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Paychex Q2 Earnings & Revenues Surpass Estimates, Increase Y/Y
ZACKS· 2024-12-19 18:35
Core Viewpoint - Paychex, Inc. (PAYX) reported strong second-quarter fiscal 2025 results, with earnings and revenues exceeding the Zacks Consensus Estimate [1][2]. Financial Performance - Earnings per share were $1.1, surpassing the Zacks Consensus Estimate by 1.8% and increasing 5.6% year-over-year [2]. - Total revenues reached $1.3 billion, slightly exceeding the consensus estimate and reflecting a 4.8% year-over-year growth [2]. - Revenues from the Management Solutions segment rose 3% year-over-year to $962.9 million, beating the estimate of $955.5 million [3]. - Professional employer organization (PEO) and Insurance Solutions revenues were $317.9 million, up 7% year-over-year, but missed the estimate of $319.4 million [3]. - Service revenues increased 5% year-over-year to $1.3 billion, meeting the estimate [4]. - Interest on funds held for clients grew 15% year-over-year to $36.1 million, falling short of the projection of $36.8 million [4]. - EBITDA was $579.1 million, a 5% increase from the previous year, but missed the estimate of $581.3 million [5]. - Operating income rose 6% year-over-year to $538.1 million, slightly exceeding the projection [5]. - The operating margin improved to 40.9%, up 70 basis points year-over-year, but missed the estimate of 41% [5]. Balance Sheet & Cash Flow - At the end of the second quarter of fiscal 2025, cash and cash equivalents were $1.2 billion, down from $1.5 billion in the previous quarter [6]. - Long-term debt stood at $798.9 million, slightly up from $798.7 million in the first quarter of fiscal 2025 [6]. - Cash generated from operating activities was $295 million, with capital expenditure totaling $47 million [6]. Guidance - Paychex expects interest on funds held for clients to be between $145 million and $155 million [7]. - The company anticipates other income to be in the range of $30 million to $35 million [7]. - Paychex currently holds a Zacks Rank 2 (Buy) [7].
Paychex(PAYX) - 2025 Q2 - Earnings Call Presentation
2024-12-19 16:54
Second Quarter Highlights and Financial Results Fiscal 2025 Forward Looking Statements Certain written statements in this presentation may contain, and members of management may from time to time make or discuss statements which constitute, "forward-looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements include, without limitation, all matters that are not historical facts. Forward-looking statements are n ...
Paychex (PAYX) Tops Q2 Earnings and Revenue Estimates
ZACKS· 2024-12-19 15:41
Paychex (PAYX) came out with quarterly earnings of $1.14 per share, beating the Zacks Consensus Estimate of $1.12 per share. This compares to earnings of $1.08 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 1.79%. A quarter ago, it was expected that this payroll processor and human-resources services provider would post earnings of $1.14 per share when it actually produced earnings of $1.16, delivering a surprise of 1.75%.Ove ...
Paychex(PAYX) - 2025 Q2 - Quarterly Results
2024-12-19 13:40
PRESS RELEASE OF PAYCHEX, INC. DATED DECEMBER 19, 2024 911 Panorama Trail South · Rochester, NY 14625 · paychex.com Paychex, Inc. Reports Second Quarter Results • Sustained Growth in Revenue and Earnings • Returned $810 Million to Stockholders in the First Half of Fiscal 2025 Rochester, N.Y. - (December 19, 2024) - Paychex, Inc. (the "Company," "Paychex," "we," "our," or "us") today reported results for the fiscal quarter ended November 30, 2024 (the "second quarter"). Results compared with the same period ...
What Analyst Projections for Key Metrics Reveal About Paychex (PAYX) Q2 Earnings
ZACKS· 2024-12-16 15:16
Wall Street analysts expect Paychex (PAYX) to post quarterly earnings of $1.12 per share in its upcoming report, which indicates a year-over-year increase of 3.7%. Revenues are expected to be $1.31 billion, up 4.4% from the year-ago quarter.The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. This reflects how the analysts covering the stock have collectively reevaluated their initial estimates during this timeframe.Ahead of a company's earnings disclosure, it is crucial ...
Paychex (PAYX) Reports Next Week: Wall Street Expects Earnings Growth
ZACKS· 2024-12-12 16:00
The market expects Paychex (PAYX) to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended November 2024. This widely-known consensus outlook is important in assessing the company's earnings picture, but a powerful factor that might influence its near-term stock price is how the actual results compare to these estimates.The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released o ...
Here's Why Investors Should Retain Paychex Stock for Now
ZACKS· 2024-11-26 17:10
Paychex, Inc. (PAYX) has had an impressive run in the past year, gaining 22%. The companyhas an impressive Growth Score of B. This style score condenses all the essential metrics from the company’s financial statements to get the true sense of the quality and sustainability of its growth.PAYX’s earnings are anticipated to grow 5.5% and 6.6% in fiscal 2025 and 2026, respectively. The company has a long-term earnings growth expectation of 7.3%.Factors That Augur WellPaychex aims to meet clients' HR and payrol ...
G or PAYX: Which Is the Better Value Stock Right Now?
ZACKS· 2024-11-18 17:45
Investors interested in Outsourcing stocks are likely familiar with Genpact (G) and Paychex (PAYX) . But which of these two stocks presents investors with the better value opportunity right now? Let's take a closer look.We have found that the best way to discover great value opportunities is to pair a strong Zacks Rank with a great grade in the Value category of our Style Scores system. The proven Zacks Rank puts an emphasis on earnings estimates and estimate revisions, while our Style Scores work to identi ...
Why Investors Are Eyeing Paychex Inc (PAYX): The Key Drivers of Market Outperformance and
GuruFocus· 2024-10-07 15:04
Paychex Inc (PAYX, Financial) has recently captured the attention of investors and financial analysts alike, thanks to its strong financial performance and promising growth prospects. With a current share price of $137.92, despite a slight daily decrease of 0.53%, Paychex Inc has shown a notable three-month appreciation of 18.23%. A detailed analysis, supported by the GF Score, positions Paychex Inc for significant future growth. Oct 07, 2024 Powered by Q What Is the GF Score? The GF Score is a proprietary ...
High Quality Dividend Stock Universe: Paychex - Show Me The Money
Seeking Alpha· 2024-10-05 12:15
Company Overview - Paychex Inc. is a leading provider of payroll, insurance, and human capital management products specifically targeting small and medium-sized businesses [1] - The company has a market capitalization of just above $48 billion and employs over 16,000 people [1] Historical Context - Paychex went public nearly 35 years ago, indicating a long-standing presence in the market [1]