Investor Presentaiton
Is Pershing Square Looking at the Right Margin?
ADP Margin Comparisons for Most Recent Fiscal Year
($M)
Fiscal Year-end
Total Revenue
ADP
CDK(1)
June 2017
June 2017
PAYX(1)
May 2017
ULTI(1)
WDAY(1)(2)
December 2016
January 2017
12,379.8
2,220.2
3,151.3
781.3
1,569.4
Pass-Throughs
2,628.4
Revenue w/o Pass-throughs
9,751.4
2,220.2
3,151.3
781.3
1,569.4
GAAP Net Earnings including Noncontrolling Interest
1,733.4
302.5
817.3
30.3
(408.3)
Net Earnings Margin / Total Revenue.
14.0%
13.6%
25.9%
3.9%
(26.0%)
Net Earnings Margin / Revenue w/o Pass-Throughs
17.8%
13.6%
25.9%
3.9%
(26.0%)
Income Taxes
Net Interest Expense
(Gain) on Sale of a Business
One-time Restructuring
Total EBIT Adjustments
797.7
132.8
427.5
11.2
(0.8)
36.9
57.2
(7.4)
0.7
18.8
(205.4)
85.0
18.4
714.2
208.4
420.1
11.9
18.0
Adjusted EBIT (as defined by ADP)
2,447.6
510.9
1,237.4
42.2
(390.3)
Adjusted EBIT Margin / Total Revenue
19.8%
23.0%
39.3%
5.4%
(24.9%)
-
Adjusted EBIT Margin / Revenue w/o Pass-Throughs
25.1%
23.0%
39.3%
5.4%
(24.9%)
Depreciation & Amortization
316.1
70.3
126.9
27.1
115.9
Stock Compensation
138.9
55.4
35.4
113.9
378.6
Transformation / Other
Additional EBITDA Adjustments
47.7
77.0
0.8
502.7
202.7
162.3
141.8
494.5
Adjusted EBITDA
2,950.3
713.6
1,399.7
184.0
104.2
Adjusted EBITDA Margin / Revenue w/o Pass-Throughs
30.3%
32.1%
44.4%
23.6%
6.6%
Most Recent Fiscal Year Comments
+6% ES client
growth
~ -1% DMSNA
client decline
~+9% DMSNA
avg. client
revenue
~ 0% payroll
service client
growth
+15% client
growth
~ +25% client
growth
Notes:
1.
Pro forma analysis based on externally reported documents.
2.
Excludes $14 million of employer tax-related items on employee stock transactions per non-GAAP Operating Expenses in January 2017 10-K.
Copyright 2017 ADP, LLC.
ADP
A more human resource."
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