Fourth Quarter and Fiscal Year Performance: Paychex reported a 10% revenue growth for Q4 2025, totaling $1.4 billion, despite ERTC headwinds. For the full fiscal year 2025, total revenue grew 6% to $5.6 billion, with Management Solutions growing 5% to $4.1 billion. Adjusted diluted EPS increased by 6% to $4.98, affirming the company's strong profitability.

Integration of Paycor Acquisition: The successful integration of Paycor has been emphasized, with expectations of achieving approximately $90 million in cost synergies by fiscal year 2026. The early progress suggests potential revenue synergies from cross-selling to Paycor's client base, with first successful sales already recorded.

Sales Transformation Impact: In Q4, Paychex completed significant changes to its sales organization and territories but acknowledged some disruption. Despite this, client retention rates improved, which is a positive indicator of customer satisfaction. The company will leverage improved sales dynamics with newly trained representatives going into fiscal year 2026.