NASDAQ$PCTY

Paylocity Holding Corporation · Q1 2025 earnings

Q1 2025 earnings · · Investor relations

Briefing

Paylocity's Q1 2025 financial results were announced, demonstrating strong growth and increased profitability.

Paylocity reported a strong start to fiscal year 2025, with a 14% increase in both recurring & other revenue and total revenue. The company's profitability also significantly increased year-over-year. Paylocity completed the acquisition of Airbase, expanding its total addressable market.

  • Recurring & Other Revenue and Total Revenue grew by 14% year-over-year.
  • GAAP operating income increased to $64.1 million, and non-GAAP operating income reached $104.9 million.
  • GAAP net income was $49.6 million, or $0.88 per share.
  • The acquisition of Airbase was completed on October 1, 2024, expanding Paylocity's offerings into finance and spend management.

Headline financials

Total Revenue

$363M

Previous: $318M+14.3%
EPS (adj)

$1.66

Previous: $1.40+18.6%
Capital Expenditures

-$2.33M

Previous: -$3.45M+32.6%
Free Cash Flow

$47.2M

Previous: $31.1M+52.1%
Net Income

$49.6M

Previous: $34.5M+43.6%
Operating Income

$64.1M

Previous: $41.2M+55.7%
Gross Profit

$248M

Previous: $216M+14.7%
Cash & Equivalents

$779M

Previous: $305M+155.2%
Total Assets

$4.02B

Previous: $3.65B+10.4%
R&D Expense

$47.1M

Previous: $44.6M+5.7%
Stock-Based Comp

$33.5M

Previous: $39M-14.0%

Revenue & EPS history

Paylocity · Revenue · Quarterly

$363M

Q1 2025+14.3%vs Q1 2024
Beat estimate in 15 of 15 quarters(100%)
ActualEstimate

Revenue by segment

Paylocity · $292M total across 1 segment · Q1 2024

  • Recurring & Other Revenue
    $292M+18.9%

Forward guidance

Paylocity provided guidance for the second quarter and full fiscal year 2025.

Tailwinds

  • Recurring and other revenue is expected to be in the range of $337.5 million to $342.5 million for Q2 2025, representing approximately 14% growth.
  • Total revenue is expected to be in the range of $364.0 million to $369.0 million for Q2 2025, representing approximately 12% growth.
  • Adjusted EBITDA is expected to be in the range of $116.0 million to $120.0 million for Q2 2025.
  • Adjusted EBITDA excluding interest income on funds held for clients is expected to be in the range of $89.5 million to $93.5 million for Q2 2025.
  • Recurring and other revenue is expected to be in the range of $1.427 billion to $1.442 billion for fiscal year 2025, representing approximately 12% growth.

Headwinds

  • Total revenue is expected to be in the range of $1.535 billion to $1.550 billion for fiscal year 2025, representing approximately 10% growth.
  • Adjusted EBITDA is expected to be in the range of $530.0 million to $540.0 million for fiscal year 2025.
  • Adjusted EBITDA excluding interest income on funds held for clients is expected to be in the range of $422.0 million to $432.0 million for fiscal year 2025.
  • The company is unable to reconcile the forward-looking non-GAAP measures to their directly comparable GAAP financial measures because the information needed to complete a reconciliation is unavailable at this time without unreasonable effort.
  • Forward-looking statements involve risks and uncertainties that could cause actual results or events to differ materially from the expectations disclosed.

Historical earnings impact

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

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q1 2025

Historical avgQ1 2025

+1.5%

Avg return

Earnings day

-0.2%

Avg return

5 days after

+2.0%

Avg return

30 days after

49%

26 / 53 earnings

Positive

+20.2%

Q3 2015

Best reaction

-13.3%

Q3 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q3 2026+4.0%-4.4%+4.1%
Q2 2026-7.2%-15.2%-5.5%
Q1 2026+4.4%+2.1%+5.2%
Q3 2025-3.7%-5.4%-1.7%
Q2 2025-2.9%+1.0%-8.0%
Q1 2025+4.9%+8.7%+17.9%
Q4 2024+5.3%+1.3%+7.5%
Q3 2024+12.3%+13.3%-4.7%
Q2 2024-1.3%-1.3%-2.7%
Q1 2024-11.5%-9.2%-2.6%
Q4 2023-3.1%-5.8%-4.3%
Q3 2023-7.4%-9.4%-3.1%
Q2 2023-0.2%+6.1%-13.0%
Q1 2023-4.1%-3.8%+4.3%
Q4 2022+13.3%+15.9%+4.6%
Q3 2022-13.3%-16.6%-13.0%
Q2 2022+7.6%+3.5%-4.0%
Q1 2022-6.4%-7.1%-18.5%
Q4 2021+12.8%+15.2%+26.9%
Q3 2021-2.3%-5.8%-3.5%
Q2 2021-0.7%+4.4%-14.4%
Q1 2021-6.3%-2.9%-3.1%
Q4 2020-3.9%-5.1%-0.6%
Q3 2020+2.5%+0.7%+20.9%
Q2 2020-5.1%-2.7%-8.2%
Q1 2020-0.3%-1.2%+18.9%
Q4 2019+15.0%+8.6%+11.6%
Q3 2019+3.9%+1.2%+5.4%
Q2 2019+4.1%+6.9%+5.2%
Q1 2019-4.8%-6.1%+2.0%
Q4 2018+5.9%+4.9%+26.2%
Q3 2018+10.2%+8.1%+14.4%
Q2 2018-8.6%-10.9%+9.4%
Q1 2018-4.1%-8.3%-13.1%
Q4 2017+0.7%+3.4%+5.3%
Q3 2017+8.0%+7.8%+19.0%
Q2 2017+15.4%+11.8%+20.8%
Q1 2017-11.9%-7.3%-22.3%
Q4 2016-3.6%-3.7%-5.7%
Q3 2016-11.6%
Q2 2016-2.6%
Q1 2016+19.8%
Q4 2015-1.4%
Q3 2015+20.2%
Q2 2014+9.7%
Q2 2015+11.4%
Q1 2014+5.4%
Q1 2015+6.2%
Q4 2012-0.9%
Q4 2014+7.7%
Q3 2013+0.8%
Q4 2013+0.8%
Q3 2014-1.6%
Q2 2013
Q1 2013

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