Paychex said total revenue for the quarter ended August 31, 2025 was $1.5 billion, reflecting growth of 17% over the prior year period. Management Solutions revenue was $1.2 billion, an increase of 21%, with Paycor, acquired in April 2025, contributing approximately 17% to Management Solutions revenue growth year-over-year.

1. 01

   Paychex said total revenue for the quarter ended August 31, 2025 was $1.5 billion, reflecting growth of 17% over the prior year period. Management Solutions revenue was $1.2 billion, an increase of 21%, with Paycor, acquired in April 2025, contributing approximately 17% to Management Solutions revenue growth year-over-year.

2. 02

   The company said total expenses for the quarter increased 29% to $998.1 million, and operating income decreased 1% to $541.9 million. Adjusted operating income, which excludes $84.1 million of Paycor acquisition-related costs, grew 15% to $626.7 million, a non-GAAP measure.

3. 03

   Paychex said Paycor acquisition-related costs included in selling, general and administrative expenses for the quarter comprised $61.1 million in amortization of intangibles, $18.7 million in compensation costs related to the acquisition and integration, and $5.0 million in other costs. Interest expense increased $58.6 million to $68.2 million, which the company cited to the issuance of incremental debt to finance the acquisition of Paycor.

4. 04

   The company said net cash provided by operating activities for the quarter was $718.4 million. As of August 31, 2025, cash, restricted cash, and total corporate investments were $1.7 billion, short-term borrowings were $18.5 million, long-term borrowings were $5.0 billion, and unused capacity under unsecured credit facilities was approximately $2.0 billion.

Key figures

Quarter ended August 31, 2025

Revenue

$1.5B

Operating income

$542M

Net income

$384M

EPS

$1.06

Operating cash flow

$718M

Analysis scope · Management's discussion (MD&A)We analyzed excerpts of the Management's Discussion and Analysis (MD&A) section (with omissions). Other sections of the report, such as the notes to the financial statements and risk factors, were not reviewed.

AI summarized the filing and translated the summary into English; it may differ from the original. For reference only, not investment advice. AI translated the published Korean report into English. Figures are copied as filed, not recalculated.

Original filing

The filing as submitted to SEC EDGAR. You can check the figures and statements of this summary against it.