Revenues of the Rochester-based human capital management solutions provider grew by 3% and reached $1.32 billion in the August quarter, which is in line with analysts’ estimates.
The positive top-line performance resulted in an increase in adjusted net earnings to $1.16 per share in the first quarter from $1.14 per share in the same period of 2024. Net income, including special items, was $427.4 million or $1.18 per share in Q1, up from last year’s profit of $419.2 million or $1.16 per share.
Paychex’s CEO John Gibson said, “Small and mid-sized businesses remain resilient as the U.S. labor market gradually returns to its pre-pandemic level and wage inflation continues to moderate. We continue to invest in our go-to-market capabilities and products to drive innovation to meet the realities of the post-pandemic marketplace.”
