PAYC · 10-Q · 2026Q3 · Full report

Revenue Performance and Mix

Paycom Software, Inc. · 2026-11-05 · Importance 54 · Surprise 40 · From source text

Third-quarter 2026 total revenue increased 10.2% year over year to $543.8 million, while nine-month revenue rose 9.3% to $1,646.8 million. Recurring and other revenue grew 11.3% to $519.3 million in the quarter and 10.3% to $1,568.5 million over nine months. Recurring and other revenue represented 95.5% of third-quarter revenue, up from 94.6%; interest on funds held for clients declined 8.6% to $24.5 million in the quarter and 8.7% to $78.3 million over nine months. New clients, sales of additional applications and services, increased product usage and pricing strategies drove growth, partially offset by client attrition, particularly among smaller clients.

Key facts

• Paycom’s recurring and other revenues increased 11.3% to $519.3 million for the three months ended September 30, 2026, and increased 10.3% to $1,568.5 million for the nine months ended September 30, 2026. source
• Paycom’s total revenues increased 10.2% to $543.8 million for the three months ended September 30, 2026, and increased 9.3% to $1,646.8 million for the nine months ended September 30, 2026. source
• Paycom expects first- and fourth-quarter recurring revenues to generally exceed other quarters because payroll tax and Affordable Care Act forms are typically processed in the first quarter and unscheduled payroll runs are typically concentrated in the fourth quarter. source
• Paycom’s recurring and other revenue growth reflected new clients, additional applications and services sold to existing clients, additions and increased usage of existing products and services, and pricing strategies; client attrition, particularly among smaller clients, partially offset those drivers. source
• Paycom’s payroll application is required for clients to access its other applications, and payroll applications have historically generated the majority of its revenues. source

Impact estimates