NASDAQ$PAYX
Paychex Inc · Q2 2024 earnings
Q2 2024 earnings · · Investor relations
Briefing
Paychex's financial performance demonstrated sustained growth in revenue and earnings, driven by strong demand for its HCM technology, HR, and insurance solutions.
Paychex reported a 6% increase in total revenue, reaching $1.2579 billion, and a 9% increase in diluted earnings per share, amounting to $1.08. The results reflect the company's ability to navigate a stable macroeconomic environment for small and mid-sized businesses while addressing their challenges in accessing growth capital and finding quality talent.
- Total revenue increased by 6% to $1.2579 billion, driven by growth in both Management Solutions and PEO and Insurance Solutions.
- Diluted earnings per share increased by 9% to $1.08, reflecting strong earnings growth.
- Management Solutions revenue increased by 4% to $930.7 million, driven by client growth and higher revenue per client.
- PEO and Insurance Solutions revenue increased by 8% to $295.7 million, driven by growth in average PEO worksite employees and PEO insurance revenues.
Headline financials
Revenue & EPS history
Paychex · Revenue · Quarterly
$1.26B
Revenue by segment
Paychex · $1.26B total across 3 segments · Q2 2024
- Management Solutions$931M+4.0%74.0%
- PEO and Insurance Solutions$296M+8.2%23.5%
- Interest on Client Funds$31.5M+45.2%2.5%
Forward guidance
Paychex updated its business outlook for the fiscal year ending May 31, 2024, incorporating current assumptions and market conditions.
Tailwinds
- PEO and Insurance Solutions revenue is now anticipated to grow in the range of 7% to 9%.
- Other income, net is now expected to be in the range of $35 million to $40 million.
- Adjusted diluted earnings per share is now anticipated to grow in the range of 10% to 11%.
- Other aspects of our guidance for fiscal 2024 remain unchanged from what we provided previously.
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 Q2 2024
-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
| Quarter | Report date | Reaction (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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