Financial software provider SS&C Technologies (NASDAQ: SSNC) reported revenue ahead of Wall Street’s expectations in Q1 CY2026, with sales up 8.7% year on year to $1.65 billion. The company expects next quarter’s revenue to be around $1.66 billion, close to analysts’ estimates. Its non-GAAP profit of $1.69 per share was 2.3% above analysts’ consensus estimates.

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“As we mark 40 years of delivering mission-critical systems and processing, SS&C's strong first quarter results of $1,648 million adjusted revenues and $651 million adjusted consolidated EBITDA reflect our deeply embedded infrastructure and long-standing client relationships,” says Bill Stone, Chairman and Chief Executive Officer.

Company Overview

Founded in 1986 as a bridge between technology and financial services, SS&C Technologies (NASDAQ: SSNC) provides software and software-enabled services that help financial firms and healthcare organizations automate complex business processes.

Revenue Growth

Examining a company’s long-term performance can provide clues about its quality. Any business can experience short-term success, but top-performing ones enjoy sustained growth for years.

With $6.41 billion in revenue over the past 12 months, SS&C is one of the larger companies in the business services industry and benefits from a well-known brand that influences purchasing decisions.

As you can see below, SS&C grew its sales at a decent 6.2% compounded annual growth rate over the last five years. This shows its offerings generated slightly more demand than the average business services company, a useful starting point for our analysis.

We at StockStory place the most emphasis on long-term growth, but within business services, a half-decade historical view may miss recent innovations or disruptive industry trends. SS&C’s annualized revenue growth of 7.2% over the last two years aligns with its five-year trend, suggesting its demand was stable.

This quarter, SS&C reported year-on-year revenue growth of 8.7%, and its $1.65 billion of revenue exceeded Wall Street’s estimates by 1%. Company management is currently guiding for a 7.9% year-on-year increase in sales next quarter.

Looking further ahead, sell-side analysts expect revenue to grow 6.1% over the next 12 months, similar to its two-year rate. Still, this projection is above average for the sector and implies the market is forecasting some success for its newer products and services.

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Adjusted Operating Margin

Adjusted operating margin is an important measure of profitability as it shows the portion of revenue left after accounting for all core expenses – everything from the cost of goods sold to advertising and wages. It’s also useful for comparing profitability across companies because it excludes non-recurring expenses, interest on debt, and taxes.

SS&C has been a well-oiled machine over the last five years. It demonstrated elite profitability for a business services business, boasting an average adjusted operating margin of 37.3%.

Looking at the trend in its profitability, SS&C’s adjusted operating margin decreased by 4 percentage points over the last five years. This raises questions about the company’s expense base because its revenue growth should have given it leverage on its fixed costs, resulting in better economies of scale and profitability.

This quarter, SS&C generated an adjusted operating margin profit margin of 27.9%, down 10.1 percentage points year on year. This contraction shows it was less efficient because its expenses grew faster than its revenue.

Earnings Per Share

We track the long-term change in earnings per share (EPS) for the same reason as long-term revenue growth. Compared to revenue, however, EPS highlights whether a company’s growth is profitable.

SS&C’s decent 7.5% annual EPS growth over the last five years aligns with its revenue performance. This tells us it maintained its per-share profitability as it expanded.

Like with revenue, we analyze EPS over a more recent period because it can provide insight into an emerging theme or development for the business.

SS&C’s two-year annual EPS growth of 15.6% was great and topped its 7.2% two-year revenue growth.

Diving into SS&C’s quality of earnings can give us a better understanding of its performance. A two-year view shows that SS&C has repurchased its stock, shrinking its share count by 2.3%. This tells us its EPS outperformed its revenue not because of increased operational efficiency but financial engineering, as buybacks boost per share earnings.

In Q1, SS&C reported adjusted EPS of $1.69, up from $1.44 in the same quarter last year. This print beat analysts’ estimates by 2.3%. Over the next 12 months, Wall Street expects SS&C’s full-year EPS of $6.40 to grow 9.8%.

Key Takeaways from SS&C’s Q1 Results

It was good to see SS&C narrowly top analysts’ revenue expectations this quarter. We were also happy its full-year EPS guidance narrowly outperformed Wall Street’s estimates. Overall, this print had some key positives. The stock traded up 1.6% to $71.09 immediately following the results.

So do we think SS&C is an attractive buy at the current price? The latest quarter does matter, but not nearly as much as longer-term fundamentals and valuation, when deciding if the stock is a buy. We cover that in our actionable full research report which you can read here (it’s free).