NASDAQ$PAYX

Paychex Inc · Q1 2021 earnings

Q1 2021 earnings · · Investor relations

Briefing

Paychex's first quarter results reflected better improvement than expected from the fourth quarter fiscal 2020 COVID-19 impact, and the company improved guidance ranges for fiscal 2021.

Paychex reported a 6% decrease in total revenue to $932.2 million for the first quarter. Net income decreased by 20% to $211.6 million, and diluted earnings per share decreased by 19% to $0.59 per share.

  • Total revenue decreased 6% to $932.2 million.
  • Operating income decreased 19% to $284.0 million.
  • Net income decreased 20% to $211.6 million.
  • Diluted earnings per share decreased 19% to $0.59 per share.

Headline financials

Total Revenue

$932M

Previous: $992M-6.0%
EPS (adj)

$0.63

Previous: $0.71-11.3%
Capital Expenditures

-$20.7M

Previous: -$26.4M+21.6%
Free Cash Flow

$191M

Previous: $238M-19.7%
Net Income

$212M

Previous: $264M-19.9%
Operating Income

$284M

Previous: $349M-18.6%
Gross Profit

$625M

Previous: $667M-6.2%
Cash & Equivalents

$836M

Previous: $586M+42.5%
Total Assets

$8.38B

Previous: $8.64B-3.0%
Stock-Based Comp

$13.3M

Previous: $10.5M+26.7%

Revenue & EPS history

Paychex · Revenue · Quarterly

$932M

Q1 2021-6%vs Q1 2020
Beat estimate in 14 of 16 quarters(88%)
ActualEstimate

Revenue by segment

Paychex · $932M total across 3 segments · Q1 2021

  • Management Solutions
    $687M-5.1%
  • PEO and Insurance Solutions
    $230M-6.9%
  • Interest on Client Funds
    $14.9M-27.3%

Forward guidance

Paychex anticipates impacts resulting from the COVID-19 pandemic based on current assumptions and market conditions for the fiscal year ending May 31, 2021.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q1 2021

Historical avgQ1 2021

-0.6%

Avg return

Earnings day

+0.5%

Avg return

5 days after

+1.1%

Avg return

30 days after

36%

26 / 72 earnings

Positive

+10.2%

Q3 2020

Best reaction

-6.3%

Q2 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q3 2026-0.5%+2.7%
Q2 2026-1.7%+0.3%-2.7%
Q1 2026-1.3%-3.0%-8.8%
Q4 2025-2.5%-0.6%-4.7%
Q3 2025+4.2%+7.0%-0.6%
Q2 2025+2.7%+4.1%+7.7%
Q1 2025+4.9%+3.3%+3.8%
Q4 2024-5.8%-6.4%+0.6%
Q3 2024-1.1%+0.6%-2.6%
Q2 2024-6.3%-6.0%-4.5%
Q1 2024+3.9%+0.9%-2.8%
Q4 2023+1.0%+0.7%+14.3%
Q3 2023+4.2%+2.2%+0.8%
Q2 2023+1.1%+0.3%+2.8%
Q1 2023+0.1%+1.4%+5.7%
Q4 2022-5.0%-2.9%+7.0%
Q3 2022+3.0%+5.1%-4.4%
Q2 2022+6.2%+7.3%-6.1%
Q1 2022+6.8%+8.3%+14.3%
Q4 2021+2.5%+2.9%+7.6%
Q3 2021-5.5%-4.0%+1.2%
Q2 2021-2.0%-2.4%-10.1%
Q1 2021-1.1%+1.2%+6.3%
Q4 2020-4.2%-5.8%-6.7%
Q3 2020+10.2%+8.2%+14.3%
Q2 2020-0.2%-0.4%+3.6%
Q1 2020+0.8%+1.3%+2.4%
Q4 2019-3.2%-1.5%+2.1%
Q3 2019-1.3%+1.0%+4.6%
Q2 2019+1.0%-4.2%+8.7%
Q1 2019-0.7%-1.1%-11.8%
Q4 2018-1.5%-1.4%+2.8%
Q3 2018-3.1%-0.2%-2.8%
Q2 2018-1.3%-0.5%+0.4%
Q1 2018+4.7%+6.4%+7.9%
Q4 2017-3.3%-3.6%-1.5%
Q3 2017-2.4%-3.5%-2.1%
Q2 2017-0.7%-0.3%-0.7%
Q1 2017-5.2%-4.7%-8.7%
Q4 2016+5.9%+7.0%+5.6%
Q3 2016-0.9%
Q2 2016+2.6%
Q1 2016+4.6%
Q4 2015+1.6%
Q3 2015-4.5%
Q2 2015-1.5%
Q1 2015+3.0%
Q4 2014-1.0%
Q3 2014+0.1%
Q2 2014+4.7%
Q1 2014-0.9%
Q4 2013-2.7%
Q3 2013+0.6%
Q2 2013-2.3%
Q1 2013-3.3%
Q4 2012-2.5%
Q3 2012-2.3%
Q2 2012-0.5%
Q1 2012+1.3%
Q4 2011-3.6%
Q3 2011-3.0%
Q2 2011-1.1%
Q1 2011+2.0%
Q4 2008-1.8%
Q4 2010-1.8%
Q3 2009-5.2%
Q3 2010-5.2%
Q2 2010-3.0%
Q1 2009-5.1%
Q1 2010-5.1%
Q4 2009-5.1%
Q2 2009-5.1%

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