UL Solutions Inc.

Good day and welcome to the UL Solutions 4th Quarter 2025 Warnings Conference Call. All participants will be in the listen-only mode. Should you need assistance, please signal a conference specialist by pressing the star key followed by zero. After today's presentation, there will be an opportunity to ask questions. To ask a question, you may press star then one on your telephone keypad. To withdraw your question, please press star and then two. Please note, this event is being recorded. I would now like to turn the conference over to Yijing Brentano. Please go ahead.

YIJING BRENTANO Thank you. Welcome everyone to our fourth quarter and full year 2025 earnings call. Joining me today are Jenny Scanlon, our Chief Executive Officer, and Ryan Robinson, our Chief Financial Officer. During our discussion today, we will be referring to our earnings presentation, which is available on the investor relations section of our website at ul.com. Our earnings release is also available on the website. I would like to remind everyone that on today's call, we may discuss forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements may include, among other things, statements about UL Solutions results of operations and estimates and prospects that involve substantial risks, uncertainties, and other factors that could cause actual results to differ in a material way from those expressed or implied in the forward-looking statements. Please see the disclosure statement on slide two of the earnings presentation, as well as the disclaimers in our earnings release concerning forward-looking statements and the risk factors that are described in our filings with the SEC, including our annual report on Form 10-K for the year ended December 31, 2025. We assume no obligation to update any forward-looking statements to reflect events or circumstances after the date hereof, except as required by law. Today's presentation also includes references to non-GAAP financial measures. A reconciliation to the most comparable GAAP financial measures can be found in the appendix to the earnings presentation. With that, I would now like to turn the call over to Jenny.

Thank you, and good morning, everyone, and thanks for joining us. I'm delighted to report that UL Solutions concluded a record year with outstanding performance that exceeded our guidance. What makes our results particularly impressive is that we achieve them while navigating trade policy shifts and geopolitical uncertainties throughout 2025. Our resilience is evident. We've once again delivered robust organic growth, enhanced profitability, and strong cash flow generation while maintaining our investment-grade balance sheet. Our performance is a testament to the durability of our business model, the essential nature of our services, and the strength of our team. I'm particularly pleased that our global product tick strategy continues to deliver balanced performance across segments, service offerings, and regions. Our strategic alignment with major industry megatrends is resonating with customers. This demonstrates the critical role we play in their success, helping them innovate with confidence while accelerating their path to global market entry. The sustained demand for our services underscores the fundamental value proposition we deliver to our customers worldwide. On the call today, I will cover three areas. First, highlights of our strong full year performance. Second, some notable achievements and activities throughout 2025. And third, our financial position and capital allocation strategy for 2026. With respect to our full year performance, Our delivery of superior results reflects our team's consistent ability to execute. I want to express my deep appreciation to our employees, whose dedication to our mission of working for a safer world, scientific excellence, and customer centricity defines our culture and is fundamental to our long-term success. Brian will dive into the fourth quarter numbers, but first, let me hit the high notes of our full year 2025 results. We continued to fuel the momentum that began when we became a public company almost two years ago, delivering revenues of nearly 3.1 billion, up 6.4% versus 2024, and up 6.2% on an organic basis. Our industrial segment led the way with 6.9% full-year growth, including 7.1% on an organic basis. While our consumer segment grew 6.5%, including 6.1% on an organic basis. Our software and advisory segment completed the year with 4% top-line growth, including 3.7% on an organic basis. Our full-year results once again reflected growth across all major geographic regions. Adjusted EBITDA for the full year grew 20.7%, and adjusted EBITDA margin expanded by 300 basis points to 25.9%. We significantly exceeded our original long-term goal of 24% in our second year as a public company, and we expect this progression to continue. Next, let me highlight significant investments in our global testing infrastructure that we completed or announced in 2025. We opened new advanced facilities in Aachen, Germany for battery testing, Carugate, Italy for HVAC and heat pump testing, ISE Japan for electric motor efficiency testing, and we expanded laboratories in Dongguan and Ningbo, China for IoT, wireless, and retail product testing. Additionally, we broke ground on our Global Fire Science Center of Excellence in Northbrook, Illinois, one of our largest laboratory investments to date. We also broke ground on two advanced automotive EMC testing facilities, one in Toyota City, Japan, expected to open during the second half of 2026, and another one in New Eisenberg, Germany, projected to be operational by mid-2027. In addition to our organic investments, we invest in the evolution of safety standards. That role enables us to proactively build the certification services necessary to advance emerging technologies. For example, in Q4, we announced the launch of new certification services for battery-powered vehicles and industrial equipment, supporting the UL 2850 and UL 2701 standards for battery management, thermal runaway risks, and functional safety. This work helps manufacturers navigate the complexities of the global energy transition. We are excited to extend our EcoLogo certification program to industrial products. helping manufacturers demonstrate sustainability commitments and meet growing market and regulatory demands. We issued Schneider Electric the first EcoLogo certification for an industrial product, certifying their power-packed circuit breakers portfolio. Our new EcoLogo certification for energy and industrial automation equipment sets a new benchmark for sustainable product design, advancing transparency, and sustainability. On the software side, we expanded our Ultra software platform with new AI-powered releases that support compliance and sustainability goals. These releases help customers manage regulatory requirements and operationalize sustainable practices while complementing our testing, inspection, and certification services. Our ongoing strategic investments significantly expand our capabilities across critical growth sectors, including data centers, energy storage, connected devices, fire safety, and digital services. Our new offerings address demand in markets projected to experience substantial growth for years to come. Finally, let me comment on our disciplined approach to capital allocation activities during the year. Our strong revenue growth and rigorous expense management allowed us to generate robust cash flow. Key actions in 2025 included investing $197 million in capital expenditures to drive growth, paying down $253 million in borrowing, and paying $104 million in dividends. We are excited to enter 2026 building on this momentum. First, we are introducing our 2026 growth outlook, reflecting continued strength in our underlying business model. Second, we are increasing our regular quarterly dividend by 11.5%. And third, we have made some enhancements to the composition of our segments. At the beginning of this year, to better position the company for growth and enhance customer value and innovation, we realigned our software and advisory segment as a means to focus and grow our software business. This change creates a focused software segment, which we have renamed Risk and Compliance Software. The segment will be positioned to deliver great value with Ultris, our digital platform that helps customers simplify product compliance, gain supply chain visibility, and access data to enable smarter decision making. As part of that focus on high quality growth and strengthening our value proposition, Today, we are announcing the divestiture of our employee health and safety software business. This divestiture is expected to close in the second quarter. We consider these EHS software offerings to be non-core, and we believe this divestiture will allow us to concentrate resources on the core software offerings most relevant to our TIC customer audience and redeploy capital toward attractive opportunities. Over 55% of our global and strategic accounts customers currently purchase at least one of our Altruist risk and compliance software offerings. Those offerings will remain a core part of our value proposition. To further focus our risk and compliance software segment, effective in Q1 this year, we moved advisory services, which accounted for approximately 5% of our consolidated 2025 revenue, into the industrial segment from the software and advisory segment. We believe this move is a better strategic and operational fit with our core testing, inspection, and certification work. We expect this change will strengthen customer value by more tightly pairing technical advisory with standards-driven TIC services and will better align advisory with the industrial demand drivers where we see attractive growth opportunities. such as broadening services into the wider energy ecosystem, expanding our focus on the built environment, and better tailoring our offerings to the medical device industry. We believe we are well positioned in 2026 for continued high-quality growth and remain focused on maintaining our investment-grade balance sheet to help execute our strategic priorities. Now, let me turn the call over to Ryan for a detailed review of our fourth quarter results and our initial 2026 outlook.