Non-Current Assets
Goodwill
Automatic Data Processing, Inc. Goodwill decreased by 0.2% to $3.29B in Q1 2026 compared to the prior quarter. Year-over-year, this metric declined by 0.3%, from $3.3B to $3.29B. Over 4 years (FY 2021 to FY 2025), Goodwill shows an upward trend with a 8.8% CAGR.
Analysis
StatementBalance Sheet Statement
SectionNon-Current Assets
CategoryGrowth
SignalContext dependent
VolatilityStable
First reportedQ4 2014
Last reportedQ3 2026Apr 30, 2026
How to read this metric
High levels indicate significant past acquisition activity; sudden decreases suggest impairment charges due to underperforming acquisitions.
Detailed definition
Goodwill represents the premium paid over the fair market value of net identifiable assets during a business acquisition...
Peer comparison
Companies with aggressive M&A strategies typically show higher goodwill balances relative to total assets compared to organic-growth-focused peers.
Metric ID:
goodwillHistorical Data
20 periods
| Q4 '21 | Q1 '22 | Q2 '22 | Q3 '22 | Q4 '22 | Q1 '23 | Q2 '23 | Q3 '23 | Q4 '23 | Q1 '24 | Q2 '24 | Q3 '24 | Q4 '24 | Q1 '25 | Q2 '25 | Q3 '25 | Q4 '25 | Q1 '26 | Q2 '26 | Q3 '26 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Value | $2.34B | $2.33B | $2.33B | $2.32B | $2.3B | $2.27B | $2.32B | $2.34B | $2.34B | $2.35B | $2.37B | $2.36B | $2.35B | $2.37B | $3.18B | $3.3B | $3.27B | $3.28B | $3.29B | $3.29B |
| QoQ Change | — | -0.5% | +0.2% | -0.3% | -1.0% | -1.2% | +1.8% | +0.9% | +0.2% | +0.6% | +0.7% | -0.6% | -0.1% | +0.7% | +34.4% | +3.7% | -0.8% | +0.1% | +0.6% | -0.2% |
| YoY Change | — | — | — | — | -1.6% | -2.3% | -0.7% | +0.5% | +1.7% | +3.5% | +2.4% | +0.8% | +0.6% | +0.7% | +34.4% | +40.1% | +39.1% | +38.3% | +3.5% | -0.3% |
Range$2.27B – $3.3B
CAGR+7.4%
Avg YoY Growth+10.0%
Median YoY Growth+1.3%
Business Segments
| Segment | Q4 '24 | Q1 '25 | Q2 '25 | Q3 '25 | Q4 '25 | Q1 '26 | Q2 '26 | Q3 '26 |
|---|---|---|---|---|---|---|---|---|
| Employer Services | $2.35B | $2.36B | $3.18B | $3.3B | $3.27B | $3.27B | $3.29B | $3.28B |
| PEO Services | — | — | — | — | $4.8M | — | — | — |
| Total | $2.35B | $2.37B | $3.18B | $3.3B | $3.27B | $3.28B | $3.29B | $3.29B |
Goodwill at Other Companies
Frequently Asked Questions
- What is Automatic Data Processing, Inc.'s goodwill?
- Automatic Data Processing, Inc. (ADP) reported goodwill of $3.29B in Q1 2026.
- How has Automatic Data Processing, Inc.'s goodwill changed year-over-year?
- Automatic Data Processing, Inc.'s goodwill decreased by 0.3% year-over-year, from $3.3B to $3.29B.
- What is the long-term trend for Automatic Data Processing, Inc.'s goodwill?
- Over 4 years (2021 to 2025), Automatic Data Processing, Inc.'s goodwill has grown at a 8.8% compound annual growth rate (CAGR), from $2.34B to $3.27B.
- What does goodwill mean?
- The excess purchase price paid for an acquired company over the value of its net assets.