SS&C Technologies Q2 2025 Earnings Report

SS&C Technologies EPS Results

• Actual EPS: $1.45
• Consensus EPS: $1.39
• Beat/Miss: Beat by +$0.06
• One Year Ago EPS: $1.27

SS&C Technologies Revenue Results

• Actual Revenue: $1.54 billion
• Expected Revenue: $1.52 billion
• Beat/Miss: Beat by +$22.63 million
• YoY Revenue Growth: +5.90%

SS&C Technologies Announcement Details

• Quarter: Q2 2025
• Date: 7/23/2025
• Time: After Market Closes
• Conference Call Date: Wednesday, July 23, 2025
• Conference Call Time: 5:00PM ET

SS&C Technologies (NASDAQ:SSNC) engages in the development and provision of software solutions to the financial services and healthcare industries. It operates through the following geographical segments: United States, Europe, Middle East and Africa, Asia Pacific and Japan, Canada, and the Americas, excluding the United States and Canada. Its products include advent genesis, antares, asset allocators, AWD, axys, BANC mall, BRIX, DST vision, evare, lightning, and moxy. The company was founded by William Charles Stone in March 1986 and is headquartered in Windsor, CT.

SS&C Technologies Q2 2025 Earnings Call Transcript

Key Takeaways

• Positive Sentiment: Company delivered record adjusted revenue of $1.538 billion (up 5.9%), adjusted EPS of $1.45 (up 9.8%), and record EBITDA of $600.4 million (up 7.4%) with a 39% margin.
• Positive Sentiment: Second-quarter organic revenue grew 3.5%, led by Globopp +7.3% (private markets and retail alternatives), with international strength and a stable 97% client retention rate.
• Positive Sentiment: Year-to-date operating cash flow rose 14% to $645.1 million, and the company repurchased $269 million of shares in Q2 while boosting its buyback authorization to $1.5 billion.
• Positive Sentiment: Investments in AI via the Blue Prism partnership produced the first AI agent sale—reducing manual effort by 80%, tripling processing speed and achieving over 99% accuracy—signaling broader AI service opportunities.
• Positive Sentiment: Announced a definitive agreement to acquire Callistone in Q4 to expand ETF, digital asset and money market offerings; the deal is expected to be accretive to revenue growth, EBITDA margin and EPS within twelve months.

Presentation

[Operator]

Ladies and gentlemen, thank you for standing by. My name is Abby, and I'll be your conference operator today.

[Operator]

At this time, I would like to welcome everyone to the FSNC Technologies Second Quarter twenty twenty five Earnings Call. All lines have been placed on mute to prevent any background noise. After the speakers' remarks, there will be a question and answer session. Thank you. And I would now like to turn the conference over to Justine Stone, Head of Investor Relations. You may begin.

[Justine Stone, Investor Relations at SS&C]

Welcome, and thank you for joining us for our Q2 twenty twenty five earnings call. I'm Justine Stone, Investor Relations for SS and C. With me today is Zell Stone, Chairman and Chief Executive Officer Rahul Kanwar, President and Chief Operating Officer and Brian Shell, 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 Safe Harbor provisions under the Private Securities Litigation Reform Act of 1995.

[Justine Stone, Investor Relations at SS&C]

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 Factors section of our most recent annual report on Form 10 ks, which is on file with the SEC and can also be accessed on our website. These forward looking statements represent our expectations only as of today, 07/23/2025. 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 in the Investor Relations section of our website at www.ssctech.com. I will now turn the call over to Bill.

[William Stone, Chairman, CEO & Founder at SS&C]

Thanks, Justine, and welcome, everyone. Our second quarter results include record adjusted revenue of $1,537,000.000800000 dollars up 5.9% and adjusted earnings per share of $1.45 a 9.8% increase. We delivered record adjusted consolidated EBITDA, passing $600,000,000 in the quarter for the first time, up 7.4%, resulting in a quarterly adjusted consolidated EBITDA margin of 39. Second quarter adjusted organic revenue growth was 3.5% with performance driven by GLOBAB, GIDS and WIT businesses. GLOBAB organic growth of 7.3% was driven by double digit growth in private markets and retail alternatives.

[William Stone, Chairman, CEO & Founder at SS&C]

Goods continues to win key clients and deliver high level professional services. Health finished for the quarter with flat organic growth. Q2 financial services recurring revenue growth was 3.9%, which includes software enabled services and maintenance revenue. Internationally, we're seeing strength in Europe, Australia and The Middle East, spanning multiple business units. This broad success reflects a positive trend of increased international win rates attributable to the investments we have made over the past several years and our ability to provide increasingly sophisticated services.

[William Stone, Chairman, CEO & Founder at SS&C]

Overall, we deliver our service with a client focused approach, and our retention rate is stable at 97%. For the six months ended 06/30/2025, cash from operating activities was $645,100,000 up 14% year over year. In Q2, we bought back 3,400,000.0 shares for $269,000,000 at an average price of $77.99 We will continue to buy back shares opportunistically and recently grew our share repurchase authorization to $1,500,000,000 We are continuously investing in our AI strategy. We believe some of our most significant competitive advantages lies in partnering Blue Prism with our business units to identify workflows, build new AI agents and deploy them internally. Quarter, our approach successfully resulted in our first AI agent sale to an insurance conglomerate in the Midwest.

[William Stone, Chairman, CEO & Founder at SS&C]

Client processes hundreds of credit agreements monthly, and the AI agent reduces manual effort by up to 80%, speeds up processing by 3x and improves accuracy to 99% plus. We believe this win is indicative of future opportunities across our 22,000 strong client base. I'll now turn it over to Rahul to discuss the quarter in more detail.

[Rahul Kanwar, President and COO at SS&C]

Thanks, Bill. We had a solid second quarter with 3.5% organic revenue growth and 50 basis points of margin expansion year over year. Our fund administration business, Globopp, continues to show strength with private markets growing over 10%, driven by the complexity of credit and hybrid funds as well as family offices. Retail alternatives, while still a smaller part of this business, is growing 20% with substantial runway. With TATAYA, our class action services business won 30 new clients in Q2, with two thirds of them being SS and C client cross centers.

[Rahul Kanwar, President and COO at SS&C]

Our newer software solutions continue to gain traction. Genesys is well positioned to support both new and existing customers with multiple implementations underway. Our most recent client go live was a $75,000,000,000 plus bank trust in the Midwest where we replaced a competitor. Similarly, Singularity has had recent success winning large insurance companies. We are focused on continuing to enhance asset coverage and functionality and are launching new features in bank loans, commercial mortgage loans and enhanced income monitoring tools.

[Rahul Kanwar, President and COO at SS&C]

We have noticed previously that the strength in our business and the diversification of our revenue across product lines and types of customers often allows us to overcome macroeconomic challenges that may arise and still perform in a predictable way. We proved that this quarter with success despite Intralinks having some macroeconomic challenges including declines in global deal volume and active deal flow in Q2. Early indicators do show activity is picking up in the second half of the year and our brand new platform DealCenter combines the power of AI with an enhanced user experience and increases our win rates. With that, I'll turn it over to Brian to walk through the financials.

[Brian Schell, EVP & CFO at SS&C]

Thanks, Raul, and good day, everyone. Unless noted otherwise, the quarterly comparisons are Q2 twenty twenty four. As disclosed in our press release, our Q2 twenty twenty five GAAP results reflect revenues of $1,537,000,000 net income of $181,000,000 and diluted earnings per share of $0.72 Our adjusted non GAAP results include revenues of $1,538,000,000 an increase of 5.9% and adjusted diluted EPS of 1.45 a 9.8% increase. The adjusted revenue increase of $85,000,000 was primarily driven by incremental revenue contributions from GlobeOp of $28,000,000 WIT of $15,000,000 acquisitions of $21,000,000 and a favorable impact from foreign exchange of $14,000,000 As a result, adjusted organic revenue growth on a constant currency basis was 3.5% and core expenses increased 3.1% or $28,000,000 Adjusted consolidated EBITDA was $600,400,000 reflecting an increase of $42,000,000 or 7.4% and a margin of 39%, a 50 basis point expansion. Note, EBITDA of 600,400,000 is a quarterly record high for SS and C.

[Brian Schell, EVP & CFO at SS&C]

Net interest expense for 2Q twenty twenty five was $106,000,000 a decrease of $8,000,000 primarily reflecting lower short term interest rates. Adjusted net income was $366,000,000 up 10.2% and adjusted diluted EPS was $1.45 an increase of 9.8%. Our effective non GAAP tax rate was 24%. Note for comparison purposes, we have recast the 2024 quarterly adjusted net income to reflect the full year effective tax rate of 23.1%. Cash flow from operating activities grew 14%, which was driven by growth in earnings.

[Brian Schell, EVP & CFO at SS&C]

Our year to date cash flow conversion was 88% compared to 85% last year. SS and C ended the second quarter with $480,000,000 in cash and cash equivalents and $6,900,000,000 in gross debt. SS and C's net debt was $6,400,000,000 and our last twelve month consolidated EBITDA was $2,400,000,000 resulting net leverage ratio is 2.72x. As we look forward to the third quarter and the remainder of the year with respect to guidance, we will continue to focus on client service and assume that retention rates will be in the range of our most recent results, Continue to manage our business to support our long term growth and manage our expenses by controlling and aligning variable expenses, increasing productivity to improve our operating margins and effectively investing in the business through marketing, sales and R and D. Specifically, we have assumed in our guidance interest rates to remain at current levels and effective tax rate of approximately 24% on an adjusted basis, capital expenditures to be in the 4.1% to 4.5% of revenues and no impact related to the Callistone acquisition. For the third quarter of twenty twenty five, we expect revenue to be in the range of $1,525,000,000 to $1,565,000,000 and 4.5% organic revenue growth at the midpoint. Adjusted net income in the range of $364,000,000 to $380,000,000 Interest expense excluding amortization of deferred financing costs and original issued discount in the range of $101,000,000 to $103,000,000 diluted shares in the range of 2 and $52,500,000 to $253,500,000 and adjusted diluted EPS in the range of $1.44 to $1.5 For the full year 2025, we are raising our top line guidance by $15,000,000 at the midpoint and now expect revenue to be in the range of $6,143,000,000 to $6,243,000,000 and 4.5% organic revenue growth at the midpoint.

[Brian Schell, EVP & CFO at SS&C]

For full year 2025, we are also raising our earnings guidance. Specifically, we expect adjusted net income to be in the range of 1,462,000,000 to $1,542,000,000 diluted shares in the range of $251,500,000 to $254,500,000 adjusted diluted EPS in the range of $5.82 to $6.06 up $0.10 at the midpoint and cash from operating activities to be in the range of $1,479,000,000 to $1,559,000,000 Our 2025 guidance reflects our solid results in the 2025 with a continued positive outlook for the remainder of the year. And now back to Bill.

[William Stone, Chairman, CEO & Founder at SS&C]

Thanks, Brian. On Monday, we announced a definitive agreement to acquire Callistone, expected to close in Q4 of this year. We're excited about the attractive geographies, additional capabilities that we can provide in the ETFs, digital assets and money market products and cross sell opportunities. The acquisition is accretive to revenue growth, EBITDA margin and will be EPS accretive within twelve months. This is in line with our capital allocation strategy of finding high quality businesses, which are a strategic fit. I will now open it up for questions.

[Operator]

Thank If you would like to withdraw your question, simply press star one a second time. If you are called upon to ask your question and are listening via speakerphone on your device, please pick up your handset and ensure that your phone is not on mute when asking your question. To be able to take as many questions as possible, we ask that you please limit yourself to one question and one follow-up. And our first question comes from the line of Jeff Schmitt with William Blair. Your line is open.

[Jeff Schmitt, Research Analyst - Financial Services and Technology at William Blair & Company, L.L.C]

Hi, thank you. On the Callistone deal, could you discuss the revenue synergy potential here? You've called out some opportunities. Where do you see the biggest cross selling opportunities? And could you quantify it at all?

[William Stone, Chairman, CEO & Founder at SS&C]

Well, it's still early. I wouldn't say that we have anything that I can pinpoint. But they have 4,500 clients, and we have probably 10,000 that could be addressable with those 4,500 in things like crypto and digital other digital assets as well as ETFs. So they're very strong in ETFs. And so we have a pretty nice ETF business ourselves.

[William Stone, Chairman, CEO & Founder at SS&C]

So we think the cross selling and up selling in that space will be pretty attractive. And we would expect Callistone, which has been growing in excess of 10%, closer to 15% for the last several years, that we'll have an opportunity to perhaps accelerate that.

[Jeff Schmitt, Research Analyst - Financial Services and Technology at William Blair & Company, L.L.C]

Okay. And then capital expenditures have been over 4% of revenues the last two years. You're expecting it again this year. Previously, they're more like 2% to 3%. And I was just curious how much of that increase is going to kind of higher maintenance CapEx versus investments in growth?

[William Stone, Chairman, CEO & Founder at SS&C]

Well, I would say that we have a large suite of products, technology products, and so those take some of those R and D dollars. And also, we're moving into different products and services. We've had considerable success in Australia, and we have built software specifically for that market. And we do that across any number of our geographies and any number of our product suites. As Rahul said, we have significant development in private assets and retail ops in our Globopp division, and we also have brought out Genesis in our Wealth and Investment Technology division.

[William Stone, Chairman, CEO & Founder at SS&C]

And we also are still investing in Del Monte Rx, and we have what we think are lots of opportunities.

[Jeff Schmitt, Research Analyst - Financial Services and Technology at William Blair & Company, L.L.C]

Okay. So it sounds like more, I guess, investments in growth. And should we expect it to kind of stay up at these higher levels going forward?

[William Stone, Chairman, CEO & Founder at SS&C]

Well, Anthony Chiappa, who's our CTO, thinks it will. So as much as we try to slow him down, technology is our seed corn. So we got to be careful that we cut off our nose to spite our face. So we're going to continue to invest in our business, and we're generating lots of cash. We're paying down debt.

[William Stone, Chairman, CEO & Founder at SS&C]

We're buying back stock. We're looking at acquisitions. But we're not going to starve our development teams or our services teams.

[Jeff Schmitt, Research Analyst - Financial Services and Technology at William Blair & Company, L.L.C]

Okay. Great. Thank you.

[Operator]

And our next question comes from the line of Alexey Gogilev with JPMorgan. Your line is open.

[Alexei Gogolev, Executive Director at JPMorgan Chase]

Thank you very much for letting me ask the question. First of all, Brian, organic growth guidance for 2Q was ahead of your initial forecast, and yet you almost did not change your organic revenue outlook for full year. And it still sort of remains around 4.5%. Mechanically, this implies that you're now assuming slightly weaker organic growth in the second half. Were there any deals that were pulled forward that resulted in better performance in the quarter?

[Brian Schell, EVP & CFO at SS&C]

No, I think just thanks for the question. I think if you look at kind of in the aggregate, if you look at the first half and versus the second half, they're roughly equivalent as far as organic growth grows. Obviously and we continue to go against higher and higher quarterly numbers, which is obviously in 2024. So I think the our expectations around the second half continue to be strong all in into the overall aggregate for the 4.5% for the full year.

[Alexei Gogolev, Executive Director at JPMorgan Chase]

Okay. Thank you, Brian. And then another question related to acquisitions. I don't know maybe, Bill, this is perhaps for you. What would you see as a comfortable level of leverage?

[Alexei Gogolev, Executive Director at JPMorgan Chase]

Should you see any potential attractive deals beyond the one that you announced earlier this week?

[William Stone, Chairman, CEO & Founder at SS&C]

Yeah. I mean, I I I would be comfortable for us to be in the mid fours. You know? So that you know, we're two seven two now. If you go into four fifty, you know, that's almost two turns, which would be, you know, 4,800,000,000.0.

[William Stone, Chairman, CEO & Founder at SS&C]

You know, plus we would have some cash and to be able to probably do $5,000,000,000 acquisition. You know? So it it depends how good the acquisition is. You know, we're we're not afraid to run the business with with the demo because we're a very sticky business. We have great relationships with our clients.

[William Stone, Chairman, CEO & Founder at SS&C]

Our clients are growing, and and and we're in the sweet spots of financial services, we think.

[Alexei Gogolev, Executive Director at JPMorgan Chase]

Thank you, Bill.

[Operator]

And our next question comes from the line of Kevin McVeigh with UBS. Your line is open.

[Kevin McVeigh, Managing Director at UBS Group]

Great. Thank you and congratulations on the results and the deal. Bill, I think you mentioned within Gids a high level of professional services. Is there any way to think about number one, what percentage of the revenue is professional services? And then is that a leading indicator?

[Kevin McVeigh, Managing Director at UBS Group]

Is it professional services kind of you do the work and then ultimately it pivots to revenue? Is that a fair way to think about it? And typically, what's the lead time? I mean, know some of the wins are getting bigger, but just are we thinking about that right?

[William Stone, Chairman, CEO & Founder at SS&C]

Well, think the professional services is really to build out the service or build out the technology to to meet the demands of of any of these specific clients. Generally, that's a three to six month process. And, generally, we get paid for that three to six, which is revenue. But then it usually turns into a services contract where, you know, we do the look. We do the work.

[William Stone, Chairman, CEO & Founder at SS&C]

Like with Insignia, we we rebadged 1,300 people from Insignia to us. So our charge is to help them grow and also to manage our expenses in a way that it becomes increasingly profitable.

[Kevin McVeigh, Managing Director at UBS Group]

That's helpful. And I think the other thing you mentioned was the EBITDA obviously at a record high. Any way to think about and this may be more Brian, just the pacing of the seasonality on that? Obviously, it's a Q2, which is a terrific outcome, but any shift in kind of the seasonality of the business and how we're thinking about the EBITDA over the course of the year?

[Brian Schell, EVP & CFO at SS&C]

As you look at the course of the revenue growth over time, right? So and some of that will depend upon the revenue growth in the various kind of business units and where it comes from. Obviously, with rev rec and six zero six, if you get a little bit more revenue coming in from some of those business, obviously, has a higher margin within that particular quarter at the time that it's booked. So you tend to get a little bit more of that revenue in Q4. So you get a little bit of lift, all else being equal, for the I'll call it, kind of that core infrastructure expense doesn't really adjust the same way up.

[Brian Schell, EVP & CFO at SS&C]

So you'll get a little bit of that pickup. So you just kind of we look at it over the different lines of businesses and roll that up over time. And obviously, as you continue to grow the revenues over different periods of time, you're just continuing to leverage your scale, right? It's just our goal is to optimally is to grow the revenues faster than expenses, and you just have a little bit of that revenue seasonality in Q4. So you tend to get a little bit of pickup in EBITDA margin.

[Kevin McVeigh, Managing Director at UBS Group]

Helpful. Thank you.

[Operator]

And our next question comes from the line of Dan Perlin with RBC Capital Markets. Your line is open.

[Dan Perlin, Financial Technology Analyst at RBC Capital Markets]

Thanks. Good evening. I was wondering if you could comment on what BATEA is actually growing at like revenue growth rates in the quarter kind of on a year over year basis as we're kind of contemplating that rolling into organic growth in the fourth quarter?

[Brian Schell, EVP & CFO at SS&C]

Yes. It's basically growing at a historical growth rate because I know that was obviously, we didn't own it during the second quarter. So it's growing at kind of that low double digit growth rate. And we're going to see a seasonally like and we've said this on the prior call as well is that when we look at Patea and it can be very seasonal as well, right, as far as it can be very lumpy in any one quarter based on what's going on and clearing class action suits. And when we look at historically over the last, call it, five or six years, the frequency of the fourth quarter or the second half being the lumpiest of the full year, over 50% of the time, you'll see a higher percentage of the revenues weighted toward the back half of the year as courts tend to clear their dockets towards the end of the year versus early part of the year.

[Brian Schell, EVP & CFO at SS&C]

And this year is shaping up to be similar to one of those years. So we'd expect to see accelerated growth rate in the second half, similar to what they've done historically. It wasn't necessarily the case last year, but more the case looking this year.

[Dan Perlin, Financial Technology Analyst at RBC Capital Markets]

Got it. That's great. And then just, I guess, more philosophically, Bill, like the Callistone deal here again, you've got an asset that's growing, I think, organically, you said 10 plus percent. We just talked about the Tia growing low double digits, and maybe there's some lumpiness to it. But in aggregate, like, these are assets that have, organic growth that's better than kind of your current run rate and margins that are not like big fixer uppers, which are somewhat counterintuitive relative to what you've historically done over the years.

[Dan Perlin, Financial Technology Analyst at RBC Capital Markets]

So I'm just wondering, like, is the tone from the top that, you know, you're gonna point a lot more assets and capital into kind of expanding that organic growth trajectory as these, as these assets kinda keep rolling in? Because it would seem as though that's a strategic move on your part, but I'm I'm not sure if it's entirely, the focus point. I'm just trying to get a sense there. Thank you.

[William Stone, Chairman, CEO & Founder at SS&C]

Yeah. You know, Dan, I I think I think, of course, you know, I mean, you only need to get hit in the head, you know, about a thousand times before you decide that you guys really love organic revenue growth. You know, I I I like growth and I like earnings, But we have a lot of opportunities where we find good teams like they have at Callistone. And we've known Julian Hammerson for several years, and a very impressive guy. And I think that, you you know, when we find that same thing that we had with Mike Michael McCreash and and Pete Hansen at at Pattaya.

[William Stone, Chairman, CEO & Founder at SS&C]

So, you know, it's finding the right right mix and trying not to get too investment banker influenced as to what we should do. We, like I said, made over $600,000,000 in consolidated EBITDA this quarter, and we're well on our way to make more money in the second half than we made in the first half. And as Brian said, there's some seasonality. And we still sell some software, too. So that generally is in the fourth quarter and generally in the last two weeks of the fourth quarter. So it's always the last two weeks of the quarter, but it's a larger chunk in Q4. So I don't think that's going to change.

[Dan Perlin, Financial Technology Analyst at RBC Capital Markets]

Got it. That's great. Thank you so much, Bill.

[Operator]

And our next question comes from the line of Peter Heckmann with D. A. Davidson. Your line is open.

[Peter Heckmann, MD - Equity Research at D.A. Davidson]

Hey, good morning or good afternoon, everyone. On Callistone, could you explain a little bit more what their funds network does? I did a little bit of work on the website, and I'm not sure I'm 100% grasping it. Is it really a BPO function for things like post trade processing and and trade reconciliation, or or am I reading that incorrectly?

[William Stone, Chairman, CEO & Founder at SS&C]

That's a couple of the services that they provide, and and and they have a, you know, an obviously a a big network that really allows them to have straight through processing but with very little manual intervention.

[Peter Heckmann, MD - Equity Research at D.A. Davidson]

Okay. And and and on a multi country basis?

[William Stone, Chairman, CEO & Founder at SS&C]

I I think they're in 57 countries, I think, is the number.

[Peter Heckmann, MD - Equity Research at D.A. Davidson]

Okay. Okay. And then I I didn't hear an update on on the health solutions segment. Anything new there? Or and and are we still thinking that, you know, we're in the process of kind of really marketing and selling the solution and thinking about incremental revenue or any real material revenue acceleration occurring maybe a year out from now? Is that how we should be thinking about it?

[William Stone, Chairman, CEO & Founder at SS&C]

Well, I think I I think, Pete, you know, almost all of these health plans, Medicaid and Medicare are all, you know, they they begin in January 1. So, you know, really, you find out whether or you won these deals in in like October 1. So that's the selling season is right now through the end of the year. And primarily, you're not closing any deals in December because you have to get these people up and running on January 1. So it's just recognizing those dynamics in that business and then also recognizing that there is they're lumpy.

[William Stone, Chairman, CEO & Founder at SS&C]

This is their whole business. And a small deal in health care is on Delaney, our emphasis would be like $5,000,000 and a big one could be 100,000,000 But you've got to recognize that some of it is going to be the maturation of that selling and marketing process and then being able to really get some traction where people start singing the praises of having a brand new system and data and analysis at their fingertips versus we've had some of the CEOs at major health care companies talk about two or three weeks to get the data in a usable form. So we we think there's a lot of advantages, and it's you know, we make money in our health care business. We generate cash, and and we think it's a it's a huge opportunity. We have a new board member who lives in London, and he acts like it's not just The United States that needs health care solutions. So there's opportunity.

[Peter Heckmann, MD - Equity Research at D.A. Davidson]

Okay. Good to hear. Appreciate it.

[Operator]

And our next question comes from the line of James Faucette with Morgan Stanley. Your line is open.

[Michael Infante, VP - Equity Research at Morgan Stanley]

Hi, guys. Thanks for taking our questions. Michael and Fonta on for James. I just wanted to ask a technical question on Palastone, and specifically their BMI platform. I know that's blockchain native, and it's obviously still quite early.

[Michael Infante, VP - Equity Research at Morgan Stanley]

But any sense of the technical or commercial hurdles that would prevent you from routing a big chunk of of SS and C administered flows through DMI over the next several years and maybe what that would mean from a cost savings perspective relative to swift messaging?

[William Stone, Chairman, CEO & Founder at SS&C]

Well, you know, that's something that we're looking at and, you know, the the you know, getting all of the all of technical aspects and all the specifications is one of the reasons you see it as 4.1 to 4.5 in what we spend on R and D. And we have people working. And Julian at Calestone is quite technical, and his team is quite technical. So we'll have our technical teams together, and we'll do what is optimal for our clients. And I'm sure that the scale that we bring is gonna allow us to have better pricing.

[Michael Infante, VP - Equity Research at Morgan Stanley]

Got it. Helpful. Just a quick housekeeping follow-up on Viteya. I think you suggested last quarter that you were still working through some of the rev rec dynamics there, which in and of itself, that asset is, again, seasonally concentrated in fiscal four q. But do you have more visibility on what that rev rec looks like now, and are you still comfortable with that full year range being 100 to 110 of contribution? Thanks.

[Rahul Kanwar, President and COO at SS&C]

I think we're getting we're definitely making progress on it as we get more history, and we have really good visibility into what is already in effect been adjudicated and is waiting to be released. So, yeah, we feel better about it. I wouldn't say we're 100% of the way there, but we are getting closer.

[William Stone, Chairman, CEO & Founder at SS&C]

Yeah. We operate with the different law firms that have have won these cases and know, staying on top of them too so that they stay on top of the judges so that the judges release the funds. You know, that's that's when everybody gets paid.

[Michael Infante, VP - Equity Research at Morgan Stanley]

Got it. Thanks, guys.

[Operator]

And our next question comes from the line of Surinder Thind with Jefferies. Your line is open.

[Surinder Thind, Equity Research Analyst at Jefferies Financial Group]

Bill, can you just provide kind of an update on Blue Prism strategically, where you think you are in the product life cycle in terms of all the new features and functionality and just kind of what you see in the pipeline at this point?

[William Stone, Chairman, CEO & Founder at SS&C]

Well, you know, we're we're we're really kind of rolling out, you know, kind of a case study of what we did. You know? So we we got we we bought Blue Prism, I think, in, like, March, April, I think. And, you know, we've deployed, you know, several thousand digital workers and and doing increasingly complex tasks. And we think that we have saved or at least not spent a couple $100,000,000 because of that that investment.

[William Stone, Chairman, CEO & Founder at SS&C]

And and as we show what we're doing with AgenTiG AI and Blue Prism, you know, we're starting to get some real interest as a as a solution for a lot of their manual issues. We we remain optimistic that Blue Prism has a lot of runway. But it's competitive, and it's Wild West out there. So you got to do this in a wise manner, you got to protect your clients.

[Surinder Thind, Equity Research Analyst at Jefferies Financial Group]

Got it. And then just kind of on the Intralinks piece and the whole idea of volumes, deal counts. How significant has the degradation been from the beginning of the year to now? And then maybe how you're thinking about the back half?

[Rahul Kanwar, President and COO at SS&C]

Yes. I think the answer to both of those is related. There's a little bit of a lag. It's mostly so we have some leading indicators, the number of opportunities, the number of kind of deals in the market as well as what we have in bookings, which then translates to revenue. So I think most of what we're seeing now is we're seeing the early indicators of that revenue come back.

[Rahul Kanwar, President and COO at SS&C]

So bookings are up, deal counts are up, things like that. There usually is a couple of month lag, but we do expect some growth from this point in the back half of the year.

[Surinder Thind, Equity Research Analyst at Jefferies Financial Group]

Got it. Meaning that you expect growth in the back half to be positive, like in terms of absolute That's right. Okay. Appreciate that. Thank you.

[Operator]

And we have no further questions. So I will now turn the call back over to Mr. Bill Stone for closing remarks.

[William Stone, Chairman, CEO & Founder at SS&C]

Thank you, and thanks, everybody, for being on the call. We are working hard for our shareholders as we always do, and it's nice to present good results. And we look forward to seeing you in October. Thanks a lot.

[Operator]

Ladies and gentlemen, this concludes today's call, and we thank you for your participation. You may now disconnect.

Participants

Executives

• William Stone, Chairman, CEO & Founder
• Rahul Kanwar, President and COO

Analysts

• Justine Stone, Investor Relations at SS&C
• Brian Schell, EVP & CFO at SS&C
• Jeff Schmitt, Research Analyst - Financial Services and Technology at William Blair & Company, L.L.C
• Alexei Gogolev, Executive Director at JPMorgan Chase
• Kevin McVeigh, Managing Director at UBS Group
• Dan Perlin, Financial Technology Analyst at RBC Capital Markets
• Peter Heckmann, MD - Equity Research at D.A. Davidson
• Michael Infante, VP - Equity Research at Morgan Stanley
• Surinder Thind, Equity Research Analyst at Jefferies Financial Group