ADP grows Q1 revenue 6% to $5.5B and raises fiscal 2027 outlook
ADP's fiscal Q1 revenue rose 6% to $5.49B and adjusted EPS grew 13% to $2.82. The payroll giant now expects about 6% revenue growth for fiscal 2027.
ADP reported revenue of $5.49B for its fiscal first quarter, which ended Sept 30. That is up 6%, and also up 6% on an organic constant-currency basis. Diluted EPS was $2.83, up 14%, and adjusted diluted EPS was $2.82, up 13%. (ADP via PR Newswire; ADP earnings release via MarketScreener)
Employer Services revenue grew 6% and U.S. pays per control rose 2%. PEO Services revenue grew 7%, and average worksite employees rose 2% to about 771,000. (ADP earnings release via MarketScreener)
ADP now expects fiscal 2027 revenue growth of about 6%, compared with 5% to 6% before. It raised its adjusted diluted EPS growth target to 10% to 12%, from 9% to 11%. It also lifted its forecast for client funds interest revenue to $1.59B–$1.61B, from $1.54B–$1.56B. Its targets for Employer Services bookings, retention and PEO growth did not change. (ADP earnings release via MarketScreener; Investing.com)