Filing Flows › Automatic Data Processing (ADP) › Q1 FY26
Automatic Data Processing (ADP) Q1 FY26 earnings results (first quarter fiscal 2026)
10-Q filed Oct 31, 2025
Automatic Data Processing (ADP) reported revenue of $5.2B for the first quarter fiscal 2026 (Q1 FY26), +7% from a year earlier and +0.9% from the quarter before. Operating margin was 23.1%, net earnings $1.0B (19.6% of revenue).
Automatic Data Processing, Q1 FY26: revenue $5.2B (+7% year over year), operating margin 23.1%, net earnings $1.0B, operating cash flow $642M. The chart follows the revenue to costs, profit and cash.
| Q1 FY26 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $5.2B | +0.9% | +7% |
| Operating profit | $1.2B | +10% | +6% |
| Net earnings | $1.0B | +11% | +6% |
| Operating cash flow | $642M | -55% | -22% |
| Free cash flow | $596M | -58% | -22% |
What changed
Revenue was $5.2B in Q1 FY26, up 7% year over year and up 1% from the previous quarter. HCM was the largest line at 42% of revenue. HCM added $0.13B year over year (up 6%), 38% of the total change.
Operating profit was $1.2B, a 23.1% margin (down 0.3 points year over year). Of the extra revenue versus a year earlier, 18% reached operating profit, below the 23% margin then. Total costs grew 8% against revenue growth of 7%. Net earnings were $1.0B, up 6% year over year. The effective tax rate was 22.5%.
Operating cash flow was $0.64B (down 22% year over year), 63% of net earnings. Non-cash charges added back $0.15B of depreciation and amortization and $0.06B of share-based compensation. Working capital and other items used $0.58B. Capital expenditures of $0.05B left free cash flow of $0.60B.
Questions
What was Automatic Data Processing's revenue in the first quarter fiscal 2026?
Automatic Data Processing (ADP) reported revenue of $5.2B for the first quarter fiscal 2026 (Q1 FY26), +7% from a year earlier and +0.9% from the quarter before.
Was Automatic Data Processing profitable in the first quarter fiscal 2026?
Operating profit was $1.2B (23.1% of revenue) and net earnings $1.0B.