Paylocity

Q4 FY2026 EarningsFY26 results were strong, with total revenue of $1.771B beating the consensus of $1.758B. Diluted EPS (GAAP) reached $4.92, exceeding the mean expectation of $4.78. Performance was driven by a 12% increase in recurring revenue and a high retention rate of 92%, although net interest income on client funds declined 3% YoY due to a lower interest rate environment. Management’s shift in accounting estimates for contract costs is expected to boost Adjusted EBITDA margins by 120-140 bps in FY27.