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What To Expect From SS&C’s (SSNC) Q4 Earnings

SSNC Cover Image

Financial software provider SS&C Technologies (NASDAQ: SSNC) will be announcing earnings results this Thursday after market hours. Here’s what to expect.

SS&C beat analysts’ revenue expectations by 1.2% last quarter, reporting revenues of $1.57 billion, up 7% year on year. It was a mixed quarter for the company, with a beat of analysts’ EPS estimates but a miss of analysts’ billings estimates.

Is SS&C a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.

This quarter, analysts are expecting SS&C’s revenue to grow 6.1% year on year to $1.62 billion, slowing from the 8.4% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $1.61 per share.

SS&C Total Revenue

Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. SS&C has a history of exceeding Wall Street’s expectations, beating revenue estimates every single time over the past two years by 1.6% on average.

Looking at SS&C’s peers in the data & business process services segment, some have already reported their Q4 results, giving us a hint as to what we can expect. Broadridge delivered year-on-year revenue growth of 7.8%, beating analysts’ expectations by 6.5%, and ADP reported revenues up 6.2%, topping estimates by 0.6%. ADP traded down 3.4% following the results.

Read our full analysis of Broadridge’s results here and ADP’s results here.

Investors in the data & business process services segment have had fairly steady hands going into earnings, with share prices down 1.4% on average over the last month. SS&C is down 16.8% during the same time and is heading into earnings with an average analyst price target of $100.78 (compared to the current share price of $73.52).

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