Company: ADP
Filing Date: 2025-01-30
Form Type: 10-Q
Source: 0000008670-25-000007
Chunk: 86

Company: AUTOMATIC DATA PROCESSING INC
Filing Date: 2025-01-30
Form: 10-Q
Item: Part I, Item 8
Chunk 86
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 in order to conform to the current year's presentation. 

Note 2.  New Accounting Pronouncements

Recently Adopted Accounting Pronouncements None.Recently Issued Accounting PronouncementsStandardDescriptionEffective DateEffect on Financial Statements or Other Significant MattersASU 2024-03 Disaggregation of Income Statement Expenses (Subtopic 220-40)This update improves financial reporting by requiring enhanced disclosures of the expense captions in the Income Statement within the Notes to the financial statements.June 30, 2028(Fiscal 2028)The Company is assessing this guidance. The adoption will modify disclosures but will not have an impact on the Company's consolidated results of operations, financial condition, and cash flows.ASU 2023-09 Income Taxes (Topic 740): Improvements to Income Tax DisclosuresThis update enhances the transparency and decision usefulness of income tax disclosures to better assess how an entity’s operations and related tax risks, tax planning and operational opportunities affect its tax rate and prospects for future cash flows. June 30, 2026(Fiscal 2026)The Company is assessing this guidance. The adoption will modify disclosures but will not have an impact on the Company's consolidated results of operations, financial condition, and cash flows.ASU 2023-07 Segment Reporting (Topic 280): Improvements to Reportable Segment DisclosuresThis update improves reportable segment disclosure requirements, primarily through enhanced disclosures about significant segment expenses and certain quantitative disclosures.June 30, 2025(Fiscal 2025)The Company is assessing this guidance. The adoption will modify disclosures but will not have an impact on the Company's consolidated results of operations, financial condition, and cash flows.

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Note 3.  Revenue

Based upon similar operational and economic characteristics, the Company’s revenues are disaggregated by its three business pillars: Human Capital Management (“HCM”), HR Outsourcing (“HRO”), and Global Solutions (“Global”), with separate disaggregation for PEO zero-margin benefits pass-through revenues and client funds interest revenues.  The Company believes these revenue categories depict how the nature, amount, timing, and uncertainty of its revenue and cash flows are affected by economic factors. The following tables provide details of revenue by our business pillars, and include a reconciliation to the Company’s reportable segments:Three Months EndedSix Months EndedDecember 31,December 31,Types of Revenues2024202320242023HCM$2,131.9 $1,975.2 $4,157.3