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HR Tech Company Paycom Sees Growth above $2 Billion in 2025

HR Tech

Business Honor - Paycom Surpasses $2B Growth Milestone 2025

Business Honor
06 November, 2025

Paycom aims to boost efficiency, retain clients and grow revenue through expanded automation and improved services.

Paycom, a human resources software provider, reported third-quarter revenue of $493.3 million, up 9.2% compared to last year, meeting Wall Street expectations. The company’s guidance for the full year also matched analyst forecasts, suggesting mid-2025 revenue of $2.05 billion. Their non-GAAP earnings per share of $1.94 were 1.1% below estimates. After the results, the market reacted negatively, management said the company is reducing service costs and improving efficiency by expanding its automated tools, including the payroll ERP service ‘Beti.’

CEO Chad Richison noted that these changes have increased engagement among clients, saying, "Our tools have already handled millions of queries, extending the capabilities of our system." Paycom also reported fewer internal support needs improving efficiency through automation. Paycom (PAYC) reported revenue of $493.3 million for Q3, slightly above expectations and up 9.2% from last year. Adjusted earnings per share were $1.94, a small inaccuracy compared to the expected $1.96.

Looking ahead, Paycom expects continued benefits from the rollout of its automated tools and improved processes. Management believes these changes will help retain clients and increase product use. Richison said, "We expect a milestone year with total revenue above $2 billion, all from organic growth and near-record adjusted EBITDA margins." The company’s recent investments in its data center business aim to support long-term growth, while sales that are more efficient and service operations should help capture additional market share. Future performance will depend on these improvements, along with cost management and market demand.