WINDSOR, Conn. - SS&C Technologies Holdings, Inc. (NASDAQ: NASDAQ:SSNC), a leading provider of investment, financial, and healthcare software and services, announced robust financial results for the first quarter ended March 31, 2024.
The company reported a record adjusted revenue of $1.44 billion for the quarter, marking a 5.3% increase from the $1.36 billion reported in the same period last year and surpassing the analyst consensus estimate of $1.42 billion.
Adjusted diluted earnings per share (EPS) for the first quarter came in at $1.28, which was $0.06 higher than the analyst expectations of $1.22. This represents a 12.3% increase from the adjusted diluted EPS of $1.14 reported in the first quarter of the previous year.
SS&C's GAAP results also reflected strong performance, with revenue up by 5.3% to $1.435 billion and GAAP diluted EPS increasing by 26.5% to $0.62. The company's operating income grew by 18.9%, and the GAAP operating income margin expanded by 260 basis points to 23.2%. The adjusted operating income margin saw an improvement as well, rising by 140 basis points to 37.6%.
Bill Stone, Chairman and Chief Executive Officer of SS&C, attributed the strong quarter to organic growth and strategic initiatives. "SS&C started off the year strong, with record adjusted revenues, and organic growth coming in at 4.7 percent," said Stone. "We were able to capitalize on stronger market conditions, and our growth was driven by Intralinks and Alternatives. We continue to deploy intelligent automation and generative AI throughout SS&C, and we are seeing real benefits in client service and productivity."
Looking ahead, SS&C provided guidance for fiscal year 2024, projecting adjusted revenue to be between $4.93 billion and $5.17 billion. This guidance range's midpoint is slightly below the analyst consensus of $5.08 billion.
SS&C's financial health remains solid, with the company paying down $79.9 million in debt during the quarter, leading to a net leverage ratio of 2.95 times consolidated EBITDA attributable to SS&C. Additionally, SS&C repurchased 0.8 million shares for $52.9 million at an average price of $63.24 per share.
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