UL Solutions Inc. reported strong financial results for the fourth quarter and full year ended December 31, 2024. For the full year 2024, total revenue reached $2.87 billion, an increase of 7.2% from fiscal year 2023.
In the fourth quarter of 2024, revenue was $735 million, up 6.7% from Q4 2023, with organic growth of 7.8%. Net income increased 10.0% to $89 million, resulting in a net income margin of 12.1%, up 40 basis points. Adjusted EBITDA rose 10.6% to $177 million, expanding the Adjusted EBITDA margin to 24.1%, up 90 basis points.
Segment performance was strong, with Industrial revenue growing 7.4% (9.0% organic) to $319 million and an Adjusted EBITDA margin of 33.9%. Consumer segment revenue increased 6.6% (7.7% organic) to $323 million, with an Adjusted EBITDA margin of 18.9%. The Software and Advisory segment saw revenue growth of 3.3% (3.3% organic) to $93 million, with an Adjusted EBITDA of $15 million.
Cash flow generation remained robust for the full year 2024, with net cash provided by operating activities at $548 million and Free Cash Flow at $328 million. Total debt as of December 31, 2024, was $747 million.
For the full year 2025, UL Solutions projects consolidated organic revenue growth in the mid-single digits. Management expects to achieve further Adjusted EBITDA margin expansion, targeting approximately 24%. Capital expenditures are projected to be approximately 7% to 8% of revenue, with an effective tax rate expected to increase to approximately 26%.
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