What are Paychex's profit margins?

Paychex (PAYX) runs a 73.9% gross margin and a 36.9% operating margin, with a 25.8% net margin.

Where do Paychex's ratios come from?

Every ratio is computed from Paychex'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.

Paychex PAYX Ratios & Valuation

Income Statement Balance Sheet Cash Flow Ratios Segments

Quarterly Annual TTM

YoY QoQ

Simplified Detailed

	Q3 '26	Q2 '26	Q1 '26	Q4 '25	Q3 '25
Profitability
Gross margin	73.9%+0.6pp	73.4%+0.5pp	72.8%+0.5pp	72.4%+0.3pp	72%+0.2pp
Operating margin	36.9%-0.2pp	37.1%-1.0pp	38%-1.6pp	39.6%-1.9pp	41.5%+0.2pp
Net margin	25.8%-0.6pp	26.4%-1.4pp	27.9%-1.9pp	29.7%-2.2pp	32%0.0pp
EBITDA margin	43.4%+0.6pp	42.8%0.0pp	42.9%-0.5pp	43.4%-1.2pp	44.6%+0.2pp
Free cash flow margin	33%-0.1pp	33.1%+1.0pp	32.1%+1.5pp	30.7%+1.1pp	29.5%+0.3pp
Returns
Return on equity	40.3%-0.6pp	40.9%-0.4pp	41.3%-0.5pp	41.8%-2.5pp	44.3%-1.9pp
Return on assets	11.4%-0.4pp	11.8%-0.1pp	11.9%-0.4pp	12.3%-2.1pp	14.4%-0.9pp
Return on invested capital	34.6%+2.5pp	32.1%+1.7pp	30.4%-2.0pp	32.5%-22.0pp	54.4%+3.2pp
Efficiency
Asset turnover	0.4×0.0×	0.4×0.0×	0.4×0.0×	0.4×0.0×	0.4×0.0×
Liquidity
Current ratio	1.3×0.0×	1.3×0.0×	1.3×0.0×	1.3×-0.1×	1.4×0.0×
Quick ratio	1.3×0.0×	1.3×0.0×	1.3×0.0×	1.3×-0.1×	1.4×0.0×
Cash ratio	0.2×0.0×	0.2×+0.1×	0.1×-0.1×	0.2×0.0×	0.3×0.0×
Leverage
Debt-to-equity	1.1×0.0×	1.2×0.0×	1.2×0.0×	1.1×+0.9×	0.2×0.0×
Debt-to-assets	0.3×0.0×	0.3×0.0×	0.3×0.0×	0.3×+0.2×	0.1×0.0×
Net debt / EBITDA	1×-0.2×	1.2×-0.3×	1.5×+0.3×	1.2×+1.5×	-0.3×-0.1×
Interest coverage	8.7×-1.3×	10×-3.4×	13.4×-7.5×	20.9×-29.1×	50.1×-19.4×
Per Share
Book value per share	$11.16+3.7%	$10.77-1.9%	$10.97-3.8%	$11.40+0.3%	$11.37+4.8%
Valuation
Market capitalization	$33.62B-16.4%	$40.2B-20.0%	$50.24B-12.3%	$57.26B+4.9%	$54.61B+3.7%
Enterprise value	$36.49B-15.8%	$43.35B-19.8%	$54.05B-10.3%	$60.28B+11.8%	$53.91B+3.0%
Price / earnings	20.5×-4.7×	25.2×-5.9×	31.1×-3.4×	34.5×+3.2×	31.4×+0.7×
Price / sales	5.3×-1.4×	6.7×-2.0×	8.7×-1.6×	10.3×+0.2×	10×+0.2×
Price / book	8.4×-2.0×	10.4×-2.3×	12.7×-1.2×	13.9×+0.6×	13.3×-0.2×
EV / EBITDA	13.3×-3.5×	16.8×-5.0×	21.8×-3.2×	24.9×+2.7×	22.2×+0.3×
EV / sales	5.8×-1.4×	7.2×-2.1×	9.3×-1.5×	10.8×+0.9×	9.9×+0.2×
Free cash flow yield	6.2%+1.3pp	5%+1.3pp	3.7%+0.7pp	3%0.0pp	2.9%0.0pp
Earnings yield	4.9%+0.9pp	4%+0.8pp	3.2%+0.3pp	2.9%-0.3pp	3.2%-0.1pp
Dividend yield	4.6%+0.8pp	3.8%+0.8pp	3%+0.4pp	2.5%-0.1pp	2.6%0.0pp

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Questions, answered.

What are Paychex's profit margins?: Paychex (PAYX) runs a 73.9% gross margin and a 36.9% operating margin, with a 25.8% net margin.
Where do Paychex's ratios come from?: Every ratio is computed from Paychex'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.