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Increase in COVID-19 Cases Spur Decline in Small Business Jobs and Wage Growth

Paychex, Inc Reports Second Quarter Results

Second Quarter Fiscal 2021 Key Points The Company raises guidance as second quarter results reflect sequential improvement in financial performance and key business metrics. Diluted earnings per share and adjusted diluted earnings per share (1) each increased 4% to $0.75 per share and $0.73 per share, respectively. Second quarter service revenue was consistent with the prior year period at $968.9 million, compared to a year-over-year decrease of 6% in the first quarter. Management Solutions revenue increased 1% to $732.8 million. Total revenue decreased 1% to $983.7 million. (1) Adjusted diluted earnings per share and adjusted net income are not United States (“U.S.”) generally accepted accounting principles (“GAAP”) measures. Please refer to the “Non-GAAP Financial Measures” section on page 4 of this press release for a discussion of these non-GAAP measures and a reconciliation to the most comparable U.S. GAAP measures of diluted earnings per share and net income.

3 Things to Watch in the Stock Market This Week

Cintas (NASDAQ:CTAS). Let s take a look at the key trends that might send their stocks moving this week. CarMax s gross profit CarMax reveals its latest growth trends on Tuesday, and investors are conflicted about what to expect from the report. The used-car retailer announced surprisingly strong sales, profit margins, and earnings in its last quarterly outing. But executives warned about a potentially rocky period ahead for the business. The demand rebound might be threatened by further COVID-19 outbreaks, elevated unemployment, or price cuts from new-car manufacturers. Most investors who follow the stock are looking for healthy sales and earnings gains this week. Odds are good that CarMax will maintain a robust profit margin per vehicle, too, as it routinely books at least $2,200 of gross profit on each used-car sale.

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