Paychex (PAYX) Reports In-Line Q4 EPS

Paychex (NASDAQ: PAYX) reported Q4 EPS of $1.19, in-line with the analyst estimate of $1.19. Revenue for the quarter came in at $1.43 billion versus the consensus estimate of $1.43 billion.

GUIDANCE:

Business Outlook

Our business outlook for the fiscal year ending May 31, 2026 ("fiscal 2026") incorporates current assumptions and market conditions and excludes acquisition-related costs. Changes in the macroeconomic environment could alter our guidance. With consideration of these impacts, we have updated our business outlook as follows:

• Total revenue is anticipated to grow in the range of 16.5% to 18.5%.
• Adjusted diluted earnings per share(1) is anticipated to grow in the range of 8.5% to 10.5%.
• Management Solutions revenue is anticipated to grow in the range of 20.0% to 22.0%.
• PEO and Insurance Solutions revenue is anticipated to grow in the range of 6.0% to 8.0%.
• Interest on funds held for clients is expected to be in the range of $190 million to $200 million.
• Adjusted operating margin(1) is anticipated to be approximately 43%.
• The effective income tax rate for fiscal 2026 is anticipated to be in the range of 24% to 25%.

For earnings history and earnings-related data on Paychex (PAYX) click here.

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