Paychex (PAYX) Research | Aerarium Research

Forward Estimates

EPS Estimates

Current Qtr

$1.31

$1.28$1.36

vs $1.19+10.0%

18 analysts

Next Qtr

$1.31

$1.19$1.41

vs $1.22+7.3%

15 analysts

Current Yr

$5.50

$5.47$5.55

vs $4.98+10.4%

19 analysts

Next Yr

$5.90

$5.55$6.00

vs $5.50+7.3%

19 analysts

Revenue Estimates

Current Qtr

$1.61B

$1.59B$1.69B

vs $1.43B+12.6%

16 analysts

Next Qtr

$1.62B

$1.62B$1.63B

vs $1.54B+5.5%

11 analysts

Current Yr

$6.51B

$6.49B$6.60B

vs $5.57B+16.9%

18 analysts

Next Yr

$6.87B

$6.84B$7.03B

vs $6.51B+5.6%

18 analysts

SEC filings →

View all 10-K, 10-Q, and 8-K filings for PAYX on EDGAR.

PAYX filing events and research context
Filed	Item	Context
Mar 26, 2026	mda_quarterly	Paychex reported significant top-line growth for the third quarter ended February 28, 2026, with total revenue increasing 20% year-over-year to $1.81 billion. This expansion was primarily driven by a 23% surge in Management Solutions revenue to $1.35 billion, largely attributable to the April 2025 acquisition of Paycor HCM, Inc., which contributed approximately 19% to the segment's quarterly revenue. PEO and Insurance Solutions revenue grew 9% to $397.5 million, while interest on funds held for clients rose 33% to $56.8 million. Despite revenue gains, GAAP operating margin compressed to 43.8% from 45.8% in the prior-year period, reflecting higher compensation expenses from Paycor integration, increased technology and marketing investments, and $71.2 million in acquisition-related costs. Conversely, adjusted operating margin improved to 47.7%. The company maintains a strong liquidity position with $1.8 billion in cash and investments and $2.0 billion in available credit, though long-term debt increased to $5.0 billion to finance the Paycor transaction. Key financial risks include interest rate volatility impacting the fair value of available-for-sale (AFS) securities, credit exposure within client receivables, and macroeconomic headwinds affecting the small-to-medium business market.
Dec 22, 2025	mda_quarterly	Paychex reported second-quarter revenue of $1,557.6 million, an 18% year-over-year increase, driven primarily by a 21% surge in Management Solutions. This growth was significantly bolstered by the April 2025 acquisition of Paycor HCM, which contributed approximately 17% to Management Solutions revenue through expanded upmarket reach and higher revenue per client. PEO and Insurance Solutions revenue grew 6% to $336.9 million. Interest income on funds held for clients rose 51% to $54.3 million, reflecting higher investment balances from the Paycor integration and strategic portfolio repositioning. Total expenses increased 27% to $985.7 million, impacted by $77.1 million in acquisition-related costs, including Paycor integration expenses and intangible asset amortization. While GAAP net income declined 4% to $395.4 million, adjusted net income grew 11% to $454.6 million, with adjusted diluted earnings per share rising 11% to $1.26. To finance the $4.1 billion Paycor acquisition, the company issued $4.2 billion in fixed-rate corporate bonds, bringing total long-term borrowings to $5.0 billion. Key risks include interest rate volatility affecting the fair value of available-for-sale securities and the operational complexities of the Paycor integration.
Sep 30, 2025	mda_quarterly	Paychex reported total revenue of $1,540.0 million for the first quarter ended August 31, 2025, representing a 17% year-over-year increase. This growth was primarily driven by Management Solutions, which rose 21% to $1,163.3 million, significantly aided by the April 2025 acquisition of Paycor HCM, Inc. for approximately $4.1 billion. The Paycor transaction contributed roughly 17% to Management Solutions revenue growth and expanded the company's upmarket HCM capabilities. PEO and Insurance Solutions revenue grew 3% to $329.1 million. Total expenses increased 29% to $998.1 million, driven by higher compensation costs from increased headcount, higher depreciation, and $84.8 million in acquisition-related costs. While GAAP operating income declined 1% to $541.9 million, adjusted operating income grew 15% to $626.7 million. Net income decreased 10% to $383.8 million, though adjusted diluted earnings per share rose 5% to $1.22. To finance the Paycor acquisition, long-term borrowings increased to $5.0 billion. Key risks include interest rate volatility affecting the $4.98 billion available-for-sale (AFS) securities portfolio, which held $21.0 million in net unrealized losses as of August 31, 2025, and the execution risks inherent in integrating Paycor's SaaS-based solutions.

Filed

Item

Context

Mar 26, 2026

mda_quarterly

Paychex reported significant top-line growth for the third quarter ended February 28, 2026, with total revenue increasing 20% year-over-year to $1.81 billion. This expansion was primarily driven by a 23% surge in Management Solutions revenue to $1.35 billion, largely attributable to the April 2025 acquisition of Paycor HCM, Inc., which contributed approximately 19% to the segment's quarterly revenue. PEO and Insurance Solutions revenue grew 9% to $397.5 million, while interest on funds held for clients rose 33% to $56.8 million. Despite revenue gains, GAAP operating margin compressed to 43.8% from 45.8% in the prior-year period, reflecting higher compensation expenses from Paycor integration, increased technology and marketing investments, and $71.2 million in acquisition-related costs. Conversely, adjusted operating margin improved to 47.7%. The company maintains a strong liquidity position with $1.8 billion in cash and investments and $2.0 billion in available credit, though long-term debt increased to $5.0 billion to finance the Paycor transaction. Key financial risks include interest rate volatility impacting the fair value of available-for-sale (AFS) securities, credit exposure within client receivables, and macroeconomic headwinds affecting the small-to-medium business market.

Dec 22, 2025

mda_quarterly

Paychex reported second-quarter revenue of $1,557.6 million, an 18% year-over-year increase, driven primarily by a 21% surge in Management Solutions. This growth was significantly bolstered by the April 2025 acquisition of Paycor HCM, which contributed approximately 17% to Management Solutions revenue through expanded upmarket reach and higher revenue per client. PEO and Insurance Solutions revenue grew 6% to $336.9 million. Interest income on funds held for clients rose 51% to $54.3 million, reflecting higher investment balances from the Paycor integration and strategic portfolio repositioning. Total expenses increased 27% to $985.7 million, impacted by $77.1 million in acquisition-related costs, including Paycor integration expenses and intangible asset amortization. While GAAP net income declined 4% to $395.4 million, adjusted net income grew 11% to $454.6 million, with adjusted diluted earnings per share rising 11% to $1.26. To finance the $4.1 billion Paycor acquisition, the company issued $4.2 billion in fixed-rate corporate bonds, bringing total long-term borrowings to $5.0 billion. Key risks include interest rate volatility affecting the fair value of available-for-sale securities and the operational complexities of the Paycor integration.

Sep 30, 2025

mda_quarterly

Paychex reported total revenue of $1,540.0 million for the first quarter ended August 31, 2025, representing a 17% year-over-year increase. This growth was primarily driven by Management Solutions, which rose 21% to $1,163.3 million, significantly aided by the April 2025 acquisition of Paycor HCM, Inc. for approximately $4.1 billion. The Paycor transaction contributed roughly 17% to Management Solutions revenue growth and expanded the company's upmarket HCM capabilities. PEO and Insurance Solutions revenue grew 3% to $329.1 million. Total expenses increased 29% to $998.1 million, driven by higher compensation costs from increased headcount, higher depreciation, and $84.8 million in acquisition-related costs. While GAAP operating income declined 1% to $541.9 million, adjusted operating income grew 15% to $626.7 million. Net income decreased 10% to $383.8 million, though adjusted diluted earnings per share rose 5% to $1.22. To finance the Paycor acquisition, long-term borrowings increased to $5.0 billion. Key risks include interest rate volatility affecting the $4.98 billion available-for-sale (AFS) securities portfolio, which held $21.0 million in net unrealized losses as of August 31, 2025, and the execution risks inherent in integrating Paycor's SaaS-based solutions.

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