SS&C Technologies (SSNC) 47th Annual Raymond James Institutional Investor Conference summary

Business Overview and Strategic Direction

• Operates in 40 countries with 23,000 clients and 200 products and services, focusing on complex, hard-to-replicate solutions for financial and healthcare sectors, emphasizing security, automation, and regulatory compliance.

• Over 40 years of industry experience, with a broad product suite covering transaction processing, asset management, analytics, and consulting.

• Growth achieved by adding $1 billion in revenue over three years without increasing headcount, leveraging AI for productivity.

• Six business units generate $1.5–$1.6 billion each, with additional focus on automation, analytics, and specialized platforms like Intralinks and DomaniRx.

• Acquisitions, including DST Systems, GlobeOp, Calastone, and Curo Fund Services, are driven by client needs and expand global reach and capabilities.

Financial Performance and Capital Allocation

• Adjusted Q4 2025 revenue was $1.654 billion, up 8%, with operating cash flow of $1.744 billion and high-margin business model (39–40%).

• Full-year operating cash flow was $1.74 billion, a 25.7% increase from 2024.

• Over $1 billion in share repurchases in 2025, with similar or higher levels planned for 2026; $205 million in debt paid down in Q4 2025.

• Net leverage ratio at 2.80x, with a focus on maintaining strong cash flow and disciplined capital allocation, including dividends and opportunistic acquisitions.

• Guidance for 2026 includes 4–8% organic revenue growth, with adjusted revenues guided to $6.65–$6.81 billion and EPS expected between $6.70–$7.02.

Technology and Innovation

• AI and automation are central to operations, enabling margin maintenance, significant cost reductions, and efficiency gains such as 85% reduction in code review cycle time and 97% reduction in ticket cycle time.

• Over 3,500–4,000 digital workers and 50+ AI agents deployed, resulting in $200 million cost savings.

• AI-driven solutions have been monetized in healthcare (radiology for NHS UK), banking (check proofing, AML/KYC), and internal operations.

• Ongoing R&D investment of $500 million in cash and ~$3.2 billion since 2021, with 12% of revenue allocated to technology development in 2025.

• Private, on-premises AI infrastructure ensures data security and compliance, with strong internal testing and gradual client rollout.