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    SSNC
    Earnings call· Jun 2026(Q2 FY26)

    SS&C Technologies Holdings Inc SSNC

    Jul 23, 2026 Source

    Executive summary

    SS&C Q2 FY26 — Record Quarter Driven by Organic Growth and Strategic Acquisitions

    SS&C delivered a record-setting second quarter, outperforming expectations with robust organic growth driven by large license renewals and strong market tailwinds. The company's diversified business model and strategic investments in AI and digital asset technologies, such as Calastone, are enhancing its competitive advantage and driving margin expansion. Management remains focused on capital allocation priorities, with share repurchases leading the way, while also exploring debt refinancing opportunities.

    Highlights

    5

    • Adjusted revenue reached a record $1,696.9 million, up 10.3% year-over-year.

    • Adjusted diluted EPS hit a record $1.76, an 18% increase year-over-year.

    • Adjusted consolidated EBITDA was a record $670.7 million, up 12% year-over-year, with a 39.5% margin.

    • Adjusted organic revenue growth was strong at 7.6% on a constant currency basis.

    • Returned $499 million to shareholders, including $435.2 million in share repurchases, the highest quarterly buyback in company history.

    Concerns

    2

    • Uncertain economic backdrop

    • Medicare GLP-1 Bridge Program continuation

    Guidance & targets

    18
    CategoryTargetConfidence
    Curo and Calastone growth
    mid-teens
    medium materiality
    High
    Effective tax rate (adjusted basis)
    approximately 22.5%
    low materiality
    High
    Capital expenditures as % of revenues
    4.4% to 4.8%
    medium materiality
    High
    Q3 FY26 Revenue
    $1.657 billion to $1.697 billion
    high materiality
    High
    Q3 FY26 Organic Revenue Growth
    5% at the midpoint
    high materiality
    High
    Q3 FY26 Adjusted Net Income
    $413 million to $429 million
    high materiality
    High
    Q3 FY26 Interest Expense (ex-amortization)
    $103 million to $105 million
    medium materiality
    High
    Q3 FY26 Adjusted Diluted EPS
    $1.73 to $1.79
    high materiality
    High
    FY26 Revenue
    $6.672 billion to $6.832 billion
    high materiality
    High
    FY26 Organic Revenue Growth
    5.5% at the midpoint
    high materiality
    High
    FY26 EBITDA Growth
    9.3%
    high materiality
    High
    FY26 EBITDA Margin Expansion
    50 basis points
    high materiality
    High
    Q4 FY26 EBITDA Margin
    40%
    high materiality
    High
    FY26 Cash from Operating Activities
    $1.717 billion to $1.817 billion
    high materiality
    High
    FY26 Adjusted Net Income
    $1.67 billion to $1.77 billion
    high materiality
    High
    FY26 Adjusted Diluted EPS
    $6.93 to $7.25
    high materiality
    High
    FY26 Adjusted Diluted EPS Growth
    approximately 15.5% at the midpoint
    high materiality
    High
    Operating cash per share
    $7.29
    medium materiality
    High

    Operational metrics

    21
    Adjusted Revenue
    $1,696.9 millionup 10.3% YoY
    Q2 FY26

    Record quarterly adjusted revenue.

    Adjusted Diluted EPS
    $1.76up 18% YoY
    Q2 FY26

    Record quarterly adjusted diluted earnings per share.

    Adjusted Consolidated EBITDA
    $670.7 millionup 12% YoY
    Q2 FY26

    Record quarterly adjusted consolidated EBITDA.

    Adjusted Organic Revenue Growth
    7.6%
    Q2 FY26

    Performance driven by largest businesses, new business wins, multiyear renewals, and market/transaction tailwinds.

    Cash from Operating Activities
    $716 millionup 11% YoY
    6 months ended June 30, 2026

    Cash flow from operating activities for the first half of the fiscal year.

    Shares Repurchased
    $435.2 million
    Q2 FY26

    Highest quarterly buyback in company history.

    Capital Returned to Shareholders
    $499 million
    Q2 FY26

    Total capital returned to shareholders in the quarter.

    Diluted Shares Outstanding
    242 milliondown 4% YoY from 252.2 million
    Q2 FY26

    Primarily a result of the share repurchase program.

    Calastone Clients Added
    431
    Q2 FY26

    Clients added to the Calastone network.

    Medicare GLP-1 Bridge Program Claims Processed
    nearly 3 million
    since July 1

    Claims processed using SS&C's DomaniRx platform for Humana since the program launch.

    Net Interest Expense
    $107 millionup $1 million YoY
    Q2 FY26

    Net interest expense for the second quarter.

    Adjusted Net Income
    $426 millionup 13.3% YoY
    Q2 FY26

    Record adjusted net income.

    Effective Non-GAAP Tax Rate
    22.5%
    Q2 FY26

    Effective tax rate on an adjusted basis for the quarter.

    Cash and Cash Equivalents
    $435 million
    end Q2 FY26

    Cash balance at the end of the second quarter.

    Gross Debt
    $7.6 billion
    end Q2 FY26

    Total gross debt at the end of the second quarter.

    Net Debt
    $7.2 billion
    end Q2 FY26

    Net debt at the end of the second quarter.

    LTM Consolidated EBITDA
    $2.6 billion
    LTM Q2 FY26

    Last 12 months consolidated EBITDA.

    Net Leverage Ratio
    2.75x
    end Q2 FY26

    Net leverage ratio at the end of the second quarter.

    Hedge Fund Redemption Index
    1.35%lowest since 2009
    most recent month

    Indicative of the strength of the hedge fund business.

    Assets Under Administration (Fund Administration)
    $581 billionup
    last 2 years

    Increase in assets under administration in the fund administration business over the last two years.

    GIDS Underlying Growth (ex-Insignia)
    in excess of 5%
    Q2 FY26

    Underlying growth rate for the GIDS business, excluding the impact of the Insignia lift-out.

    Industry KPIs

    1
    MetricValueDetails
    Retention ratein the range of our most recent results

    Product announcements

    3
    ProductTypeDetails
    Digital Investment Markets Solutionsexpansion
    WorkHQ platformlaunch
    Medicare GLP-1 Bridge Programlaunch

    Deals & partnerships

    5
    CuroAcquisition providing additional exposure in EMEA.

    Acquisition completed at the end of 2025.

    CalastoneAcquisition providing capabilities in digital investment markets.

    Acquisition completed at the end of 2025.

    HumanaSupport for the Medicare GLP-1 Bridge Program using DomaniRx platform.6-month program

    SS&C's DomaniRx platform is supporting Humana for the Medicare GLP-1 Bridge Program, which launched on July 1.

    Global leader in risk, reinsurance and capitalAdoption of WorkHQ platform for Agentic automation.

    This client chose SS&C's WorkHQ platform to scale Agentic automation across its business, representing a trend of established enterprises moving to SS&C for AI solutions.

    NASDAQHosting a remote opening bell ringing during the Deliver Conference.

    SS&C will partner with NASDAQ to host a remote opening bell ringing during their upcoming Deliver Conference in Orlando, Florida.

    Risks & headwinds

    2
    Uncertain economic backdropcurrent

    Not quantified, but mentioned as a general operating environment.

    Mitigation: Resilience of diversified business model, value clients place on technology, expertise, and innovation.

    Medicare GLP-1 Bridge Program continuationafter 6 months

    The program is a 6-month trial.

    Mitigation: Optimism based on program popularity and collaboration with Humana and CMS; SS&C's ability to deliver great service.

    What to watch in Q3 FY26

    4

    Q3 Organic Revenue Growth

    Q3 FY26
    Current7.6% (Q2 FY26)
    Target5% at midpoint (Q3 FY26 guidance)

    Why it matters

    To assess if the strong organic growth momentum from Q2 continues or if the guidance step-down materializes, impacting full-year revenue trajectory.

    For the third quarter of '26, we expect revenue to be in the range of $1.657 billion to $1.697 billion and 5% organic revenue growth at the midpoint.

    Q&A highlights

    7

    Asked for more color on the strong organic growth, specifically regarding the impact of large license renewals and how they flow into revenue.

    Management confirmed that large multi-year license renewals, particularly one in June, significantly contributed to the higher organic growth. These renewals are tied to contract expiration, and as the company grows, more such large renewals occur, which can create some lumpiness in revenue recognition.

    “But we did have a couple of big renewals in Q2, and that's why organic revenue was up a couple of hundred extra basis points.”

    asked by Daniel Perlin · answered by Bill Stone

    2 min read6 chapters

    Detailed Narrative

    01

    Q2 Financial Performance Overview

    SS&C reported record second-quarter results, with GAAP revenues of $1.696 billion, net income of $235 million, and diluted earnings per share of $0.97. Adjusted non-GAAP results also set records, including revenues of $1.697 billion, an increase of 10.3%, and adjusted diluted EPS of $1.76, an 18.1% increase. The adjusted revenue increase of $159 million was primarily driven by $118 million from organic growth, $36 million from acquisitions, and a $5 million favorable impact from foreign exchange.

    02

    Organic Growth Drivers

    Adjusted organic revenue growth was 7.6% on a constant currency basis, exceeding expectations by a couple of hundred basis points. This strong performance was attributed to large multi-year technology license renewals, new business wins, and positive market and transaction tailwinds. The company noted that the timing of📎 these large renewals can introduce lumpiness but also reflects the increasing size and confidence of clients in SS&C's platforms.

    03

    Strategic Acquisitions and Innovation

    Acquisitions completed in late 2025, Curo and Calastone, are performing ahead of expectations, with Calastone adding 431 clients and contributing to mid-teens growth for 2026. SS&C is leveraging Calastone's technology to support digital investment markets, including the issuance and distribution of tokenized funds and enabling digital transactions with regulated digital cash, aiming to reduce settlement risk and improve efficiency.

    04

    Healthcare Technology Impact

    SS&C's DomaniRx platform played a critical role in the launch of the Medicare GLP-1 Bridge Program on July 1, processing nearly 3 million claims for Humana. This demonstrates the platform's scalability, reliability, and flexibility, underscoring SS&C's expanding presence and capabilities in the healthcare sector.

    05

    AI Adoption and Operational Efficiency

    SS&C is deploying AI across its products and operations, contributing to growth and margin expansion. The company emphasizes a 'governance first' approach, validating AI internally before client deployment. WorkHQ platform is being adopted by established enterprises for Agentic automation, indicating a trend of clients seeking SS&C's expertise to scale their AI initiatives rather than building from scratch.

    06

    Intralinks Performance and Market Trends

    The Intralinks virtual data room business saw strengthening demand, attributed to an uptick in M&A activity and successful new client acquisitions. The alternatives LP communication component of Intralinks has also shown steady growth. The company tracks opportunities, bookings, and revenue conversion, all showing positive trends.

    AI-generated summary of the company’s earnings call. Not investment advice.