Quarterly report [Sections 13 or 15(d)]

Service Revenue (Tables)

v3.26.1
Service Revenue (Tables)
9 Months Ended
Feb. 28, 2026
Revenue from Contract with Customer [Abstract]  
Summary of PEO Pass-Through Costs Netted in Revenue

PEO pass-through costs netted within the PEO and Insurance Solutions revenue were as follows:

 

 

 

For the three months ended

 

 

For the nine months ended

 

 

 

February 28,

 

 

February 28,

 

In millions

 

2026

 

 

2025

 

 

2026

 

 

2025

 

Payroll wages and payroll taxes

 

$

 

8,587.8

 

 

$

 

7,783.0

 

 

$

 

23,638.5

 

 

$

 

21,836.6

 

State unemployment insurance (included in payroll wages and payroll taxes)

 

$

 

88.6

 

 

$

 

81.5

 

 

$

 

134.7

 

 

$

 

127.9

 

Guaranteed cost benefit plans

 

$

 

193.8

 

 

$

 

172.6

 

 

$

 

547.2

 

 

$

 

505.9

 

Summary of Changes in Deferred Revenue Related to Material Rights Performance Obligations

Changes in deferred revenue related to material rights that exceed one year were as follows:

 

 

 

For the three months ended

 

 

For the nine months ended

 

 

 

February 28,

 

 

February 28,

 

In millions

 

2026

 

 

2025

 

 

2026

 

 

2025

 

Balance, beginning of period

 

$

 

90.5

 

 

$

 

74.0

 

 

$

 

92.4

 

 

$

 

74.9

 

Deferral of revenue

 

 

 

15.6

 

 

 

 

11.5

 

 

 

 

41.5

 

 

 

 

29.1

 

Recognition of unearned revenue

 

 

 

(13.8

)

 

 

 

(9.9

)

 

 

 

(41.6

)

 

 

 

(28.4

)

Balance, end of period

 

$

 

92.3

 

 

$

 

75.6

 

 

$

 

92.3

 

 

$

 

75.6

 

Summary of Deferred Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction

In millions

 

Estimated

 

Year ending May 31,

 

recognition of unearned revenue

 

2026

 

$

 

13.0

 

2027

 

 

 

42.1

 

Thereafter

 

 

 

37.2

 

Total recognition of unearned revenue

 

$

 

92.3

 

Summary of Changes in Deferred Costs to Obtain and Fulfill Contracts

Changes in deferred costs to obtain and fulfill contracts were as follows:

 

Costs to obtain contracts:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

For the three months ended

 

 

For the nine months ended

 

 

 

February 28,

 

 

February 28,

 

In millions

 

2026

 

 

2025

 

 

2026

 

 

2025

 

Balance, beginning of period

 

$

 

612.0

 

 

$

 

600.7

 

 

$

 

609.0

 

 

$

 

609.4

 

Capitalization of costs

 

 

 

74.4

 

 

 

 

59.0

 

 

 

 

183.4

 

 

 

 

154.2

 

Amortization

 

 

 

(54.0

)

 

 

 

(52.6

)

 

 

 

(160.0

)

 

 

 

(156.5

)

Balance, end of period

 

$

 

632.4

 

 

$

 

607.1

 

 

$

 

632.4

 

 

$

 

607.1

 

 

Costs to fulfill contracts:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

For the three months ended

 

 

For the nine months ended

 

 

 

February 28,

 

 

February 28,

 

In millions

 

2026

 

 

2025

 

 

2026

 

 

2025

 

Balance, beginning of period

 

$

 

110.8

 

 

$

 

75.8

 

 

$

 

87.0

 

 

$

 

76.6

 

Capitalization of costs

 

 

 

21.7

 

 

 

 

6.9

 

 

 

 

61.3

 

 

 

 

19.5

 

Amortization

 

 

 

(8.8

)

 

 

 

(6.7

)

 

 

 

(24.6

)

 

 

 

(20.1

)

Balance, end of period

 

$

 

123.7

 

 

$

 

76.0

 

 

$

 

123.7

 

 

$

 

76.0