Paychex, Inc. Reports Strong Double Digit Service Revenue and Diluted Earnings Per Share Growth for Fourth Quarter and Full Year 2022 Results

Rhea-AI Summary

Paychex reported strong financial results for the fourth quarter and fiscal year 2022, with total service revenue increasing by 11% to $1.13 billion and total revenue rising by 11% to $1.14 billion. Fiscal year revenue reached $4.61 billion, a 14% increase. Key metrics include operating income of $394 million, a 26% increase year-over-year, and diluted earnings per share of $3.84, up 27%. The company maintains a robust financial position with cash and investments totaling $1.3 billion. For fiscal 2023, Paychex anticipates revenue growth of 7% to 8% and adjusted diluted EPS growth of 9% to 10%.

Positive

• Total service revenue up 11% to $1,129.6 million for Q4; up 14% to $4,611.7 million for fiscal 2022.
• Operating income increased 26% to $1.84 billion for fiscal 2022.
• Diluted earnings per share grew 27% to $3.84 for the year.
• Operating margin improved to 39.9% for fiscal 2022.

Negative

• Total expenses increased 11% to $750.3 million for Q4.

ROCHESTER, N.Y.--(BUSINESS WIRE)-- Paychex, Inc. (the “Company,” “Paychex,” “we,” “our,” or “us”) today announced the following results for the quarter ended May 31, 2022 (the “fourth quarter”) and fiscal year ended May 31, 2022 ("fiscal 2022"), as compared to the corresponding prior-year period:

		Fourth Quarter															Fiscal Year
In millions, except per share amounts		2022					2021					Change(2)					2022					2021					Change(2)
Total service revenue		$		1,129.6			$		1,014.7				11		%		$		4,554.0			$		3,997.5				14		%
Total revenue		$		1,144.3			$		1,029.2				11		%		$		4,611.7			$		4,056.8				14		%
Operating income		$		394.0			$		353.8				11		%		$		1,840.0			$		1,460.7				26		%
Diluted earnings per share		$		0.82			$		0.73				12		%		$		3.84			$		3.03				27		%
Adjusted diluted earnings per share(1)		$		0.81			$		0.72				13		%		$		3.77			$		3.04				24		%

(1)	Adjusted diluted earnings per share is not a United States (“U.S.”) generally accepted accounting principle (“GAAP”) measure. Please refer to the “Non-GAAP Financial Measures” section on page 4 of this press release for a discussion of non-GAAP measures.
(2)	Percentage changes are calculated based on unrounded numbers.

Martin Mucci, chairman and CEO, commented, “We are pleased with our fiscal 2022 results, which reflect strong business performance from our unique blend of human capital management ("HCM") solutions and the hard work and dedication of our 16,000 employees. We delivered double-digit revenue and earnings growth compared to the prior year. Our sales teams achieved a record level of new annualized revenue sold and client retention remained above our expectations and pre-pandemic levels. Our success in these areas has resulted in achieving several milestones including over 730,000 total payroll clients, approximately two million worksite employees served through our HR outsourcing services, and over 100,000 retirement clients. We continued to invest in our people, products, and technology, while also expanding our industry-leading operating margins to approximately 40% for fiscal 2022.

Mr. Mucci added, “We keep a pulse on the evolving challenges and needs of small- and mid-sized businesses. As a leader in innovative technology solutions, we provide employers with the digital tools and the HR expertise to hire, engage, train, and retain top talent in this challenging environment. Our purpose remains to help small- and mid-sized businesses succeed, and we believe we are well positioned to continue to deliver on that mission in the upcoming fiscal year.”

Fourth Quarter and Fiscal 2022 Business Highlights

Highlights as compared to the corresponding prior year periods are as follows:

Management Solutions revenue increased 12% to $845.3 million for the fourth quarter and increased 14% to $3.4 billion for fiscal 2022, primarily due to the following factors:

• Growth in payroll client base and product penetration across our HCM offerings resulting from strong sales performance and high levels of retention, with continued strong demand for HR Solutions;
• Increase in revenue per client driven by higher employment levels within our client base and price realization; and
• Expansion of HCM ancillary services.

Professional Employer Organization (“PEO”) and Insurance Solutions revenue increased 10% to $284.3 million for the fourth quarter and increased 14% to $1.1 billion for fiscal 2022, mainly due to the following:

• Growth in the number of average worksite employees and increases in average wages per worksite employee;
• Higher revenue from PEO health insurance; and
• Higher state unemployment insurance revenues during fiscal 2022.

Total expenses increased 11% to $750.3 million for the fourth quarter and increased 7% to $2.8 billion for the fiscal year, as a result of the following:

• Compensation costs were higher due to increases in headcount to support client growth, higher wage rates, performance-based compensation, and fringe benefits;
• PEO direct insurance costs increased, driven by a rise in the number of PEO worksite employees and health insurance revenue;
• Continued investment in product development, technology, and marketing; and
• Increase in travel-related expenses due to lift of pandemic-related restrictions.

Operating income grew 11% to $394.0 million for the quarter and 26% to $1.8 billion for the fiscal year. Operating margin (operating income as a percentage of total revenue) was 34.4% for the fourth quarter and remained flat as compared to the prior year period, while operating margin increased to 39.9% for the fiscal year, compared to 36.0% in the prior year. Adjusted operating income⁽¹⁾ increased 23% to $1.8 billion for the full year.

Our effective income tax rate was 23.8% for the fourth quarter compared to 24.0% in the prior year period. For fiscal 2022, the effective income tax rate was 23.7% compared to 23.5% for the prior year. All periods were impacted by the recognition of net discrete tax benefits related to employee stock-based compensation payments. The current fiscal year effective tax rate was also impacted by the recording of a tax benefit related to prior and current years' research and development expenses incurred in the production of customer-facing software.

Diluted earnings per share increased 27% to $3.84 per share for the year. Adjusted diluted earnings per share⁽¹⁾ increased 24% to $3.77 per share for the year.

⁽¹⁾ Adjusted operating income and adjusted diluted earnings per share are not U.S. GAAP measures. Please refer to the “Non-GAAP Financial Measures” section on page 4 of this press release for a discussion of these non-GAAP measures.

Financial Position and Liquidity

Our financial position and cash flow generation remained strong. As of May 31, 2022, we had:

• Cash, restricted cash, and total corporate investments of $1.3 billion.
• Short-term and long-term borrowings, net of debt issuance costs, of $806.4 million.
• Cash flow from operations was $1.5 billion for the fiscal year.

Return to Stockholders During the Year

• Paid cumulative dividends of $2.77 per share totaling $1.0 billion, resulting in a dividend payout ratio of 72%.
• Repurchased 1.2 million shares of our common stock for a total of $145.2 million.

Non-GAAP Financial Measures
		For the three months ended															For the twelve months ended
		May 31,															May 31,
$ in millions		2022					2021					Change					2022					2021					Change
Operating income		$		394.0			$		353.8				11		%		$		1,840.0			$		1,460.7				26		%
Non-GAAP adjustments:
Cost-saving initiatives(1)				—					—										—					32.2
Total non-GAAP adjustments				—					—										—					32.2
Adjusted operating income		$		394.0			$		353.8				11		%		$		1,840.0			$		1,492.9				23		%
Net income		$		296.4			$		263.0				13		%		$		1,392.8			$		1,097.5				27		%
Non-GAAP adjustments:
Excess tax benefit related to employee stock-based compensation payments(2)				(1.0	)				(2.2	)									(18.9	)				(19.4	)
Tax benefit derived from research and development costs (3)				—					—										(6.1	)				—
Cost-saving initiatives(1)				—					—										—					24.3
Total non-GAAP adjustments				(1.0	)				(2.2	)									(25.0	)				4.9
Adjusted net income		$		295.4			$		260.8				13		%		$		1,367.8			$		1,102.4				24		%
Diluted earnings per share(4)		$		0.82			$		0.73				12		%		$		3.84			$		3.03				27		%
Non-GAAP adjustments:
Excess tax benefit related to employee stock-based compensation payments(2)				—					(0.01	)									(0.05	)				(0.05	)
Tax benefit derived from research and development costs (3)				—					—										(0.02	)				—
Cost-saving initiatives(1)				—					—										—					0.07
Total non-GAAP adjustments				—					(0.01	)									(0.07	)				0.01
Adjusted diluted earnings per share		$		0.81			$		0.72				13		%		$		3.77			$		3.04				24		%
Net income		$		296.4			$		263.0				13		%		$		1,392.8			$		1,097.5				27		%
Non-GAAP adjustments:
Interest expense, net				7.3					8.1										33.7					33.5
Income taxes				92.4					82.9										431.8					336.7
Depreciation and amortization expense				49.1					47.4										191.8					192.0
Total non-GAAP adjustments				148.8					138.4										657.3					562.2
EBITDA				445.2					401.4				11		%				2,050.1			$		1,659.7				24		%
Cost-saving initiatives(1)				—					—										—					32.2
Adjusted EBITDA		$		445.2			$		401.4				11		%		$		2,050.1			$		1,691.9				21		%

(1)	One-time costs and corresponding tax benefit recognized during fiscal 2021 related to the acceleration of cost-saving initiatives, including the long-term strategy to reduce our geographic footprint and headcount optimization. These events are not expected to recur.
(2)	Net tax windfall benefits related to employee stock-based compensation payments recognized in income taxes. This item is subject to volatility and will vary based on employee decisions on exercising employee stock options and fluctuations in our stock price, neither of which is within the control of management.
(3)	Non-recurring tax benefit derived from prior years' research and development costs incurred in the production of customer-facing software.
(4)	The calculation of the impact of non-GAAP adjustments on diluted earnings per share is performed on each line independently. The table may not add down by +/- $0.01 due to rounding.

In addition to reporting operating income, net income, and diluted earnings per share, which are U.S. GAAP measures, we present adjusted operating income, adjusted operating margin, adjusted net income, adjusted diluted earnings per share, earnings before interest, taxes, depreciation, and amortization (“EBITDA”), and adjusted EBITDA, which are non-GAAP measures. We believe these additional measures are indicators of our core business operations’ performance period over period. Adjusted operating income, adjusted operating margin, adjusted net income, adjusted diluted earnings per share, EBITDA, and adjusted EBITDA, are not calculated through the application of U.S. GAAP and are not required forms of disclosure by the Securities and Exchange Commission (“SEC”). As such, they should not be considered a substitute for the U.S. GAAP measures of operating income, net income, and diluted earnings per share, and, therefore, they should not be used in isolation but in conjunction with the U.S. GAAP measures. The use of any non-GAAP measure may produce results that vary from the U.S. GAAP measure and may not be comparable to a similarly defined non-GAAP measure used by other companies.

Business Outlook

Our outlook for the fiscal year ending May 31, 2023 (“fiscal 2023”) incorporates current assumptions and market conditions. Changes in the macroeconomic environment could alter our guidance. With consideration of these impacts, our outlook is as follows:

• Management Solutions revenue is anticipated to grow in the range of 5% to 7%;
• PEO and Insurance Solutions revenue is anticipated to grow in the range of 8% to 10%;
• Interest on funds held for clients is expected to be in the range of $85 million to $95 million;
• Total revenue is anticipated to grow in the range of 7% to 8%;
• Adjusted operating margin⁽¹⁾ is anticipated to be in the range of 40% to 41%;
• Adjusted EBITDA margin⁽¹⁾ is anticipated to be approximately 44%;
• Other expense, net is anticipated to be in the range of $5 million to $10 million;
• The effective income tax rate for fiscal 2023 is anticipated to be in the range of 24% to 25%; and
• Adjusted diluted earnings per share⁽¹⁾ is anticipated to grow in the range of 9% to 10%.

⁽¹⁾ Adjusted operating margin, adjusted EBITDA margin and adjusted diluted earnings per share are not U.S. GAAP measures. Adjusted operating margin is calculated as operating margin, adjusted for one-time non-recurring items, as a percentage of total revenue. Adjusted EBITDA margin is calculated as net income, adjusted for interest, taxes, depreciation, amortization, and one-time non-recurring items, as a percentage of total revenue. We believe that the exclusion of certain one-time non-recurring items when calculating adjusted operating margin and adjusted EBITDA margin provides a better indicator of our core business operations’ performance period over period. Please refer to the “Non-GAAP Financial Measures” section on page 4 of this press release for a discussion of these non-GAAP measures.

Environmental, Social, and Governance (“ESG”)

As part of what it means to be Paychex, we are focusing our ESG efforts on actions we can take to create positive impact. To learn more about our latest initiatives, please visit Corporate Social Responsibility. The information available on our website is not a part of, and is not incorporated into, this press release.

Annual Report on Form 10-K (“Form 10-K”)

We anticipate filing our Form 10-K before the end of July 2022, and it will be available at Paychex Investor Relations portal. This press release should be read in conjunction with the Form 10-K and the related Notes to Consolidated Financial Statements and Management's Discussion and Analysis of Financial Condition and Results of Operations contained in that Form 10-K.

Webcast Details

Interested parties may access the webcast of our Earnings Release Conference Call, scheduled for June 29, 2022, at 9:30 a.m. Eastern Time, at Paychex Investor Relations portal. The webcast will be archived for approximately 90 days. Our news releases, current financial information, SEC filings, and investor presentations are also accessible at Paychex Investor Relations portal.

About Paychex

Paychex, Inc. (Nasdaq:PAYX) is a leading provider of integrated human capital management solutions for human resources, payroll, benefits, and insurance services. By combining innovative software-as-a-service technology and mobility platform with dedicated, personal service, Paychex empowers business owners to focus on the growth and management of their business. Backed by 50 years of industry expertise, Paychex serves more than 730,000 payroll clients as of May 31, 2022 in the U.S. and Europe, and pays one out of every 12 American private sector employees. Learn more about Paychex by visiting www.paychex.com and stay connected on Twitter (Twitter) and LinkedIn (Linkedin).

Cautionary Note Regarding Forward-Looking Statements

Certain written and oral statements made by us may constitute “forward-looking statements” within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by such words and phrases as “expect,” “estimate,” “intend,” “overview,” “outlook,” “guidance,” “we look forward to,” “would equate to,” “project,” “projections,” “anticipate,” “believe,” “could be,” “targeting,” and other similar words or phrases. Examples of forward-looking statements include, among others, statements we make regarding operating performance, events, or developments that we expect or anticipate will occur in the future, including statements relating to our outlook, revenue growth, earnings, earnings-per-share growth, or similar projections.

Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on our current beliefs, expectations, and assumptions regarding the future of our business, future plans and strategies, projections, anticipated events and trends, the economy, and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks, and changes in circumstances that are difficult to predict, many of which are outside our control. Our actual results and financial condition may differ materially from those indicated in the forward-looking statements. Therefore, you should not place undue reliance upon any of these forward-looking statements. Important factors that could cause our actual results and financial condition to differ materially from those indicated in the forward-looking statements include, among others, the following:

• our ability to keep pace with changes in technology and to provide timely enhancements to our products and services;
• software defects, undetected errors, or development delays for our products;
• the possibility of cyberattacks, security vulnerabilities and Internet disruptions, including breaches of data security and privacy leaks, data loss and business interruptions;
• the possibility of failure of our operating facilities, computer systems, or communication systems during a catastrophic event;
• the failure of third-party service providers to perform their functions;
• the possibility that we may be subject to additional risks related to our co-employment relationship with our PEO;
• changes in health insurance and workers’ compensation insurance rates and underlying claim trends;
• risks related to acquisitions and the integration of the businesses we acquire;
• our clients’ failure to reimburse us for payments made by us on their behalf;
• the effect of changes in government regulations mandating the amount of tax withheld or the timing of remittances;
• our failure to comply with covenants in our debt agreements;
• changes in governmental regulations and policies;
• our ability to comply with U.S. and foreign laws and regulations;
• our compliance with data privacy laws and regulations;
• our failure to protect our intellectual property rights;
• potential outcomes related to pending or future litigation matters;
• the impact of the COVID-19 pandemic and other macroeconomic factors on the U.S. and global economy, and in particular on our small- and medium-sized business clients;
• volatility in the political and economic environment, including rising inflation;
• changes in the availability of qualified people; and
• the possible effects of negative publicity on our reputation and the value of our brand.

Any of these factors, as well as such other factors as discussed in our SEC filings, could cause our actual results to differ materially from our anticipated results. The information provided in this document is based upon the facts and circumstances known as of the date of this press release, and any forward-looking statements made by us in this document speak only as of the date on which they are made. Except as required by law, we undertake no obligation to update these forward-looking statements after the date of issuance of this press release to reflect events or circumstances after such date, or to reflect the occurrence of unanticipated events.

PAYCHEX, INC. CONSOLIDATED STATEMENTS OF INCOME (Unaudited) (In millions, except per share amounts)
		For the three months ended															For the twelve months ended
		May 31,															May 31,
		2022					2021					Change(2)					2022					2021					Change(2)
Revenue:
Management Solutions		$		845.3			$		756.4				12		%		$		3,442.7			$		3,023.4				14		%
PEO and Insurance Solutions				284.3					258.3				10		%				1,111.3					974.1				14		%
Total service revenue				1,129.6					1,014.7				11		%				4,554.0					3,997.5				14		%
Interest on funds held for clients(1)				14.7					14.5				2		%				57.7					59.3				(3	)	%
Total revenue				1,144.3					1,029.2				11		%				4,611.7					4,056.8				14		%
Expenses:
Cost of service revenue				360.0					315.8				14		%				1,356.3					1,271.2				7		%
Selling, general and administrative expenses				390.3					359.6				9		%				1,415.4					1,324.9				7		%
Total expenses				750.3					675.4				11		%				2,771.7					2,596.1				7		%
Operating income				394.0					353.8				11		%				1,840.0					1,460.7				26		%
Other expense, net(1)				(5.2	)				(7.9	)		n/m							(15.4	)				(26.5	)		n/m
Income before income taxes				388.8					345.9				12		%				1,824.6					1,434.2				27		%
Income taxes				92.4					82.9				11		%				431.8					336.7				28		%
Net income		$		296.4			$		263.0				13		%		$		1,392.8			$		1,097.5				27		%
Basic earnings per share		$		0.82			$		0.73				12		%		$		3.86			$		3.05				27		%
Diluted earnings per share		$		0.82			$		0.73				12		%		$		3.84			$		3.03				27		%
Weighted-average common shares outstanding				360.8					360.2										360.6					359.9
Weighted-average common shares outstanding, assuming dilution				363.3					362.7										363.1					362.1
Cash dividends per common share		$		0.79			$		0.66								$		2.77			$		2.52

(1)	Further information on interest on funds held for clients and other expense, net, and the short- and long-term effects of changing interest rates can be found in our filings with the SEC, including our Quarterly Reports on Form 10-Q and our Annual Report on Form 10-K, as applicable, under the caption “Management’s Discussion and Analysis of Financial Condition and Results of Operations” and subheadings “Results of Operations” and “Market Risk Factors.” These filings are accessible at www.paychex.com.
(2)	Percentage changes are calculated based on unrounded numbers.
	n/m – not meaningful

PAYCHEX, INC. CONSOLIDATED BALANCE SHEETS (Unaudited) (In millions, except per share amounts)
		May 31,
		2022					2021
ASSETS
Cash and cash equivalents		$		370.0			$		995.2
Restricted cash				50.3					51.3
Corporate investments				853.9					36.7
Interest receivable				22.3					24.4
Accounts receivable, net of allowance for credit losses				723.8					578.3
PEO unbilled receivables, net of advance collections				572.1					450.9
Prepaid income taxes				34.0					33.5
Prepaid expenses and other current assets				272.3					249.2
Current assets before funds held for clients				2,898.7					2,419.5
Funds held for clients				3,682.9					3,750.0
Total current assets				6,581.6					6,169.5
Long-term restricted cash				25.5					37.0
Long-term corporate investments				5.0					7.1
Property and equipment, net of accumulated depreciation				401.3					395.8
Operating lease right-of-use assets, net of accumulated amortization				78.7					103.0
Intangible assets, net of accumulated amortization				224.6					275.8
Goodwill				1,831.5					1,820.7
Long-term deferred costs				433.3					384.1
Other long-term assets				53.7					34.2
Total assets		$		9,635.2			$		9,227.2
LIABILITIES
Accounts payable		$		105.7			$		89.0
Accrued corporate compensation and related items				225.4					209.7
Accrued worksite employee compensation and related items				683.4					586.4
Short-term borrowings				8.7					7.4
Deferred revenue				38.4					37.9
Other current liabilities				388.4					336.8
Current liabilities before client fund obligations				1,450.0					1,267.2
Client fund obligations				3,819.2					3,671.0
Total current liabilities				5,269.2					4,938.2
Accrued income taxes				58.1					25.8
Deferred income taxes				165.5					218.0
Long-term borrowings, net of debt issuance costs				797.7					797.3
Operating lease liabilities				74.8					92.4
Other long-term liabilities				184.7					207.5
Total liabilities				6,550.0					6,279.2
STOCKHOLDERS’ EQUITY
Common stock, $0.01 par value; Authorized: 600.0 shares; Issued and outstanding: 359.9 shares as of May 31, 2022 and 359.8 shares as of May 31, 2021				3.6					3.6
Additional paid-in capital				1,545.9					1,446.7
Retained earnings				1,669.6					1,445.9
Accumulated other comprehensive (loss)/income				(133.9	)				51.8
Total stockholders’ equity				3,085.2					2,948.0
Total liabilities and stockholders’ equity		$		9,635.2			$		9,227.2

PAYCHEX, INC. CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) (In millions)
		For the twelve months ended
		May 31,
		2022					2021
OPERATING ACTIVITIES
Net income		$		1,392.8			$		1,097.5
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization				191.8					192.0
Amortization of premiums and discounts on available-for-sale securities, net				28.9					35.8
Amortization of deferred contract costs				202.1					191.4
Stock-based compensation costs				52.8					52.5
Provision for/(benefit from) deferred income taxes				2.3					(21.0	)
Provision for allowance for credit losses				3.4					8.0
Net realized gains on sales of available-for-sale securities				(0.2	)				(1.2	)
Changes in operating assets and liabilities:
Interest receivable				2.1					1.8
Accounts receivable and PEO unbilled receivables, net				(269.9	)				(272.9	)
Prepaid expenses and other current assets				(7.7	)				(15.8	)
Accounts payable and other current liabilities				151.8					169.0
Deferred costs				(267.1	)				(208.0	)
Net change in other long-term assets and liabilities				26.3					32.1
Net change in operating lease right-of-use assets and liabilities				(3.9	)				(0.9	)
Net cash provided by operating activities				1,505.5					1,260.3
INVESTING ACTIVITIES
Purchases of available-for-sale securities				(17,807.7	)				(6,089.7	)
Proceeds from sales and maturities of available-for-sale securities				16,554.9					5,771.9
Purchases of property and equipment, net of proceeds from sales				(132.6	)				(114.6	)
Acquisition of businesses, net of cash acquired				(24.9	)				(19.5	)
Purchases of other assets				(10.6	)				(8.7	)
Net cash used in investing activities				(1,420.9	)				(460.6	)
FINANCING ACTIVITIES
Net change in client fund obligations				143.2					340.0
Net proceeds from short-term borrowings				1.3					2.3
Dividends paid				(999.6	)				(908.7	)
Repurchases of common shares				(145.2	)				(155.7	)
Contingent consideration paid for acquisitions				(1.6	)				—
Activity related to equity-based plans				22.6					85.7
Net cash used in financing activities				(979.3	)				(636.4	)
Net change in cash, restricted cash, and equivalents				(894.7	)				163.3
Cash, restricted cash, and equivalents, beginning of fiscal year				1,823.1					1,659.8
Cash, restricted cash, and equivalents, end of fiscal year		$		928.4			$		1,823.1
Reconciliation of cash, restricted cash and equivalents
Cash and cash equivalents		$		370.0			$		995.2
Restricted cash				75.8					88.3
Restricted cash and restricted cash equivalents included in funds held for clients				482.6					739.6
Total cash, restricted cash, and equivalents		$		928.4			$		1,823.1

 

View source version on businesswire.com: https://www.businesswire.com/news/home/20220629005150/en/

Investor Relations:

Efrain Rivera, CFO, or Terri Allen

585‑383‑3406



Media Inquiries:

Chris Muller, Director, Corporate Communications

585‑338-4346

Source: Paychex, Inc.

FAQ

What were Paychex's earnings results for fiscal year 2022?

Paychex reported earnings per share of $3.84, a 27% increase, with total revenue of $4.61 billion, up 14%.

What is Paychex's revenue growth outlook for fiscal year 2023?

Paychex anticipates total revenue growth between 7% to 8% for fiscal year 2023.

How did Paychex perform in the fourth quarter of fiscal year 2022?

In Q4 fiscal 2022, Paychex reported total service revenue of $1.13 billion, an 11% increase year-over-year.

What are the key financial metrics for Paychex in fiscal year 2022?

Key metrics include a 26% increase in operating income to $1.84 billion and an operating margin of 39.9%.