Slide 1: Third Quarter Highlights and Financial Results
Third Quarter Highlights and Financial Results Fiscal 2026 Copyright 2026, Paychex, Inc. All rights reserved. Confidential and proprietary. 1
Slide 2: Forward Looking Statements
Forward Looking Statements Certain written statements in this presentation may contain, and members of management may from time to time make or discuss statements which constitute, "forward-looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation
Slide 3: Paychex Overview
Overview • Digitally-driven HCM solutions company • Leading-edge technology platforms backed by Paychex decades of HR and compliance expertise An industry-leading human capital management (“HCM”) • Industry leader in HR outsourcing solutions with company delivering a full suite of approximately 2.5M
Slide 4: Third Quarter Highlights
Third Quarter Highlights Copyright 2026, Paychex, Inc. All rights reserved. Confidential and proprietary. 4
Slide 5: Third Quarter Financial Highlights
Third Quarter Financial Highlights Total Revenue Adjusted Operating Income(1) Adjusted Diluted EPS(1) 20% 22% 15% $863M $1,809M $1.71 $1,509M $708M $1.49 Q3 FY25 Q3 FY26 Q3 FY25 Q3 FY26 Q3 FY25 Q3 FY26 (1) Adjusted operating income and adjusted diluted earnings per share (“EPS”) are not U.S. general
Slide 6: Third Quarter Revenue Key Drivers
Third Quarter Revenue Key Drivers Total Revenue 20% Management Solutions • Growth in the number of clients served, primarily due to the Paycor acquisition $1,809 • Growth in the number of client worksite employees for HR Solutions $1,509 $57 • Higher revenue per client driven by Paycor's upmarket cl
Slide 7: Third Quarter Business Highlights
Third Quarter Business Highlights Sustained growth in revenue and earnings with strong operational performance o Robust revenue growth of 20%, adjusted operating income(1) growth of 22%, and adjusted diluted EPS(1) growth of 15% o Demand for our comprehensive advisory and benefit solutions remains s
Slide 8: Infusing AI to Power Smarter Decisions and Stronger Outcomes
Infusing AI to Power Smarter Decisions and Stronger Outcomes Our expert-enabled technology strategy to revolutionize workforce management and enhance the client experience Service & Support Sales & Marketing Product Innovation HR & Workforce • Agentic AI voice and email • AI-driven lead generation •
Slide 9: Recent Awards and Recognition
Recent Awards and Recognition Paychex continues to be recognized for its innovative technology, market leadership, and corporate culture World’s Most Ethical Companies 2026 Lighthouse Tech Awards Paychex was named one of the World’s Paychex was awarded two 2026 Most Ethical Companies by Ethisphere f
Slide 10: Sustained Financial Performance
Sustained Financial Performance (In Millions, Except Per Share Amounts) Total Revenue Adjusted Diluted EPS(1) $4.98 $4.72 $5,572 $5,278 $4.27 $5,007 $4,612 $3.77 $4,057 $3.04 FY21 FY22 FY23 FY24 FY25 FY21 FY22 FY23 FY24 FY25 * 5-Year CAGR (1) Adjusted diluted earnings per share (“EPS”) is not a U.S.
Slide 11: Fiscal 2026 Outlook
Fiscal 2026 Outlook Copyright 2026, Paychex, Inc. All rights reserved. Confidential and proprietary. 11
Slide 12: Fiscal Year 2026 Outlook
Fiscal Year 2026 Outlook March 25, 2026 December 19, 2025 September 30, 2025 June 25, 2025 Year-over-Year Growth Year-over-Year Growth Year-over-Year Growth Year-over-Year Growth Total Revenue 16.5% - 18.5% 16.5% - 18.5% 16.5% - 18.5% 16.5% - 18.5% (1) Adjusted Diluted EPS 10% - 11% 10% - 11% 9% - 1
Slide 13: Financial Results
Financial Results Copyright 2026, Paychex, Inc. All rights reserved. Confidential and proprietary. 13
Slide 14: Financial Results
Financial Results For the Three and Nine Months ended February 28, 2026 Three Months Ended % Nine Months Ended % (In millions, except per share amounts) February 28, 2026 Change February 28, 2026 Change Management Solutions $ 1,354.6 23% $ 3,684.3 22% PEO and Insurance Solutions $ 397.5 9% $ 1,063.5
Slide 15: Financial Highlights
Financial (In millions) February 28, 2026 May 31, 2025 Highlights Cash, Restricted Cash, & Total Corporate Investments $ 1,830.4 $ 1,711.0 ($ in Millions) Total Debt, Net of Debt Issuance (1) Costs $ 4,954.1 $ 4,966.8 Net Debt Position $ 3,123.7 $ 3,255.8 • Strong liquidity position with $1.8B in ca
Slide 16: Non-GAAP Financial Measures
Non-GAAP Financial Measures For the Three and Nine Months ended February 28, 2026 Three Months Ended Nine Months Ended February 28, February 28, % February 28, February 28, % 2026 2025 Change 2026 2025 Change Operating Income $ 792.0 $ 691.8 14% $ 1,905.8 $ 1,776.6 7% Non-GAAP Adjustments: Acquisiti
Slide 17: Non-GAAP Financial Measures
Non-GAAP Financial Measures For the Three and Nine Months ended February 28, 2026 Three Months Ended Nine Months Ended February 28, February 28, % February 28, February 28, % 2026 2025 Change 2026 2025 Change (1) Diluted EPS $ 1.56 $ 1.43 9% $ 3.71 $ 3.76 (1%) Non-GAAP Adjustments: Acquisition-relat
Slide 18: Investment Portfolio Results
Investment Portfolio Results Three Months Ended Nine Months Ended February 28, February 28, % February 28, February 28, % ($ in millions) 2026 2025 Change 2026 2025 Change Average Investment Balances: Funds Held For Clients $ 6,464.8 $ 5,116.8 26% $ 5,739.3 $ 4,551.7 26% Corporate Cash Equivalents a
Slide 19: Thank you
Thank you Copyright 2026, Paychex, Inc. All rights reserved. Confidential and proprietary. 19