10-Q 1 payx-20240229.htm 10-Q 10-Q
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UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

_________________________________________

FORM 10-Q

_________________________________________

 

QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended February 29, 2024

OR

TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

 

For the Transition Period from __________to __________

 

Commission file number 0-11330

__________________________________________________

Paychex, Inc.

(Exact name of registrant as specified in its charter)

 

 

Delaware

(State or other jurisdiction of incorporation or organization)

16-1124166

(I.R.S. Employer Identification No.)

911 Panorama Trail South

Rochester, NY

(Address of principal executive offices)

14625-2396

(Zip Code)

Registrant's telephone number, including area code: (585) 385-6666

 

Securities registered pursuant to Section 12(b) of the Act:

Title of each class

Trading Symbol(s)

Name of each exchange on which registered

Common Stock, $0.01 par value

PAYX

Nasdaq Global Select Market

 

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes No

 

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes No

 

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer

Accelerated filer

Non-accelerated filer

Smaller reporting company

 

 

Emerging growth company

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.

 

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes No

 

As of February 29, 2024, 359,963,341 shares of the registrant’s common stock, $.01 par value, were outstanding.


 

PAYCHEX, INC.

Table of Contents

 

 

 

Page

PART I. FINANCIAL INFORMATION

1

Item 1.

Financial Statements (Unaudited)

1

 

Consolidated Statements of Income and Comprehensive Income

1

 

Consolidated Balance Sheets

2

 

Consolidated Statements of Stockholders’ Equity

3

 

Consolidated Statements of Cash Flows

5

 

Notes to Consolidated Financial Statements

6

Item 2.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

18

Item 3.

Quantitative and Qualitative Disclosures About Market Risk

29

Item 4.

Controls and Procedures

29

PART II. OTHER INFORMATION

30

Item 2.

Unregistered Sales of Equity Securities and Use of Proceeds

30

Item 5.

Other Information

30

Item 6.

Exhibits

30

Signatures

 

31

 


PART I. FINANCIAL INFORMATION

Item 1. Financial Statements

PAYCHEX, INC.

CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME (UNAUDITED)

In millions, except per share amounts

 

 

 

For the three months ended

 

 

For the nine months ended

 

 

 

February 29,

 

 

February 28,

 

 

February 29,

 

 

February 28,

 

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Revenue:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Management Solutions

 

$

 

1,049.9

 

 

$

 

1,024.5

 

 

$

 

2,936.1

 

 

$

 

2,825.3

 

PEO and Insurance Solutions

 

 

 

345.5

 

 

 

 

321.2

 

 

 

 

939.0

 

 

 

 

877.3

 

Total service revenue

 

 

 

1,395.4

 

 

 

 

1,345.7

 

 

 

 

3,875.1

 

 

 

 

3,702.6

 

Interest on funds held for clients

 

 

 

43.9

 

 

 

 

35.3

 

 

 

 

108.1

 

 

 

 

74.9

 

Total revenue

 

 

 

1,439.3

 

 

 

 

1,381.0

 

 

 

 

3,983.2

 

 

 

 

3,777.5

 

Expenses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cost of service revenue

 

 

 

379.8

 

 

 

 

372.9

 

 

 

 

1,104.1

 

 

 

 

1,083.2

 

Selling, general and administrative expenses

 

 

 

409.7

 

 

 

 

396.2

 

 

 

 

1,186.8

 

 

 

 

1,114.5

 

Total expenses

 

 

 

789.5

 

 

 

 

769.1

 

 

 

 

2,290.9

 

 

 

 

2,197.7

 

Operating income

 

 

 

649.8

 

 

 

 

611.9

 

 

 

 

1,692.3

 

 

 

 

1,579.8

 

Other income, net

 

 

 

9.4

 

 

 

 

5.5

 

 

 

 

33.9

 

 

 

 

4.8

 

Income before income taxes

 

 

 

659.2

 

 

 

 

617.4

 

 

 

 

1,726.2

 

 

 

 

1,584.6

 

Income taxes

 

 

 

160.6

 

 

 

 

150.0

 

 

 

 

415.7

 

 

 

 

377.7

 

Net income

 

$

 

498.6

 

 

$

 

467.4

 

 

$

 

1,310.5

 

 

$

 

1,206.9

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other comprehensive income/(loss), net of tax

 

 

 

22.0

 

 

 

 

(5.9

)

 

 

 

14.7

 

 

 

 

(70.3

)

Comprehensive income

 

$

 

520.6

 

 

$

 

461.5

 

 

$

 

1,325.2

 

 

$

 

1,136.6

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic earnings per share

 

$

 

1.39

 

 

$

 

1.30

 

 

$

 

3.64

 

 

$

 

3.35

 

Diluted earnings per share

 

$

 

1.38

 

 

$

 

1.29

 

 

$

 

3.62

 

 

$

 

3.33

 

Weighted-average common shares outstanding

 

 

 

359.9

 

 

 

 

360.5

 

 

 

 

360.4

 

 

 

 

360.3

 

Weighted-average common shares outstanding, assuming dilution

 

 

 

361.7

 

 

 

 

362.3

 

 

 

 

362.2

 

 

 

 

362.3

 

 

 

See Notes to Consolidated Financial Statements.

1

 


PAYCHEX, INC.

CONSOLIDATED BALANCE SHEETS (UNAUDITED)

In millions, except per share amounts

 

 

 

February 29,

 

 

May 31,

 

 

 

2024

 

 

2023

 

Assets

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

$

 

1,693.6

 

 

$

 

1,222.0

 

Restricted cash

 

 

 

41.0

 

 

 

 

49.8

 

Corporate investments

 

 

 

36.6

 

 

 

 

373.4

 

Interest receivable

 

 

 

22.8

 

 

 

 

24.4

 

Accounts receivable, net of allowance for credit losses

 

 

 

1,088.6

 

 

 

 

873.3

 

PEO unbilled receivables, net of advance collections

 

 

 

590.7

 

 

 

 

528.5

 

Prepaid income taxes

 

 

 

21.0

 

 

 

 

48.1

 

Prepaid expenses and other current assets

 

 

 

312.6

 

 

 

 

289.8

 

Current assets before funds held for clients

 

 

 

3,806.9

 

 

 

 

3,409.3

 

Funds held for clients

 

 

 

6,079.5

 

 

 

 

4,118.8

 

Total current assets

 

 

 

9,886.4

 

 

 

 

7,528.1

 

Long-term corporate investments

 

 

 

1.6

 

 

 

 

3.8

 

Property and equipment, net of accumulated depreciation

 

 

 

419.1

 

 

 

 

396.3

 

Operating lease right-of-use assets, net of accumulated amortization

 

 

 

58.9

 

 

 

 

61.5

 

Intangible assets, net of accumulated amortization

 

 

 

204.9

 

 

 

 

187.4

 

Goodwill

 

 

 

1,882.3

 

 

 

 

1,834.0

 

Long-term deferred costs

 

 

 

476.1

 

 

 

 

470.1

 

Other long-term assets

 

 

 

94.6

 

 

 

 

65.2

 

Total assets

 

$

 

13,023.9

 

 

$

 

10,546.4

 

Liabilities

 

 

 

 

 

 

 

 

Accounts payable

 

$

 

94.0

 

 

$

 

84.7

 

Accrued corporate compensation and related items

 

 

 

173.1

 

 

 

 

209.9

 

Accrued worksite employee compensation and related items

 

 

 

903.8

 

 

 

 

763.9

 

Short-term borrowings

 

 

 

18.8

 

 

 

 

10.2

 

Deferred revenue

 

 

 

51.7

 

 

 

 

47.3

 

Other current liabilities

 

 

 

518.0

 

 

 

 

395.4

 

Current liabilities before client fund obligations

 

 

 

1,759.4

 

 

 

 

1,511.4

 

Client fund obligations

 

 

 

6,241.4

 

 

 

 

4,294.0

 

Total current liabilities

 

 

 

8,000.8

 

 

 

 

5,805.4

 

Accrued income taxes

 

 

 

99.3

 

 

 

 

83.0

 

Deferred income taxes

 

 

 

94.8

 

 

 

 

112.1

 

Long-term borrowings, net of debt issuance costs

 

 

 

798.5

 

 

 

 

798.2

 

Operating lease liabilities

 

 

 

51.5

 

 

 

 

57.3

 

Other long-term liabilities

 

 

 

231.9

 

 

 

 

197.2

 

Total liabilities

 

 

 

9,276.8

 

 

 

 

7,053.2

 

Commitments and contingencies — Note I

 

 

 

 

 

 

 

 

Stockholders’ equity

 

 

 

 

 

 

 

 

Common stock, $0.01 par value; Authorized: 600.0 shares;
Issued and outstanding:
360.0 shares as of February 29, 2024
and
360.5 shares as of May 31, 2023

 

 

 

3.6

 

 

 

 

3.6

 

Additional paid-in capital

 

 

 

1,702.5

 

 

 

 

1,626.4

 

Retained earnings

 

 

 

2,186.2

 

 

 

 

2,023.1

 

Accumulated other comprehensive loss

 

 

 

(145.2

)

 

 

 

(159.9

)

Total stockholders’ equity

 

 

 

3,747.1

 

 

 

 

3,493.2

 

Total liabilities and stockholders’ equity

 

$

 

13,023.9

 

 

$

 

10,546.4

 

 

 

See Notes to Consolidated Financial Statements.

2

 


PAYCHEX, INC.

CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY (UNAUDITED)

In millions, except per share amounts

 

 

 

For the nine months ended February 29, 2024

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Accumulated

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Additional

 

 

 

 

 

 

other

 

 

 

 

 

 

 

Common stock

 

 

paid-in

 

 

Retained

 

 

comprehensive

 

 

 

 

 

 

 

Shares

 

 

Amount

 

 

capital

 

 

earnings

 

 

loss

 

 

Total

 

Balance as of May 31, 2023

 

 

360.5

 

 

$

 

3.6

 

 

$

 

1,626.4

 

 

$

 

2,023.1

 

 

$

 

(159.9

)

 

$

 

3,493.2

 

Net income

 

 

 

 

 

 

 

 

 

 

 

 

 

 

1,310.5

 

 

 

 

 

 

 

 

1,310.5

 

Unrealized gains on securities, net of $3.5 million in tax expense

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

9.9

 

 

 

 

9.9

 

Reclassification adjustment for realized losses on securities, net of $0.0 million in tax benefit (1)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

0.0

 

 

 

 

0.0

 

Cash dividends declared ($2.67 per share)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(962.3

)

 

 

 

 

 

 

 

(962.3

)

Repurchases of common shares (2)

 

 

(1.5

)

 

 

 

(0.0

)

 

 

 

(6.2

)

 

 

 

(163.0

)

 

 

 

 

 

 

 

(169.2

)

Stock-based compensation costs

 

 

 

 

 

 

 

 

 

 

45.1

 

 

 

 

 

 

 

 

 

 

 

 

45.1

 

Foreign currency translation adjustment

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

4.8

 

 

 

 

4.8

 

Activity related to equity-based plans

 

 

1.0

 

 

 

 

0.0

 

 

 

 

37.2

 

 

 

 

(22.1

)

 

 

 

 

 

 

 

15.1

 

Balance as of February 29, 2024

 

 

360.0

 

 

$

 

3.6

 

 

$

 

1,702.5

 

 

$

 

2,186.2

 

 

$

 

(145.2

)

 

$

 

3,747.1

 

 

 

 

For the three months ended February 29, 2024

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Accumulated

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Additional

 

 

 

 

 

 

other

 

 

 

 

 

 

 

Common stock

 

 

paid-in

 

 

Retained

 

 

comprehensive

 

 

 

 

 

 

 

Shares

 

 

Amount

 

 

capital

 

 

earnings

 

 

loss

 

 

Total

 

Balance as of November 30, 2023

 

 

359.8

 

 

$

 

3.6

 

 

$

 

1,678.6

 

 

$

 

2,009.4

 

 

$

 

(167.2

)

 

$

 

3,524.4

 

Net income

 

 

 

 

 

 

 

 

 

 

 

 

 

 

498.6

 

 

 

 

 

 

 

 

498.6

 

Unrealized gains on securities, net of $6.3 million in tax expense

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

19.0

 

 

 

 

19.0

 

Reclassification adjustment for realized gains on securities, net of $0.0 million in tax expense (1)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(0.0

)

 

 

 

(0.0

)

Cash dividends declared ($0.89 per share)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(320.4

)

 

 

 

 

 

 

 

(320.4

)

Repurchases of common shares (2)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Stock-based compensation costs

 

 

 

 

 

 

 

 

 

 

14.4

 

 

 

 

 

 

 

 

 

 

 

 

14.4

 

Foreign currency translation adjustment

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

3.0

 

 

 

 

3.0

 

Activity related to equity-based plans

 

 

0.2

 

 

 

 

0.0

 

 

 

 

9.5

 

 

 

 

(1.4

)

 

 

 

 

 

 

 

8.1

 

Balance as of February 29, 2024

 

 

360.0

 

 

$

 

3.6

 

 

$

 

1,702.5

 

 

$

 

2,186.2

 

 

$

 

(145.2

)

 

$

 

3,747.1

 

 

(1)
Reclassification adjustments out of accumulated other comprehensive loss for realized gains/(losses), net of tax, on the sale of available-for-sale ("AFS") securities are reflected in interest on funds held for clients and other income, net on the Consolidated Statements of Income and Comprehensive Income.
(2)
The Company maintained a program to repurchase up to $400.0 million of its common stock, with an authorization that expired on January 31, 2024. On January 19, 2024 the Company's Board of Directors approved a new repurchase plan authorizing up to $400.0 million of repurchases of its common stock, with authorization expiring on May 31, 2027. The purpose of these programs is to manage common stock dilution.

 

 

 

See Notes to Consolidated Financial Statements.

 

3

 


 

 

For the nine months ended February 28, 2023

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Accumulated

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Additional

 

 

 

 

 

 

other

 

 

 

 

 

 

 

Common stock

 

 

paid-in

 

 

Retained

 

 

comprehensive

 

 

 

 

 

 

 

Shares

 

 

Amount

 

 

capital

 

 

earnings

 

 

loss

 

 

Total

 

Balance as of May 31, 2022

 

 

359.9

 

 

$

 

3.6

 

 

$

 

1,545.9

 

 

$

 

1,669.6

 

 

$

 

(133.9

)

 

$

 

3,085.2

 

Net income

 

 

 

 

 

 

 

 

 

 

 

 

 

 

1,206.9

 

 

 

 

 

 

 

 

1,206.9

 

Unrealized losses on securities, net of $23.3 million in tax benefit

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(70.7

)

 

 

 

(70.7

)

Reclassification adjustment for realized gains on securities, net of $0.0 million in tax expense (1)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(0.1

)

 

 

 

(0.1

)

Cash dividends declared ($2.37 per share)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(854.5

)

 

 

 

 

 

 

 

(854.5

)

Repurchases of common shares (2)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Stock-based compensation costs

 

 

 

 

 

 

 

 

 

 

46.0

 

 

 

 

 

 

 

 

 

 

 

 

46.0

 

Foreign currency translation adjustment

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

0.5

 

 

 

 

0.5

 

Activity related to equity-based plans

 

 

0.6

 

 

 

 

0.0

 

 

 

 

16.1

 

 

 

 

(28.3

)

 

 

 

 

 

 

 

(12.2

)

Balance as of February 28, 2023

 

 

360.5

 

 

$

 

3.6

 

 

$

 

1,608.0

 

 

$

 

1,993.7

 

 

$

 

(204.2

)

 

$

 

3,401.1

 

 

 

 

For the three months ended February 28, 2023

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Accumulated

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Additional

 

 

 

 

 

 

other

 

 

 

 

 

 

 

Common stock

 

 

paid-in

 

 

Retained

 

 

comprehensive

 

 

 

 

 

 

 

Shares

 

 

Amount

 

 

capital

 

 

earnings

 

 

loss

 

 

Total

 

Balance as of November 30, 2022

 

 

360.5

 

 

$

 

3.6

 

 

$

 

1,588.6

 

 

$

 

1,811.4

 

 

$

 

(198.3

)

 

$

 

3,205.3

 

Net income

 

 

 

 

 

 

 

 

 

 

 

 

 

 

467.4

 

 

 

 

 

 

 

 

467.4

 

Unrealized losses on securities, net of $3.3 million in tax benefit

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(9.4

)

 

 

 

(9.4

)

Reclassification adjustment for realized gains on securities, net of $0.0 million in tax expense (1)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

0.0

 

 

 

 

0.0

 

Cash dividends declared ($0.79 per share)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(284.9

)

 

 

 

 

 

 

 

(284.9

)

Repurchases of common shares (2)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Stock-based compensation costs

 

 

 

 

 

 

 

 

 

 

16.3

 

 

 

 

 

 

 

 

 

 

 

 

16.3

 

Foreign currency translation adjustment

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

3.5

 

 

 

 

3.5

 

Activity related to equity-based plans

 

 

0.0

 

 

 

 

0.0

 

 

 

 

3.1

 

 

 

 

(0.2

)

 

 

 

 

 

 

 

2.9

 

Balance as of February 28, 2023

 

 

360.5

 

 

$

 

3.6

 

 

$

 

1,608.0

 

 

$

 

1,993.7

 

 

$

 

(204.2

)

 

$

 

3,401.1

 

 

(1)
Reclassification adjustments out of accumulated other comprehensive loss for realized gains/(losses), net of tax, on the sale of AFS securities are reflected in interest on funds held for clients and other income, net on the Consolidated Statements of Income and Comprehensive Income.
(2)
The Company maintained a program to repurchase up to $400.0 million of its common stock, with an authorization that expired on January 31, 2024. The purpose of this program is to manage common stock dilution.

 

 

See Notes to Consolidated Financial Statements.

4

 


PAYCHEX, INC.

CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)

In millions

 

 

 

For the nine months ended

 

 

 

February 29,

 

 

February 28,

 

 

 

2024

 

 

2023

 

Operating activities

 

 

 

 

 

 

 

 

Net income

 

$

 

1,310.5

 

 

$

 

1,206.9

 

Adjustments to reconcile net income to net cash provided by operating activities:

 

 

 

 

 

 

 

 

Depreciation and amortization

 

 

 

130.9

 

 

 

 

132.5

 

Amortization of premiums and discounts on AFS securities, net

 

 

 

(4.7

)

 

 

 

15.9

 

Amortization of deferred contract costs

 

 

 

173.4

 

 

 

 

163.0

 

Stock-based compensation costs

 

 

 

45.1

 

 

 

 

46.0

 

Benefit from deferred income taxes

 

 

 

(20.9

)

 

 

 

(25.6

)

Provision for credit losses

 

 

 

14.9

 

 

 

 

13.1

 

Net realized losses/(gains) on sales of AFS securities

 

 

 

0.0

 

 

 

 

(0.1

)

Changes in operating assets and liabilities:

 

 

 

 

 

 

 

 

Interest receivable

 

 

 

1.6

 

 

 

 

(5.1

)

Accounts receivable and PEO unbilled receivables, net

 

 

 

(3.5

)

 

 

 

(141.5

)

Prepaid expenses and other current assets

 

 

 

9.2

 

 

 

 

(12.1

)

Accounts payable and other current liabilities

 

 

 

184.2

 

 

 

 

78.6

 

Deferred costs

 

 

 

(184.3

)

 

 

 

(195.6

)

Net change in other long-term assets and liabilities

 

 

 

21.6

 

 

 

 

17.3

 

Net change in operating lease right-of-use assets and liabilities

 

 

 

(2.0

)

 

 

 

(4.5

)

Net cash provided by operating activities

 

 

 

1,676.0

 

 

 

 

1,288.8

 

Investing activities

 

 

 

 

 

 

 

 

Purchases of AFS securities

 

 

 

(6,007.4

)

 

 

 

(12,592.4

)

Proceeds from sales and maturities of AFS securities

 

 

 

6,345.6

 

 

 

 

13,051.0

 

Net (purchases of)/collections on short-term accounts receivable

 

 

 

(101.8

)

 

 

 

1.3

 

Purchases of property and equipment

 

 

 

(120.1

)

 

 

 

(97.0

)

Proceeds from sales of property and equipment

 

 

 

0.0

 

 

 

 

16.7

 

Acquisition of businesses, net of cash acquired

 

 

 

(208.3

)

 

 

 

(4.3

)

Purchases of other assets, net

 

 

 

(25.8

)

 

 

 

(11.6

)

Net cash (used in)/provided by investing activities

 

 

 

(117.8

)

 

 

 

363.7

 

Financing activities

 

 

 

 

 

 

 

 

Net change in client fund obligations

 

 

 

1,947.4

 

 

 

 

648.6

 

Net change in short-term borrowings

 

 

 

9.0

 

 

 

 

2.0

 

Dividends paid

 

 

 

(962.5

)

 

 

 

(854.1

)

Repurchases of common shares

 

 

 

(169.2

)

 

 

 

 

Contingent consideration paid for acquisitions

 

 

 

 

 

 

 

(2.8

)

Activity related to equity-based plans

 

 

 

15.1

 

 

 

 

(12.2

)

Net cash provided by/(used in) financing activities

 

 

 

839.8

 

 

 

 

(218.5

)

Net change in cash, restricted cash, and equivalents

 

 

 

2,398.0

 

 

 

 

1,434.0

 

Cash, restricted cash, and equivalents, beginning of period

 

 

 

2,134.9

 

 

 

 

928.4

 

Cash, restricted cash, and equivalents, end of period

 

$

 

4,532.9

 

 

$

 

2,362.4

 

 

 

 

 

 

 

 

 

Reconciliation of cash, restricted cash, and equivalents

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

$

 

1,693.6

 

 

$

 

1,316.9

 

Restricted cash

 

 

 

41.0

 

 

 

 

56.6

 

Restricted cash and restricted cash equivalents included in funds held for clients

 

 

 

2,798.3

 

 

 

 

988.9

 

Total cash, restricted cash, and equivalents

 

$

 

4,532.9