SS&C Technologies Holdings, Inc.

Thank you for standing by. My name is Bailey and I will be your conference operator today. At this time, I would like to welcome everyone to the SS&C Technologies Q2 2023 earnings call. All lines have been placed on mute to prevent any background noise. After the speaker's remarks, there will be a question and answer session. If you would like to ask a question during this time, press star followed by the number one on your telephone keypad. If you would like to withdraw your question, again, press star and the number one. I would now like to hand the call over to Head of Investor Relations, Justine Stone. You may begin.

Welcome and thank you for joining us for our Q2 2023 earnings call. I'm Justine Stone, Investor Relations for SS&C. With me today is Bill Stone, Chairman and Chief Executive Officer SS&C. Rahul Kanwar, President and Chief Operating Officer, and Patrick Pedanti, our Chief Financial Officer. Before we get started, we need to review the Safe Harbor Statement. Please note that various remarks we make today about future expectations, plans, and prospects, including the financial outlook we provide, constitute forward-looking statements for the purposes of the Safe Harbor provisions under the Private Security Litigation Reform Act of 1995. Actual results may differ maturely from those indicated by these forward-looking statements as a result of various important factors, including those discussed in the risk factor section of our most recent annual report on Form 10-K, which is on file at the SEC and can be accessed on our website. These forward-looking statements represent our expectations only as of today, July 27, 2023, while the company may elect to update these forward-looking statements It specifically disclaims any obligation to do so. During today's call, we'll be referring to certain non-GAAP financial measures. A reconciliation of these non-GAAP financial measures to comparable GAAP financial measures is included in today's earnings release, which is located in the investor relations section of our website at www.ssvtech.com. I will now turn the call over to Bill.

Thanks, Justine, and thanks, everyone, for joining. Results for the second quarter are $1.363 billion in adjusted revenue, up 2.5%, and our adjusted delivery for care were $1.08. An increase in interest expense, which was $118 million in Q2-23, compared to $68 million in Q2-22, and general expenses have put some pressure on our bottom line. Adjusted consolidated EBITDA was $502.4 million, and our EBITDA margin was 36.8%. up 140 basis points from Q2 22. Our second quarter adjusted organic revenue was up 2.5%, driven by strength in our alternatives business, particularly private markets, which was up over 20%, interlinks, and the retirement businesses. SFC generated cash from operating activities of 584.2 million. for the six months into June 30, up 137 million or 30.5% over the same period last year. We paid down $125 million in debt in Q2, bringing our consolidated net leverage ratio to 3.27 times and our net secured leverage ratio to 2.28 times consolidated EBITDA. In Q2, we bought back 2 million shares for 111,900,000 at an average price of $56.17 per share, and we will continue to target 50% of our cash flow to stock buybacks and 50% to debt paydown. Our M&A strategy remains disciplined, and we have yet to see movement on any large assets. We do think that there will be opportunity to do some tuck-in acquisitions in the near term. Expense management will be a priority for the remainder of the year. Our internal deployment of Blue Prism digital workers is well underway, and we are on track to achieve our full year targets. We currently have over 500 digital workers deployed across all business units. We believe this is one of the fastest deployments of digital workers in Blue Prism's history. Currently, the largest usage of Blue Prism is in are GIDS and fund administration businesses, but we see significant opportunity in retirement, health, regulatory, and tax reporting. Operational functions in production with digital workers include reconciliation break investigation and resolution, statement downloads, daily price file, investor contract notes, and statements and reporting. We expect the FTC savings to accelerate in the back half of the year as these live processes are embedded in the business and the full benefits are realized. I'll now turn it over to Rahul.