Slide 1: Fourth Quarter Highlights and Financial Results Fiscal 2025
Fourth Quarter Highlights and Financial Results Fiscal 2025 Copyright 2025, 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
• Digitally-driven HCM solutions company Overview • Leading-edge technology platform backed by decades of HR and compliance expertise Paychex An industry-leading human • Industry leader in comprehensive HR outsourcing capital management (“HCM”) solutions with approximately 2.5M worksite company deli
Slide 4: Fourth Quarter Highlights
PAYCHEX Fourth Quarter Highlights
Slide 5: Fourth Quarter Financial Highlights
Fourth Quarter Financial Highlights Total Revenue Adjusted Operating Income(1) Adjusted Diluted EPS(1) 10% 11% 6% $577M $1,427M $1.19 $1,295M $521M $1.12 Q4 FY24 Q4 FY25 Q4 FY24 Q4 FY25 Q4 FY24 Q4 FY25 (1) Adjusted operating income and adjusted diluted earnings per share (“EPS”) are not U.S. general
Slide 6: Fourth Quarter Revenue
Fourth Quarter Revenue Key Drivers Total Revenue Management Solutions 10% • Acquisition of Paycor • Higher revenue per client resulting from price $1,427 realization and product penetration, including HR $1,295 Solutions and Retirement $45 • Excluding the acquisition of Paycor, Management $38 +18% S
Slide 7: Business Highlights
Business Highlights Q4 FY25 Highlights o Revenue growth of 10% and Adjusted operating margin(1) expansion of 20 basis points year-over-year o Completed $4.2 billion bond offering to fund the Paycor acquisition o Closed the Paycor acquisition, strengthening our leadership position with two leading Sa
Slide 8: Product & Technology Horizon
Product & Technology Horizon Innovation to meet our customers’ evolving business needs Copyright 2025, Paychex, Inc. All rights reserved. Confidential and proprietary. 8
Slide 9: Recent Awards and Recognition
Recent Awards and Recognition Paychex was recognized for its innovative technology, market leadership, and corporate culture Fortune® 2025 America’s World’s Most Newsweek’s America’s Most Innovative Companies Ethical Companies Greatest Workplaces Paychex has been recognized for a third Paychex was r
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
PAYCHEX Fiscal 2026 Outlook
Slide 12: Fiscal Year 2026 Outlook
Fiscal Year 2026 Outlook FY’26 Guidance Total Revenue Growth 16.5% - 18.5% Management Solutions Revenue Growth 20% - 22% PEO & Insurance Solutions Revenue Growth 6% - 8% Interest on Funds Held for Clients Revenue $190M - $200M Adjusted Operating Income, as a Percent of Total Revenue(1) ~43% Effectiv
Slide 13: Financial Results
PAYCHEX Financial Results
Slide 14: Financial Results
Financial Results For the Three Months and Twelve Months ended May 31, 2025 Three Months Ended % Twelve Months Ended % (In millions, except per share amounts) May 31, 2025 Change May 31, 2025 Change Management Solutions $ 1,041.8 12% $ 4,067.1 5% PEO and Insurance Solutions $ 340.3 4% $ 1,342.9 6% T
Slide 15: Financial Highlights
Financial (In millions) May 31, 2025 May 31, 2024 Highlights Cash, Restricted Cash, & Total Corporate Investments $ 1,711.0 $ 1,554.3 ($ in Millions) Total Debt, Net of Debt Issuance Costs (1) $ 4,966.8 $ 817.3 • Strong liquidity position with Net Cash/(Debt) Position $ (3,255.8) $ 737.0 $1.7B in ca
Slide 16: Non-GAAP Financial Measures
Non-GAAP Financial Measures For the Three Months and Twelve Months ended May 31, 2025 (In millions, except per share amounts) Three Months Ended Twelve Months Ended May 31, May 31, % May 31, May 31, % 2025 2024 Change 2025 2024 Change Operating Income $ 431.1 $ 481.8 (11%) $ 2,207.7 $ 2,174.1 2% Non
Slide 17: Non-GAAP Financial Measures
Non-GAAP Financial Measures For the Three Months and Twelve Months ended May 31, 2025 (In millions, except per share amounts) Three Months Ended Twelve Months Ended May 31, May 31, % May 31, May 31, % 2025 2024 Change 2025 2024 Change Diluted EPS (5) $ 0.82 $ 1.05 (22%) $ 4.58 $ 4.67 (2%) Non-GAAP A
Slide 18: Investment Portfolio Results
Investment Portfolio Results Three Months Ended Twelve Months Ended May 31, May 31, % May 31, May 31, % ($ in millions) 2025 2024 Change 2025 2024 Change Average Investment Balances: Funds Held For Clients $ 5,142.7 $ 4,679.1 10% $ 4,699.5 $ 4,462.0 5% Corporate Cash Equivalents and Investments $ 1,
Slide 19: Supplemental Information
PAYCHEX Supplemental Information
Slide 20: FY25 Revenue Composition
FY25 Revenue Composition Management Solutions PEO & Insurance Solutions 5% - 10% Other 10% - 15% Insurance Solutions 25% - 30% HR Solutions (ASO) $4.1B $1.3B 50% - 55% 85% - 90% Payroll & HCM Software PEO 10% - 15% (including Paycor) Retirement Copyright 2025, Paychex, Inc. All rights reserved. Conf
Slide 21: Thank you
Thank you Copyright 2025, Paychex, Inc. All rights reserved. Confidential and proprietary. 21