Windsor financial-technology vendor SS&C Technologies Holdings Inc. said its second-quarter net income swung from red to black thanks to rising software sales.
For the April-June period, SS&C late Monday posted profits of $121.1 million, or 45 cents a diluted share, up from a loss of $63.7 million, or 27 cents, in the second quarter of 2018.
Second-quarter revenues jumped about 28 percent to more than $1.1 billion.
While SS&C’s adjusted earnings per share of 91 cents met Wall Street expectations, its share price Tuesday at about 9:30 a.m. was down almost 17 percent to $49.57.
For the year, the financial services software maker said it expects revenue in the range of $4.57 billion to $4.63 billion.
SS&C CEO and Chairman Bill Stone in a conference call with investors Monday evening said he was bullish about the company’s future sales, especially with its existing clients.
“In the past two years, 20 of our largest clients have outsourced some or all of their operational functions to us,” Stone said. “We expect this trend to continue as asset managers focus on their core competencies and move toward cost effective variable expense operating model.”
Last week, the company also named Sean Hogan, previously the former general manager of healthcare and life sciences for IBM, as president of SS&C Health. Hogan will be responsible for overseeing SS&C’s health and pharmacy groups.
The company during the second quarter also agreed to acquire an Australian fintech for $155 million. It’s not yet clear when that deal is expected to close.
