Automatic Data Processing (ADP) FY2018 results: revenue $13.3 billion, up 7.2% on the year
Automatic Data Processing Inc. (ADP) reported revenue of $13.3 billion for fiscal 2018, the year ended 30 June 2018, up 7.2% on the year before. Net income was $1.9 billion, up 5.4%, and diluted earnings per share $4.25. The figures are the company's own, from the 10-K it filed with the SEC on 3 August 2018.
Revenue
$13.3 billion
+7.2% on the year
FY2011FY2018
Operating margin
18.5%
18.4% a year earlier
FY2011FY2018
Net income
$1.9 billion
+5.4% on the year
FY2011FY2018
Diluted EPS
$4.25
+7.1% on the year
FY2011FY2018
this yearthe year beforeHover a bar for its figure.
The year in brief
Income statement (profit and loss)
$ million
FY2018
FY2017
FY2016
On the year
Last 8 years
Revenue
13,274
12,380
11,668
+7.2%
Cost of revenue
7,757
7,244
6,840
+7.1%
Gross profit
5,517
5,135
4,828
+7.4%
Gross margin
41.6%
41.5%
41.4%
Selling, general and administrative
2,959
2,774
2,637
+6.7%
Operating income
2,455
2,282
2,134
+7.6%
Operating margin
18.5%
18.4%
18.3%
Interest expense
103
80.0
56.2
+28.4%
Pre-tax income
2,283
2,617
2,235
-12.8%
Income tax
398
829
741
-52.0%
Effective tax rate
17.4%
31.7%
33.2%
Net income
1,885
1,788
1,492
+5.4%
Net margin
14.2%
14.4%
12.8%
Diluted EPS
$4.25
$3.97
$3.25
+7.1%
$ million except per share. Read moreFree cash flow is operating cash flow less capital expenditure; the effective tax rate is income tax over pre-tax income; margins are the line over revenue. Gross profit is revenue less cost of revenue, and operating income is revenue less the company's own total costs, where the statement does not print those lines. Those four are arithmetic on the filed numbers; everything else is as filed. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and share counts are as they are.
Cash flow
$ million
FY2018
FY2017
FY2016
On the year
Last 8 years
Operating cash flow
2,515
2,126
1,897
+18.3%
Capital expenditure
206
240
168
-14.2%
Free cash flow
2,309
1,886
1,729
+22.5%
Free cash flow margin
17.4%
15.2%
14.8%
Cash from investing
-2,505
-1,113
-869
Cash from financing
-1,656
-8,282
8,753
Depreciation and amortisation
378
316
289
+19.5%
Share-based compensation
175
139
138
+26.3%
Buybacks
989
1,260
1,156
-21.5%
Dividends paid
1,064
995
944
+6.9%
Dividend per share
$2.52
$2.24
$2.08
+12.5%
Diluted shares, weighted
443m
450m
459m
-1.6%
Shares outstanding at period end
439m
445m
456m
-1.4%
Balance sheet
$ million
FY2018
FY2017
FY2016
On the year
Last 8 years
Shareholders' equity
4,736
3,977
4,482
+19.1%
Non-controlling interest
n/a
1,007
n/a
Short-term borrowings
0.0
0.0
0.0
Debt
2,002
2,002
2,008
0.0%
Other liabilities
32,111
31,900
37,181
+0.7%
Total liabilities and equity
38,849
38,887
43,670
-0.1%
Fixed assets
794
780
685
+1.8%
Goodwill
2,244
1,741
1,682
+28.9%
Intangible assets
886
620
534
+42.9%
Investments
10.5
10.8
31.3
-2.8%
Cash and equivalents
2,170
2,780
3,191
-22.0%
Receivables
1,984
1,704
1,743
+16.5%
Other assets
30,761
31,251
35,804
-1.6%
Total assets
38,849
38,887
43,670
-0.1%
10-K for the year ended 30 June 2018, filed 3 August 2018: the filing.