS training, management, and compliance. The segment aims to manage complex regulatory requirements, deliver supply chain transparency, and operationalize sustainability.

UL Solutions holds a strong position in the global TIC industry, being the largest provider headquartered in North America by revenue. The company's competitive advantages include its deep technical expertise, consistency and quality of service, global reach, and a large installed base of laboratories and equipment. The integrity of its work has earned recognition from governments and international bodies, enhancing its reputation. Additionally, the company's UL Mark, a globally recognized certification mark, appears on billions of products, reinforcing its brand value and trust among customers. The company's strategy focuses on growing its core businesses, expanding into new industry verticals, and leveraging acquisitions to drive growth.

UL Solutions serves a broad customer base, including manufacturers, building and asset owners, end users, regulators, and large retailers. The company's services are essential for ensuring product safety, compliance, and performance across various industries. Its customer-centric approach and commitment to safety science thought leadership drive its competitive differentiation and customer loyalty. The company's extensive network of laboratories and technical expertise enables it to cater to the evolving needs of its diverse customer base, supporting their efforts to manage risks and enhance business performance throughout the product lifecycle.