Q4 2024 Paylocity Holding Corp Earnings Call Transcript
Key Points
- Paylocity Holding Corp (PCTY) reported a 15% increase in recurring revenue and a 16% increase in total revenue for Q4.
- The company ended fiscal '24 with 39,050 clients, an 8% increase from the previous year.
- Average recurring revenue per client increased by approximately 8%, driven by higher product attach rates.
- Paylocity Holding Corp (PCTY) launched several new premium offerings and feature enhancements, including AI-driven personalized learning plans and a next-gen mobile app.
- The company achieved a 36% adjusted EBITDA margin for fiscal '24, reflecting a 35% increase on a dollar basis from fiscal '23.
- Paylocity Holding Corp (PCTY) expects to become a full cash taxpayer in fiscal '25, which will create a free cash flow margin headwind.
- The company anticipates four 25 basis point rate cuts during fiscal '25, which may impact interest income on funds held for clients.
- Growth rates have decelerated across the industry, and the company acknowledges the impact of the law of large numbers.
- The macroeconomic environment has led to longer decision cycles, particularly for larger clients.
- Despite strong performance, the company faces challenges in maintaining high growth rates while balancing profitability.
Hello, and thank you for standing by. Welcome to Paylocity Holding Corporation fourth-quarter 2024 fiscal year results. (Operator Instructions) I would now like to turn the call over to Ryan Glenn. Sir, you may begin.
Good afternoon, and welcome to Paylocity's earnings results call for the fourth quarter of fiscal year '24, which ended on June 30, 2024. I'm Ryan Glenn, Chief Financial Officer. And joining me on the call today are Steve Beauchamp and Toby Williams, co-CEOs of Paylocity.
Today, we will be discussing the results announced in our press release issued after the market closed. A webcast replay of this call will be available for the next 45 days on our website under the Investor Relations tab.
Before beginning, we must caution you that today's remarks, including statements made during the question-and-answer session, contain forward-looking statements. These statements are subject to numerous important factors, risks and uncertainties, which could cause actual results to
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
