WS Investor
26 Mar 2026, 00:51
Paychex reports strong Q3 growth driven by HCM demand and Paycor acquisition
March 25, 2026 — Paychex reported strong third-quarter fiscal 2026 results, with total revenue rising 20% year-over-year to $1.81 billion and operating income increasing 14% to $792 million.
Adjusted operating income grew 22% to $863 million, while adjusted earnings per share rose 15% to $1.71, reflecting solid execution and continued demand for human capital management (HCM) solutions.
Growth was driven by a 23% increase in Management Solutions revenue, supported in part by the Paycor acquisition and higher revenue per client, while PEO and insurance solutions revenue rose 9%.
Paychex also highlighted increasing client reliance on its compliance, advisory, and AI-driven solutions, alongside returning over $1.5 billion to shareholders year-to-date.
The company said continued investment in AI and its expanded platform positions it for sustained growth in a complex regulatory and workforce environment.
March 25, 2026 — Paychex reported strong third-quarter fiscal 2026 results, with total revenue rising 20% year-over-year to $1.81 billion and operating income increasing 14% to $792 million.
Adjusted operating income grew 22% to $863 million, while adjusted earnings per share rose 15% to $1.71, reflecting solid execution and continued demand for human capital management (HCM) solutions.
Growth was driven by a 23% increase in Management Solutions revenue, supported in part by the Paycor acquisition and higher revenue per client, while PEO and insurance solutions revenue rose 9%.
Paychex also highlighted increasing client reliance on its compliance, advisory, and AI-driven solutions, alongside returning over $1.5 billion to shareholders year-to-date.
The company said continued investment in AI and its expanded platform positions it for sustained growth in a complex regulatory and workforce environment.