Financial Data and Key Metrics Changes - The company reported record adjusted revenue of $1.569 billion, an increase of 7% year-over-year, and adjusted diluted earnings per share of $1.57, reflecting a 17.2% increase [4][10] - Adjusted consolidated EBITDA reached $619 million, up 9.3%, resulting in a quarterly adjusted consolidated EBITDA margin of 39.5% [4][11] - Cash from operating activities for the nine months ended September 30, 2025, was $1.101 billion, a 22% increase over the prior year [5][12] - The effective non-GAAP tax rate was 21.1%, with adjusted net income of $396 million, up 16.5% [11][12] Business Line Data and Key Metrics Changes - The GIDS business experienced a 9% revenue growth, driven by successful liftouts, including a significant one in Australia [4][10] - GlobeOp reported a 9.6% revenue growth, benefiting from strength within the hedge fund client base and international wins in private markets [4][8] - Financial services recurring revenue growth was 6.7% in Q3 [4] Market Data and Key Metrics Changes - The company noted strength across all alternative markets and capitalized on international opportunities [4] - The acquisition of Curo Fund Services, a South African fund administration business, was aimed at deepening relationships with significant clients and establishing a local presence in Africa [5][6] Company Strategy and Development Direction - The company is focused on enhancing user interfaces and client experiences as competitive differentiators, particularly in the GlobeOp business [8] - SS&C aims to accelerate the transition from traditional automation to AI-powered automation, leveraging its position as "customer zero" to build comprehensive solution sets [9] - The company continues to prioritize share repurchases and high-quality acquisitions as part of its capital allocation strategy [5][12] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the fourth quarter, expecting revenue in the range of $1.59 to $1.63 billion and 4.5% organic revenue growth at the midpoint [13][15] - The company anticipates continued strong performance in its core businesses, despite some competitive pressures [26][40] - Management highlighted the importance of intelligent automation and AI in improving operational efficiency and enhancing employee career paths [8][9] Other Important Information - The company raised its common stock dividend to $1.08, an 8% increase [5] - The acquisition of Calastone is expected to enhance capabilities in money markets, ETFs, and digital assets [6][31] - The company hosted its annual Deliver Conference, showcasing its latest offerings and advancements in AI [16] Q&A Session Summary Question: Contribution of Pathea to Q4 organic growth - Management expects Pathea to contribute approximately $25 million in Q4, up from $16 million in the previous year [19] Question: Details on the liftout contributing to organic growth - A significant liftout in Sydney, Australia, completed on July 1, contributed to organic growth, with additional large liftouts in the pipeline [21] Question: Insights on the Curo Fund Services deal - The African market is behind in fund administration, and the acquisition is expected to generate negligible revenue of around $15 million [22][23] Question: Update on agentic AI implementation - The company is infusing AI agents across its business, enhancing existing technologies with functional expertise [24] Question: Impact of lost business from State Street - Management anticipates a small impact from lost business but believes overall growth will continue [26] Question: Margin outlook with GIDS and GlobeOp growth - The company expects continued margin improvement, with GlobeOp contributing positively to overall margins [27] Question: Seasonality of Calastone's revenue - Management indicated that there is no significant seasonality in Calastone's revenue that would impact growth rates [32] Question: M&A pipeline and Intralinks growth - Early indicators show improvement in the M&A pipeline, although revenue growth for Intralinks may lag behind [38] Question: Confidence in healthcare business growth - The healthcare business has had positive growth, with significant clients and opportunities, though it remains lumpy [40]

Group 1 - The article discusses the importance of enabling Javascript and cookies in browsers to prevent access issues [1] - It highlights that users with ad-blockers may face restrictions when trying to access content [1]

Financial Performance Highlights - Adjusted revenues for Q3 2025 reached $1,569.0 million, a 7.0% increase compared to $1,466.8 million in Q3 2024[6] - Adjusted organic revenue growth was 5.2% for Q3 2025[5, 13] - Financial Services recurring revenue growth was 6.7% for Q3 2025[5, 16] - Adjusted diluted earnings per share attributable to SS&C was $1.57, up 17.2% from $1.34 in Q3 2024[5, 6] - Adjusted consolidated EBITDA attributable to SS&C reached a quarterly record of $619.0 million for Q3 2025, a 9.3% increase[5, 6] - Adjusted consolidated EBITDA margin for Q3 2025 was 39.5%[5, 6] Cash Flow and Capital Allocation - Net cash generated from operating activities was $1,101.3 million for the nine months ended September 30, 2025, up 22.1% compared to the same period in 2024[5, 6] - The company returned $305.9 million to shareholders in Q3 2025, including $240.1 million for repurchasing 2.8 million shares and $65.8 million in common stock dividends[5, 11] - Paid down $233.1 million of debt in Q3 2025[11] Acquisitions - SS&C completed the acquisition of Calastone on October 14, 2025, for approximately $1.03 billion[11] - SS&C announced the acquisition of Curo Fund Services, expected to close in Q4 2025[11]

Financial Performance - Q3 2025 GAAP revenue reached $1,568 million, a 7.0% increase from Q3 2024, with adjusted revenue also at $1,569 million, reflecting the same growth rate [1][2]. - Fully diluted GAAP earnings per share increased by 27.7% to $0.83, while adjusted diluted earnings per share rose 17.2% to $1.57 [1][2]. - Operating income for Q3 2025 was $365.7 million, up 12.5% year-over-year, with an operating income margin of 23.3% [2][5]. - Adjusted consolidated EBITDA for Q3 2025 was $619 million, a 9.3% increase, with an adjusted EBITDA margin of 39.5% [4][5]. - Net income attributable to SS&C common stockholders for Q3 2025 was $210.0 million, a 27.7% increase from $164.4 million in Q3 2024 [13]. - Basic earnings per share for Q3 2025 was $0.86, compared to $0.67 in Q3 2024, representing a 28.4% increase [13]. - Net income for Q3 2025 was $210.4 million, compared to $164.6 million in Q3 2024, reflecting a 27.8% increase [27]. - GAAP net income for Q3 2025 was $210.4 million, up from $164.6 million in Q3 2024, representing a 27.8% increase [31]. - Adjusted net income for the nine months ended September 30, 2025, reached $1,131.6 million, compared to $1,012.0 million for the same period in 2024, reflecting a 11.8% growth [31]. Revenue Breakdown - Total revenues for Q3 2025 reached $1,568.0 million, a 7.0% increase from $1,465.8 million in Q3 2024 [20]. - Software-enabled services revenue was $1,309.4 million, up 8.6% from $1,206.2 million year-over-year [13]. - Adjusted revenues for the nine months ended September 30, 2025, were $4,621.6 million, up 6.1% from $4,355.0 million in the same period of 2024 [21]. - Software-enabled services revenue for Q3 2025 was $1,309.4 million, representing a 8.6% increase compared to $1,206.2 million in Q3 2024 [21]. Cash Flow and Shareholder Returns - Net cash generated from operating activities for the nine months ended September 30, 2025, was $1,101.3 million, up 22.1% compared to the same period in 2024 [5][6]. - The company returned $305.9 million to shareholders in Q3 2025, including $240.1 million for share repurchases and $65.8 million in dividends [5]. - The annual common stock dividend was increased by 8.0% to $1.08 [5]. Guidance and Future Outlook - Guidance for Q4 2025 includes adjusted revenue expectations of $1,590 – $1,630 million and adjusted net income of $394 – $410 million [7]. Asset and Leverage Metrics - Total current assets as of September 30, 2025, were $5,321.1 million, up from $4,862.4 million at the end of 2024 [15]. - Total assets increased to $19,489.4 million as of September 30, 2025, compared to $19,044.7 million at the end of 2024 [15]. - SS&C's consolidated net leverage ratio was 2.59 times consolidated EBITDA as of September 30, 2025 [6]. Strategic Initiatives - The company is focusing on AI-powered automation to enhance its offerings, indicating a strategic shift towards specialized, purpose-built agents [4]. Other Financial Metrics - Gross profit for Q3 2025 was $747.8 million, compared to $704.2 million in Q3 2024, reflecting a gross margin improvement [13]. - Adjusted operating income for Q3 2025 was $602.9 million, a 9.7% increase from $549.7 million in Q3 2024 [23]. - Adjusted Consolidated EBITDA for Q3 2025 was $619.5 million, up 9.1% from $567.1 million in Q3 2024 [27]. - The company reported a comprehensive income of $143.6 million for Q3 2025, down from $323.4 million in Q3 2024, primarily due to foreign currency exchange adjustments [13]. Cost and Expense Management - The company reported a total amortization of intangible assets of $157.8 million for Q3 2025, compared to $152.4 million in Q3 2024, indicating a 4.4% increase [31]. - The effective tax rate for adjusted net income was revised to 21.1% for Q3 2025, down from 24.0% previously, due to increased deductions related to equity awards [31]. - The company incurred $60.0 million in stock-based compensation for Q3 2025, compared to $52.2 million in Q3 2024, which is a 15.5% increase [31]. - Acquisition-related costs amounted to $3.8 million in Q3 2025, up from $1.8 million in Q3 2024, reflecting a 111.1% increase [31]. - Facilities and workforce restructuring costs were $12.0 million in Q3 2025, compared to $13.9 million in Q3 2024, showing a decrease of 13.7% [31]. - The company reported foreign currency translation losses of $3.2 million in Q3 2025, compared to losses of $4.2 million in Q3 2024, indicating an improvement [31].

Core Insights - The article discusses the transformative impact of artificial intelligence (A.I.) on the financial services industry, particularly in securities operations, as observed by SS&C Technologies, a company with a long history in IT revolutions [2][3][4] Group 1: A.I. and Technological Evolution - A.I.-based technologies are expected to enhance the systems across front-, middle-, and back-offices of financial services firms [2] - SS&C Technologies has been proactive in adopting A.I. and related technologies, acquiring Blue Prism for $1.6 billion to bolster its capabilities in robotic process automation (RPA) and machine learning (ML) [5] - The company has created 3,500 "digital workers" and has made approximately 80 acquisitions to expand its service offerings [6] Group 2: Historical Context and Lessons - The CEO of SS&C, Bill Stone, emphasizes the importance of learning from past technological waves, such as the rise of minicomputers and workstations, to understand the current A.I. revolution [7][8] - Historical advancements in IT have consistently driven down costs related to securities transactions, proving their value to the market [10] Group 3: Integration and Operational Support - SS&C is leveraging A.I. to improve integration support for its various software offerings and services [12] - The company has experienced fluctuations in headcount based on economic conditions, indicating a cautious approach to layoffs in response to technological changes [13] Group 4: Recent Acquisitions and Future Directions - SS&C recently acquired Calastone for approximately £766 million (US $1.03 billion), enhancing its capabilities in digital asset custody and fund administration [14][15] - The integration of Calastone's solutions is expected to provide a unified operating platform that reduces costs and operational risks for clients in the fund industry [16]

Core Insights - The discussion emphasizes the need for a more holistic approach to retirement planning, allowing for adjustments in enrollments and asset allocations as life events occur [1][3] - There is recognition of advancements in the retirement industry over the past 40 years, including auto-enrollment and auto-increase features [2] - The integration of group insurance benefits with retirement planning is highlighted, particularly the importance of individual life insurance in the overall retirement strategy [3] Group Benefits and Retirement Planning - The conversation explores the connection between group benefits and retirement benefits, suggesting that streamlining the enrollment process can enhance overall retirement planning [4][5] - The need for employee engagement during their employment is crucial for understanding the benefits they are purchasing and how these can aid in retirement [3] Technology and User Experience - SS&C Technologies advocates for a unified dashboard that consolidates various benefits, including retirement accounts and medical coverage, to improve user experience [6][7] - The potential for integrating external 401(k) accounts and IRAs into a single view is discussed, addressing the reality that employees often change jobs multiple times throughout their careers [8][9] - The technology exists to link external accounts to provide a comprehensive view of an employee's financial situation, facilitating better decision-making [10] Industry Engagement and Partnerships - There is growing interest from retirement providers in leveraging new technologies to enhance consumer experience, although some providers are cautious about relinquishing control to third parties [12][13][14] - The deployment of these technologies is not expected to be a significant challenge, as existing systems can be adapted to integrate with new solutions [16][17]

Core Insights - The employee benefits enrollment process has become more streamlined over the years, but challenges remain, particularly in integrating retirement planning and evidence of insurability [5][6][18] - New technologies have significantly improved employee engagement in the benefits selection process, making it easier for employees to navigate their options [3][11][15] - The evidence of insurability (EOI) process has evolved, with online systems reducing processing times from months to days or even hours, and automatic adjudication rates reaching as high as 70% [10][15][16] Enrollment Process - The enrollment process for employee benefits now includes opportunities for automatic enrollment and contribution increases, which can enhance participation rates [6] - Integration of the EOI process with the enrollment process has led to submission completion rates exceeding 80%, indicating a positive shift in employee engagement [17] Technology and Improvement - The introduction of online EOI systems has resulted in over 2 million applications processed through the platform, showcasing the effectiveness of technological advancements [11] - The configuration of state-specific questionnaires for insurance applications has been streamlined, allowing for quicker implementation for new employer groups [14] Future Outlook - The ongoing implementation of new technologies in the benefits enrollment process is expected to further enhance efficiency and employee satisfaction [18][19]

Core Points - SS&C ALPS Advisors announced a rebranding and strategic changes to the ALPS | O'Shares Europe Quality Dividend ETF, effective October 1, 2025 [1] - The fund will be renamed to ALPS | O'Shares International Developed Quality Dividend ETF [1] - The new ticker symbol for the fund will be OEFA [1] - The underlying index for the fund will change to O'Shares International [1]

Core Insights - SS&C Technologies Holdings, Inc. (NASDAQ:SSNC) is identified as one of the most undervalued stocks on NASDAQ, with UBS reaffirming a Buy rating and a price target of $110, highlighting the opportunity for investors amid disruption in financial services due to increasing data needs and asset complexity [1][2] - The company demonstrated resilience with a 97% retention rate in Q2, which is an increase of 20 basis points from the previous year, indicating strong client loyalty and effective business diversification [1] - SS&C's acquisition of BluePrism for $1.6 billion is enhancing its AI strategy, particularly in automation, with the first AI agent solution reportedly reducing manual effort by up to 80% for a client in the insurance sector [2] Business Performance - SS&C Technologies has achieved "structurally higher organic revenue growth" that the market has not fully recognized, attributed to its diversified business lines and client connections [1] - The company offers software and services aimed at streamlining complex business processes in the financial services and healthcare sectors [2]

Core Insights - SS&C Technologies Holdings, Inc. is recognized as a tech stock with one of the lowest P/E ratios and has extended its service agreement with The Private Office, a leading independent financial planning firm in the UK [1] Group 1: Service Agreement and Platform Support - The management of SS&C supports TPO's digital-first wealth management platform, which includes customer service, dealing, custody, settlement, and regulatory support [2] - TPO utilizes SS&C's Hubwise platform to assist over 50 advisors serving 2,900 clients with assets totaling $2.8 billion, facilitating services such as pensions management, investing, tax planning, and cash management [2] Group 2: Development of New Platform - As part of the agreement, SS&C will develop TPO Invest, an adviser platform that features a user-friendly digital interface and access to various investment products [3] - SS&C provides software and services that automate complex business processes specifically for the financial services and healthcare industries [3]