Company: ADP
Filing Date: 2025-10-31
Form Type: 10-Q
Source: 0000008670-25-000047
Chunk: 104

Company: AUTOMATIC DATA PROCESSING INC
Filing Date: 2025-10-31
Form: 10-Q
Item: Part I, Item 8
Chunk 104
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 22.5% and 22.6%, respectively. The drivers of the adjusted effective tax rate are the same as the drivers of the effective tax rate discussed above.

28

Net Earnings and Diluted EPS, Unadjusted and Adjusted

Three Months EndedSeptember 30,20252024YoY GrowthNet earnings  $1,013.0 $956.3 6 %Diluted EPS  $2.49 $2.34 6 %Adjusted net earnings  $1,013.0 $956.1 6 %Adjusted diluted EPS  $2.49 $2.33 7 %

In addition to the increase in net earnings, diluted EPS increased for the three months ended September 30, 2025 as a result of the impact of fewer shares outstanding resulting from the repurchase of approximately 1.2 million shares during the three months ended September 30, 2025, and 1.4 million shares during the three months ended September 30, 2024, partially offset by the issuances of shares under our employee benefit plans.

Adjusted net earnings and adjusted diluted EPS reflect the changes in the components described above for the three months ended September 30, 2025.

29

ANALYSIS OF REPORTABLE SEGMENTS

RevenuesThree Months Ended% ChangeSeptember 30, 20252024As ReportedOrganic constant currencyEmployer Services$3,491.2 $3,261.0 7 %5 %PEO Services1,687.5 1,574.5 7 %7 %Other(3.5)(2.8)n/mn/m$5,175.2 $4,832.7 7 %6 %

Earnings before Income TaxesThree Months Ended%ChangeSeptember 30, 20252024As ReportedEmployer Services$1,228.8 $1,164.3 6 %PEO Services218.8 225.6 (3)%Other(140.1)(153.7)n/m$1,307.5 $1,236.2 6 %

MarginThree Months EndedSeptember 30, 20252024YoY GrowthEmployer Services35.2 %35.7 %(50) bpsPEO Services13.0 %14.3 %(140) bps

n/m - not meaningful

Note: Numbers may not foot due to