Company registration number 01772349 (England and Wales)
SS&C SOLUTIONS LIMITED
ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023
SS&C SOLUTIONS LIMITED
COMPANY INFORMATION
Directors
M Hobson
B N Schell
(Appointed 11 October 2023)
Company number
01772349
Registered office
The Rex Building
62 Queen Street
London
England
EC4R 1EB
Auditor
Azets Audit Services
Suites B & D
Burnham Yard
London End
Beaconsfield
Buckinghamshire
United Kingdom
HP9 2JH
SS&C SOLUTIONS LIMITED
CONTENTS
Page
Strategic report
1 - 2
Directors' report
3 - 7
Independent auditor's report
8 - 10
Statement of comprehensive income
11
Balance sheet
12
Statement of changes in equity
13
Notes to the financial statements
14 - 31
SS&C SOLUTIONS LIMITED
STRATEGIC REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023
- 1 -

The directors present the strategic report for the year ended 31 December 2023.

Review of the business

The company acts as a provider of software, computer consultancy, software development and related services.

 

The key business risks and uncertainties affecting the company are considered to relate to the fact that the company operates within a highly competitive market place. The directors of the group have reviewed the group’s exposure to credit risk, liquidity risk and cash flow risk and these are discussed in the Directors’ report.

 

The profit before taxation was £22,744,000 (2022: £15,327,000) and net assets at the end of the year were £58,049,000 (2022: £39,517,000) following the dividend paid of £nil (2022: £nil) during the year.

Principal risks and uncertainties

The company's software is well regarded in the financial community and by the company's customers but demand is sensitive to the economic cycle and the fortunes of the financial services sector.

 

The company is otherwise financially stable and does not have external borrowings.

 

The company's directors review various financial and operational information but do not currently review a formalised set of KPIs. The financial reports that are currently reviewed include profitability summaries, utilisation rates, balance sheets and cash flow statements. The focus of the senior management who receive financial reports is more on the wider group, including the company's subsidiaries and parent undertakings, than the results of individual companies.

 

The company is part of SS&C Technologies Holdings, Inc. which is managed on a group-wide basis. Principal risks, uncertainties and KPIs used by the group are disclosed in the SS&C Technologies Holdings, Inc. consolidated financial statements, which does not form part of this annual report.

Directors' statement of compliance with duty to promote success of the Company
Long-term strategy

The Directors regularly assess the products and services the Company provides to ensure they are aligned to client needs. The Directors review and consider new business opportunities as part of their long-term planning with a view to growing the business and sustaining profitability in the longer term. As part of these strategic business plans, the Directors will give consideration to the level of investment in core technology platforms, further automations, and additional opportunities to collaborate with other SS&C group operations around the world, with the objective to improve the client service offering and to manage its cost base. The Directors also actively engage with the client base, developing strong relationships which enable the Company to meet client needs on a long-term basis.

Business relationships

The Directors implement policies to foster the Company's business relationships with suppliers, clients, and others.

 

The Company provides business critical services to its clients in the alternative assets industry. It is therefore vitally important that the risks that the Company faces are effectively identified and managed, in order to provide an appropriate level of resilience for its clients. The principal risks and uncertainties faced by the Company and the risk management procedures adopted by the Directors are set out on within the Directors' Report.

Impact on the community

The Directors are mindful of the impact their decisions have on the community and the environment. They take a long-term and all-inclusive approach to managing the environmental risks and opportunities facing the business. Polices are embedded in the Company's code of conduct that seek to minimise the impacts of the business on the environment. On an annual basis management review the Company's environmental performance and ensure the policy remains relevant and appropriate.

SS&C SOLUTIONS LIMITED
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 2 -
Reputation and standards of business conduct

The Directors are committed to maintaining and enhancing the Company's reputation, and ensuring that its officers and employees consistently act in compliance with regulatory rules and in accordance with the high standards of business conduct expected of firms operating within the alternative assets industry. The Company maintains a robust Risk Governance Framework. The directors regularly review the Company's ethics and whistleblowing policies and provides training to all employees on an annual basis covering ethics and standards of business conduct, making use of on-line training tools, and classroom based training.

On behalf of the board

B N Schell
Director
29 October 2024
SS&C SOLUTIONS LIMITED
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023
- 3 -

The directors present their annual report and financial statements for the year ended 31 December 2023.

Principal activities

The principal activity of the company continued to be that of the provision of software, computer consultancy, software development, information technology and related services.

Results and dividends

The profit before taxation was £22,744,000 (2022: £15,327,000).

 

The profit for the financial year transferred to reserves was £18,532,000 (2022: £15,025,000).

A dividend of £nil (2022: £nil) was declared and paid during the year.

Directors

The directors who held office during the year and up to the date of signature of the financial statements were as follows:

P Pedonti
(Resigned 11 October 2023)
M Hobson
B N Schell
(Appointed 11 October 2023)
Qualifying third party indemnity provisions

SS&C Technologies Holdings, Inc. maintains liability insurance for the directors of SS&C Solutions Limited. For the purposes of the Companies Act 2006, SS&C Technologies Holdings, Inc. provides indemnity insurance for the directors and company secretary of SS&C Solutions Limited for qualifying third party provisions.

Financial instruments
Price risk

The company’s software development and services activities are exposed to the price of the skilled labour that is necessary to operate. This is not a risk that can easily be managed. The directors will revisit the appropriateness of this policy should the company’s operations change in size or nature, the policy being to ensure a reasonable margin is charged on cost in line with commercially acceptable norms. The directors regularly review financial reports and management information to review price risk and any indication of a decrease in the margin is investigated and appropriate action is taken as is deemed commercially acceptable.

Liquidity risk

The company actively monitors its liquidity and has banking facilities in place to ensure the company has sufficient available funds for operations and planned expansions. The company is cash generative and has no external borrowings. Financial reports and management information regarding current and future liquidity requirements are regularly reviewed and appropriate action is taken to ensure that sufficient available funds for operations and planned expansions exist.

Interest rate cash flow risk

The only material external interest bearing assets are cash balances. Some intercompany balances are interest bearing also. The company does not have fixed interest arrangements but the size of external positions is not sufficient to significantly expose the company to changes in interest rates. The directors will revisit the appropriateness of this policy should the company’s operations change in size or nature.

SS&C SOLUTIONS LIMITED
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 4 -
Foreign exchange risk

The company's external turnover is mostly in sterling. The company has some intercompany turnover and costs that are denominated in the relevant subsidiaries' operating currency. The risk is not considered to be great enough to require active management. The directors will revisit the appropriateness of this policy should the company's operations change in size or nature.

Credit risk

The company has policies that require appropriate credit checks on potential customers before sales are made. The amount of exposure from any individual counterparty is subject to a contractually agreed amount. The contract determines collectability and provides a legal framework should disputes arise over amounts billed. Financial reports and management information regarding credit risk are regularly reviewed and appropriate action is taken to mitigate this risk as is deemed commercially acceptable.

Market risk

The company mainly does business with the financial services and banking sectors and is therefore exposed to market conditions in this sector. This is not a risk that can be managed but over time the continuing research and development activity of the company will enable it to have a more diversified product offering and client base.

Research and development

The company continues to develop and enhance its product range to meet the changing business requirements of its client base and the technical and operating environment of the computer software market. Wherever possible, the company seeks to involve its clients as partners in the development process. Such developments, together with further investment in its existing product range, reinforce the company’s commitment to be the world’s leading software supplier to the asset management industry. Direct costs invested in research and development activities in the period were £4,255,313 (2022: £5,207,931).

Employees

The company is committed to employment policies, which follow best practice, based on equal opportunities for all employees. As an equal opportunities employer the company does not and will not discriminate on the basis of race, religion or similar belief, colour, nationality, national or ethnic origin, sex, marital or family status, sexual orientation, sex change status, age, disability or against employees working on a fixed term or part time basis.

The company welcomes applications from disabled people and offers them appropriate training and career development. If members of staff become disabled, the company continues employment wherever possible and arranges retraining.

The company encourages employee involvement in performance through a restricted stock scheme for senior employees, performance related bonus schemes and individual performance and development plans to assess objectives. The company is committed to achieving employee awareness of economic and financial factors affecting the company by having employee newsletters, corporate briefings, bonus targets and providing employees with information on matters of concern to them on a regular basis. In addition, externally run staff surveys are carried out annually to establish the views of our employees so that they can be taken into account when making decisions that are likely to affect their interests.

Future developments

The company will continue to evaluate new business opportunities and invest in its technology platform.

Auditor

The auditor, Azets Audit Services, is deemed to be reappointed under section 487(2) of the Companies Act 2006.

SS&C SOLUTIONS LIMITED
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 5 -
Energy and carbon report

Executive Summary

 

 

UK energy use and associated greenhouse gas emissions

 

Current UK based annual energy usage and associated annual greenhouse gas (“GHG”) emissions are reported pursuant to the Companies (Directors’ Report) and Limited Liability Partnerships (Energy and Carbon Report) Regulations 2018 (“the 2018 Regulations”) that came into force 1 April 2019.

 

Organisational boundary

 

In accordance with the 2018 Regulations, the energy use and associated greenhouse gas emissions are for those within the UK only that come under the operational control boundary. As a consequence, energy use and emissions are aligned with financial reporting for SS&C Solutions Ltd and exclude the non-UK based subsidiaries that would not qualify under the 2018 Regulations in their own right.

 

Reporting period

 

The annual reporting period is 1st January to 31st December each year and the energy and carbon emissions are aligned to this period.

2023
2022
Energy consumption
kWh
kWh
Aggregate of energy consumption in the year
- Electricity purchased
489,421
400,000
489,421
400,000
2023
2022
Emissions of CO2 equivalent
metric tonnes
metric tonnes
Scope 1 - direct emissions
- Gas combustion
-
-
- Fuel consumed for owned transport
-
-
-
-
Scope 2 - indirect emissions
- Electricity purchased
101.35
77.35
Scope 3 - other indirect emissions
- Fuel consumed for transport not owned by the
-
-
Total gross emissions
101.35
77.35
Intensity ratio
Electricty tCO2e per employee
0.42
0.32
SS&C SOLUTIONS LIMITED
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 6 -
Quantification and reporting methodology

The March 2019 UK Government Environmental Reporting Guidelines and the GHG Protocol Corporate Accounting and Reporting Standard (revised edition) were followed. The 2022 UK Government GHG Conversion Factors for Company Reporting were used in emission calculations as these relate to the majority of the reporting period. The report has been produced by independent Building Services Consultancy Synergy BSS Ltd.

 

Where available, electricity and gas consumptions were based on invoice records and meter reads. Where invoices did not cover the reporting period, consumption was estimated using pro-rata, direct comparison or CIBSE TM46 Benchmark estimation techniques. Mileage records were used to calculate energy and emissions from fleet vehicles and grey fleet. Gross calorific values were used except for mileage energy calculations as per Government GHG Conversion Factors.

 

The emissions are divided into mandatory and voluntary emissions according to the 2018 Regulations, then further divided into the direct combustion of fuels and the operation of facilities (scope 1), indirect emissions from purchased electricity (scope 2) and further indirect emissions that occur as a consequence of company activities but occur from sources not owned or controlled by the organisation (scope 3).

Intensity measurement

The Company has chosen to use gross tonnes of carbon dioxide equivalent emissions per employee for electricty related emissions as the intensity ratio. This metric was chosen as it is the most readily available and complete data over the period.

Measures taken to improve energy efficiency

There were no energy efficiency actions recorded for this year.

Statement of directors' responsibilities

The directors are responsible for preparing the annual report and the financial statements in accordance with applicable law and regulations.

 

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to:

 

 

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company’s transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Statement of disclosure to auditor

So far as each person who was a director at the date of approving this report is aware, there is no relevant audit information of which the company’s auditor is unaware. Additionally, the directors individually have taken all the necessary steps that they ought to have taken as directors in order to make themselves aware of all relevant audit information and to establish that the company’s auditor is aware of that information.

SS&C SOLUTIONS LIMITED
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 7 -
On behalf of the board
B N Schell
Director
29 October 2024
SS&C SOLUTIONS LIMITED
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF SS&C SOLUTIONS LIMITED
- 8 -
Opinion

We have audited the financial statements of SS&C Solutions Limited (the 'company') for the year ended 31 December 2023 which comprise the statement of comprehensive income, the balance sheet, the statement of changes in equity and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

 

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

 

Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

Other information

The other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The directors are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

 

We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of our audit:

SS&C SOLUTIONS LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF SS&C SOLUTIONS LIMITED
- 9 -
Matters on which we are required to report by exception

In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the strategic report or the directors' report.

 

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

Responsibilities of directors

As explained more fully in the directors' responsibilities statement, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the directors are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.

Auditor's responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

A further description of our responsibilities is available on the Financial Reporting Council’s website at: https://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.

SS&C SOLUTIONS LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF SS&C SOLUTIONS LIMITED
- 10 -

Extent to which the audit was considered capable of detecting irregularities, including fraud

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above and on the Financial Reporting Council’s website, to detect material misstatements in respect of irregularities, including fraud.

 

We obtain and update our understanding of the entity, its activities, its control environment, and likely future developments, including in relation to the legal and regulatory framework applicable and how the entity is complying with that framework.  Based on this understanding, we identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion.  This includes consideration of the risk of acts by the entity that were contrary to applicable laws and regulations, including fraud.

 

In response to the risk of irregularities and non-compliance with laws and regulations, including fraud, we designed procedures which included:

 

 

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation.  This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance.  The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

Use of our report

This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed.

Adam East ACA
Senior Statutory Auditor
For and on behalf of Azets Audit Services
30 October 2024
Chartered Accountants
Statutory Auditor
Suites B & D
Burnham Yard
London End
Beaconsfield
Buckinghamshire
United Kingdom
HP9 2JH
SS&C SOLUTIONS LIMITED
STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 DECEMBER 2023
- 11 -
2023
2022
Notes
£000
£000
Turnover
3
59,960
56,534
Cost of sales
(19,933)
(19,713)
Gross profit
40,027
36,821
Administrative expenses
(20,888)
(32,723)
Other operating income
5,416
13,061
Operating profit
4
24,555
17,159
Interest receivable and similar income
8
690
-
0
Interest payable and similar expenses
9
(2,201)
(1,832)
Amounts written off investments
10
(300)
-
Profit before taxation
22,744
15,327
Tax on profit
11
(4,212)
(302)
Profit for the financial year
18,532
15,025

The profit and loss account has been prepared on the basis that all operations are continuing operations.

SS&C SOLUTIONS LIMITED
BALANCE SHEET
AS AT
31 DECEMBER 2023
31 December 2023
- 12 -
2023
2022
as restated
Notes
£000
£000
£000
£000
Fixed assets
Goodwill
14
8,868
10,346
Other intangible assets
14
5,358
7,481
Total intangible assets
14,226
17,827
Tangible assets
13
750
1,114
Investments
15
90,040
90,143
105,016
109,084
Current assets
Debtors
17
62,783
91,136
Cash at bank and in hand
2,954
1,985
65,737
93,121
Creditors: amounts falling due within one year
18
(111,107)
(160,827)
Net current liabilities
(45,370)
(67,706)
Total assets less current liabilities
59,646
41,378
Creditors: amounts falling due after more than one year
19
(1,597)
(1,861)
Net assets
58,049
39,517
Capital and reserves
Called up share capital
24
830
830
Capital redemption reserve
30
30
Other reserves
2,559
2,559
Profit and loss reserves
54,630
36,098
Total equity
58,049
39,517
The financial statements were approved by the board of directors and authorised for issue on 29 October 2024 and are signed on its behalf by:
B N Schell
Director
Company Registration No. 01772349
SS&C SOLUTIONS LIMITED
STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2023
- 13 -
Share capital
Capital redemption reserve
Profit and loss reserves
Total
£000
£000
£000
£000
£000
As restated for the period ended 31 December 2022:
Balance at 1 January 2022
830
30
2,559
21,073
24,492
Year ended 31 December 2022:
Profit and total comprehensive income for the year
-
-
-
15,025
15,025
Balance at 31 December 2022
830
30
2,559
36,098
39,517
Year ended 31 December 2023:
Profit and total comprehensive income for the year
-
-
-
18,532
18,532
Balance at 31 December 2023
830
30
2,559
54,630
58,049
SS&C SOLUTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023
- 14 -
1
Accounting policies
Company information

SS&C Solutions Limited is a private company limited by shares incorporated in England and Wales. The registered office is The Rex Building, 62 Queen Street, London, England, EC4R 1EB.

1.1
Accounting convention

These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006.

The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £000.

The financial statements have been prepared under the historical cost convention, modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value. The principal accounting policies adopted are set out below.

This company is a qualifying entity for the purposes of FRS 102, being a member of a group where the parent of that group prepares publicly available consolidated financial statements, including this company, which are intended to give a true and fair view of the assets, liabilities, financial position and profit or loss of the group. The company has therefore taken advantage of exemptions from the following disclosure requirements:

 

 

The financial statements of the company are consolidated in the financial statements of SS&C Technologies Holdings Inc. These consolidated financial statements are publicly available from its registered office.

1.2
Going concern

Atruet the time of approving the financial statements, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.

The company has been provided with a letter of financial support from its parent stating that they will provide funding to allow it to pay its liabilities as they fall due for a period of no less than 12 months from the date of approval of financial statements.

SS&C SOLUTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 15 -
1.3
Turnover

Turnover comprises revenue recognised by the company in respect of the provision of software, computer consultancy, software development and related services supplied during the year, exclusive of Value Added Tax and trade discounts.

 

Licences

Perpetual licence turnover arising from agreements involving insignificant development work not essential to the core functionality of the system delivered is recognised when the software is delivered, provided collectability is probable. Where development work is significant and is essential to the functionality of the software being delivered, licence and development turnover arising there from is recognised using the percentage of completion method of accounting.

 

Services

If development and consulting services are provided on a time and materials basis the turnover arising therefrom is recognised as the services are provided. If such services are provided under a fixed price contract then turnover is recognised on a percentage of completion basis. Certain products are provided under Application Service Provider (ASP) contracts and turnover is recognised as the service is provided.

 

Accrued income relates to consultancy services provided to the company's clients. Once contractual milestones have been reached and income can be recognised, income is accrued until it is billed to the client.

 

Maintenance

Turnover arising from software maintenance agreements is recognised rateably over the relevant period of the maintenance contract.

 

Deferred income on contracts

Deferred income represents maintenance fees billed in advance for periods of up to 12 months, licence fees billed which do not fulfil the revenue recognition criteria, other fees invoiced in advance for which services will be rendered within the next 12 months, and the amount by which progress payments and any provisions for foreseeable losses on contracts exceeds revenue recognised.

1.4
Intangible fixed assets - goodwill

Goodwill represents the excess of the cost of acquisition of unincorporated businesses over the fair value of net assets acquired. It is initially recognised as an asset at cost and is subsequently measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is considered to have a finite useful life and is amortised on a systematic basis over its expected life, which is 10 years.

 

For the purposes of impairment testing, goodwill is allocated to the cash-generating units expected to benefit from the acquisition. Cash-generating units to which goodwill has been allocated are tested for impairment at least annually, or more frequently when there is an indication that the unit may be impaired. If the recoverable amount of the cash-generating unit is less than the carrying amount of the unit, the impairment loss is allocated first to reduce the carrying amount of any goodwill allocated to the unit and then to the other assets of the unit pro-rata on the basis of the carrying amount of each asset in the unit.

SS&C SOLUTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 16 -
1.5
Intangible fixed assets other than goodwill

The intangible assets held are intellectual property rights in the company's software and purchased computer software. Intangible assets are stated at the cost of acquisition less accumulated amortisation. Amortisation is calculated on a straight line basis on the original cost of the asset over the estimated useful life of 10 years for intellectual property rights and 3 years for purchased software and is charged to administrative expenses in the profit and loss account.

 

Where factors, such as technological advancement or changes in market prices, indicate that residual value or useful life have changed, the residual value, useful life or amortisation rate are amended prospectively to reflect the new circumstances. The assets are reviewed for impairment if the above factors indicate that the carrying amounts may be impaired.

 

Research expenditures associated with internally generated software are expensed as incurred. Costs incurred on software development are capitalised as intangible assets when it is determined that the software is technologically feasible, the resources are available to complete development, development costs can be measured reliably and the asset will provide economic benefit. The expenditures capitalised represent employee compensation costs. Other development expenditures are recognised as an expense as incurred. Internally generated software costs previously regarded as an expense are not recognised as an asset in a subsequent period.

 

Internally generated software development costs are recorded at cost and are amortised over their estimated useful life of 3 years on a straight line basis.

Amortisation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Software
3 - 10 years
Completed Technology
7 years
Customer Relationships
12 years
Tradenames
9 years
1.6
Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Fixtures and fittings
3-7 years
Computers
3 years

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.

1.7
Fixed asset investments

Interests in subsidiaries, associates and jointly controlled entities are initially measured at cost and subsequently measured at cost less any accumulated impairment losses. The investments are assessed for impairment at each reporting date and any impairment losses or reversals of impairment losses are recognised immediately in profit or loss.

A subsidiary is an entity controlled by the company. Control is the power to govern the financial and operating policies of the entity so as to obtain benefits from its activities.

SS&C SOLUTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 17 -

An associate is an entity, being neither a subsidiary nor a joint venture, in which the company holds a long-term interest and where the company has significant influence. The company considers that it has significant influence where it has the power to participate in the financial and operating decisions of the associate.

Entities in which the company has a long term interest and shares control under a contractual arrangement are classified as jointly controlled entities.

1.8
Impairment of fixed assets

At each reporting period end date, the company reviews the carrying amounts of its tangible and intangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.

Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.

 

If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.

Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit) in prior years. A reversal of an impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.

1.9
Cash and cash equivalents

Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

1.10
Financial instruments

The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

 

Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument.

 

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

SS&C SOLUTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 18 -
Other financial assets

Other financial assets, including investments in equity instruments which are not subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the transaction price. Such assets are subsequently carried at fair value and the changes in fair value are recognised in profit or loss, except that investments in equity instruments that are not publicly traded and whose fair values cannot be measured reliably are measured at cost less impairment.

Impairment of financial assets

Financial assets, other than those held at fair value through profit and loss, are assessed for indicators of impairment at each reporting end date.

 

Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected. If an asset is impaired, the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss.

 

If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been, had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss.

Derecognition of financial assets

Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the company transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.

Classification of financial liabilities

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.

Basic financial liabilities

Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

 

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

 

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

SS&C SOLUTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 19 -
Other financial liabilities

Derivatives, including interest rate swaps and forward foreign exchange contracts, are not basic financial instruments. Derivatives are initially recognised at fair value on the date a derivative contract is entered into and are subsequently re-measured at their fair value. Changes in the fair value of derivatives are recognised in profit or loss in finance costs or finance income as appropriate, unless hedge accounting is applied and the hedge is a cash flow hedge.

 

Debt instruments that do not meet the conditions in FRS 102 paragraph 11.9 are subsequently measured at fair value through profit or loss. Debt instruments may be designated as being measured at fair value through profit or loss to eliminate or reduce an accounting mismatch or if the instruments are measured and their performance evaluated on a fair value basis in accordance with a documented risk management or investment strategy.

Derecognition of financial liabilities

Financial liabilities are derecognised when the company’s contractual obligations expire or are discharged or cancelled.

1.11
Equity instruments

Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.

1.12
Taxation

The tax expense represents the sum of the tax currently payable and deferred tax.

Current tax

The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The company’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.

Deferred tax

Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.

 

The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset when the company has a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.

SS&C SOLUTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 20 -
1.13
Employee benefits

The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.

 

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

 

Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

1.14
Retirement benefits

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

1.15
Share-based payments

The ultimate parent company operates a share based compensation plan. Share options are granted to selected members of the board of directors, management and key employees.

 

The total amount to be expensed over the vesting period is determined by reference to the fair value of the options granted, excluding the impact of any non-market vesting conditions (for example, profitability and sales growth targets).

1.16
Leases

Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leases asset are consumed.

1.17
Foreign exchange

Transactions in currencies other than pounds sterling are recorded at the rates of exchange prevailing at the dates of the transactions. At each reporting end date, monetary assets and liabilities that are denominated in foreign currencies are retranslated at the rates prevailing on the reporting end date. Gains and losses arising on translation in the period are included in profit or loss.

1.18

Prior period adjustment

A restatement has been applied to deferred revenue to split out between current and long-term based on contract terms. This amounted to £1.861mn with no effect on profit & loss account.

2
Judgements and key sources of estimation uncertainty

In the application of the company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

 

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

SS&C SOLUTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
2
Judgements and key sources of estimation uncertainty
(Continued)
- 21 -
Key sources of estimation uncertainty

The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are as follows.

Useful economic lives of tangible assets

The annual depreciation charge for tangible assets is sensitive to changes in the estimated useful economic lives and residual values of the assets. The useful economic lives and residual values are re-assessed annually. They are amended when necessary to reflect current estimates, based on technological advancement, future investments, economic utilisation and the physical condition of the assets.

Impairment of debtors

The company makes an estimate of the recoverable value of trade and other debtors. When assessing impairment of trade and other debtors, management considers factors including the current credit rating of the debtor, the ageing profile of debtors and historical experience.

Useful economic life of intangible assets

The annual amortisation charge for intangible assets is sensitive to changes in the estimated useful economic lives and residual values of the assets. The useful economic lives and residual values are re-assessed annually. They are amended when necessary to reflect current estimates, based on technological advancement, future investments, economic utilisation and the physical condition of the assets

Impairment of investments

The company makes an estimate of the recoverable value of its investments and will impair the carrying value when necessary. When assessing impairment of investments, management considers factors including the current profitability, strength of balance sheet, historical experience and local economic conditions.

3
Turnover and other revenue
2023
2022
£000
£000
Turnover analysed by class of business
Licence
4,014
10,637
Maintenance
17,561
15,768
Others
38,385
30,129
59,960
56,534
2023
2022
£000
£000
Turnover analysed by geographical market
United Kingdom
9,979
10,147
Rest of Europe
10,729
5,880
North America
20,807
29,644
Rest of World
18,445
10,863
59,960
56,534
SS&C SOLUTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 22 -
4
Operating profit
2023
2022
Operating profit for the year is stated after charging:
£000
£000
Exchange losses
1,564
4,120
Depreciation of owned tangible fixed assets
455
396
(Profit)/loss on disposal of tangible fixed assets
-
10
Amortisation of intangible assets
3,601
4,338
Share-based payments
1,924
1,944
Operating lease charges
490
384
5
Auditor's remuneration
2023
2022
Fees payable to the company's auditor and associates:
£000
£000
For audit services
Audit of the financial statements of the company
73
71

Included within the above amount are audit fees charged to the parent company which are borne by the company.

6
Employees

The average monthly number of persons (including directors) employed by the company during the year was:

2023
2022
Number
Number
Analysts and programmers
184
181
Administration and sales
56
59
Total
240
240

Their aggregate remuneration comprised:

2023
2022
£000
£000
Wages and salaries
23,173
23,117
Social security costs
3,167
2,944
Pension costs
1,523
1,492
27,863
27,553
SS&C SOLUTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 23 -
7
Directors' remuneration
2023
2022
£000
£000
Remuneration for qualifying services
175
180
Company pension contributions to defined contribution schemes
9
4
184
184
8
Interest receivable and similar income
2023
2022
£000
£000
Interest income
Interest receivable from group companies
690
-
0
9
Interest payable and similar expenses
2023
2022
£000
£000
Interest payable to group undertakings
2,201
1,832
10
Amounts written off investments
2023
2022
£000
£000
Other gains and losses
(300)
-
11
Taxation
2023
2022
£000
£000
Current tax
UK corporation tax on profits for the current period
4,613
567
Adjustments in respect of prior periods
-
0
1
Total UK current tax
4,613
568
Foreign current tax on profits for the current period
46
159
Total current tax
4,659
727
Deferred tax
Origination and reversal of timing differences
(607)
(379)
Adjustment in respect of prior periods
160
(46)
Total deferred tax
(447)
(425)
Total tax charge
4,212
302
SS&C SOLUTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
11
Taxation
(Continued)
- 24 -

The actual charge for the year can be reconciled to the expected charge for the year based on the profit or loss and the standard rate of tax as follows:

2023
2022
£000
£000
Profit before taxation
22,744
15,327
Expected tax charge based on the standard rate of corporation tax in the UK of 23.50% (2022: 19.00%)
5,345
2,912
Tax effect of expenses that are not deductible in determining taxable profit
75
11
Adjustments in respect of prior years
160
(45)
Effect of change in corporation tax rate
(36)
(91)
Effect of overseas tax rates
46
159
Non-taxable dividend income
(1,273)
(2,481)
Net deduction on share based payments
(105)
(82)
Other
-
0
(81)
Taxation charge for the year
4,212
302

The Chancellor announced on 3 March 2021 that the UK corporation tax rate will increase to 25% from April 2023. These changes were enacted in Finance Act 2021 on 10 June 2021. The effect of the tax change has been reflected in the deferred tax balances.

12
Impairments

Impairment tests have been carried out where appropriate and the following impairment losses have been recognised in profit or loss:

2023
2022
Notes
£000
£000
In respect of:
Fixed asset investments
15
300
-
Recognised in:
Amounts written off investments
300
-

The impairment losses in respect of financial assets are recognised in other gains and losses in the profit and loss account.

 

During the year, impairment of £300,000 was recognised on the investment held in SS&C Technologies Australia Pty Limited.

SS&C SOLUTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 25 -
13
Tangible fixed assets
Fixtures and fittings
Computers
Total
£000
£000
£000
Cost
At 1 January 2023
208
1,921
2,129
Additions
91
-
0
91
At 31 December 2023
299
1,921
2,220
Depreciation and impairment
At 1 January 2023
32
983
1,015
Depreciation charged in the year
87
368
455
At 31 December 2023
119
1,351
1,470
Carrying amount
At 31 December 2023
180
570
750
At 31 December 2022
176
938
1,114
14
Intangible fixed assets
Goodwill
Software
Completed Technology
Customer Relationships
Tradenames
Total
£000
£000
£000
£000
£000
£000
Cost
At 1 January 2023
14,780
2,296
12,126
1,554
1,237
31,993
Disposals
-
0
(220)
-
0
-
0
-
(220)
At 31 December 2023
14,780
2,076
12,126
1,554
1,237
31,773
Amortisation and impairment
At 1 January 2023
4,434
2,193
6,737
177
625
14,166
Amortisation charged for the year
1,478
103
1,732
131
157
3,601
Disposals
-
0
(220)
-
0
-
0
-
(220)
At 31 December 2023
5,912
2,076
8,469
308
782
17,547
Carrying amount
At 31 December 2023
8,868
-
0
3,657
1,246
455
14,226
At 31 December 2022
10,346
103
5,389
1,377
612
17,827
15
Fixed asset investments
2023
2022
Notes
£000
£000
Investments in subsidiaries
16
90,040
90,143
SS&C SOLUTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
15
Fixed asset investments
(Continued)
- 26 -
Movements in fixed asset investments
Shares in subsidiaries
£000
Cost or valuation
At 1 January 2023
90,143
Additions
197
At 31 December 2023
90,340
Impairment
At 1 January 2023
-
Impairment losses
300
At 31 December 2023
300
Carrying amount
At 31 December 2023
90,040
At 31 December 2022
90,143
SS&C SOLUTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 27 -
16
Subsidiaries

Details of the company's subsidiaries at 31 December 2023 are as follows:

Name of undertaking
Registered office
Class of
% Held
shares held
Direct
Indirect
DST (Hong Kong) Limited
Hong Kong
Ordinary
100.00
-
SS&C Technologies Korea Limited
Korea
Ordinary
100.00
-
DST Process Solutions SA (Pty) Limited
South Africa
Ordinary
100.00
-
SS&C Technologies South Africa (PTY) Limited
South Africa
Ordinary
100.00
-
SS&C Technologies (Asia) Limited
Hong Kong
Ordinary
100.00
-
SS&C Technologies Australia Pty Limited
Australia
Ordinary
100.00
-
SS&C Technologies Sdn. Bhd.
Malaysia
Ordinary
100.00
-
DST Global Solutions LLC
United States
Ordinary
100.00
-
SS&C Solutions Pty Limited
Australia
Ordinary
100.00
-
SS&C Technologies (Singapore) Pte Limited
Singapore
Ordinary
100.00
-
SS&C Solutions NZ Limited
New Zealand
Ordinary
100.00
-
SS&C Technologies Shanghai Limited
China
Ordinary
100.00
-
PT DST Global Solutions Indonesia
Indonesia
Ordinary
99.99
-
SS&C Bluedoor Holdings Pty Limited
Australia
Ordinary
100.00
-
Advent Software (Beijing) Co. Limited
China
Ordinary
-
100.00
SS&C Fund Services (Asia) Limited
Hong Kong
Ordinary
-
100.00
Global Solutions (Thailand) Limited
Thailand
Ordinary
-
100.00
SS&C Fund Services (Asia) Pte. Limited
Singapore
Ordinary
-
100.00
SS&C Bluedoor Technologies Pty Limited
Australia
Ordinary
-
100.00
SS&C Bluedoor Pty Limited
Australia
Ordinary
-
100.00
SS&C Process Solutions (Australia) Pty Limited
Australia
Ordinary
-
100.00
SS&C Financial Services Middle East Limited
Abu Dhabi, UAE
Ordinary
100.00
-
SS&C Administration Services (Australia) Pty Limited
Australia
Ordinary
-
100.00
SS&C GIDS Transfer Agency (Australia) Pty Ltd
Australia
Ordinary
-
100.00
SS&C SOLUTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
16
Subsidiaries
(Continued)
- 28 -

The directors believe the carrying value of the investments is supported by the value of their underlying net assets.

Investments in subsidiaries are included at cost less provision for any permanent diminution in value. The carrying value of the investments is reviewed periodically by the directors and carrying values are impaired if circumstances since the acquisition or formation of a subsidiary justify an impairment of the value. The directors perform an impairment review of all assets each year. When it is apparent that the carrying value of the investment exceeds the estimated net present value of future cash flows less non- operating assets, an impairment provision is charged against the result for the year.

During the year, impairment of £300,000 was recognised on the investment held in SS&C Technologies Australia Pty Limited.

SS&C Financial Services Middle East Limited was incorporated in the period with all shares subscribed to SS&C Solutions Limited.

17
Debtors
2023
2022
Amounts falling due within one year:
£000
£000
Trade debtors
7,435
12,224
Amounts owed by group undertakings
50,640
74,598
Other debtors
46
127
Prepayments and accrued income
862
687
58,983
87,636
Deferred tax asset (note 20)
2,079
1,632
61,062
89,268
2023
2022
Amounts falling due after more than one year:
£000
£000
Trade debtors
1,721
1,868
Total debtors
62,783
91,136

Intercompany debtors are unsecured and repayable on demand. All intercompany balances are non-interest bearing.

SS&C SOLUTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 29 -
18
Creditors: amounts falling due within one year
2023
2022
£000
£000
as restated
Trade creditors
227
510
Amounts owed to group undertakings
96,787
146,946
Taxation and social security
2,046
1,920
Accruals and deferred income
12,047
11,451
111,107
160,827

Included within amounts due to group undertakings is a 5.00% fixed rate unsecured demand note due to Financial Models Corporation Limited of £44,000,000 (2022: £44,000,000). Other intercompany creditors are non-interest bearing, unsecured and repayable on demand.

19
Creditors: amounts falling due after more than one year
2023
2022
Notes
£000
£000
as restated
Deferred income
21
1,597
1,861
20
Deferred taxation

The following are the major deferred tax liabilities and assets recognised by the company and movements thereon:

Assets
Assets
2023
2022
Balances:
£000
£000
Accelerated capital allowances
182
199
Share based payments
1,576
1,254
Intangibles
228
91
Other short term timing differences
93
88
2,079
1,632
2023
Movements in the year:
£000
Asset at 1 January 2023
(1,632)
Credit to profit or loss
(447)
Asset at 31 December 2023
(2,079)
SS&C SOLUTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 30 -
21
Deferred income
2023
2022
£000
£000
Other deferred income
1,597
1,861
22
Retirement benefit schemes
2023
2022
Defined contribution schemes
£000
£000
Charge to profit or loss in respect of defined contribution schemes
1,523
1,492

The company operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the company in an independently administered fund.

23
Share-based payment transactions
Liabilities and expenses

Share based payments under the various plans offered by the ultimate parent company SS&C Technologies Holdings, Inc. may be granted to officers and other key individuals who perform services for the company. These awards may be in the form of Stock Options and Restricted Stock Units (“RSU”) and other similar awards.

 

Each stock option has an exercise price equal to the market price of the ultimate parent company’s common stock on the grant date and a contractual term of ten years from the date of the grant. Substantially all stock options vest at 25% on the first anniversary of the date of the grant and 1/36 per month thereafter until fully vested.

 

The expected volatility is based on weighted historical and implied volatilities of the ultimate parent company’s common stock price. The expected life of the options is based on historical data.

 

The fair value of all the share-based compensation is charged to the company by the ultimate parent company and therefore no capital contribution arises to the company. The share-based compensation expense during the year was £1,923,790 (2022: £1,943,780).

24
Share capital
2023
2022
2023
2022
Ordinary share capital
Number
Number
£000
£000
Issued and fully paid
Ordinary shares of 25p each
3,320,108
3,320,108
830
830
SS&C SOLUTIONS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 31 -
25
Operating lease commitments
Lessee

At the reporting end date the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:

2023
2022
£000
£000
Within one year
139
387
Between two and five years
-
0
84
139
471
26
Events after the reporting date

On 17 May 2024, the company resolved to provide an additional capital contribution to SS&C Bluedoor (Australia) Pty Ltd amounting to AUD $23.5m.

27
Ultimate controlling party

The immediate parent undertaking of the company is Financial Models Corporation Limited, which is registered in the United Kingdom and holds 100% of the share capital of the company.

 

The ultimate parent undertaking and the smallest and largest group to consolidate these financial statements is SS&C Technologies Holdings, Inc., a company incorporated in the United States of America. Copies of the consolidated financial statements of SS&C Technologies Holdings, Inc. can be obtained from 80 Lamberton Road, Windsor, Connecticut 06095, USA.

28
Prior period adjustment

Refer to Accounting Policies Note 1.18 for further details on prior period restatement. This does not have any effect on the equity or Profit & Loss.

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