Paychex Reports Strong Q4 Revenue Growth

Paychex (NASDAQ:PAYX) reported fourth quarter 2025 earnings on June 25, 2025, posting 10% total revenue growth in the fourth quarter, driven by the completed Paycor acquisition, 6% revenue growth for the full year, 6% adjusted diluted EPS growth for the year, and 60 basis points of adjusted operating income margin expansion despite significant ERTC headwinds. Integration progress outpaced management expectations, with cost synergy targets raised and guidance for fiscal 2026 projects total revenue growth of 16.5%-18.5%, adjusted operating margins of approximately 43%, and adjusted diluted EPS growth of 8.5%-10.5%.Paycor, acquired prior to the fourth quarter earnings call, added more than 50,000 clients. Paychex Flex is now focused on companies with up to 99 employees, Paycor serves the enterprise segment above 100 employees, and SurePayroll is positioned for the smallest "do-it-yourself" businesses. The Paycor buyout contributed approximately 12 to 13 percentage points to consolidated revenue growth in fiscal 2026. Over 1,000 brokers have enrolled in the new Partner Plus program, which is designed to solidify referral channels and accelerate cross-selling opportunities across the expanded suite of HR and payroll solutions.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool