ADP · 8-K · 20261028PR000033

Guidance / Outlook

AUTOMATIC DATA PROCESSING INC · 2026-10-28 · Importance 68 · Surprise 68 · No source text

ADP raised its fiscal 2027 consolidated revenue growth outlook from 5%–6% to approximately 6%, and adjusted diluted EPS growth guidance from 9%–11% to 10%–12%. The company maintained expected adjusted EBIT margin expansion of 70–90 basis points and an adjusted effective tax rate of approximately 23%. Employer Services revenue growth is projected at approximately 6%, and PEO Services revenue growth is projected at 5%–7%. Fiscal 2027 interest on funds held for clients is forecast at $1.59–$1.61 billion, based on client funds balance growth of 4%–5% and an average yield of approximately 3.8%.

Key facts

• ADP's fiscal 2027 outlook calls for revenue growth of about 6%. source
• ADP's fiscal 2027 outlook calls for adjusted EBIT margin expansion of 70 to 90 basis points. source
• ADP's fiscal 2027 outlook calls for an adjusted effective tax rate of approximately 23%. source
• ADP's fiscal 2027 outlook calls for diluted EPS growth of 12% to 14%. source
• ADP's fiscal 2027 outlook calls for adjusted diluted EPS growth of 10% to 12%. source
• ADP's fiscal 2027 Employer Services new business bookings growth outlook is 4% to 7%. source
• ADP's fiscal 2027 Employer Services client revenue retention outlook is a decrease of 10 to 30 basis points. source
• ADP's fiscal 2027 outlook calls for an increase in U.S. pays per control of about 1%. source

Impact estimates