ADP Surpasses Earnings Expectations, Touts 7% Improve In Employer Companies Income – Automated Knowledge Processing (NASDAQ:ADP)

Automated Knowledge Processing, Inc ADP reported fiscal fourth-quarter 2024 revenues of $4.77 billion, beating the analyst consensus estimate of $4.74 billion. Revenues elevated 6% year-over-year. 

The human assets administration software program firm reported quarterly adjusted EPS of $2.09, beating the analyst consensus estimate of $2.06.

• Employer Companies revenues elevated 7% to $3.22 billion.
• PEO Companies revenues elevated 6% to $1.55 billion.
• Adjusted EBIT elevated 10% to $1.1 billion, and adjusted EBIT margin elevated 80 bps to 23.3%.
• Internet earnings elevated 7% Y/Y to $829 million, and adjusted web earnings elevated 10% Y/Y to $858 million. 
• ADP held $2.91 billion in money and equivalents as of June 30.

“Employer Companies new enterprise bookings progress got here in on the high-end of our expectations, and shopper satisfaction reached a brand new all-time excessive for the 12 months,” ADP CEO Maria Black stated. “These outcomes replicate the ability of our progressive human capital administration (HCM) options and the collective efforts of our proficient associates who ship unmatched service for our shoppers every day.”

FY25 Outlook: ADP projected income progress outlook of 5%—6%, versus the consensus of $20.24 billion, and adjusted diluted EPS progress of 8%—10%, versus the consensus of $9.97.

Value Motion: ADP shares are buying and selling larger by 0.88% to $260.00 premarket at the final test Wednesday.

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