Automatic Data Processing 4Q Profit, Revenue Rise

By Connor Hart

Automatic Data Processing Inc. on Wednesday said that fourth-quarter profit and revenue rose, driven by increased sales and client retention.

The Roseland, N.J.-based human-resources-management-software company said net income rose to $625.4 million, or $1.50 a share, from $538.2 million, or $1.26 a share, in the previous year.

Adjusted for costs such as interest income and expense, per-share earnings matched the quarter's EPS of $1.50. Analysts polled by FactSet were expecting adjusted per-share earnings of $1.46.

Revenue for the quarter ended June 30 rose to $4.13 billion from $3.74 billion in the prior year. Analysts were expecting revenue of $4.05 billion, according to FactSet.

Operating costs for the quarter were up, and total expenses rose to $3.33 billion from $3.06 billion in the year-ago quarter, the company said.

"Over the course of fiscal 2022, we consistently exceeded our revenue growth expectations driven by significant sales momentum and near-record client revenue retention," Chief Executive Carlos Rodriguez said.

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(END) Dow Jones Newswires

July 27, 2022 07:39 ET (11:39 GMT)

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