Paychex, Inc. (PAYX) Q1 FY2027 Financial Statements: Revenue $1.63B, Net income $429.70M
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PeriodQ1 FY2027
Published
Paychex reported $1.63 billion in total revenue for Q1 FY2027, the quarter ended August 31, 2026, up 5.9% from a year earlier, with net income of $429.7 million, up 12.0%, and diluted earnings per share of $1.21, up 14.2%. Operating income was $619.2 million, up 14.3%, which Paychex attributes primarily to revenue growth and lower acquisition-related costs. PEO and Insurance Solutions was the fastest-growing of its revenue lines at $367.6 million, up 11.7%.
| Metric | Amount | vs. year ago |
|---|---|---|
| Revenue | $1,630,500,000 | up 5.9% |
| Net income | $429,700,000 | up 12.0% |
| Diluted EPS | $1.21 | up 14.2% |
| Operating income | $619,200,000 | up 14.3% |
| PEO and Insurance Solutions revenue | $367,600,000 | up 11.7% |
Figures link to the filing they came from. Wherever the SEC filing tags a number, that number is linked: click it and the filing opens at the exact line that prints it. Figures calculated here, such as margins, free cash flow and trailing-twelve-month totals, have no line in a filing to point to and are not linked.
About this file
| Ticker | PAYX |
|---|---|
| CIK | 0000723531 |
| Company | Paychex, Inc. |
| Business type | services |
| Schema template | standard services (human capital management / payroll): revenue by product line, operating expenses, operating income, net income, EPS; balance sheet with client funds shown separately; operating cash flow, capital expenditures, free cash flow, capital returns |
| Schema rationale | Paychex is a payroll, human capital management and professional employer organization (PEO) services company that reports a single operating segment. Its income statement presents revenue by product line (Management Solutions; PEO and Insurance Solutions) plus interest earned on client funds, and it reports cost of service revenue and selling, general and administrative expenses rather than a gross profit line, so no gross profit is shown here. The balance sheet carries large client fund balances (funds held for clients and the matching client fund obligations) that are not the company's own operating assets; they are shown as separate lines so a reader can set them aside. |
| Reporting currency | USD |
| Converted to USD | no |
| Units | actual dollars (not millions); share counts in actual shares; per-share amounts in dollars |
| Sign convention | Income statement expense lines (cost of service revenue, SG&A, interest expense, income taxes) are stated as positive amounts. Cash flow lines keep the sign the cash flow statement prints: outflows such as capital expenditures, acquisitions, dividends paid and share repurchases are negative. |
| Fiscal calendar note | Paychex's fiscal year ends May 31. Fiscal 2027 runs June 1, 2026 to May 31, 2027; its first quarter is the three months ended August 31, 2026. |
PAYX annual income statement, balance sheet and cash flow
| FY2026 | FY2025 | FY2024 | |
|---|---|---|---|
| Period start | 2025-06-01 | 2024-06-01 | 2023-06-01 |
| Period end | 2026-05-31 | 2025-05-31 | 2024-05-31 |
| Period type | fiscal year | fiscal year | fiscal year |
| Source accession | 10-K | 10-K | 10-K |
| Source form | 10-K filed 2026-07-17 | 10-K filed 2026-07-17 | 10-K filed 2026-07-17 |
| Income statement | |||
| Management solutions revenue | 4,867,900,000 | 4,067,100,000 | 3,866,400,000 |
| Peo and insurance solutions revenue | 1,433,200,000 | 1,342,900,000 | 1,265,600,000 |
| Total service revenue | 6,301,100,000 | 5,410,000,000 | 5,132,000,000 |
| Interest on funds held for clients | 210,900,000 | 161,700,000 | 146,300,000 |
| Total revenue | 6,512,000,000 | 5,571,700,000 | 5,278,300,000 |
| Cost of service revenue | 1,674,500,000 | 1,540,400,000 | 1,479,300,000 |
| Selling general and administrative expenses | 2,327,000,000 | 1,823,600,000 | 1,624,900,000 |
| Total expenses | 4,001,500,000 | 3,364,000,000 | 3,104,200,000 |
| Operating income | 2,510,500,000 | 2,207,700,000 | 2,174,100,000 |
| Interest expense | 269,500,000 | 105,400,000 | 37,300,000 |
| Other income net | 69,900,000 | 73,600,000 | 81,200,000 |
| Income before income taxes | 2,310,900,000 | 2,175,900,000 | 2,218,000,000 |
| Income taxes | 550,800,000 | 518,600,000 | 527,600,000 |
| Net income | 1,760,100,000 | 1,657,300,000 | 1,690,400,000 |
| Basic EPS | 4.90 | 4.60 | 4.69 |
| Diluted EPS | 4.89 | 4.58 | 4.67 |
| Basic shares | 358,900,000 | 360,200,000 | 360,300,000 |
| Diluted shares | 360,000,000 | 362,000,000 | 362,100,000 |
| Dividends declared per share | 4.43 | 4.02 | 3.65 |
| Cash flow | |||
| Operating cash flow | 2,556,700,000 | 1,900,900,000 | 1,897,700,000 |
| Depreciation and amortization | 442,600,000 | 209,500,000 | 176,500,000 |
| Stock based compensation | 96,100,000 | 111,800,000 | 61,100,000 |
| Capital expenditures | -234,900,000 | -191,800,000 | -161,400,000 |
| Acquisitions of businesses net of cash acquired | -400,000 | -2,967,500,000 | -208,300,000 |
| Net cash from investing activities | -1,152,400,000 | -3,356,800,000 | -260,900,000 |
| Net change in client fund obligations | 17,600,000 | -290,700,000 | -425,300,000 |
| Dividends paid | -1,589,600,000 | -1,448,500,000 | -1,315,300,000 |
| Repurchases of common shares | -611,000,000 | -104,500,000 | -169,200,000 |
| Net cash from financing activities | -2,653,800,000 | 2,293,200,000 | -1,874,700,000 |
| Payments on long term borrowings | -400,000,000 | 0 | 0 |
| Proceeds from issuance of corporate bonds | 0 | 4,180,900,000 | 0 |
| Free cash flow | 2,321,800,000 | 1,709,100,000 | 1,736,300,000 |
| Balance sheet | |||
| Cash and cash equivalents | 1,088,200,000 | 1,628,600,000 | |
| Restricted cash | 52,800,000 | 47,900,000 | |
| Corporate investments | 36,300,000 | 34,500,000 | |
| Accounts receivable net | 1,507,600,000 | 1,330,500,000 | |
| Current assets before funds held for clients | 3,781,100,000 | 4,103,200,000 | |
| Funds held for clients | 4,832,200,000 | 4,813,300,000 | |
| Total current assets | 8,613,300,000 | 8,916,500,000 | |
| Intangible assets net | 1,684,000,000 | 1,947,300,000 | |
| Goodwill | 4,527,400,000 | 4,514,100,000 | |
| Total assets | 16,174,500,000 | 16,564,100,000 | |
| Current liabilities before client fund obligations | 1,956,000,000 | 2,089,300,000 | |
| Client fund obligations | 4,884,600,000 | 4,867,000,000 | |
| Total current liabilities | 6,840,600,000 | 6,956,300,000 | |
| Long term debt | 4,556,100,000 | 4,548,400,000 | |
| Total liabilities | 12,439,400,000 | 12,436,100,000 | |
| Total stockholders equity | 3,735,100,000 | 4,128,000,000 | |
| Total liabilities and stockholders equity | 16,174,500,000 | 16,564,100,000 | |
| Short term debt | 0 | 18,600,000 | |
| Long term debt current portion | 0 | 399,800,000 | |
| Shares outstanding | 355,600,000 | 360,500,000 | |
| Total debt | 4,556,100,000 | 4,966,800,000 | |
PAYX quarterly income statement, balance sheet and cash flow
| Q1 FY2027 | Q1 FY2026 | |
|---|---|---|
| Fiscal quarter | 1 | 1 |
| Period start | 2026-06-01 | 2025-06-01 |
| Period end | 2026-08-31 | 2025-08-31 |
| Period type | three months | three months |
| Source accession | 10-Q | 10-Q |
| Source form | 10-Q filed 2026-09-24 | 10-Q filed 2026-09-24 |
| Income statement | ||
| Management solutions revenue | 1,213,100,000 | 1,163,300,000 |
| Peo and insurance solutions revenue | 367,600,000 | 329,100,000 |
| Total service revenue | 1,580,700,000 | 1,492,400,000 |
| Interest on funds held for clients | 49,800,000 | 47,600,000 |
| Total revenue | 1,630,500,000 | 1,540,000,000 |
| Cost of service revenue | 430,100,000 | 413,800,000 |
| Selling general and administrative expenses | 581,200,000 | 584,300,000 |
| Total expenses | 1,011,300,000 | 998,100,000 |
| Operating income | 619,200,000 | 541,900,000 |
| Interest expense | 65,100,000 | 68,200,000 |
| Other income net | 10,900,000 | 23,800,000 |
| Income before income taxes | 565,000,000 | 497,500,000 |
| Income taxes | 135,300,000 | 113,700,000 |
| Net income | 429,700,000 | 383,800,000 |
| Basic EPS | 1.21 | 1.07 |
| Diluted EPS | 1.21 | 1.06 |
| Basic shares | 355,800,000 | 360,100,000 |
| Diluted shares | 356,600,000 | 361,900,000 |
| Dividends declared per share | 1.19 | 1.08 |
| Cash flow | ||
| Operating cash flow | 413,500,000 | 718,400,000 |
| Depreciation and amortization | 109,800,000 | 109,300,000 |
| Stock based compensation | 19,300,000 | 26,800,000 |
| Capital expenditures | -56,100,000 | -55,900,000 |
| Acquisitions of businesses net of cash acquired | -18,100,000 | -200,000 |
| Net cash from investing activities | -335,800,000 | -1,302,700,000 |
| Net change in client fund obligations | -443,900,000 | 81,400,000 |
| Dividends paid | -424,100,000 | -389,100,000 |
| Repurchases of common shares | 0 | -160,100,000 |
| Net cash from financing activities | -906,600,000 | -515,400,000 |
| Free cash flow | 357,400,000 | 662,500,000 |
| Balance sheet | ||
| Cash and cash equivalents | 600,900,000 | |
| Restricted cash | 55,000,000 | |
| Corporate investments | 333,300,000 | |
| Accounts receivable net | 1,615,900,000 | |
| Current assets before funds held for clients | 3,745,200,000 | |
| Funds held for clients | 4,348,400,000 | |
| Total current assets | 8,093,600,000 | |
| Intangible assets net | 1,626,200,000 | |
| Goodwill | 4,534,100,000 | |
| Total assets | 15,660,700,000 | |
| Current liabilities before client fund obligations | 1,899,300,000 | |
| Client fund obligations | 4,440,700,000 | |
| Total current liabilities | 6,340,000,000 | |
| Long term debt | 4,558,000,000 | |
| Total liabilities | 11,955,200,000 | |
| Total stockholders equity | 3,705,500,000 | |
| Total liabilities and stockholders equity | 15,660,700,000 | |
| Shares outstanding | 356,000,000 | |
| Total debt | 4,558,000,000 | |
PAYX trailing twelve month income statement and cash flow
| Twelve months ended August 31, 2026 | |
|---|---|
| Period start | 2025-09-01 |
| Period end | 2026-08-31 |
| Period type | trailing twelve months |
| Source accession | 10-Q |
| Source accessions | 10-K, 10-Q |
| Income statement | |
| Management solutions revenue | 4,917,700,000 |
| Peo and insurance solutions revenue | 1,471,700,000 |
| Total service revenue | 6,389,400,000 |
| Interest on funds held for clients | 213,100,000 |
| Total revenue | 6,602,500,000 |
| Cost of service revenue | 1,690,800,000 |
| Selling general and administrative expenses | 2,323,900,000 |
| Total expenses | 4,014,700,000 |
| Operating income | 2,587,800,000 |
| Interest expense | 266,400,000 |
| Other income net | 57,000,000 |
| Income before income taxes | 2,378,400,000 |
| Income taxes | 572,400,000 |
| Net income | 1,806,000,000 |
| Dividends declared per share | 4.54 |
| Cash flow | |
| Operating cash flow | 2,251,800,000 |
| Depreciation and amortization | 443,100,000 |
| Stock based compensation | 88,600,000 |
| Capital expenditures | -235,100,000 |
| Free cash flow | 2,016,700,000 |
| Dividends paid | -1,624,600,000 |
| Repurchases of common shares | -450,900,000 |
- Derivation. Fiscal 2026 full-year figures from the FY2026 10-K (accession 0001193125-26-307785), less the three months ended August 31, 2025, plus the three months ended August 31, 2026, both from the Q1 FY2027 10-Q (accession 0000723531-26-000006). This is a computed roll-forward, not a figure Paychex reports.
- Notes. Dividends declared per share for the trailing period is fiscal 2026's $4.43, less $1.08 declared in the first quarter of fiscal 2026, plus $1.19 declared in the first quarter of fiscal 2027.; No trailing earnings per share or balance sheet is given: per-share earnings over a trailing window would mix share counts from different periods, and a balance sheet is a point-in-time position already shown for August 31, 2026 in the quarterly record.
Adjustments
| Splits applied | none |
|---|---|
| Splits note | No stock split occurred in any period reported here, so per-share figures are directly comparable across all periods. |
| ADR ratio | n/a |
| ADR note | Not applicable. Paychex common stock trades directly on the Nasdaq Global Select Market. |
| FX | None applied. Paychex reports in U.S. dollars. |
Notes
- Annual figures for fiscal 2026, 2025 and 2024 are from the consolidated statements in the FY2026 10-K (accession 0001193125-26-307785). That filing presents balance sheets only as of May 31, 2026 and May 31, 2025, so fiscal 2024 carries income statement and cash flow figures only.
- Quarterly figures for the three months ended August 31, 2026 and August 31, 2025 are from the Q1 FY2027 10-Q (accession 0000723531-26-000006). Because the first quarter is also the fiscal year to date, the 10-Q prints only three-month columns and no separate year-to-date view exists.
- The 10-Q's balance sheet compares August 31, 2026 with May 31, 2026; it prints no balance sheet as of August 31, 2025, so the Q1 FY2026 entry carries no balance sheet. The May 31, 2026 column in the 10-Q matches the FY2026 10-K balance sheet line for line.
- Total debt is the sum of the balance sheet's short-term debt, current portion of long-term debt, and long-term debt net of debt issuance costs. At May 31, 2025 that was $18.6 million + $399.8 million + $4,548.4 million; at May 31, 2026 and August 31, 2026 only long-term debt was outstanding (the 10-Q captions it 'Long-term borrowings, net of debt issuance costs').
- Free cash flow is computed here as net cash provided by operating activities less purchases of property and equipment. It is not a figure Paychex reports.
- Dividends declared per share are taken from the consolidated statements of stockholders' equity. Shares outstanding are the issued and outstanding shares stated in the balance sheet's common stock caption.
- Paychex completed its acquisition of Paycor HCM, Inc. on April 14, 2025, funded with the $4.2 billion of corporate bonds it issued in April 2025 (FY2026 10-K). Fiscal 2025 includes Paycor only from that date to May 31, 2025; fiscal 2026 is the first full fiscal year that includes it. The 10-K attributes the fiscal 2026 increase in interest expense primarily to that incremental debt.
Uncertainties
- The trailing twelve months ended August 31, 2026 is a roll-forward computed from the FY2026 10-K and the Q1 FY2027 10-Q rather than a period Paychex reports.
Company details
| Name | Paychex Inc |
|---|---|
| Ticker | PAYX |
| CIK | 0000723531 |
| Exchange | Nasdaq |
| State | New York |
| Incorporation | Delaware |
| SIC | 8700 |
| Office | Trade & Services |
| Industry | Services-Engineering, Accounting, Research, Management |
Fiscal period
| Fiscal year | 2027 |
|---|---|
| Fiscal period | Q1 |
| Tag | FY27Q1 |
| Period end | 2026-08-31 |
| Form | 10-Q |
| Accession | 0000723531-26-000006 |
| Fiscal year end | 0531 |
| Source | facts |
Source filings
| Role | Current | Form | Fiscal year | Fiscal period | Tag | Period end | Filed | Accession | Source |
|---|---|---|---|---|---|---|---|---|---|
| annual | no | 10-K | 2026 | FY | FY26 | 2026-05-31 | 2026-07-17 | 0001193125-26-307785 | reported |
| quarterly | yes | 10-Q | 2027 | Q1 | FY27Q1 | 2026-08-31 | 2026-09-24 | 0000723531-26-000006 | facts |
FAQ · Paychex financial statements
How much revenue did Paychex report in Q1 FY2027?
Paychex reported total revenue of $1.63 billion for Q1 FY2027, the quarter ended August 31, 2026. That is up 5.9% from $1.54 billion in the same quarter a year earlier.
What were Paychex's net income and EPS for Q1 FY2027?
Paychex earned net income of $429.7 million in Q1 FY2027, up 12.0% from $383.8 million a year earlier. Diluted earnings per share were $1.21, up 14.2% from $1.06, helped by a lower diluted share count.
Why did Paychex's operating income grow faster than revenue in Q1 FY2027?
Paychex's operating income was $619.2 million in Q1 FY2027, up 14.3% from $541.9 million, while total revenue was up 5.9%. Paychex attributes the increase primarily to revenue growth and lower acquisition-related costs.
How fast is Paychex's PEO and Insurance Solutions business growing?
Paychex's PEO and Insurance Solutions revenue was $367.6 million in Q1 FY2027, up 11.7% from $329.1 million a year earlier, driven by growth in average PEO worksite employees and higher PEO insurance volumes.
Where can I get Paychex, Inc. (PAYX) financial data in machine-readable form?
Ticker Scout publishes Paychex, Inc.'s financial statements as JSON at https://tickerscout.ai/payx/financials.json, free, with no API key and no signup. The 10-K and 10-Q narrative and the 8-K events digest are published as Markdown at https://tickerscout.ai/payx/narrative.md and https://tickerscout.ai/payx/events.md. Paychex, Inc.'s SEC CIK is 0000723531. Every figure cites the SEC accession number it came from, so it can be checked against sec.gov.
When does Paychex, Inc. (PAYX) next file with the SEC?
Paychex, Inc. (PAYX) is expected to file its next Form 10-Q with the SEC on or around December 21, 2026. That date is a projection rather than a company-announced date: it is derived from Paychex, Inc.'s own filing history with the SEC, by taking the date the company filed the same fiscal period a year earlier and adding 52 weeks. The most recent periodic report on file is the 10-Q for Q1 FY2027, the period ended 2026-08-31, SEC accession 0000723531-26-000006.
How this page was built
This page was built from two of Paychex, Inc.'s own filings with the SEC, read one at a time. Nothing on it is taken from a pre-tagged dataset, a data vendor or another website. The figures are on the company's own fiscal calendar and in actual dollars, as the filings report them. Where the filings do not support a figure, the record says so instead of reporting a zero; this period names one such gap.
A single company files thousands of pages with the SEC in a year, and no two companies file them the same way, so the reading and the assembly here are done by AI rather than by rules that break on the differences. Every pass is then audited back against the filings it came from before the page is published, and anything the filings do not support is left out and named rather than filled in. AI can still make mistakes. That is why the accession numbers are printed: the filing is the authority, and this page is a route to it.
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Built from Paychex, Inc.'s SEC filings by Ticker Scout; accession numbers are cited throughout so every figure can be checked against sec.gov. Free to cite with attribution: Ticker Scout (tickerscout.ai). Not investment advice, see the Disclaimer.