Paylocity reported a strong start to fiscal 2025 with total Q1 2025 revenue of $363.0 million, up 14.3% year over year and 14.2% in recurring and other revenue. The result benefited from sustained demand for Paylocity’s modern HCM platform, a meaningful contribution from the Airbase acquisition (closed Oct 1, 2024), and ongoing investments in AI-enabled capabilities. Management raised full-year guidance on both revenue and profitability, reflecting confidence in the core sales engine and the added scale from Airbase. Adjusted EBITDA reached $129.0 million (35.5% margin), beating guidance by $8.5 million, with adjusted EBITDA margin ex interest income on client funds at 29.8%, underscoring operating leverage even as Airbase dilutes margins by roughly 100 basis points for the year.