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Paycom Software PAYC Operating margin

Operating margin at other companies

Paychex logo
PaychexPAYX
36.9%-4.6pp
Intuit logo
IntuitINTU
27.5%+2.3pp
Workday, Inc. logo
Workday, Inc.WDAY
10.3%+5.9pp
Oracle logo
OracleORCL
30.6%-0.4pp
ServiceNow logo
ServiceNowNOW
13.4%+0.5pp
Paylocity logo
PaylocityPCTY
21.3%+1.9pp

Other financials

Income statement

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Revenue$571.9M+7.8%
Gross profit$484.6M+8.7%
Operating income$210.2M+13.6%
Net income$155.7M+11.7%
EPS (diluted)$3.04+22.6%

Balance sheet

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Cash & equivalents$153.9M-70.4%
Total debt$763.6M+837%
Total equity$811.7M-52.7%
Total assets$4.8B+5.4%

Cash flow

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Operating cash flow$213.8M+17.2%
CapEx$31.2M-17.2%
Free cash flow$182.6M+26.1%

Valuation

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Market cap$5.82B-47.2%

Profitability

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Gross margin83.4%+1.2pp
Net margin22.4%+1.8pp
FCF margin21.3%+1.2pp

Returns & leverage

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Return on equity37.1%+12.2pp
Debt / equity0.9×+0.9×
Current ratio1.1×-0.1×

Where this comes from

Calculated from Paycom Software’s reported figures.

Based on trailing twelve months.

The official record: Paycom Software’s 10-Q, filed May 7, 2026, on SEC EDGAR. View the filing →

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Questions, answered.

What is Paycom Software's operating margin?
Paycom Software (PAYC) reported operating margin of 28.3% in Q1 2026.
How has Paycom Software's operating margin changed year-over-year?
Paycom Software's operating margin increased by 1.5% year-over-year, from 27.9% to 28.3%.
What is the long-term trend for Paycom Software's operating margin?
Over 5 years (2020 to 2025), Paycom Software's operating margin has grown at a 4.6% compound annual growth rate (CAGR), from 22.1% to 27.6%.
What does operating margin mean?
Operating income as a percentage of revenue (trailing twelve months). Captures profitability from core operations after both cost of revenue and operating expenses, but before interest and taxes.