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10/22/2026
Good day and thank you for standing by. Welcome to the SS&C Technologies Third Quarter 2026 Earnings Call. At this time, all participants are in a listen-only mode. Please be advised that today's conference is being recorded. After the speaker's presentation, there will be a question and answer session. To ask a question, please press star 1-1 on your telephone and wait for your name to be announced. To withdraw your question, please press star 1-1 again. I would now like to hand the conference over to your speaker today, Justine Stone, Head of Investor Relations.
Hi, everyone. Welcome and thank you for joining us for our third quarter 2026 earnings call. I'm Justine Stone, Head of IR for SS&C. With me today is Bill Stone, Chairman and Chief Executive Officer, Rahul Kanwar, President and Chief Operating Officer, and Brian Schell, our Chief Financial Officer. Before we get started, we need to review the Safe Harbor Statement. Please note the 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 Securities Litigation Reform Act of 1995. Actual results may differ materially 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 also be accessed on our website. These forward-looking statements represent our expectations only as of today, October 22nd, 2026. While the company may elect to update these forward-looking statements, it specifically disclaims any obligation to do so. During today's call, we will 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 from the Investor Relations section of our website at www.ssctech.com. I will now turn the call over to Bill.
Thanks, Justine, and welcome everyone. I'm happy to report another strong quarter for SS&C with growth in revenues, earnings, and margin expansion. We have momentum to finish the year strong. Our third quarter results were adjusted to revenues of $1.691 billion, up 7.8%, and adjusted diluted earnings per share of $1.78, at 14.8% increase. We delivered record adjusted consolidated EBITDA of 674,800,000, up 9%, and an adjusted EBITDA margin of 39.9%, 40 basis points improvement. Adjusted organic revenue growth was 5.2% with continued performance by our largest businesses. Throughout the quarter, we had strong sales to both new and existing customers, achieved implementation milestones and benefited from market tailwinds. Our pipelines continue to grow, and we are bullish on several large mandates as we look into 2027. For the nine months ended September 30, 2026, cash from operating activities were $1.216 billion, up 10.4% year over year. This quarter, we returned $225 million to shareholders, which included 1.9 million shares, repurchased for $154.8 million, and $70.5 million in dividends. In August, we increased our common stock dividend 11.1% to $1.20 per share annually, which reflects the strength and consistency of our cash flow. Our business keeps generating strong, recurring free cash flow. and that gives us real flexibility in how we put capital to work. We can raise our dividend, keep buying back shares, pay down debt and pursue high quality acquisitions all at once. We don't have to choose. On M&A, the opportunity set is growing as private equity firms look to exit some of their holdings. We continue to pursue the right deals aggressively but we'll stay disciplined on price. Financial Services Technology and Services M&A continue to command high valuations, making our own stock one of the most attractive investments we can make. Last month, more than 1,000 leaders from financial services and healthcare clients joined us in Orlando for SS&C Deliver, our annual client conference. The message from that room was clear. Our clients are no longer asking whether to transform. They're asking how, how fast, and with whom. At Deliver, we unveiled a portfolio of next-generation solutions built on two SS&C platforms, AI Gateway, our AI governance platform, and WorkHQ, our award-winning agentic orchestration platform. Together, they let our clients put AI agents to work on their most complex, highly regulated workflows. These agents work securely with governance built in from day one. Agentic AI is moving quickly from experimentation into production. We see it inside SSSE where our Customer Zero program is driving innovation and efficiency across all operations. To date, over 900 agentic workflows, 200 AI agents, and over 60 digital workers have been built in the WorkHQ development environment as our business units explore dozens of use cases. We're bringing the same approach to tokenization as traditional and digital assets come together. Our clients need infrastructure that handles both, and SSSE already sits at the center of that infrastructure. Across all of this, our clients are rethinking their operating models end to end. That's a transformation, not a single technology purchase. It takes a partner with deep domain expertise, global scale, and a proven track record of executions. Few companies can bring all three. SS&C can, and we're doing it today. I'll now turn the call over to Rahul to discuss the quarter in more detail. Rahul Kanwar Thanks, Bill.
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