Summary
SS&C Technologies opened fiscal 2026 with GAAP revenue of $1,647.1 million, an 8.8 percent increase from the prior-year quarter. Adjusted revenue reached $1,648.2 million, also up 8.8 percent, while adjusted organic revenue growth was 5.0 percent. GAAP operating income rose 11.3 percent to $398.2 million, and operating margin expanded to 24.2 percent from 23.6 percent. Net income attributable to the company totaled $226.1 million, up 6.2 percent, and GAAP diluted earnings per share came in at $0.91, up 8.3 percent. On a non-GAAP basis, adjusted diluted earnings per share were $1.69, up 14.2 percent, and adjusted consolidated EBITDA was $651.0 million, up 10.0 percent, with a 39.5 percent margin. Adjusted operating income was $633.6 million, up 10.1 percent, and adjusted net income was $417.7 million. CEO Bill Stone pointed to the company's deeply embedded infrastructure and long-standing client relationships as drivers of the quarter.
The revenue increase was primarily due to an increase of $75.9 million in organic revenue growth driven by strength in the SS&C GlobeOp fund administration and Global Investor and Distribution Solutions businesses, along with acquisitions of $34.9 million and favorable foreign currency translation of $22.4 million. Gross margin slipped to 48.7 percent from 49.3 percent. The revenue mix continued to shift toward technology-enabled services. Organic growth varied by business. GlobeOp grew 6.7 percent, Global Investor and Distribution Solutions 10.4 percent, and Healthcare 3.7 percent. Wealth and Investment Technologies declined 0.4 percent, Intralinks grew 3.2 percent, and Intelligent Automation Analytics added 0.5 percent. Operating cash flow was $299.7 million, up 10.1 percent, while capital expenditures fell 52.8 percent to $6.0 million. Deferred revenue increased 2.2 percent to $509.9 million, but remaining performance obligations declined 2.0 percent to $969.7 million.
Net leverage stood at 2.76 times consolidated EBITDA, with a secured net leverage ratio of 1.69 times. The company continues to invest in AI-driven innovation, with the launch of Blue Prism WorkHQ scheduled for April 28, 2026. Management highlighted the company's role as a system of record and its global scale as advantages in adopting AI. The company is marking 40 years of delivering mission-critical systems and processing. Management also noted that AI is reshaping enterprise technology. SS&C's technology-enabled services represent a growing share of the business, with SaaS offerings accounting for 11 percent of technology-enabled services revenue.
For the second quarter of 2026, SS&C guided adjusted revenue of $1,640 million to $1,680 million and adjusted diluted earnings per share of $1.64 to $1.70. Full-year 2026 guidance calls for adjusted revenue of $6,664 million to $6,824 million and adjusted diluted earnings per share of $6.74 to $7.06. The company expects an effective income tax rate of 21.5 percent to 23.5 percent for both periods. Capital expenditures are expected to be 4.4 percent to 4.8 percent of revenue. The company does not provide reconciliations of adjusted guidance to GAAP measures. Risks include macroeconomic uncertainty, changes in interest rates and inflation, volatility in capital markets, geopolitical tensions, foreign currency fluctuations, cyber-attacks, and the company's substantial indebtedness.
Forecast
Reported figures
GAAP, from SEC filings| Metric | Q1 FY2026 | Q4 FY2025 | QoQ | Q1 FY2025 | YoY |
|---|---|---|---|---|---|
| Revenue | $1.65B | $1.65B | -0.4% | $1.51B | +8.8% |
| Gross profit | $801.8M | $789.8M | +1.5% | $747.1M | +7.3% |
| Gross margin | 48.7% | 47.8% | +0.9 pp | 49.4% | -0.7 pp |
| Research & development | $134.6M | $131.7M | +2.2% | $129.1M | +4.3% |
| Sales & marketing | $151.7M | $175.6M | -13.6% | $152.3M | -0.4% |
| General & administrative | $117.3M | $113.9M | +3.0% | $107.8M | +8.8% |
| Total operating expenses | $403.6M | $421.2M | -4.2% | $389.2M | +3.7% |
| Operating income (loss) | $398.2M | $368.6M | +8.0% | $357.9M | +11.3% |
| Operating margin | 24.2% | 22.3% | +1.9 pp | 23.6% | +0.5 pp |
| Net income (loss) | $226.3M | $194.0M | +16.6% | $213.2M | +6.1% |
| Net margin | 13.7% | 11.7% | +2.0 pp | 14.1% | -0.3 pp |
| Diluted EPS | $0.91 | $0.77 | +$0.14 | $0.84 | +$0.07 |
Risks
Management states that ongoing macroeconomic conditions, including changes in interest rates and inflation, volatility in capital markets, global trade issues and geopolitical tensions, remain dynamic and could materially and negatively affect results. Fund administration and technology-enabled services revenue is tied to client assets under management and outsourced transaction volumes, which move with market levels.
Debt outstanding at March 31, 2026 included $3,861.9 million of Term B-8 Loans, $770.0 million of Term A-9 Loans, $80.0 million on the Revolving Credit Facility and $2,750.0 million of senior notes, with net interest expense of $105.4 million in FY2026 Q1. The Term A-9 Loans carry a springing maturity tied to the 5.5% Senior Notes maturing September 30, 2027, and the credit facility requires maintenance of a maximum consolidated net secured leverage ratio (6.25x required versus 1.69x actual at March 31, 2026).
Technology-enabled services grew to 85.4% of total revenue in FY2026 Q1 from 83.9% in FY2025 Q1, while license, maintenance and related revenue declined 1.7% (organic revenue down $10.3 million). Increasing dependence on a single revenue line magnifies exposure to retention and AUM swings in that business.
The effective tax rate rose to 25.3% in FY2026 Q1 from 18.4% in FY2025 Q1, driven by a decrease in windfall tax benefits from stock awards and a shift in the mix of foreign versus domestic income. Management notes a future change in the composition of pre-tax income across jurisdictions could further impact the periodic effective tax rate, and Pillar Two rules are being adopted in several non-U.S. jurisdictions where the company operates.
Remaining performance obligations declined 2.0% to $969.7 million at March 31, 2026 from $989.7 million a year earlier, even as revenue rose 8.8% in FY2026 Q1, indicating contracted forward bookings are not keeping pace with current revenue growth.
Gross margin declined 0.7 percentage points to 48.7% in FY2026 Q1 from 49.3% in FY2025 Q1, with cost of license, maintenance and related revenue rising to 43.7% of that revenue source from 40.8%. Management notes reimbursable out-of-pocket expenses billed at no margin can cause gross margin percentage fluctuations each period.
Foreign currency translation added $22.4 million to FY2026 Q1 revenue but also increased costs by $15.9 million, and the effect of exchange rate changes on cash was a $6.4 million use of cash versus a $3.9 million source in the prior-year quarter. Management cites foreign currency exchange rate fluctuations as a factor whose impact is uncertain and largely outside its control.
Recent acquisitions of FPS Trust Company, Calastone Limited and Curo Fund Services contributed $34.9 million of FY2026 Q1 revenue and $15.6 million of operating expenses, and acquisition accounting, intangible assets and goodwill are listed as critical accounting estimates. Integration execution and purchase accounting assumptions could affect reported results.
SaaS KPIs
All quarters →Adjusted Operating Income Margin
Adjusted Consolidated EBITDA Margin
Adjusted Organic Revenue Growth
Summary, forecast, risks and KPIs are extracted from SS&C Technologies Holdings Inc's SEC filings for Q1 FY2026 (10-Q / 10-K and the 8-K earnings release); GAAP figures in the summary are checked against the reported XBRL data. They can contain errors; the filings are authoritative. Processed Oct 6, 2026.