ADP · 10-K · 2026A · Full report

Liquidity and Cash Position

AUTOMATIC DATA PROCESSING INC · 2026-08-05 · Importance 49 · Surprise 6 · No source text

Cash and cash equivalents totaled $4.2 billion at June 30, 2026, primarily invested in time deposits and money market funds. ADP had $11.7 billion of committed credit facilities available for corporate liquidity. Management expects cash, marketable securities, operating cash flow, committed facilities, and debt-market access to cover operating, investing, and financing needs. Client-funds liquidity included a U.S. short-term commercial-paper program and reverse-repurchase agreements, with $7.5 billion available on a committed U.S. basis.

Key facts

• Company has $11.7 billion of committed credit facilities available as of June 30, 2026 source
• $7.5 billion of reverse repurchase availability on a committed basis in the U.S. as of June 30, 2026 for client funds liquidity source
• Increase in interest income on corporate funds due to higher average investment balances of $10.4 billion versus $9.2 billion in fiscal 2025 and a 10 basis point increase in average interest rates source
• As of June 30, 2026, cash and cash equivalents were $4.2 billion, primarily invested in time deposits and money market funds source
• Average client funds balances increased 7.4% to $40.4 billion in fiscal 2026 versus fiscal 2025 source
• Interest income on corporate funds in fiscal 2026: $(371.0) million versus $(319.5) million in fiscal 2025, increase of $51.5 million source

Impact estimates