Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, DC 20549 ________________________________________________________________________ Form 10-Q ________________________________________________________________________ x Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the quarterly period ended March 31, 2025 o Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the transition period from to Commiss ...

Paylocity (PCTY) came out with quarterly earnings of $2.43 per share, beating the Zacks Consensus Estimate of $2.09 per share. This compares to earnings of $2.21 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 16.27%. A quarter ago, it was expected that this provider of cloud-based payroll and human-resources software services would post earnings of $1.39 per share when it actually produced earnings of $1.52, delivering a surp ...

Financial Data and Key Metrics Changes - Recurring and other revenue for Q3 was $421.1 million, a 15% increase year-over-year, exceeding guidance by $6.1 million [10][13] - Total revenue grew 13% compared to Q3 of the previous year, driven by strong sales execution [6][10] - Adjusted gross profit margin improved to 77%, up 110 basis points from the same quarter last year [13] - Adjusted EBITDA for Q3 was $197.1 million, representing 43.4% of revenue, significantly exceeding guidance [15][19] - Cash and cash equivalents at the end of the quarter totaled $477.8 million, with $243.8 million outstanding on the credit facility related to the Airbase acquisition [16] Business Line Data and Key Metrics Changes - The company reported strong performance in its channel referrals, with over 25% of new business coming from benefit brokers and financial advisers [10] - The integration of Airbase is progressing well, enhancing the value proposition for clients by providing a unified platform for payroll and non-payroll spending [11][56] Market Data and Key Metrics Changes - The company noted a stable client workforce level, with some seasonal hiring expected in the upcoming months [39] - There are indications of a cautious approach from some clients due to macroeconomic uncertainties, but this has not materially impacted business performance [30][99] Company Strategy and Development Direction - The company is focused on expanding its product suite, particularly in the Office of the CFO, and leveraging AI to enhance client experiences [6][9] - Continued investment in research and development is a priority, with a year-over-year increase of 14.6% in R&D spending [14] - The strategy includes a land-and-expand approach, aiming to sell additional products to existing clients while maintaining competitive pricing models [22][68] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the business's ability to drive profitability and revenue growth despite macroeconomic uncertainties [30][46] - The company anticipates continued strong performance in Q4, with increased guidance for both recurring and total revenue [19] - Management acknowledged the need to adapt sales strategies to address client concerns about cost control in uncertain economic conditions [79] Other Important Information - The company has been recognized for its workplace culture, being named one of America's greatest workplaces for women [12] - The share repurchase program remains active, with $150 million repurchased this fiscal year [16] Q&A Session Summary Question: Future pricing models and customer conversations - Management indicated that while HR buyers are accustomed to per employee pricing, new products may require different pricing models to align with CFO expectations [22] Question: Operating expenses and one-time items - Management clarified that operating expenses were consistent with expectations, with no significant one-time items affecting Q3 results [25] Question: Macro environment and hiring plans - Management noted a cautious sentiment in the market but emphasized strong execution and stability in client workforce levels [30][39] Question: Customer base dynamics and decision-making - Management observed some delays in decision-making among clients, particularly in the enterprise space, but noted overall stability in the client base [36][99] Question: Airbase integration and growth outlook - Management expressed confidence in the Airbase product's standalone performance and its potential once fully integrated [56] Question: Broker channel performance - Management highlighted the importance of the broker channel and the sustained partnerships that have contributed to new business growth [58] Question: AI innovations and customer engagement - Management reported increased customer engagement with AI features, enhancing efficiency and user experience [62][66] Question: Long-term margin expansion - Management discussed the potential for continued margin expansion, driven by operational efficiencies and revenue growth [41][72]

Paylocity (PCTY) Q3 2025 Earnings Call May 01, 2025 05:30 PM ET Company Participants Ryan Glenn - CFOSteve Beauchamp - Executive Chairman of the BoardToby Williams - President & CEOScott Berg - Managing DirectorBrad Reback - Managing DirectorBrian Peterson - Managing DirectorSamad Samana - Managing DirectorAustin Cole - Software Equity Research AssociateRobert Dee - Equity Research AssociateKevin McVeigh - Managing DirectorJason Zhang - Equity Research Associate - SoftwareAllan Verkhovski - Associate Direct ...

Exhibit 99.1 press release Paylocity Announces Third Quarter Fiscal Year 2025 Financial Results SCHAUMBURG, IL. – May 1, 2025 – Paylocity Holding Corporation (Nasdaq: PCTY), a leading provider of cloud-based HR, payroll, and spend management software solutions, today announced financial results for the third quarter of fiscal year 2025, which ended March 31, 2025. "Our solid results continued into the third quarter of fiscal 25, with recurring revenue growth of 15%, total revenue growth of 13% and increased ...

Q3 2025 Recurring & Other Revenue of $421.1 million, up 15% year-over-yearQ3 2025 Total Revenue of $454.5 million, up 13% year-over-year SCHAUMBURG, Ill., May 01, 2025 (GLOBE NEWSWIRE) -- Paylocity Holding Corporation (Nasdaq: PCTY), a leading provider of cloud-based HR, payroll, and spend management software solutions, today announced financial results for the third quarter of fiscal year 2025, which ended March 31, 2025. “Our solid results continued into the third quarter of fiscal 25, with recurring reve ...

SCHAUMBURG, Ill., April 17, 2025 (GLOBE NEWSWIRE) -- Paylocity Holding Corporation (Nasdaq: PCTY), a leading provider of cloud-based HR, payroll, and spend management software solutions, today announced that it has scheduled a conference call to review its third quarter fiscal 2025 results for Thursday, May 1st at 4:30 pm Central Time (5:30 pm Eastern Time). A live webcast of the call will be available on the “Investor Relations” page of the Company’s website at https://investors.paylocity.com/. To access t ...

SCHAUMBURG, Ill., April 02, 2025 (GLOBE NEWSWIRE) -- Paylocity (NASDAQ: PCTY), a leading provider of modern HR, payroll, and spend management solutions, today announced recognition of its Airbase by Paylocity solution as a Visionary in the 2025 Gartner® Magic Quadrant™ for Accounts Payable Applications 2025. Paylocity acquired Airbase in October 2024. The Gartner Magic Quadrant for Accounts Payable Applications evaluated providers based on their Completeness of Vision and Ability to Execute. Airbase by Payl ...

SCHAUMBURG, Ill., April 02, 2025 (GLOBE NEWSWIRE) -- Paylocity (NASDAQ:PCTY), a leading provider of modern HR, payroll, and spend management solutions, today announced recognition of its Airbase by Paylocity solution as a Visionary in the 2025 Gartner® Magic Quadrant™ for Accounts Payable Applications 2025. Paylocity acquired Airbase in October 2024. The Gartner Magic Quadrant for Accounts Payable Applications evaluated providers based on their Completeness of Vision and Ability to Execute. Airbase by Paylo ...

Airbase by Paylocity recognized for touchless automation and superior user experience in Spring 2025 SolutionMapSCHAUMBURG, Ill., March 24, 2025 (GLOBE NEWSWIRE) -- Paylocity (NASDAQ: PCTY) today announced it has been ranked the #1 Expense Management Solution for SMEs (companies under $100M in revenue) in the latest Spend Matters Spring 2025 SolutionMap for Expense Management. This recognition highlights Airbase by Paylocity's commitment to providing best-in-class expense management capabilities for growing ...