Jun 30, 2024

Paycom Q2 2024 Earnings Report

Paycom's Q2 2024 financial results were reported, with revenue up 9% year-over-year. GAAP net income was $68 million, or $1.20 per diluted share, while non-GAAP net income was $92 million, or $1.62 per diluted share. Adjusted EBITDA was $160 million, representing 36% of total revenues.

Key Takeaways

Paycom reported a 9% increase in revenue for Q2 2024, reaching $438 million. GAAP net income was $68 million, and adjusted EBITDA was $160 million. The company's outside sales team delivered solid performance with robust new logo additions.

Total revenues increased by 9.1% to $437.5 million compared to the same period last year.

Recurring revenues grew by 9.1% to $430.4 million, constituting 98.4% of total revenues.

GAAP Net Income was $68.0 million, or $1.20 per diluted share.

Adjusted EBITDA was $159.7 million.

Total Revenue
$438M
Previous year: $401M
+9.1%
EPS
$1.62
Previous year: $1.62
+0.0%
Adjusted EBITDA
$160M
Previous year: $157M
+2.0%
Adjusted EBITDA margin
36%
Previous year: 39%
-7.7%
Gross Profit
$319M
Previous year: $334M
-4.5%
Cash and Equivalents
$346M
Previous year: $537M
-35.4%
Free Cash Flow
$86.5M
Previous year: $63.1M
+37.1%
Total Assets
$4.31B
Previous year: $3.95B
+9.1%

Paycom

Paycom

Paycom Revenue by Segment

Forward Guidance

Paycom provides financial guidance for the quarter ending September 30, 2024, and the year ending December 31, 2024.

Positive Outlook

  • Total Revenues in the range of $444 million to $449 million for the quarter ending September 30, 2024.
  • Adjusted EBITDA in the range of $155 million to $159 million for the quarter ending September 30, 2024.
  • Total Revenues in the range of $1.860 billion to $1.875 billion for the year ending December 31, 2024.
  • Adjusted EBITDA in the range of $727 million to $737 million for the year ending December 31, 2024.

Revenue & Expenses

Visualization of income flow from segment revenue to net income