Automatic Data Processing ( (ADP) ) has released its Q3 earnings. Here is a breakdown of the information Automatic Data Processing presented to its investors.
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Automatic Data Processing (ADP) is a global technology company specializing in human capital management solutions, offering services such as HR, talent, time management, benefits, and payroll. In its third quarter fiscal 2025 earnings report, ADP announced a 6% increase in revenues to $5.6 billion, alongside a 5% rise in net earnings to $1.2 billion, reflecting the company’s robust performance and strategic resilience.
Key financial highlights from the report include a 6% increase in adjusted EBIT to $1.6 billion, with an adjusted EBIT margin expansion of 10 basis points to 29.3%. The diluted earnings per share also saw a 6% rise to $3.06. The Employer Services segment reported a 5% revenue increase, while PEO Services saw a 7% revenue growth, with average worksite employees rising by 2%.
ADP’s strategic focus on client satisfaction and market-leading product offerings has positioned it well for continued growth. The company has raised its full-year guidance for adjusted EBIT margin and adjusted diluted EPS growth, indicating confidence in its ongoing performance.
Looking ahead, ADP’s management remains optimistic about the fiscal year 2025, projecting revenue growth of 6% to 7% and adjusted diluted EPS growth of 8% to 9%. The company is committed to sustaining its growth trajectory through continued investment in its business and maintaining its leadership in the human capital management sector.