Loading...
•
Jun 30, 2022
SS&C Q2 2022 Earnings Report
SS&C's financial performance declined compared to the previous year, but revenue increased.
Key Takeaways
SS&C Technologies reported Q2 2022 results with a revenue increase of 5.5% to $1,328.7 million. However, GAAP EPS decreased by 40.8% to $0.42, and adjusted EPS decreased by 11.3% to $1.10. The company paid down $234.7 million in debt and completed acquisitions of MineralWare and O'Shares.
Total company revenue growth was 7.7% on a constant currency basis.
Organic growth was 2.2%, driven by Alternatives, Intralinks, and Advent business units.
Financial services organic growth, excluding healthcare, was 4.4%, representing 94% of revenues.
Net cash from operating activities was $264.0 million.
SS&C
SS&C
SS&C Revenue by Segment
Revenue by Segment
Software-enabled services Revenue
CapyFin.comLicense, maintenance and related Revenue
CapyFin.com Forward Guidance
SS&C provided guidance for Q3 2022 and FY 2022, including adjusted revenue, adjusted net income, adjusted diluted EPS, cash from operating activities, capital expenditures, diluted shares, and effective income tax rate.
Positive Outlook
- Q3 2022 Adjusted Revenue ($M): $1,324.0 – $1,364.0
- Q3 2022 Adjusted Diluted Earnings per Share attributable to SS&C: $1.15 – $1.21
- FY 2022 Adjusted Revenue ($M): $5,320.0 – $5,406.0
- FY 2022 Adjusted Net Income attributable to SS&C ($M): $1,256.0 – $1,297.0
- FY 2022 Adjusted Diluted Earnings per Share attributable to SS&C: $4.76 – $4.90
Challenges Ahead
- SS&C does not provide reconciliations of guidance for Adjusted Revenues and Adjusted Net Income to comparable GAAP measures
- SS&C is unable to forecast certain items required to develop meaningful comparable GAAP financial measures without unreasonable efforts.
- These items include acquisition transactions and integration, foreign exchange rate changes, as well as other non-cash and other adjustments as defined under the Company’s Credit agreement
- The unavailable information could have a significant impact on Q3 2022 and FY 2022 GAAP financial results.
- Capital Expenditures (% of revenue) 3.2% – 3.6%
Revenue & Expenses
Visualization of income flow from segment revenue to net income