Paychex sees Paycor HCM acquisition to be accretive to adjusted EPS next FY

Paychex (PAYX) executives stated on the company’s earnings call, according to a transcript: “We want to, get through our plan review process and come back to you guys at the end of Q4, with, a combined, uh, guidance and outlook, for the next fiscal year. With that being said, when I look at kind of the base business, because obviously I have visibility into kind of the base business and the KPIs and so forth. When I, look at the base business and I look at what’s currently assumed out there, from a, consensus standpoint for next year, from both a revenue growth standpoint and a margin expansion standpoint. Again, we haven’t been through our full plan process, but I would expect to be able to put together a base case. Paychex plan that’s in line with, those assumptions that are out there. So, that’s a little bit of the breadcrumbs that we would normally give you in a little bit additional color. but we still need to kind of work through our planning process and, bring these two businesses together, as John mentioned.” Later in the call, the company added when discussing its deal for Paycor HCM (PYCR): “We are making great progress on the acquisition and on integration planning. The work we have done since announcing the transaction has increased our confidence in achieving the cost synergies, and we now expect synergies over the $80 million that we shared with you in January. Given this, we now expect the acquisition to be accretive to our adjusted earnings per share next fiscal year.”