What are Paycom Software's profit margins?

Paycom Software (PAYC) runs a 83.4% gross margin and a 28.3% operating margin, with a 22.4% net margin.

Where do Paycom Software's ratios come from?

Every ratio is computed from Paycom Software's SEC filings — trailing-twelve-month flows over period-end balances. Valuation multiples combine those fundamentals with market data, recomputed each period. Switch between quarterly, annual, and TTM, or open any ratio for its full history and peer comparisons.

Paycom Software PAYC Ratios & Valuation

Income Statement Balance Sheet Cash Flow Ratios Segments

Quarterly Annual TTM

YoY

Simplified Detailed

	FY'25	FY'24	FY'23	FY'22
Profitability
Gross margin	83.2%+0.9pp	82.2%-1.5pp	83.7%-0.8pp	84.5%-0.1pp
Operating margin	27.6%-6.0pp	33.7%+7.0pp	26.6%-0.9pp	27.5%+3.5pp
Net margin	22.1%-4.6pp	26.7%+6.5pp	20.1%-0.3pp	20.5%+1.9pp
EBITDA margin	36.2%-5.2pp	41.4%+8.1pp	33.4%-0.9pp	34.3%+3.9pp
Free cash flow margin	19.9%+1.8pp	18.1%+0.8pp	17.3%+0.4pp	16.9%-1.9pp
Returns
Return on equity	27.4%-7.5pp	34.9%+7.5pp	27.4%+0.3pp	27.1%+1.8pp
Return on assets	6.7%-3.2pp	10%+1.6pp	8.4%+0.5pp	7.9%+1.2pp
Return on invested capital	30.6%-11.3pp	41.9%+8.3pp	33.6%-2.2pp	35.8%+4.5pp
Efficiency
Asset turnover	0.3×-0.1×	0.4×0.0×	0.4×0.0×	0.4×0.0×
Inventory turnover	222.8×-16.3×	239.1×+55.3×	183.8×+28.4×	155.4×+13.5×
Liquidity
Current ratio	1.1×0.0×	1.1×0.0×	1.1×-0.1×	1.2×0.0×
Quick ratio	1.1×0.0×	1.1×0.0×	1.1×-0.1×	1.2×0.0×
Cash ratio	0.1×0.0×	0.1×0.0×	0.1×-0.1×	0.2×0.0×
Leverage
Debt-to-equity	0.1×0.0×	0.1×0.0×	0.1×0.0×	0.1×0.0×
Debt-to-assets	0×0.0×	0×0.0×	0×0.0×	0×0.0×
Net debt / EBITDA	-0.4×0.0×	-0.4×0.0×	-0.4×+0.3×	-0.7×0.0×
Interest coverage	166.8×-19.8×	186.6×-51.0×	237.5×+86.0×	151.5×—
Per Share
Book value per share	$30.86+10.2%	$27.99+24.5%	$22.48+10.6%	$20.33+32.4%
Valuation
Market capitalization	$8.75B-26.0%	$11.82B-0.1%	$11.83B-36.5%	$18.62B-25.3%
Enterprise value	$8.47B-26.3%	$11.5B-1.0%	$11.61B-36.5%	$18.29B-25.9%
Price / earnings	19.3×-4.2×	23.5×-11.2×	34.7×-31.5×	66.2×-61.0×
Price / sales	4.3×-2.0×	6.3×-0.7×	7×-6.6×	13.5×-10.1×
Price / book	5.1×-2.4×	7.5×-1.6×	9.1×-6.7×	15.7×-12.1×
EV / EBITDA	11.4×-3.3×	14.7×-5.8×	20.5×-18.3×	38.8×-38.2×
EV / sales	4.1×-2.0×	6.1×-0.7×	6.9×-6.4×	13.3×-10.1×
Free cash flow yield	4.7%+1.8pp	2.9%+0.4pp	2.5%+1.2pp	1.2%+0.5pp
Earnings yield	5.2%+0.9pp	4.2%+1.4pp	2.9%+1.4pp	1.5%+0.7pp
Dividend yield	1%+0.3pp	0.7%—	——	——

Chart any of these lines over time, or line them up against competitors.

Compare these in charts →

Questions, answered.

What are Paycom Software's profit margins?: Paycom Software (PAYC) runs a 83.4% gross margin and a 28.3% operating margin, with a 22.4% net margin.
Where do Paycom Software's ratios come from?: Every ratio is computed from Paycom Software's SEC filings — trailing-twelve-month flows over period-end balances. Valuation multiples combine those fundamentals with market data, recomputed each period. Switch between quarterly, annual, and TTM, or open any ratio for its full history and peer comparisons.