Filing Flows › Paylocity Holding (PCTY) › Q3 FY26
Paylocity Holding (PCTY) Q3 FY26 earnings results (third quarter fiscal 2026)
10-Q filed May 8, 2026
Paylocity Holding (PCTY) reported revenue of $502M for the third quarter fiscal 2026 (Q3 FY26), +11% from a year earlier and +21% from the quarter before. Operating margin was 31.3%, net earnings $111M (22.1% of revenue).
Paylocity Holding, Q3 FY26: revenue $502M (+10% year over year), operating margin 31.3%, net earnings $111M, operating cash flow $218M. The chart follows the revenue to costs, profit and cash.
| Q3 FY26 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $502M | +21% | +11% |
| Gross profit | $363M | +29% | +12% |
| Operating profit | $157M | +123% | +24% |
| Net earnings | $111M | +122% | +22% |
| Operating cash flow | $218M | +86% | +17% |
| Free cash flow | $210M | +84% | +14% |
What changed
Revenue was $502.3M in Q3 FY26, up 11% year over year and up 21% from the previous quarter. Recurring fees was the largest line at 90% of revenue. Recurring fees added $48.4M year over year (up 12%), 101% of the total change.
Gross margin was 72.3%, up 0.9 points from Q3 FY25. Operating profit was $157.0M, a 31.3% margin (up 3.3 points year over year). Of the extra revenue versus Q3 FY25, 63% reached operating profit, above the 28% margin then. Operating expenses grew 4% against revenue growth of 11%. Net earnings were $111.2M, up 22% year over year. The effective tax rate was 29.2%.
Operating cash flow was $217.9M (up 17% year over year), 196% of net earnings. Non-cash charges added back $27.3M of depreciation and amortization and $31.4M of share-based compensation. Working capital and other items added $47.9M. Capital expenditures of $8.4M left free cash flow of $209.5M.
Questions
What was Paylocity Holding's revenue in the third quarter fiscal 2026?
Paylocity Holding (PCTY) reported revenue of $502M for the third quarter fiscal 2026 (Q3 FY26), +11% from a year earlier and +21% from the quarter before.
Was Paylocity Holding profitable in the third quarter fiscal 2026?
Operating profit was $157M (31.3% of revenue) and net earnings $111M.
Source: Paylocity Holding 10-Q on SEC EDGAR.