Slide 1: ADP Earnings Call & Webcast Q1 Fiscal 2026
ADP Earnings Call & Webcast Q1 Fiscal 2026 October 29, 2025 Copyright © 2025 ADP, Inc.
Slide 2: Disclaimers
DISCLAIMERS FORWARD-LOOKING STATEMENTS This document and other written or oral statements made from time to time by ADP may contain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Statements that are not historical in nature and which may be i
Slide 3: Highlights and Perspectives
HIGHLIGHTS AND PERSPECTIVES SOLID Q1 FINANCIAL AND OPERATING PERFORMANCE: • 7% revenue growth and 7% adjusted diluted EPS1 growth • Record Q1 ES new business bookings volume • Better-than-expected ES retention • Company-wide client satisfaction scores reached new all-time high for a Q1 STRATEGIC PRO
Slide 4: Q1 Fiscal 2026 Financial Highlights
Q1 FISCAL 2026 FINANCIAL HIGHLIGHTS (Unaudited) TOTAL REVENUES ADJUSTED EBIT1 ADJUSTED DILUTED EPS1 7% 7% 7% 6% Organic Constant Currency 1 Adjusted EBIT1 Margin Flat $1,318M $1,233M $5,175M $2.49 $4,833M $2.33 Q1 FY25 Q1 FY26 Q1 FY25 Q1 FY26 Q1 FY25 Q1 FY26 1. For a reconciliation of these
Slide 5: Employer Services Segment Results
Q1 FISCAL 2026 EMPLOYER SERVICES SEGMENT RESULTS (Unaudited) ES REVENUES ES MARGIN Q1 ES HIGHLIGHTS 7% 50 bps • Strong revenue growth supported by solid new business bookings, retention 5% Organic Constant Currency 1 and continued client funds interest revenue growth $3,261M $3,491M 35.7% 35.2
Slide 6: PEO Services Segment Results
Q1 FISCAL 2026 PEO SERVICES SEGMENT RESULTS (Unaudited) Q1 PEO HIGHLIGHTS PEO REVENUES PEO MARGIN 7% 140 bps • Strong revenue helped by growth in zero- margin pass-throughs and higher wages • PEO pays per growth control moderated $1,575M $1,688M 14.3% 13.0% FY26 PEO OUTLOOK Q1 FY25 Q1 FY26 Q1 FY
Slide 7: Fiscal 2026 Outlook
FISCAL 2026 OUTLOOK July 30, 2025 October 29, 2025 Fiscal 2025 Fiscal 2026 Fiscal 2026 (unaudited) 1 1 Outlook Outlook Revenues $20,561M 5 to 6% 5 to 6% 2 Adj. EBIT Margin 26.0% 50 to 70 bps 50 to 70 bps Total ADP 2 Adj. Effective Tax Rate 23.2% ~23% ~23% 2 Adj. Diluted EPS $10.01 8 to 10% 8 to 10%
Slide 8: Appendix: Client Funds Investment Strategy Detail
APPENDIX: CLIENT FUNDS INVESTMENT STRATEGY DETAIL Average Balances ($) Average Rates Interest Income / (Expense) ($) October 29, 2025 October 29, 2025 October 29, 2025 Fiscal 2025 Fiscal 2025 Fiscal 2025 Fiscal 2026 Fiscal 2026 Fiscal 2026 (unaudited) 1 (unaudited) 1 (unaudited) 1 Outlook Outlook Ou