Sep 30, 2024

Paycom Q3 2024 Earnings Report

Paycom's Q3 2024 performance reflected sustained growth and strategic investments.

Key Takeaways

Paycom reported solid Q3 2024 results, demonstrating continued growth in revenue and earnings per share. The company's strategic investments and focus on innovation contributed to its success.

Revenue increased to $435.2 million, representing a 22% increase year-over-year.

Net income reached $77.1 million, or $1.32 per diluted share.

Non-GAAP EPS increased to $1.65 per share.

Paycom reaffirmed its commitment to innovation and customer satisfaction.

Total Revenue
$452M
Previous year: $406M
+11.2%
EPS
$1.67
Previous year: $1.77
-5.6%
Annual Revenue Retention
0.93%
Adjusted EBITDA
$163M
Previous year: $166M
-1.3%
Adjusted EBITDA margin
0.38%
Previous year: 40.8%
-99.1%
Gross Profit
$365M
Previous year: $337M
+8.1%
Cash and Equivalents
$248M
Previous year: $484M
-48.8%
Free Cash Flow
$87M
Previous year: $46.3M
+87.9%
Total Assets
$2.36B
Previous year: $3.86B
-38.9%

Paycom

Paycom

Paycom Revenue by Segment

Paycom Revenue by Geographic Location

Forward Guidance

Paycom anticipates continued growth and profitability in the coming quarter, driven by sustained demand for its HCM solutions and strategic investments in technology and sales.

Positive Outlook

  • Strong demand for Paycom's HCM solutions
  • Continued investments in innovation and technology
  • Expansion of sales and marketing efforts
  • Positive trends in recurring revenue
  • Increased client base and retention rates

Challenges Ahead

  • Potential impact of economic uncertainty
  • Increased competition in the HCM market
  • Challenges related to regulatory compliance
  • Risk of cybersecurity threats and data breaches
  • Difficulties in attracting and retaining top talent