“Our clients are eager to hire and we are seeing workers return to the labor force, even if it's gradual,” Rodriguez said. “As a result, we expect to benefit from an above-normal level of pays-per-control growth over the course of the year.”
The payroll services company reported net income of $700.5 million for the most recently ended quarter, up from $602.1 million a year earlier. Revenue reached $3.83 billion, compared to $3.47 billion in last year’s corresponding period.
New CFO Don McGuire said that the Professional Employer Organization services “had another terrific quarter.” Average worksite employees increase 15 percent year-over-year to 629,000 with total PEO revenue also up 15 percent.
Rodriguez said ADP needs to grow its workforce, as revenue growth exceeded expense growth. “I would say that we have a strong appetite for growing our sales force, but also for growing our investment in marketing, whether it's digital marketing or more traditional advertising,” he said. ADP is trying to add capacity for implementation and service before year’s end.