Financial Data and Key Metrics - Revenue growth for Q4 2024 was 6%, with adjusted EBIT margin expansion of 80 basis points and adjusted EPS growth of 11% [7] - Full-year fiscal 2024 revenue growth was 7%, with adjusted EBIT margin expansion of 70 basis points and adjusted EPS growth of 12% [7] - Employer services bookings growth for fiscal 2024 was 7%, at the high end of the 4% to 7% guidance range [9] - Employer services retention for the year was 92%, better than expected, with record retention in the mid-market business for the second consecutive year [9] - Employer services pays per control increased 2% both for the quarter and the full year [10] - PEO revenue growth for Q4 was 6%, exceeding expectations despite slowing client hiring activity [10] - Full-year PEO revenue grew 4%, with average worksite employees increasing 2% [23] Business Line Performance - Small business segment saw over 50,000 new clients added in Q4, reflecting strong demand for the RUN solution [8] - Mid-market and enterprise segments also showed strong performance, with client interest in next-gen HCM solutions exceeding expectations [8] - PEO segment saw average worksite employees increase by 3% year-over-year in Q4 to 742,000 [23] - Comprehensive services in HR outsourcing generated over 1billioninrevenuefortheyear,asignificantmilestone[19]MarketPerformance−Internationalbusinessshowedstronggrowththroughouttheyear,withQ4beingthestrongestquarter[49]−ThecompanyexpandeditsglobalfootprintbyacquiringapayrollbusinessinSwedenandextendingitsCelergopayrollofferingtoIceland[15]−TheiHCMplatformscaledinseveralEuropeancountries,nowservingover5,000clientsandpayingmorethan1millionclientemployees[15]StrategicPrioritiesandIndustryCompetition−Thecompany′sfirststrategicpriorityistoleadwithbest−in−classHCMtechnology,includingthelaunchofADPAssist,agenerativeAI−poweredsolution[11]−ADPAssistwasdeployedacrossmultipleplatforms,includingRUN,WorkforceNow,andnext−genHCM,withenhancedcapabilitiessuchasnaturallanguagesearchandHRactioninitiation[12]−Thecompany′ssecondpriorityistoprovideunmatchedexpertiseandoutsourcing,withinvestmentsingenerativeAItoolsforserviceassociatesandimplementationteams[13]−Thethirdpriorityistoleverageglobalscale,withcontinuedexpansionintheAPACregionandpartnershipswithleadingtechnologyproviders[15]ManagementCommentaryonOperatingEnvironmentandFutureOutlook−Thecompanyexpectssomemoderationineconomicactivityinfiscal2025butremainswell−positionedtodeliversolidfinancialresults[24]−FortheESsegment,revenuegrowthisexpectedtobe56 billion maturing in 2025 at higher reinvestment rates [91] Question: Workforce Optimization - The company is always evaluating workforce optimization, with a focus on having the right people in the right places [96] Question: Enterprise Sales Cycle - The enterprise sales cycle has returned to pre-pandemic norms, with more decision-makers involved but no reduction in modules purchased [99][100] Question: Small Business Health - The company monitors small business health through metrics like new business formations and out-of-business rates, with no significant concerns at this time [102]
