Automatic Data Processing, Inc. ADP

263.67 0.56 0.21% as of 25 Sep
Market cap
$104.2B
P/E
24.0×
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Automatic Data Processing, Inc. (ADP) Gross margin

Automatic Data Processing, Inc.'s gross margin over the twelve months to 30 June 2026 was 46.4%. Over the past ten years it has ranged from 41.2% (fiscal 2015) to 46.4% (fiscal 2026) — the current reading is the highest in ten years. That is below the Software Application industry median of 67.0% and in line with the Technology sector median of 47.2%.

Gross margin, annual

Annual

Period Gross margin Change (points)
FY2026 46.4% 0.39
FY2025 46.0% 0.59
FY2024 45.4% 0.70
FY2023 44.7% 2.09
FY2022 42.7% 0.23
FY2021 42.4% 0.30
FY2020 42.1% (1.03)
FY2019 43.2% 1.59
FY2018 41.6% 0.12
FY2017 41.4% 0.07

Quarterly

Period Gross margin Change (points)
Jun 2026 45.9% (2.40)
Mar 2026 48.3% 2.20
Dec 2025 46.1% 0.88
Sep 2025 45.2% 0.14
42 more quarters

Against its own ten years

Low 41.2% High 46.4%
Ten-year median 42.5%
Current reading's percentile 100

Gross margin against peers

Company Gross margin
ADBE Adobe Inc. compare 89.3%
CDNS Cadence Design Systems, Inc. compare 85.9%
INTU Intuit Inc. compare 80.2%
DDOG Datadog, Inc. compare 79.5%
NOW ServiceNow, Inc. compare 74.8%
MSTR Strategy Inc compare 67.6%
SNOW Snowflake Inc. compare 67.0%
ADP Automatic Data Processing, Inc. 46.4%
UBER Uber Technologies, Inc. compare 42.3%
Software Application industry median 67.0%
Technology sector median 47.2%
Market median 46.3%

What Gross margin is

Gross Margin tells an investor how much of each sale a company keeps after paying the direct costs of making or buying what it sells.

Gross Profit ÷ Revenue

The full definition of Gross margin →

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