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Paycom Software PAYC Capitalized Computer Software, Additions

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Paycom Software logo
Paycom SoftwarePAYC
$15.6M-57.7%

Other financials

Income statement

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Revenue$531.2M+9.8%
Gross profit$442.1M+11.6%
Operating income$168.5M+50.0%
Net income$107.4M+20.0%
EPS (diluted)$2.34+48.1%

Balance sheet

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Cash & equivalents$198.0M-62.8%
Total debt$982.8M+1,110%
Total equity$571.5M-68.3%
Total assets$5.2B+29.1%

Cash flow

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Operating cash flow$213.8M+74.5%
CapEx$23.7M-61.6%
Free cash flow$190.1M+213%

Valuation

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Market cap$9.69B-22.1%
Enterprise value$10.47B-12.6%
P/E19.9×-10.0×
P/S4.5×-1.8×

Profitability

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Gross margin83.7%+1.2pp
Operating margin30.3%+2.2pp
Net margin22.8%+1.6pp
FCF margin26.9%+8.5pp

Returns & leverage

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Return on equity41.1%+15.3pp
Debt / equity1.7×+1.7×
Current ratio1.1×-0.2×

Where this comes from

Reported directly by Paycom Software in its filing.

Tagged under the XBRL concept us-gaap:CapitalizedComputerSoftwareAdditions.

The source filing: Paycom Software’s 10-Q, filed August 6, 2026.

Filed
Aug 6, 2026, 4:11 PM EDT
Fiscal quarter
Q2 FY2026
Calendar quarter
Q2 2026
Accession
0001193125-26-338010

We capitalize software development costs related to software developed or obtained for internal use in accordance with ASC 350-40. For the three and six months ended June 30, 2026, we capitalized $15.6 million and $41.0 million, respectively, of software development costs related to software developed or obtained for internal use. For the three and six months ended June 30, 2025, we capitalized $36.9 million and $70.7 million, respectively, of software development costs related to software developed or obtained for internal use.

Item 1. Financial Statements

FAQ

What is Paycom Software's capitalized computer software, additions?
Paycom Software (PAYC) reported capitalized computer software, additions of $15.6M in Q2 2026.
How has Paycom Software's capitalized computer software, additions changed year-over-year?
Paycom Software's capitalized computer software, additions decreased by 57.7% year-over-year, from $36.9M to $15.6M.
What is the long-term trend for Paycom Software's capitalized computer software, additions?
Over 4 years (2021 to 2025), Paycom Software's capitalized computer software, additions has grown at a 30.4% compound annual growth rate (CAGR), from $52.9M to $152.8M.
What does capitalized computer software, additions mean?
The total costs incurred and capitalized for the development or acquisition of internal-use or external-use software during the period. This reflects the company's investment in its technological infrastructure and product innovation. High levels of additions suggest a focus on long-term digital growth and competitive positioning.

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