Short answer
Paycom (PAYC) filed its fiscal 2025 10-K annual report with the SEC on Feb 19, 2026. It reported revenue of $2.1B (+8.9% year over year) and net income of $453M.
- Top risk flagged: Cybersecurity breaches risk from state-sponsored and AI-enabled attacks targeting sensitive client data, including third-party vendor vulnerabilities and prior unauthorized access incidents
FY2025 key financial metrics · XBRL
- Revenue
- $2.1B
- +8.9% YoY
- Net income
- $453M
- −9.7% YoY
- Operating margin
- 27.6%
- −6.0 pp YoY
- Gross margin
- 83.2%
- +0.9 pp YoY
- EPS (diluted)
- $8.08
- −9.4% YoY
- ROE
- 26.2%
- −5.7 pp YoY
- Operating cash flow
- $679M
- +27.2% YoY
Source: XBRL data from the Paycom (PAYC) FY2025 10-K on SEC EDGAR. USD.
Paycom FY2025 10-K analysis
AI summary of each section, grounded in the filing text
Business Overview
- Core business model: comprehensive cloud-based SaaS HCM platform managing full employment lifecycle with single database for payroll, HR, talent, and time management
- New emphasis on Global HCM: multilingual, multi-country payroll in 15 languages serving 190+ countries, with native payroll now in Canada, Mexico, UK, Ireland
- Strategic shift: expanded focus on large clients (1,000+ employees) and international presence leveraging Global HCM capabilities
- Notable quantitative metric: approx. 39,200 clients with revenue retention rate improving to 91% in 2025 from 90% in 2024
- Unique innovation this year: introduction of AI engine IWant™ and Beti® technology enabling employees to self-manage payroll with voice/text commands
Management Discussion & Analysis
- Revenue not explicitly stated; net income $453.4M down from $502.0M YoY
- Adjusted EBITDA $882.3M vs $775.4M, operating margin data not provided
- No segment breakdown given for best/worst performing segments
- No forward-looking guidance or risks mentioned in the provided text
Risk Factors
- Cybersecurity breaches risk from state-sponsored and AI-enabled attacks targeting sensitive client data, including third-party vendor vulnerabilities and prior unauthorized access incidents
- Geopolitical tensions heightening cyberattack risks impacting client operations and Paycom’s systems amid evolving global threats
- Data center disruptions risk due to natural disasters or telecommunication outages at facilities in Oklahoma, Texas, and Arizona affecting service availability
- Competitive pressure from major providers including ADP, Oracle, Workday, and emergence of white label payroll options impacting market share and pricing
- Key-person risk centered on CEO Chad Richison and other executives, with no key man insurance and challenges in succession planning
Generated from the filing text; verify against the original. How to read a 10-K
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