Automatic Data Processing
ADP.DE
â‚Ŧ225.90 0.71%
Exchange: XETRA | Sector: Industrials | Industry: Staffing Employment Services
Q3 2025
Published: May 1, 2025

Earnings Highlights

  • Revenue of $5.55B up 5.7% year-over-year
  • EPS of $3.06 increased by 6.2% from previous year
  • Gross margin of 47.7%
  • Net income of 1.25B
  • ""Our investment in technology aims to enhance service delivery and operational efficiency as we see strong demand in our core markets."" - CEO of ADP
ADP.DE

Executive Summary

In Q3 2025, Automatic Data Processing, Inc. (ADP) reported a revenue of $5.553 billion, representing a year-over-year growth of 5.69% and a sequential increase from the previous quarter of 10%. Despite this encouraging revenue trajectory, the company faced challenges in profitability with a significant drop of 92.65% in operating income, attributed largely to increased operational expenses. Management's commentary stressed a commitment to innovation and efficiency in operations, seeking pathways to restore profitability while capitalizing on new client acquisitions.

Overall, the results reflect a solid upward momentum in top-line growth alongside a need for tighter expense management to convert revenues into sustainable profit, compelling investors to consider the implications of operational efficiency on future earnings.

Key Performance Indicators

Revenue
Increasing
5.55B
QoQ: 10.00% | YoY: 5.69%
Gross Profit
Increasing
2.65B
47.70% margin
QoQ: 14.87% | YoY: 6.57%
Operating Income
Decreasing
114.10M
QoQ: -88.89% | YoY: -92.65%
Net Income
Increasing
1.25B
QoQ: 29.72% | YoY: 5.45%
EPS
Increasing
3.07
QoQ: 30.08% | YoY: 6.23%

Revenue Trend

Margin Analysis

Historical Earnings Comparison

PeriodRevenue ($M)EPS ($)YoY GrowthReport
Q1 2026 5,175.20 2.49 +8.5% View
Q3 2025 5,553.00 3.06 +5.7% View
Q2 2025 5,048.40 2.35 +8.2% View
Q1 2025 4,832.70 2.34 +7.1% View
Q4 2024 4,768.50 2.02 +6.5% View