ADP posts Q1 FY2027 earnings beat and lifts full‑year revenue and EPS guidance
Automatic Data Processing reported first‑quarter fiscal 2027 revenue of $5.5 billion, up 6 % year‑over‑year on a reported basis and 6 % organic constant‑currency. Adjusted diluted earnings per share rose 13 % to $2.82, while GAAP diluted EPS increased 14 % to $2.83. The company raised its full‑year revenue growth outlook to about 6 % and its adjusted EPS growth target to 10‑12 % for FY2027.
Why it matters
The higher revenue and EPS guidance signals stronger earnings potential for the year, which may support the stock’s valuation and dividend sustainability (the company’s statement). Investors will see the revised outlook reflected in analyst models and may adjust price targets accordingly.
Key facts
- 1Revenue was $5.5 billion, a 6 % increase versus the prior year’s first quarter on a reported basis. sec.gov
- 2Revenue grew 6 % on an organic constant‑currency basis. sec.gov
- 3Adjusted diluted EPS rose 13 % to $2.82. sec.gov
- 4GAAP diluted EPS rose 14 % to $2.83. sec.gov
- 5Adjusted EBIT increased 12 % to $1.5 billion, and adjusted EBIT margin expanded 130 basis points to 26.8 %. sec.gov
- 6Full‑year revenue growth guidance was raised to about 6 % (reported basis). sec.gov
Summary written by AlphAI AI Desk from 12 of 12 sources. Not investment advice. Figures are as stated by the linked sources.