PCTY Earnings Prediction
The chart below shows how PCTY performed 10 days before and after its earnings report, based on data from the past quarters. Typically, PCTY sees a -0.17% change in stock price 10 days leading up to the earnings, and a +0.07% change 10 days following the report. On the earnings day itself, the stock moves by +0.96%. This data can give you a slight idea of what to expect for the next quarter's release.
PCTY Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
298.42M
16.37%
2.31%
Gross Margin
64.01%
-1.33%
-1.84%
Operating Margin
6.18%
782.86%
9.38%
Net Margin
12.77%
110.03%
7.95%
EPS
0.67
139.29%
9.84%
No Data Available
PCTY Earnings Analysis
Paylocity Holding Corp Corporation (PCTY.O) Earnings Conference Call
Positive
Revenue Growth Overview: Recurring and other revenue grew by 17% to $347.7 million, contributing to total revenue growth of 16% year-over-year, reaching $377 million.
Q2 Adjusted EBITDA Performance: Adjusted EBITDA for Q2 was $126.2 million, representing a 33.5% margin, exceeding the midpoint of guidance by $8.2 million.
Client Revenue Increase: Average revenue per client (PEPY) increased from $550 to $600, achieving the target set in August 2023, with further growth expected from new product offerings.
Share Repurchase Update: The company repurchased approximately 40,000 shares of common stock at an average price of $197.9 per share, with $341 million remaining under the share repurchase program.
Revenue Guidance Increase: Total revenue guidance for fiscal year 2025 was increased by $20.5 million, reflecting strong sales performance and operational execution.
Negative
Recurring Revenue Trends: Recurring revenue growth of 17% in Q2 was below the previous quarter's growth of 14%, indicating a potential slowdown in momentum.
Revenue Growth and Concerns: Total revenue growth of 16% in Q2 was primarily driven by strong sales, but the guidance for Q3 suggests a deceleration to approximately 10% growth, raising concerns about future performance.
Adjusted EBITDA Margin Decline: Adjusted EBITDA margin for Q2 was 33.5%, which, while exceeding guidance, reflects a decline from previous quarters, indicating potential cost pressures.
Acquisition Revenue Impact: The Airbase acquisition contributed only about 1% to revenue, suggesting limited immediate impact on overall financial performance despite expectations for future growth.
Stagnant Cash Generation: Free cash flow margin is projected to remain around 20%, indicating a stagnation in cash generation capabilities amidst rising operational costs.
PCTY FAQs
How does PCTY typically perform around its earnings report dates?
Is Paylocity Holding Corp (PCTY) Q2 2024 Earnings Call Summary positive or negative?
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PCTY Earning Call Sentiment
Earnings call transcript: Paylocity Q2 2024 misses EPS forecast, stock rises
PCTY.O
-1.06%Positive
The earnings call indicates positive sentiment with strong financial performance, increased revenue guidance, and successful integration of Airbase. The Q&A session reflects optimism in business growth and client satisfaction with new AI functionalities. Despite some unclear responses, the overall strategic direction and shareholder return through share repurchases suggest a positive market reaction.
