Loading...
•
Nov 30, 2025
Paychex Q2 2026 Earnings Report
Paychex reported strong second quarter results with double-digit revenue growth and raised its full-year earnings outlook.
Key Takeaways
Paychex delivered solid second quarter results, with total revenue increasing by 18% to $1.56 billion and adjusted operating income growing by 21% year-over-year. The company's strategic acquisition of Paycor and advancements in AI-powered solutions significantly contributed to its performance and operational efficiency, leading to a raised full-year earnings outlook.
Total revenue increased by 18% to $1.5576 billion in the second quarter, driven by growth across all segments.
Adjusted operating income grew by 21% to $649.0 million, reflecting disciplined cost management and productivity improvements.
Adjusted diluted earnings per share rose by 11% to $1.26, surpassing GAAP diluted EPS which decreased by 4%.
The acquisition of Paycor in April 2025 significantly contributed to Management Solutions revenue growth and higher average investment balances.
Revenue by Segment
Forward Guidance
Paychex has raised its full-year fiscal 2026 adjusted diluted earnings per share growth outlook to a range of 10% to 11%, while other aspects of its guidance remain unchanged.
Positive Outlook
- Anticipated adjusted diluted earnings per share growth in the range of 10% to 11%.
- Continued focus on strategic priorities and comprehensive HCM solutions.
- Leveraging AI capabilities for improved operational efficiency and client value.
- Strong financial position and cash flow generation.
- Innovation remains central to strategy, accelerating deployment of AI-powered technologies.
Challenges Ahead
- Excludes acquisition-related costs, which could impact GAAP results.
- Changes in the macroeconomic environment could alter guidance.
- Potential risks related to the integration of acquired businesses like Paycor.
Historical Earnings Impact
Analyze how earnings announcements historically affect stock price performance
Avg. Return Before/After Earnings
Loading earnings performance data...
Loading earnings reaction data...