SSNC - Earnings call transcript Q3 2019 | SS&C Technologies Holdings, Inc.

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Operator

Ladies and gentlemen, thank you for standing by and welcome to SS&C Technologies Third Quarter 2019 Earnings Conference Call. At this time all participants are in a listen-only mode. After the speakers’ presentation, there will be a question-and-answer session. [Operator Instructions]

I would now to like hand the conference over to your speaker today. you, ahead. thank Stone, Justine please go Miss

Justine Stone

today Hi, for Chief Officer. call. our and Officer; thank Rahul With I’m Chief and Chairman joining and us you for Patrick me Technologies. third SS&C Operating Stone, Kanwar, Relations everyone. Bill Executive Financial Investor Stone, and Welcome Justine for is Chief quarter Officer President XXXX earnings our Pedonti,

these including about safe result forward-looking remarks we various which get with we started, today our expectations, Form accessed forward-looking and Before statements Actual the is we discussed differ Litigation Act those most our statement. on various can the note file website. also results that factors may provide, as important recent the Private to prospects, of the we and by Reform materially under of section factors, Please of XX-K, harbor the review on outlook indicated make harbor from including statements risk in future report of plans on financial SEC provisions XXXX. annual safe Securities purposes a the need the be for those constitute

today, These expectations forward-looking our as XX, only statements XXXX. of represent October

these update any statements, While may elect do so. the company to it disclaims to specifically forward-looking obligation

is referring financial is the measures in During at A today’s earnings be included financial website of GAAP located comparable call, section in we financial to which measures. non-GAAP release, non-GAAP certain www.ssctech.com. to will Investor reconciliation of our measures today’s Relations these

to the over call will turn Bill. now I

Bill Stone

revenue results $X,XXX.X Our us per thanks adjusted XX and difference What million and for makes? diluted in quarter Justine for earnings the joining are share. $X.XX today. Thanks, everyone in adjusted days

a EBITDA clients our revenue. QX and of EBITDA our $XXX.X processes enhance number was was made organizational offering was growth adjusted Our drive and XX.X%. consolidated X.X%. to changes our and We’ve consolidated streamline adjusted organic revenue margin million ultimately

strategy Mike and SS&C Head Sales to manager to of were Graims [indiscernible] of charge now maximize Co-General large and sales. and and general Manager to Steve of company and SS&CS account. Stone is we’ll Alternative Global Intralinks revenue Ken of in promoted [ph] the Visconti short developing Asset now [indiscernible] [ph]. opportunity process term focus Rob was on is Head Robert of and promoted is this across strategy [ph] our

and purchased And We X.X allocation XXXX. shareholder were repurchase million $X.XX average the is In in $XXX or expecting shares stock common a $XX. in priority. for approved between $XX top billion cash million billion of focus operating program capital flow the and quarter at we always an Board million third August, $X.X price

cash been feel While stock direct repurchases we’re our inclined some we to buybacks have stock not is towards lately, priority undervalued. a when

will acquisitions and M&A IBM pay times repayment These close down far market. East stock enhanced secured net our and end buying the $XXX Bringing employees, debt earlier from leverage total to to debt, our leverage month net we million repurchased. talented now XXXX, new in new more to we’re we continue so paid expect the We XX technology, new the also X.XX of provide participating in this Middle acquired down to Algorithmics, than markets. this capability and by We X.XX, Investrack we’re year. times

over it And with that, I’ll turn to Rahul.

Rahul Kanwar

our The other and Thanks business Well we’re of amongst launches our trends healthcare market benefiting with operationally win very service customers. businesses continues relationships space GlobeOp company we in with products across expanding strategic private firms. estate, several our offerings our ended and launches and funds new the from from services has and new and gained equity RIA business business our Organic capitalize enhancing well owned quarter assets in Bill, large conversions administrators. a the on real in momentum outsourcing had to opportunities to and continued is equity SS&C timing momentum our and private in increased building real strong positioned fund industries. services new open financial

We’ve Pacific quarters our and gaining region ground in increased last momentum are the several the Asia presence in We’re the off. paying internationally. also investments

intelligence Advent, Groups capitalized the business and launches Our rolled to within on technology information assets drive seeing Asia to new the equity and growing use Eze fund that application DST’s in as and enhance we private these Australia. their such new is out insights. our international to in WALLETSHARE important business Delivering opportunity we’re and and in helping has more Europe, UK customers ability

$XX existing key deals events CSIL mention company will to relationship a new and plus use competitor the a extended management solution An asset an A investment delivery to their extended loan our accounting their for portal to A Australian include $XXX cloud mutual traded extended and asset funded bank fund raising Now manager chose recon and for [indiscernible] XXXX. services. plus a Advent client include relationship acquisition, replace QX, fund their some billion licenses alternative GWP I services. administration their publicly billion $XXX relationships to include expanded Intralinks manager, their bank’s large billion plus a to system. entire portfolio, outsourcing client

hedge agency equity fund. and SS&C and investor requirements. fund their Health their chose with operational AUA existing services. An a $X to administration client, services Geneva A client Medicare for who for roof Blue billion hedge SS&C’s private consolidated for administration and A combine a existing reporting their An one Solutions Blue [ph] SS&C under fund Cross fund fund administration middle Shield office, chose client is is fund regulatory chose process one GlobeOp chose operations. interval startup services multi-billion transfer services DSTL’s

Patrick over run through the now to financials. We’ll to it turn

Patrick Pedonti

the $X,XXX.X of adjusted net $X.XX. of $X.XX, operating where a for strong a adoption was $XX quarter the revenues adjusted revenue of of diluted Overall, third adjusted and EPS Rahul. Thanks, had XXX impact million GAAP revenue million over DST and QX, excluding Results revenue of and $X,XXX.X and revenue was standard increase quarter, we XX.X%, the the adjustment EPS XX.X% XX.X% XXXX. increased acquired was million acquisitions. Adjusted the diluted GAAP income Intralink’s income

or XX.X% revenue in of Intralinks increased contributed $XXX.X and $XXX.X Adjusted quarter. The million. Eze acquisitions the million

had management, $X our Organic in exchange $XXX.X was an third or quarter of Foreign and by operating in quarter. driven or increase XXXX. alternatives million institutional unfavorable million from the the the strength was XX.X% of growth X.X% quarter [indiscernible] an impact of for X.X% the businesses. income Adjusted million $XX.X

quarter DST of adjusted XX% from XX.X% the XX.X% in impact XXXX the operating end were margins and Foreign of million to over was million exchange run on third margins XXXX. XXXX XX.X% third of adjusted quarter the annual positive and had quarter. improved operating increased quarter the implemented rate a expenses $X.X Adjusted in synergies million or The reached in in of quarter. third $XXX.X QX, XXXX. adjusted $XXX.X revenue of of EBITDA XX.X% the consolidated cost at the

to year. XX% $XX.X the tax Net in interest currently average of in recorded notes the expense rate the quarter the million, of cost for the it We compared a third GAAP provision the in to for of was million tax including XXXX. was full pretax OID expect be of facility $XX.X the [ph]. income. rate credit or includes GAAP quarter The quarter million $X.X financing interest non-cash, in We XX% amortized X.XX%, senior approximately X.XX%

and Adjusted of adjusted income of and of million reductions. revaluation was $XXX.X compensation, non-cash to to $XXX.X assets. related accounting ASC of amortization on assets, EPS XXX adjustment million And revenue based of excludes depreciation investments. and loss financing the cost stock net related of mark-to-market adjustment $XX.X $XX.X to million purchased deferred $X.XX. net non-operating million $X.X intangible mostly staff million $X.X [ph], million amortization income including $X.X adjustments for $XX.X was of cost related million in severance Adjusted adoption of million OID adjustments and million of of $XX.X

net adjusted rate Those of repurchases. issuance. QX, X% effective by issued we shares offset to for quarter mostly acquisition XX%. fourth Intralinks QX Diluted increased The and in XXXX over tax the share were shares XXXX income was option used in the due the for

net the $XXX approximately debt position Operating for April and of the compared was million Couple to approximately with XXXX. increase for debts in same $XXX down quarter XXX% at acquisition in puts we cash paid and at in in $XXX or sheet highlights is period us or million the cash the On $X.X approximately billion we’ve billion. that XXXX paying and cash [indiscernible] and cash million the debt XXXX. of $XXX debt million, DST balance months nine ended nine equivalence total million months, gross $X.X of of flow, $X,XXX

receivables accounts that the $XX quarter at taxes paid to year. cash $XXX.X million was the to capital million expenditures XXXX. $XXX.X days software months last paid period We days period and improvements. cash million for interest nine same of in end $XXX.X and same to year. million end the compared In year. XX.X And this and of last used leasehold declared year The at we’ve in million compared million of compared million the common IT capitalized paid XX.X stock We’ve mostly and compares the $XX as dividends to for $XX.X June, $XX DSO we last

X.X total on million basis. was in of the in diluted a purchase average on was average XXX,XXX million $XX. of The the weighted impact buybacks shares and shares stock Treasury quarter in $XX.X quarter shares price

to million times, it of covenant Based acquisition. X.XX in leverage acquired Our on total used debt $X.X the for X.XX was savings was includes secured LTM times. EBITDA of our EBITDA million, with cost was which ratio related leverage we our ratio million $XX net $X,XXX

the range income the to $XXX million million of range current to $X,XXX fourth the for fourth revenue of Outlook of million was Adjusted million diluted million. for the in $XXX our $XXX $XXX and shares $X,XXX adjusted expectation in in the million. range quarter, quarter to net

Our quarter. expected X.X% of X.X% organic the range be in to for the growth will

XX% the in of the of be to X% we rate X.X% to to For in the revenue. range to of expect the we million from to continue a billion in activities capital of $X.X range adjusted and operating year, $X,XXX expect tax be have expenditures cash

I’ll for comments. to it over turn Bill And final then

Bill Stone

at to-date Thanks - We welcome week commitment client We Florida We XXX as largest excellent response client. because XX talented deliver had we our personnel X,XXX [indiscernible] we’ve with SS&C to to presentation, of had to Patrick, last hope very had employees we first This and of attendees. diverse our XXX talent and client [indiscernible]. together. to SS&C over positive top again month bring overwhelmingly product for conferences we deliver And positive conference workshops continue our event. group different Orlando, [indiscernible] and impact. clients and services in SS&C

and some world, and hosted both array BPO large very service our have largest all the engineering is products we financial the in intend subject real our talented of with detailed It’s well. host We estate as asset different for services. expertise organizations in of a classes deep a success. the of whole of wide deliver to matter core capability and of services which and We in the shareholders a the

some take Now we questions.

Operator

and Capital your question Instructions] line from [Operator Markets. Dan first RBC Perlin from comes of the

Your line is open.

Dan Perlin

on change congratulations evening Bill. Good XX you’re this. right, What so in and days, a

Bill Stone

I just got smarter.

Dan Perlin

you. I hear

I a talk you’ve So about of changes, of those did lot lot want a changes. made to

you a be talk kind so can of wondering of I’m stepped XXXX feel you You think better why did like got would you out. organization the you’ve line just as the the additional couple into communication do to you of in into acquisitions and changes anecdotally management, that you sight all and give about sustainability maybe like have do case. of throughout and the buyback; particularly those you with you that called

Bill Stone

as that’s that great very obviously mean the I we’re well. left us some in and think people starters. I are question talented people people talented for Well putting

private people XX, XX we out hope hungry XXX% lot put firms we and [indiscernible] all them. in were you next and and But by left. play The faith they generation in tell Petroki of it big Mike ambitious, and smart, new so Eze or well. they’re time. payouts Bps’ing days as they and a mean equity going [ph] I I the a case is that they’re of [ph] it [ph] lot Bob we’re be have do Although don’t Intralinks and they’re that I all and you, in Ken Visconti confident owned to leaders, would of, that. got Intralinks they of the in happens that the in

What I we’re is, would optimistic. say

game, our We a things and there’s execute and lot us. and we’re right of well out in the still best in lot the decision. sure people We really we best people a the look execution have have ourselves of business to make have a in make are the opportunities. that for of to really lot need to making We there’s sure working good it mirror getting but smart positivity,

best have real and estate right? and process And I wind proven of the so get results doing our people, I on as well. people things our contract through extending that we’re we the us, capabilities organization best We’re execute mean growing why to is and that not that’s think

We’ve State all talented a been systems Street work management has to XX loan talent in trying wonderful years, for job. kinds come of for and came selling We Morgan systems kinds he’s in brought [indiscernible] done but commercial all are property get us. and J.P. that of and people that over

to Rahul advantage we’re opportunities So that have in of really optimistic talked as and great take Black holding opportunity we’re huge optimistic healthcare business, that. strong as of about we about Diamonds, that part a

that about things of and I’m and we’re about QX. I’m So XXXX great there’s excited really excited a doing lot

Dan Perlin

can would organic you That’s maybe down - the great. growth. what you the Patrick, why ask in I expect draft just

the said so pretty bit versus couple in also and you the Slide the XX the I been give definition going the get that Bps down you past you’ve of what’s reasonable range draft a of is X, end be what us of end of implied that you. guys think to in low high sense quarters just growth, current you you if on and wondering a that so X.X% XQ, could to Thank takes done organic of of range. to I’m puts to

Patrick Pedonti

look mostly down of due they organic in quarter Overall, when QX, fairly continues well. alternatives DST core really XXXX, did our SS&C business the you we had DST, if think perform really at we is business I going XXXX sequentially which core business software strong slightly the, when excluding million Intralinks it is to business in our to growth compare you with the in a revenue. what call acquisitions would to and $XXX our

think so that on our organically and to little a a business I hard some sign accelerate QX, over in getting core around expect new bit Working our then doing business well drag up turn we’re business with deals was DST. little QX, clients. fact really and of to to bit In we in about X.X% little core X% is and

Dan Perlin

Bps, delta DST has Okay and there that that range all terms of kind X.X%. on does the It well. explain is in as depends more. the of I what XX mean in

Bill Stone

which revenue so is deals a range is depends to the assigned to then which Yes, really a transaction precisely hard and target, our volume DST, do predict the on range for we have that. there’s license lot hit of

Dan Perlin

that core. and guess, expected basis annualized terms businesses give and you think Algorithmics, margin Okay revenue some your to seeking. us contribution then profile kind I what and work if just that’s in we quarterly can more Investrack as you’d an or of Thanks frame of basis guys. on have compared about one those

Bill Stone

of and profitability. $XX million out do Algorithmics to $XX revenue of that Investrack of and million we our those going the XX I’m We’ll midnight. I online take be standard some companies, have expect get profitability expect we’re to months something mean five Dan, everybody, questions next till think to take work I to here but to from that. both we going of to on and till we up

So thanks.

Operator

to follow-up. ask one limit again, yourself you that we And one question and please

from Kumar Evercore ISI. line comes Rayna next of the Your question from

Your line is open.

Rayna Kumar

DST services? out performance Could for and Good bit results, for you in here. specifically also a healthcare on flush little quarter just the financial

Rahul Kanwar

over I talked last we’ve think several the weeks. as about

talked going There’s continue expense front also XX front. client pipeline as and as overcome that to and continue to into to life as the the over to we I saw what attrition kind happen we’re the progress obviously knew about. management that’s that we’re things well on of well and But so. really performing we the execution there’s in at measured or opportunity more about or we trying acquisition it, is DST pipeline some obviously well year-over-year, XX to on going both some We revenue some quarter, months there’s progress as increasing think see next

million said, things other about the is [indiscernible] was of that synergies one think which wrong. right I obviously $XXX in

both going. be to of to engines keep expect We those able

Rayna Kumar

just fourth revenue quick and for organic expectations quarter Understood and third two growth and what was the your the the we growth housekeeping for get quarter old rate alternatives third revenue just definition quarter question. also the on Could the please? the for

Bill Stone

up, Rayna, numbers we go calculate can have look afters. deck that befores how you and of slide of all kinds in we

our expect administration business to quarter. grow in we X% again fourth think I to fund X% the

Rayna Kumar

And third what was the growth? in quarter alternatives it

Patrick Pedonti

X.X%. about was It

Bill Stone

Yes, X.X%.

Rayna Kumar

Thank you.

Operator

from the Schmidt next Citi. comes Andrew Your question of from line

Your open. line is

Andrew Schmidt

my HT to today that if back a questions growth little taking and are transfer the you pipeline confidence particularly why get sort gives see you In talk as expecting? and for of XXXX, about you here. that Thanks then low that into heading stabilize you just what DST the [ph], guys it to single-digit

Rahul Kanwar

I of - it’s our opportunities areas DST we different many big complicated right a think that business fall categories, lots customers, big into with several at are different address.

the outsource Just that. all a most the their several performing fund doing mutual technology house, other agency own them, things the whether the managers fund is book required companies operations or and side that they’re have, to basis, through investment run on systems of same of big we the transfer investment they’re do that of to on that the that operations on have and of big support and where we some

more course know continues releases year seeing of also a either is that which and how enhance the we to which intelligence think be managers go from have intelligence we in I think we there. opportunity our where number be rolled continues part they really generation pretty help of a WALLETSHARE and out [ph] get important customers, talked that we product, them for for, though. and while opportunities fund a to But of distribution technology to convert AWD they sales in little as what big or talked continue on next us the the full be to we’re of grow. So areas some and this that building about is lots Europe DST strong business that and able process bit could benefit in will these that’s book to we there cases their to that so for of over of have done, [ph] or the there’s portion you some TA - has will to over continue, in

So across opportunities DST we about. good we have that of number a feel

Bill Stone

a we can our to large them we we where clients secure And a that that large give series huge opening groups recruit be also able large client. think with them possibility that them. really for have There’s with - in we better a being is India co-locate organization whole employee that a people have and that gives things of up in India and have infrastructure we’re knows able small something productivity, retain more to I manage base resonating our of technology how that us, to that’s

Andrew Schmidt

under any but shift and versus there wondering Obviously, guys I the Got could pressure It’s just up change into wondering you whether now a sustained that to have seeing sometime, was you’re of the bit then particularly management, especially if the good it. see in whether more the acceptance of little peak you pick asset organic you’re seeing And growth. historically. a terms Thank pickup to expectations. on shift outsourcing. to that. traditional relative good for in more solutions outperformance guess see I been so those

Bill Stone

volatility particularly more the clients market, inflows of I accounts. Again in in QX our active think number year their even it saw a became this of September

and new know, comes when with technology initiatives of you doing So things these to it it comes confidence. most buying

anything, So with Fed we of The lot or I pretty opportunities deal and with there’s interest I’m the think that a China, do performing not but prospect market’s rate a cutting that. an economist that come the get again, strongly.

ink big clients, business in large sophisticated that’s down business comes our we across client of and again in opportunities, business all model. our Europe, have to large big big we’re and strength getting in optimistic. on North sold it paper and Australia, We have America base kind We of

Andrew Schmidt

very you guys. thank right, much All

Operator

line question the next your comes of Tandon And from Needham. from Mayank

is line open. Your

Mayank Tandon

large Bill, deals last mentioned several had slipped. quarter you that

I to on and conversion just is the organic terms out think of expect how you growth on particularly for that is, do could potential? XXXX DST side, comment the you shake where in pipeline

Bill Stone

deals I we’re that to Mayank, pretty optimistic have QX, slipped we those QX, about similar about some we’ve good but pretty of think to home, that success bringing that. had October have in number had so also a

to the things, get them versus these scale the has of think and organization show I large how inside resonate we increasingly. that we’re they and think do get we to doing great big I do started more how things

as And [indiscernible] with think sophistication keep and Eclipse marry solution people to Geneva multiple XXXX, platforms APX where based more that differently. to of technology in so gives with use level us have I out the rolling Eclipse that businesses, different able price we more ability be or marry

We’re client through are sure our market and more we base current opportunity entire about and where our that that know we we increases base. making can in methodical also making maximize how price and our client going we the in get sure

world, we us a savings if them for great it lots cost there��s the around opportunity. of show big can to opportunity give So tends

growth accelerate get we I to think we XXXX revenue if organic X% and some better X% can tailwind. maybe to in

Mayank Tandon

a terms model helpful at year. this That’s and margins, I’m looking Patrick, then in Patrick. of for

versus for to maybe additional to think it is improvement or math any shake in out XX% in drive that if do I correct. absence of more we’re acquisitions operating the you going capture hope to margin EBITDA How with down between think XXXX margin, you about synergies XX% up end XXXX? break organic margin any my margins

Patrick Pedonti

We target year XX, midpoint excluding the XX%, that improvement XX.X%, XXX a also can for synergies. operating XX% points about maybe continue the that to Intralinks. bit margins little I under basis this to will some year-to-year maybe achieve think year be we full for and

Mayank Tandon

job back quarter. it. Great Well, bounce good Got guys.

Operator

Your comes Jefferies. Thind the line from of from Surinder question next

open. is line Your

Surinder Thind

DST. question follow-up a Just on

You through or guys India, a bit guys change significant was that was talked was? understand point can about walk cost I at you that little moving the some jump in me looking that what the were the there to something synergies, operations at one about you delta else?

Rahul Kanwar

initiatives haven’t still cultural next India yet, there kicked whether that been to pretty but the that It’s we able number contractors manage productivity in process. middle a spend a we to really third of or and it’s There’s are vendors or DST year, automation pretty our and in shift. expect big towards be how widespread, of across realize party relationships with IT

I very, think they’re numbers. is through sure spending they’re that’s for value focused very the there making management the coming and on that what getting

Surinder Thind

guess I and that. to Understood related

I think any of there’s on color suggestion provide is was, there can to amount that still you more decent come, potentially that? a the

Rahul Kanwar

right. And we around, look

do our We’re bigger done improvement income yet; we for going continuous up if we’re and synergies expect I know to But not across in don’t targets. operating that really business. it DST keep keep signing bigger calling and or

Bill Stone

Well I large leverage. a run mean, we operating we expect operation, so

have X,XXX get in All our supposed the They’re worse. same, engineered department. right better. Right to engineer. we to to not people to and engineering We probably not stay get

to a talent have nothing we want where, think we insistent the what it what and capability and more do it’s little done. we get So and we about get to

Surinder Thind

like and environment, about starts is can seems there maybe the in say it of talk we’ve engineering you a relative sales to little that the like as bit structure? fix to you rest little had force of XX-XX the of and leverage follow-up and of and sales little size of of macro the cost comes my Is but bit is where teams, Any talk downturn. question. for the about firm? the a the when size bit a base flexibility you sustained Can variable? color is It Understood and there terms force let’s was, Can XX kind the maybe provide it XX% there? the the and

Bill Stone

QX, million operating you’ll think from I million. at to to you rose think Well sales see from for raised our million R&D and $XX.X I and look $XX if $XX million $XX marketing expenses

investing at the where and R&D so So see also look we as we business our I get to R&D, licenses in can that have is it you think, Eclipse same use mean we more can we our services when right, independently. being business. in we’re able use R&D software I about million you benefit sell $XXX services products both All also have Geneva or of use world we the derivatives or we our class or sell whatever and remember,

is that revenue. So our million is $XX it revenue higher percentage our and business software overall way of a

concerned, the people think marketing I investing big we we’re as then sure want sales And far our like as in is make we things and believe and in real to assets and have we a opportunity putting investing right business.

got in believe think opportunity huge a We’re and with opportunity. Similarly, we huge investing have investing opportunities of Black Black we heavily have we we’ve and kind marketing Diamond similar in R&D, heavily in sales a Eclipse. and Diamond

message out we through opportunity getting We’re traction; into new sales some we’re the a that and we product Singularity few have out our go marketplaces. get as I called think our you rolling as made liked we

our our by not and think matched of any capability ability I it’s our competitors.

Surinder Thind

That’s helpful. you. Thank very

Operator

the comes line of Chris from Your from Schuttler next William question Blair.

is open. Your line

Chris Schuttler

What’s QX lost the revenue to organic guidance prior that were if think you closing DST. the clients I include

that then think for would QX, and I you looks and QX? could what would be it’s it if like just for it but think confirm then X.X% X.X%,

Bill Stone

I XX% have. calculations think mean we so the X.X% QX, and those I are said we Well X.X% for to

Chris Schuttler

wasn’t Bill Yes, I I’m sorry clear.

the to also you’re deal. consider the prior you If DST lost to clients

impact I’m you’re guessing. include be If to those like in to similar the organic, of QX it would calculation

Patrick Pedonti

taking taking just DST, the we’re client treated it calculation. us the just revenue a We’re [ph] to out prior of

Chris Schuttler

what’s fair is the And QX the and guide I’m for guide, in Okay, correct? enough. not guessing the - Investrack in then Algorithmics revenue

Patrick Pedonti

is Investrack negligible.

Chris Schuttler

Okay.

Patrick Pedonti

into revenue either Okay, cash no we or forecast. the added have Algorithmics flow

Chris Schuttler

updated XXXX, we’ve tax thoughts And India reduction that on any lastly rate the for given then in seen UK? and

Patrick Pedonti

and We profit so don’t cost materially plus, a in service - expect fairly really but don’t the in we there. in help any get the really have different. India you low have just the impact [ph] We the margins large because bit have as should said little revenue, business don’t we UK, something of a are we

Chris Schuttler

you. thank Okay,

Operator

next your JPMorgan. Jackson line question Ader from from of comes And the

Your line is open.

Jackson Ader

First one, Bill.

You Head - there remarks mentioned kind in Eamonn, the and that emphasized opportunities then new of you here were you of prepared early Global, in the your short-term. Sales

the wanted the after months. go So you see just to short-term maybe hanging next you if in or fruit that wanted Eamonn, in or here to to rank the six think the here lowest I three priority has to

Bill Stone

you names what prospect what we’ve been? I’ve and - got me Tell

Jackson Ader

Yes, perfect, thank you. that would be

Bill Stone

not that’s either. likely but Yes,

think opportunities well in market I hedge and as equity both really institutional he’s great market. got the across private the as

So we first on of from the a represents, $XX deals entire an organization Eamonn had have to that opportunity range we’ve is sales overlay $X which kinds over It’s to time what all million million. right. close

organizational to gets Eamonn to the business. him in of organizational pull which recognition. Rahul So a and draw of and lot responsibility entire gives lot reports Eamonn

they to So our a our of solution business business of fund our parts real somebody ability estate or to administration use need. our of give parts or business what institutional of parts

the and for is GlobeOp and complex the them. acquired and years a opportunity to really with prior he the GlobeOp for being here we about for XXXX delivery seven client buying large it’s been man organization IBOR able There’s responsibility was Eamonn’s middle and get in He’s he’s us entire us Australia together job. to and kinds of since in of to work office all services a both in

Intralinks confident confident the very we’re those have we and of in capability, products very guys in Eze new his we’re lots in commonality and there’s in both too. So

services and us cross our base be new for these and and ability to both new also sell into opportunities. to products the able and big think sell deliver close, I So client up

Jackson Ader

the maybe for starts for and end customer for fund is I’m a great. Okay, for win going the you you solutions. mentioned just hedge what GlobeOp color would to follow-up of curious that wins SS&C’s then the outsourcing. the brand fund estimate is - outsourcing Thanks you with rate selected Rahul up in startup that one that was new

Rahul Kanwar

But very, bigger. expertise the a startup technology a as been to XX%, pretty close that years. a standpoint the little we and get and that goes in way a really many down strong than win It’s very XX% offering have a from maybe rate it’s both little section for less opportunities

Jackson Ader

Thank cool. you. Okay,

Operator

line of Your next question from O’Neill. Donat from Sandler the Chris comes

Your line is open.

Chris Donat

alternative past on your looks wondering the wondering another at in had if more deck. last growth picked that Slide looking you just dynamics quarters. is on, performance couple but the under this Rahul has particularly what us assets give flows? color X up flow It drive some quarters the for I I’m And you administration suspect on I like AUA. side, the in of one couple or could

Rahul Kanwar

and There’s few going flows different obviously things part are there a on of it.

and Right thing that we’ve The other assets have funds you as also is it is, and assets a pretty in our able that’s equity been and contributed wins existing have flows, in performance to part it have mid of remained marketplace. just the last positive so of that’s in businesses takeaways private in true business, new big do it’s of that out. true asset then the our point and reasonably hedge real and

Chris Donat

new which help between just and or wins, and going been years last the have so? roughly ones flows over Okay bigger me few to size

Rahul Kanwar

have wins New been bigger.

new biggest far funds or the starting by So or clients current new impact. win several clients

Chris Donat

Got it.

Okay. Thanks very much.

Operator

Ashish your next Deutsche the from Bank. question comes line from Sabadra And of

open. Your line is

Ashish Sabadra

more called base wondering just Cross Blue in other Question is I on around buying some Shield also, you. health your and solutions, Blue opportunity was with how business, today? solutions not are some which may taking how sell cross from going the Thanks. you the big existing out customer conversations customers, apply more

Rahul Kanwar

the looking of Sean identifying in claims business business that is and opportunities of really close one pharmacy bring business, them both our our and and Sean things Hogan is medical looking about to think lots at nice together. having We

will quarters and of after. individual for And that groups be on won the opportunity remain One would been prospect next then we clients they those the the for we two valuable because between we’ve ought say think any was that, DST not where other are we’re share services we that that we think that can think families several commenting customers, areas years. we others not there to go in I us, have the things of traditionally in working there and lot a they client so base on that from same vendors, buy to was those

Ashish Sabadra

making That’s some for the [ph] XXXX organic as you’re the pretty on thoughts just in these growth we question how XXXX, pipeline well front, headwinds think slow progressing be of about When and preliminary any should growth there? you maybe progress, you, and seems the and Bill. to how off, come about think organic

Bill Stone

where know around a presentations bunch the it’s competitive. you right, world, a Well it’s always Ashish different as

This business top or how have put to is the from a get or take get; solution. is need best posse. do a and We it parts detailed of smartest a sure Anthony way Patrick ranger. people can’t experts. people sure have we organization, able getting can that they asking need without be getting to prepared to they’re into make the can to to own Make best our and succeed. not Right. help our or all organization. advice of other our and lone on the need executives in This the in to their subject they We them we in a the me matter try Rahul they’re People any or very

and further opportunity; getting have getting that it’s show really overwhelming in prospect our a We to them articulate that people very it’s capabilities able somewhat understand them with being in and to the fashion.

digits Post much well, the a that. we those moving we and book those results. put indicators, ought It’s ask people telling that I to are this me XXXX. it’s make is, quarter? a how we leading great or leading towards in you talk of revenue much indicators. I ever And them we in that XXXX But start the need mid-single execute middle and to moving revenue sure and we So growth that results. cheap given higher think single-digit background post the organic and to we got hopefully execute to by this I That’s how we start people how did on say to get revenue ask all great When about numbers?

Ashish Sabadra

and again. once congrats thanks Yes, Bill

Bill Stone

Thank you.

Operator

Your next Davidson the Heckmann Peter comes from line from D.A. Company. question of and

open. is line Your

Peter Heckmann

M&A of little of quarter you like piece just well some Could the bit volume growth the third could about rate or whereas health the business. the you those of that trading as talk volumes some Intralinks comment about the metrics in of as trends on out solutions you’re a seeing organic

Bill Stone

I to posted and of as Peter trends. you helped mean we I that the some in think Intralinks. think some volatility Yes, improve that we’ve if of volumes as the obviously through September in transaction had QX, had

Chrysler you the those of - merger - as like when things things create immediacy. Peugeot see far M&A, kinds Fiat As

tends large new It so that’s with the So the various as coming it I greater that’s merge the and economy many country positive really a banks more - you can overall CBC start thing which the in in you Right, Intralinks merge, big wirehouses thing just get you speed grow just to other tends thing a it’s maybe out same as know we’re help, where IRAs seeing these is SunTrust the immediacy, the for the to that business. CEO’s If financial in earnings real as of financial for think through of think the that, and services that improve SS&C. so scale. share more to I the and will think companies thinking positive I have then per more path to service. probably can and

Peter Heckmann

Great, that’s [indiscernible]. and an know can leverage don’t you idea for post-closing that I totally would don’t stand if provided it’s but Algorithmics. you I price helpful had think give where a us settled purchase

Bill Stone

- less bit I quite really $XXX meaningful million. particularly us. think Pete, than It’s a to it’s don’t

Peter Heckmann

right. you. All Thank

Operator

Morgan your And James of Fawcett comes the question from next from line Stanley.

Your line is open.

James Fawcett

on the a bit ask, and product then as to rates on what relates also first and quick it just pipeline your on I pipeline. about can DTC etc. you to conversion wanted around development question talk little retention rates

kind only indicators for the Thanks. But and of may what those indicated sometimes tracking that, you to you room how how rates conversions where look be customers I’m there like good. think and look can wondering are I improvement. those think

Bill Stone

improvement for there’s from think a standpoint First room I of everywhere. pipeline. And Right.

Large on business think that we’ve in each them a sales general get metrics take between deals of large done we XX months which XX use and to probably deals had. I strong they have our as last closed of say In different large But ever deals. six somewhere to years. in have couple would different XX say pipeline to that and we estimate. of cycle would probably parts I in general, I months in

is, large and be XXXX deal would deals I think in a $X to we to closing XX would I $XX million million. say shooting large for XX

James Fawcett

retention, what and look terms that really - customer what the and deals, on client then should it about Got about, what build that’s helpful then of and they and we some those in also does improvement in new larger actually anticipate metrics? those like

Patrick Pedonti

on retention for last this XX and Patrick. revenue months is XX.X%. This was client Overall at is based running the calculated

XX% for So years. high several the in we would to that’s on generally end the probably XX% that past range generally, of be

James Fawcett

great. a Okay, lot. Thanks

Operator

for no any time. to closing I Mr. are this turn you questions Bill back over call the further There remarks. at Stone

Bill Stone

a end Again of you’re youngsters Thanks. you look going well or we and forward you’re you’re trick-or-treating appreciate maybe going, everybody young, you’re of you to getting and the know and wish bunch on at but trick-or-treating quarter. this going you, talking fourth Halloween call today. have probably it’s still the I I I

Operator

concludes this Thank for gentlemen, you today’s and conference Ladies call. participating.

You may disconnect. now

SS&C Technologies (SSNC) 1 Nov 192019 Q3 Earnings call transcript