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SS&C Technologies Posts Impressive Q4 and Annual Earnings Results for 2024

On February 6, 2025, SS&C Technologies Holdings, Inc. (NASDAQ: SSNC) released its financial performance for the fourth quarter and entire year of 2024. The company, a leading provider of investment, financial, and healthcare software solutions, reported substantial growth in both revenue and earnings.

Key Financial Highlights

For the fourth quarter, SS&C announced a GAAP revenue of $1.53 billion, reflecting an 8.4% increase from the previous year. Over the full year, total revenue reached $5.88 billion, a rise of 6.9%. The company achieved a diluted GAAP earnings per share (EPS) of $0.98 for Q4, marking a 27.3% increase, and an annual diluted EPS of $3.00, up 25.5% from 2023. Adjusted non-GAAP revenues mirrored this performance, totaling $1.53 billion for Q4 and $5.89 billion for the year, driven by strong organic growth and strategic acquisitions.

Operational Efficiency

Operating income also saw an upswing, with Q4 figures hitting $357.9 million, a 7.1% increase year-over-year. The operating income margin for Q4 logged at 23.4%, showcasing operational consistency.

SS&C's Chairman and CEO, Bill Stone, lauded the company’s performance, stating, "We concluded 2024 with 7.0% organic revenue growth and a record Adjusted EBITDA of $599 million, evidencing our strategic advancement and dedication to enhancing client offerings."

Cash Generation and Debt Management

The company generated $1.39 billion in net cash from operating activities for the year, a 14.3% increase compared to 2023. Additionally, SS&C actively managed its debt, repaying $195 million in the fourth quarter and initiating a share buyback program, repurchasing 4.9 million shares for approximately $365.7 million. As of the end of 2024, SS&C's net leverage ratio was calculated at 2.89 times consolidated EBITDA, maintaining a solid balance sheet amidst growth.

Looking Ahead

Turning towards future prospects, SS&C has set its guidance for the first quarter of 2025, estimating adjusted revenue between $1.47 billion and $1.51 billion, and adjusted net income ranging from $348 million to $364 million. They anticipate continued success fueled by further integration and operational leverage across their business.

The company's consistent performance underscores its ability to navigate a competitive landscape, driven by technological advancements and effective service offerings across diverse financial sectors. Stakeholders eagerly await SS&C's future moves, with ongoing confidence in its long-term growth trajectory and market positioning.

Conclusion

SS&C Technologies not only demonstrated robust financial results for 2024 but also positioned itself strategically for future growth. The impressive earnings report reflects the company's resilience and adaptability in a rapidly evolving industry, making it a key player to watch in 2025 and beyond.