Paychex expects fiscal 2027 total revenue growth of 5% to 6%
Company raises fiscal 2027 PEO and Insurance Solutions revenue growth outlook to 7% to 8%
Paychex sees fiscal 2027 adjusted diluted EPS growth of 7% to 9%
Overview
U.S. payroll and HR services firm's fiscal Q1 revenue grew 6%, meeting analyst expectations
Adjusted EPS for fiscal Q1 rose 10% and beat analyst expectations
Adjusted operating income for fiscal Q1 beat analyst expectations
Key details
Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
Meet
$1.63 bln
$1.63 bln (15 Analysts)
Q1 Adjusted EPS
Beat
$1.34
$1.32 (16 Analysts)
Q1 EPS
$1.21
Q1 Adjusted Operating Income
Beat
$684.70 mln
$663.51 mln (13 Analysts)
Result drivers
PEO and Insurance Solutions - Co said 12% revenue growth in PEO and Insurance Solutions was driven by more average PEO worksite employees and increased insurance volumes
Management Solutions - Co said 4% Management Solutions revenue growth was driven by higher revenue per client from price realization and product penetration
AI and technology initiatives - Co said continued momentum in AI and launch of WISE Hire recruiting solution enhanced productivity and client outcomes
PAYX•
