Paychex (NASDAQ:PAYX) earnings for the fiscal third quarter of 2020 has PAYX stock climbing higher on Wednesday afternoon. That’s after its adjusted earnings per share (EPS) of 97 cents beat out Wall Street’s estimate of 95 cents per share. Additionally, its revenue of $1.14 billion million matches analysts’ estimates for 3Q of fiscal year 2020.
Here’s what else is worth mentioning from the most recent Paychex earnings report.
- Adjusted per-share earnings are a 9% increase from 89 cents in fiscal Q3 2019.
- Revenue for the quarter comes in 6.5% higher than the $1.07 billion from the same period of the year prior.
- Operating income of $470.1 million is 9.5% more year-over-year than $429.3 million.
- The Paychex earnings report also has it bringing in a net income of $354.5 million.
- That’s 9.2% better than $324.6 million reported during the same time last year.
Martin Mucci, president and CEO of Paychex, had this to say about the PAYX stock earnings report:
“During the third quarter, we experienced solid growth across our major business lines. We are benefiting from the investments we’ve made in both expanding our product offerings, like Pay-on-Demand, and our technology and mobile app enhancements. We realized continued momentum in the mid-market space and achieved record-level retention rates across many of our services.”
The Paychex earnings report includes the company’s guidance for the rest of FY2020. Total revenue is anticipated to grow in the range of 8% to 9%, while adjusted net income and adjusted diluted earnings per share are expected to grow approximately 6%.
That said, the company stated that “the impact from the rapidly changing market and economic conditions due to COVID-19 is uncertain and could impact our results of operations and financial condition in the future.”
PAYX stock was up 9.2% as of Wednesday afternoon.
Nick Clarkson is a Web Editor at InvestorPlace. As of this writing, he did not hold a position in any of the aforementioned securities.