![](http://investorshub.advfn.com/images/default_ih_profile2_4848.jpg?cb=0)
Thursday, March 27, 2014 10:43:51 AM
Excluding Interest on funds held for clients, which was down 3.7% on a year-over-year basis, total services revenues (Payroll service and Human Resource Services) increased 7.5% from the year-ago quarter to $626.0 million. Interest on funds held for clients was down due to lower average interest rates earned and lower net realized gains, which more than offset the increase in average investment balances.
Payroll Service segment revenues increased 5.1% from the year-ago period to $413.9 million primarily driven by higher checks per payroll and revenue per check. Checks per payroll increased 1.0% from the year-ago quarter. The company witnessed modest growth in revenue per check on the back of price increases and higher adoption of Paychex’s products.
Buoyed by growth in client base in the retirement services, HR Solutions and eServices products, Paychex’s Human Resource Services segment generated revenues of $212.1 million, which increased 12.4% from the year-ago quarter.
Paychex’s total expenses increased 4.8% from the year-ago quarter to $385.8 million, primarily due to compensation-related expenses. Moreover, higher expenses related to investment in product development and supporting technology and higher sales-related costs were responsible for the rise in expenses. Nonetheless, total expenses as a percentage of total revenue decreased 147 basis points (bps) on a year-over-year basis due to higher revenue base.
Paychex reported operating income of $250.7 million, up 11.4% from the year-ago period, attributable to modest revenue growth supported by better cost management and capacity utilization. Operating margin was 39.4% versus 37.9% in the year-ago quarter.
Excluding Interest on funds held for clients, Paychex’s operating income came in at $240.2 million or 38.4% of total services revenue which increased from $214.1 million or 36.8% of total services revenue.
Net income for Paychex increased 10.8% from the year-ago quarter to $160.1 million or 44 cents per share while net margins expanded 77 bps on a year-over-year basis.
http://www.zacks.com/stock/news/127825/paychexs-q3-earnings-beat-estimates
Recent PAYX News
- Job Gains in U.S. Small Businesses Continue in June • Business Wire • 07/02/2024 12:30:00 PM
- Levi Strauss Falls 15%, BlackBerry Narrows Losses, Micron Issues In-Line Projections Post Strong 3Q Results • IH Market News • 06/27/2024 11:07:17 AM
- Paychex, Inc. Reports Fourth Quarter and Full Year 2024 Results • Business Wire • 06/26/2024 12:30:00 PM
- Dow Dips, Nasdaq Gains, Oil Prices Rise • IH Market News • 06/26/2024 11:00:03 AM
- Form 8-K - Current report • Edgar (US Regulatory) • 06/17/2024 08:04:18 PM
- Paychex, Inc. Schedules Fourth Quarter Fiscal 2024 Earnings Conference Call for June 26, 2024 • Business Wire • 06/12/2024 06:00:00 PM
- Form 11-K - Annual report of employee stock purchase, savings and similar plans • Edgar (US Regulatory) • 06/10/2024 08:01:19 PM
- Form 3 - Initial statement of beneficial ownership of securities • Edgar (US Regulatory) • 06/06/2024 08:00:05 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 06/04/2024 08:00:03 PM
- U.S. Small Business Job Growth Shows Positive Gains, While Wage Inflation Decelerates • Business Wire • 06/04/2024 12:30:00 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 05/31/2024 08:00:04 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 05/28/2024 08:00:05 PM
- Form 144 - Report of proposed sale of securities • Edgar (US Regulatory) • 05/24/2024 05:22:34 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 05/20/2024 08:00:07 PM
- Form 8-K - Current report • Edgar (US Regulatory) • 05/17/2024 08:03:09 PM
- Form 144 - Report of proposed sale of securities • Edgar (US Regulatory) • 05/17/2024 04:57:16 PM
- Paychex Flex® Earns 2024 HR Tech Award from Lighthouse Research & Advisory Firm • Business Wire • 05/08/2024 02:00:00 PM
- Paychex Declares a 10% Increase to Quarterly Cash Dividend • Business Wire • 05/01/2024 12:41:00 PM
- Hourly Earnings Growth for U.S. Small Business Workers Increases and Job Growth Slows Amid Tight Job Market • Business Wire • 04/30/2024 12:30:00 PM
- Paychex Recognized for Excellence in Health & Well-being by Business Group on Health • Business Wire • 04/09/2024 03:45:00 PM
- U.S. Small Business Job and Wage Growth Remain Steady • Business Wire • 04/03/2024 12:30:00 PM
- Paychex, Inc. Reports Third Quarter Results: Sustained Growth in Revenue and Earnings • Business Wire • 04/02/2024 12:30:00 PM
- U.S. Stock Index Futures Point to a Rebound, Oil See Declines in Early Trading • IH Market News • 03/27/2024 10:57:08 AM
- Paychex Named Among FORTUNE’s Most Innovative Companies • Business Wire • 03/26/2024 01:30:00 PM
- Paychex, Inc. Reschedules Release of Third Quarter Fiscal 2024 Earnings Results and Conference Call • Business Wire • 03/25/2024 12:30:00 PM
FEATURED BNCM and DELEX Healthcare Group Announce Strategic Merger to Drive Expansion and Growth • Jul 2, 2024 7:19 AM
EWRC's 21 Moves Gaming Studios Moves to SONY Pictures Studios and Green Lights Development of a Third Upcoming Game • EWRC • Jul 2, 2024 8:00 AM
NUBURU Announces Upcoming TV Interview Featuring CEO Brian Knaley on Fox Business, Bloomberg TV, and Newsmax TV as Sponsored Programming • BURU • Jul 1, 2024 1:57 PM
Mass Megawatts Announces $220,500 Debt Cancellation Agreement to Improve Financing and Sales of a New Product to be Announced on July 11 • MMMW • Jun 28, 2024 7:30 AM
VAYK Exited Caribbean Investments for $320,000 Profit • VAYK • Jun 27, 2024 9:00 AM
North Bay Resources Announces Successful Flotation Cell Test at Bishop Gold Mill, Inyo County, California • NBRI • Jun 27, 2024 9:00 AM