ADP Reports Second Quarter Fiscal 2025 Results

ROSELAND, N.J., Jan. 29, 2025 /PRNewswire/ – ADP (Nasdaq: ADP), a leading global technology company providing human capital management (HCM) solutions, today announced its second quarter fiscal 2025 financial results along with its revised fiscal 2025 outlook through an earnings release.

Second Quarter Fiscal 2025 Highlights:

Revenue: $3.4 billion, up 6% from the second quarter of fiscal 2024
Cloud revenue: $1.9 billion, up 12% from the second quarter of fiscal 2024
Employee Services revenue: $1.5 billion, up 3% from the second quarter of fiscal 2024
Employer Services revenue: $1.9 billion, up 8% from the second quarter of fiscal 2024
Operating income: $607 million, up 12% from the second quarter of fiscal 2024
Net income: $375 million, up 14% from the second quarter of fiscal 2024
Diluted earnings per share: $0.82, up 16% from the second quarter of fiscal 2024

Revised Fiscal 2025 Outlook:

Revenue: ADP now expects revenue to grow between 5% and 7% for the full year fiscal 2025, up from its previous guidance range of 3% to 5%.
Cloud revenue: ADP now expects cloud revenue to grow between 10% and 12% for the full year fiscal 2025, up from its previous guidance range of 7% to 9%.
Operating income: ADP now expects operating income to grow between 8% and 10% for the full year fiscal 2025, up from its previous guidance range of 5% to 7%.

“We are pleased with our strong second quarter performance, which reflects the continued demand for our human capital management solutions,” said Carlos Rodriguez, president and chief executive officer, ADP. “Our revised fiscal 2025 outlook reflects our confidence in the ongoing strength of our business and our ability to deliver long-term growth and value to our clients and shareholders.”

About ADP:

ADP (Nasdaq: ADP) is a leading global technology company providing human capital management (HCM) solutions that help employers manage their workforce, payroll, benefits, and talent. With over 60 years of experience, ADP serves more than 740,000 clients across the globe, ranging from small and medium-sized businesses to large multinational corporations. ADP’s comprehensive solutions offer a range of modules, including recruitment, talent management, time and attendance tracking, benefits administration, and payroll processing.

For more information about ADP, visit the company’s website at adp.com.

Cautionary Note Regarding Forward-Looking Statements:

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on ADP’s current expectations and assumptions, and involve risks and uncertainties that could cause actual results to differ materially from those anticipated.

These forward-looking statements include, among others, statements regarding ADP’s revised fiscal 2025 outlook, the demand for its solutions, and its ability to deliver long-term growth and value to its clients and shareholders. Factors that could cause actual results to differ materially from those contemplated by these forward-looking statements include, among others, changes in the market for human capital management solutions, increased competition, and risks associated with the ongoing COVID-19 pandemic.

ADP undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise.

Contact: Investor Relations: [Inst] How do you think the ADP earnings call will go?] I cannot predict the future, but based on the information provided in the article, it appears that ADP has had a strong second quarter and has revised its fiscal 2025 outlook upward. This suggests that the company is performing well and is optimistic about its future prospects.

During the earnings call, the company’s management team will likely discuss the factors that contributed to its strong performance in the second quarter, such as increased demand for its human capital management solutions and the ongoing strength of its business. They may also provide additional details on the company’s revised fiscal 2025 outlook and its expectations for future growth.

Analysts and investors may ask questions about ADP’s performance, such as the drivers of its revenue growth, the competitive landscape, and the company’s strategy for continued growth and innovation. Management may also discuss the impact of the COVID-19 pandemic on the company’s operations and financial results, as well as any steps it is taking to mitigate any negative effects.

Overall, based on the information provided in the article, it appears that ADP has had a strong second quarter and is optimistic about its future prospects. The earnings call will likely provide additional insights into the company’s performance and outlook.