自動資料處理 (ADP) 2018 Q1 法說會逐字稿

Good morning. My name is Brian, and I will be your conference operator. At this time, I would like to welcome everyone to ADP's First Quarter Fiscal 2018 Earnings Call. I would like to inform you that this conference is being recorded. (Operator Instructions) I will now turn the conference over to Christian Greyenbuhl, Vice President, Investor Relations. Please go ahead.

早安.我叫布萊恩，我將擔任你們的會議接線生。在此，我謹代表ADP公司歡迎各位參加2018財年第一季財報電話會議。我想告知各位，本次會議正在錄影。（操作員指示）現在我將把會議交給投資者關係副總裁克里斯蒂安·格雷恩布爾。請繼續。

Thank you, Brian, and good morning, everyone. This is Christian Greyenbuhl, ADP's Vice President, Investor Relations, and I'm here today with Carlos Rodriguez, ADP's President and Chief Executive Officer; and Jan Siegmund, ADP's Chief Financial Officer. Thank you for joining us for our first quarter fiscal 2018 earnings call and webcast. During our call today, we will reference certain non-GAAP financial measures, which we believe to be useful to investors. A reconciliation of these non-GAAP financial measures to their comparable GAAP measures is included in our earnings release and in the supplemental slides on our Investor Relations website. I also wanted to highlight for you that the quarterly history of revenue and pretax earnings for our reportable segments is also available on the Investor Relations section of our website. These schedules have been updated to include the first quarter of fiscal 2018. Before Carlos begins, I'd like to remind everyone that today's call will contain forward-looking statements that refer to future events, and as such, involve some risk. We encourage you to review our filings with the SEC for additional information on risk factors that could cause actual results to differ materially from our current expectations.

謝謝你，布萊恩，大家早安。我是 ADP 投資者關係副總裁 Christian Greyenbuhl，今天與 ADP 總裁兼執行長 Carlos Rodriguez 和 ADP 財務長 Jan Siegmund 一起出席。感謝您參加我們2018財年第一季財報電話會議及網路直播。在今天的電話會議中，我們將提及一些非GAAP財務指標，我們認為這些指標對投資人是有用的。這些非GAAP財務指標與其對應的GAAP指標的調節表已包含在我們的獲利報告中以及我們投資者關係網站上的補充幻燈片中。我還想特別提醒您，我們網站的投資者關係部分也提供了我們各報告部門的季度收入和稅前利潤歷史記錄。這些時間表已更新，包含了 2018 財年第一季。在卡洛斯開始發言之前，我想提醒大家，今天的電話會議將包含有關未來事件的前瞻性陳述，因此存在一定的風險。我們建議您查閱我們向美國證券交易委員會提交的文件，以獲取有關可能導致實際結果與我們目前預期存在重大差異的風險因素的更多資​​訊。

Now let me turn the call over to Carlos.

現在我把電話交給卡洛斯。

Thank you, Christian, and thank you for joining our call this morning. We appreciate your interest in ADP. This morning, we reported our first quarter fiscal 2018 results, with reported and organic revenue up 6% to $3.1 billion. We're pleased with this revenue growth which was above our expectations. Revenue growth in the quarter includes approximately 1 percentage point of pressure from the fiscal 2017 disposition of our CHSA and COBRA businesses, which was substantially offset by the benefits from foreign currency. Our adjusted diluted earnings per share grew 6% to $0.91 per share and benefited from a lower effective tax rate and fewer shares outstanding. Overall, this earnings growth in the quarter exceeded our expectations, and we're very pleased with our solid results, which Jan will walk through in more detail shortly.

謝謝你，克里斯蒂安，也謝謝你今天早上參加我們的電話會議。感謝您對ADP的關注。今天上午，我們公佈了 2018 財年第一季業績，報告營收和有機收入成長 6% 至 31 億美元。我們對這超出預期的營收成長感到滿意。本季營收成長受到 2017 財年處置 CHSA 和 COBRA 業務帶來的約 1 個百分點的壓力，但外匯收益基本上抵銷了這一壓力。調整後的稀釋每股收益成長 6% 至每股 0.91 美元，這得益於較低的實際稅率和較少的流通股。總體而言，本季的獲利成長超出了我們的預期，我們對穩健的業績非常滿意，Jan稍後將對此進行更詳細的介紹。

New business bookings during the first quarter were down 3% compared to the first quarter of 2017. This performance was in line with our expectations as we begin to realize the benefits of our fiscal 2017 headcount investments while we continue to manage through the effects of the regulatory uncertainty that has prevailed since last year's U.S. elections.

與 2017 年第一季相比，第一季的新業務預訂量下降了 3%。這項績效符合我們的預期，因為我們開始看到 2017 財年人員配置投資帶來的效益，同時我們也持續應對自去年美國大選以來一直存在的監管不確定性的影響。

Despite the short-term bookings pressure, we continue to be very pleased with the performance of our downmarket businesses and the solid results in our multinational business.

儘管短期預訂量面臨壓力，但我們對低端市場業務的表現以及跨國業務的穩健業績仍然非常滿意。

As we communicated previously, we continue to expect our bookings growth to gradually expand back to pre-ACA growth levels as we progress through the year. As a result, we continue to anticipate full year fiscal 2018 new business bookings growth of 5% to 7%. On the client retention front, we experienced a 160 basis point improvement during the quarter, which was ahead of our expectations and saw positive growth across all of Employer Services markets. This performance is due in part to our continued efforts to upgrade clients to strategic cloud platforms as well as the investments we've made to improve the client service experience while also aided by the easier compare from our fiscal 2017 first quarter federal government OPM contract loss.

正如我們之前所溝通的那樣，我們仍然預計，隨著時間的推移，我們的預訂量增長將逐步恢復到《平價醫療法案》（ACA）實施前的增長水平。因此，我們繼續預期 2018 財年全年新業務預訂量將成長 5% 至 7%。在客戶留存方面，本季我們取得了 160 個基點的改善，超出了我們的預期，並且所有雇主服務市場都實現了正成長。這項業績部分歸功於我們持續努力將客戶升級到策略雲端平台，以及我們為改善客戶服務體驗所做的投資，同時也得益於我們 2017 財年第一季聯邦政府人事管理辦公室 (OPM) 合約損失帶來的相對影響。

Our client upgrade initiatives continue to progress nicely, and now we have more than 83% of our clients on our strategic solutions. We also continue to make good progress on our Service Alignment Initiative, where we now have 2,000 associates across our 3 new scalable service centers and 5,400 associates in total across all 5 of our strategic service locations, delivering service to clients across the HCM spectrum. I'm proud of these efforts and of our speed to execute, which have enabled us to rationalize our footprint by exiting 9 subscale facilities this quarter. This represents a closure of 63% of our total planned exits under this initiative in just over 1 year.

我們的客戶升級計畫持續順利進行，目前已有超過 83% 的客戶採用了我們的策略解決方案。我們在服務協調計畫方面也持續取得良好進展，目前我們在 3 個新的可擴展服務中心擁有 2,000 名員工，在所有 5 個策略服務地點共有 5,400 名員工，為 HCM 領域的客戶提供服務。我為這些努力和我們快速的執行力感到自豪，這使我們能夠在本季度關閉 9 個小型工廠，從而合理化我們的業務佈局。這意味著在短短一年多的時間裡，我們已經完成了該計劃下 63% 的退出項目。

The progress we are making with respect to new platforms and improved service is leading to happier clients and improvement in our NPS scores. It isn't just our own internal metrics that are helping tell the story. Last month, G2 Crowd, a leading business software review platform, ranked our Workforce Now solution #1 in satisfaction for payroll and HR management suites in their fall midmarket grid report. In analyzing the reviews of actual users of the products, ADP was also named the leader in all 5 HR software categories: payroll, HR management suites, core HR, performance management and applicant tracking systems. We are excited about the innovations we continue to introduce to the market that are helping clients meet the dynamic needs of an evolving workforce. And it's gratifying to see these investments in HCM innovation continue to be recognized with prominence in the industry.

我們在新平台和改進服務方面取得的進展，正在提升客戶滿意度，並提高我們的 NPS 分數。不僅是我們自己的內部指標在幫助我們了解狀況。上個月，領先的商業軟體評論平台 G2 Crowd 在其秋季中端市場網格報告中，將我們的 Workforce Now 解決方案評為薪資和人力資源管理套件滿意度第一名。在分析產品實際使用者的評論時，ADP 也被評為所有 5 個人力資源軟體類別的領導者：薪資管理、人力資源管理套件、核心人力資源、績效管理和應徵者追蹤系統。我們很高興能夠持續向市場推出創新產品，這些產品正在幫助客戶滿足不斷變化的勞動力市場的動態需求。令人欣慰的是，這些對人力資本管理創新的投資繼續在業界獲得高度認可。

A few weeks ago, I had the opportunity to attend the HR Technology Conference in Las Vegas, where a few of these innovations took center stage. For the third consecutive year at HR Tech, ADP was recognized with an HR product of the year award from Human Resource Executive magazine. This time, for our Compass solution, which is designed to boost the leadership and collaboration behaviors of our clients' employees. In addition to this recognition, we scored a second three-peat at the show after our Pay Equity Explorer solution was named one of HR Executive's awesome new technologies. Pay Equity Explorer is a powerful tool that combines data science and benchmarking and is built on the biggest data set in HCM, the ADP DataCloud. It was developed to help clients uncover insights and identify potential opportunities when it comes to gender or race pay gaps, so they can stay competitive in the war for talent. Innovation is a job that's never done. While we are incredibly excited about the solutions we are delivering in the market today, we are even more excited about the future. In September, we had the opportunity to brief HCM industry analysts on the new products and services coming out of our global product and technology organization. At the event, we previewed our next generation of client centered innovation, including a low code application development platform that enables internal and external development teams to build agile country, segment and client specific applications, leveraging the latest technology and delivered via the public cloud.

幾週前，我有機會參加了在拉斯維加斯舉行的HR技術大會，其中一些創新成果成為了大會的焦點。ADP連續第三年榮獲人力資源技術獎（HR Tech）《人力資源主管》雜誌頒發的年度最佳人力資源產品獎。這次，我們推出的是 Compass 解決方案，旨在提升客戶員工的領導力和協作能力。除了這項榮譽之外，我們的薪酬公平探索解決方案還被《人力資源主管》雜誌評為最棒的新技術之一，我們在展會上實現了第二次三連冠。薪酬公平探索器是一個強大的工具，它結合了資料科學和基準測試，並建立在 HCM 領域最大的資料集 ADP 資料雲之上。它的開發旨在幫助客戶發現性別或種族薪資差距方面的洞察和潛在機會，從而使他們在人才爭奪戰中保持競爭力。創新是一項永無止境的工作。雖然我們對目前在市場上提供的解決方案感到無比興奮，但我們對未來更加充滿期待。9 月份，我們有機會向 HCM 產業分析師簡要介紹了我們全球產品和技術組織推出的新產品和服務。在本次活動中，我們預覽了下一代以客戶為中心的創新，其中包括一個低程式碼應用程式開發平台，該平台使內部和外部開發團隊能夠利用最新技術建立敏捷的國家/地區、細分市場和客戶特定應用程序，並透過公有雲交付。

We also shared progress on our efforts to deliver next-gen payroll and tax filing engines which will further increase our differentiation in payroll and payments. These engines are designed for multicountry localization and will enable us to deliver pay and other services with greater flexibility based not only on the needs of our clients today but also their evolving future needs as organizations are increasingly comprised of both full-time and contract workers.

我們也分享了我們在開發下一代薪資和稅務申報引擎方面取得的進展，這將進一步提高我們在薪資和支付領域的差異化優勢。這些引擎專為多國本地化而設計，使我們能夠更加靈活地提供支付和其他服務，不僅基於我們客戶當前的需要，而且基於他們不斷變化的未來需求，因為組織越來越多地由全職員工和合約工組成。

ADP's unique ability to meet the needs of our clients today while anticipating their needs in the future have been hallmarks of our success over the past 68 years, and will drive our sustained growth in years ahead.

ADP 能夠滿足客戶當下的需求，同時預見他們未來的需求，這在過去 68 年中一直是公司成功的標誌，並將繼續推動公司在未來幾年持續成長。

Also before I turn the call over to Jan, I'd like to say a few words on our acquisition of Global Cash Card, which we announced in October. At the core of HCM is ensuring employees are paid accurately, securely and in a timely fashion. This is the DNA of ADP. And with the acquisition of Global Cash Card, we are strengthening and expanding this core capability. For those not familiar, Global Cash Card is a leader in digital payments, including pay cards and other electronic accounts. The digital payment space is an exciting one for the future of payroll. The increasing use of contract workers in the gig economy has driven the demand for these accounts, which can let independent contractors bring their various wages and expenses into a single account, providing the best picture of the their financial well-being. From the employer's perspective, digital payments can be less expensive, more immediate and a more secure option than other means of payment such as paper checks. With this acquisition, ADP becomes the only HCM provider with a proprietary digital payments processing platform, which will be integrated with our ALINE pay card solution for a seamless client experience.

在將電話交給 Jan 之前，我還想就我們 10 月宣布的對 Global Cash Card 的收購談幾句。人力資本管理的核心是確保員工能夠準確、安全、及時地獲得報酬。這是ADP的DNA。透過收購 Global Cash Card，我們正在加強和擴展這項核心能力。對於不熟悉的人來說，Global Cash Card 是數位支付領域的領導者，其產品包括薪資卡和其他電子帳戶。數位支付領域對於未來的薪資管理來說是一個令人興奮的領域。零工經濟中合約工的日益增多推動了對這些帳戶的需求，這些帳戶可以讓獨立承包商將他們的各種工資和支出集中到一個帳戶中，從而最清晰地展現他們的財務狀況。從雇主的角度來看，與紙本支票等其他支付方式相比，數位支付可能更便宜、更快捷、更安全。透過此次收購，ADP 成為唯一一家擁有自主數位支付處理平台的 HCM 供應商，該平台將與我們的 ALINE 支付卡解決方案集成，從而為客戶提供無縫的體驗。

We are excited about this acquisition, and we're pleased to welcome the Global Cash Card team to the ADP family.

我們對此次收購感到非常興奮，並歡迎 Global Cash Card 團隊加入 ADP 大家庭。

I'm proud of the efforts of our associates. Our results in the quarter continue to reflect the enduring qualities of ADP, including a culture that is relentlessly focused on delivering a great client experience through best-in-class technology and unparalleled service.

我為我們同事們的努力感到自豪。本季業績繼續體現了 ADP 的持久品質，包括始終致力於透過一流的技術和無與倫比的服務為客戶提供卓越體驗的企業文化。

Fiscal 2018 is off to a good start, and we look forward to turning over full attention to advancing our strategy and delivering on our commitments to all stakeholders, clients, shareholders and associates alike. And with that, I'll turn the call over to Jan for a further review of our first quarter.

2018 財年開局良好，我們期待全力推動我們的策略，並履行我們對所有利害關係人、客戶、股東和同事的承諾。接下來，我會把電話交給 Jan，讓他進一步回顧我們第一季的情況。

Thank you very much, Carlos, and good morning, everyone. In my commentary to follow, I will be referencing non-GAAP measures that exclude the impact of certain items in the first fiscal quarter of 2018 as well as a first quarter fiscal 2017 restructuring charge of about $40 million related to our Service Alignment Initiative. A description of these charges and a reconciliation of these non-GAAP measures can be found in this morning's press release and in the supplemental slides on our Investor Relations website.

非常感謝卡洛斯，大家早安。在接下來的評論中，我將引用非GAAP指標，這些指標不包括2018財年第一季某些項目的影響，以及與我們的服務調整計畫相關的2017財年第一季約4000萬美元的重組費用。有關這些費用的說明以及這些非GAAP指標的調整說明，請參閱今天早上的新聞稿以及我們投資者關係網站上的補充幻燈片。

As Carlos mentioned, ADP revenues grew 6% in the quarter to $3.1 billion on a reported and organic basis. On a reported basis, net earnings grew 9% or 8% on a constant dollar basis. Adjusted earnings before interest and taxes or adjusted EBIT, declined 3% on a reported and constant dollar basis. Adjusted EBIT margin decreased about 150 basis points compared to 19.8% in last year's first quarter. This decrease was slightly better than our expectations despite additional pressure from growth in our pass-through revenues and a very difficult first quarter fiscal year 2017 compare when we expanded margins by 230 basis points.

正如卡洛斯所提到的，ADP 本季營收按報告和有機成長計算成長了 6%，達到 31 億美元。以報告數據計算，淨利潤增長了 9%，以固定匯率計算增長了 8%。經調整的息稅前利潤（或調整後的 EBIT）按報告的美元和固定美元計算下降了 3%。調整後 EBIT 利潤率較去年第一季的 19.8% 下降了約 150 個基點。儘管轉嫁營收成長帶來了額外壓力，而且與 2017 財年第一季相比，同期利潤率提高了 230 個基點，但此次下降幅度略好於我們的預期。

As a reminder, this strong first quarter fiscal year 2017 margin performance was driven by incremental ACA-related revenues, together with operating efficiencies and lower selling expenses, which now have lapped. During the quarter, we continued our planned investments into innovation, service and distribution while we worked through the short-term pressure from the anticipated lower revenue growth in the first half of fiscal year 2018. As we manage through the pace of our transformation efforts to upgrade our clients and to transform our service experience, we believe these investments will continue to help us deliver against our long-term financial strategic objectives.

提醒大家，2017 財年第一季強勁的利潤率表現是由與《平價醫療法案》(ACA) 相關的新增收入、營運效率提高和銷售費用降低所推動的，而這些因素現在已經不再起作用。本季度，我們持續按計畫對創新、服務和分銷進行投資，同時努力應對 2018 財年上半年預期營收成長放緩帶來的短期壓力。在我們逐步推動轉型工作，提升客戶體驗並轉變服務模式的過程中，我們相信這些投資將持續幫助我們實現長期財務策略目標。

Adjusted diluted earnings per share grew 6% to $0.91 and 6% on a constant dollar basis and benefited from a lower effective tax rate and fewer shares outstanding compared with a year ago. Our adjusted effective tax rate was positively impacted by unplanned stock compensation tax benefits, which accounted for approximately 90 basis points of the overall decline in our adjusted effective tax rate for the quarter or $0.05 to our adjusted diluted earnings per share.

經調整後的稀釋每股盈餘成長 6% 至 0.91 美元，以固定美元計算成長 6%，這得益於與去年同期相比較低的實際稅率和較少的流通股。計劃外股票補償稅收優惠對我們的調整後實際稅率產生了積極影響，這導致我們本季調整後實際稅率整體下降了約 90 個基點，或使我們調整後的稀釋每股收益減少了 0.05 美元。

As Carlos mentioned, our new business bookings were down 3% and in line with our expectations for the quarter as we begin to re-accelerate our bookings growth and overcome the remaining additional sales of Affordable Care Act-related modules in the first half of fiscal year 2017. Overall, I'm pleased with our results for the quarter (inaudible) off to a positive start and we're making good progress as we execute against our strategic initiatives.

正如卡洛斯所提到的，我們的新業務預訂量下降了 3%，符合我們對本季度的預期，因為我們開始重新加速預訂成長，並克服 2017 財年上半年與《平價醫療法案》相關的模組的剩餘額外銷售。總的來說，我對本季的業績感到滿意（聽不清楚），開局良好，我們在執行策略計畫方面也取得了良好進展。

Now let me take you through our segment results before moving on to our fiscal year 2018 outlook. In our Employer Services segments, revenues grew 2% for the quarter and 3% on an organic basis. Our same-store pays per control metric in the U.S. grew 2.4% in the first quarter. Average client funds balances grew 6% compared to a year ago, 5% on a constant dollar basis. This growth was driven by additions of net new business and increased wage levels compared to the prior first year's quarter.

現在讓我帶大家回顧一下我們各業務部門的業績，然後再展望一下我們 2018 財年的前景。在我們的雇主服務業務板塊，本季營收成長了 2%，有機成長了 3%。美國同店每控制點支付指標在第一季成長了 2.4%。與去年同期相比，客戶平均資金餘額增加了 6%，以固定美元計算增加了 5%。這一增長是由新增業務量和工資水平較上年同期有所提高所推動的。

Outside the U.S., we continue to see solid performance from our international operations with double-digit revenue growth in our multinational businesses. Employer Services margin decreased about 110 basis points in the quarter. This decrease was driven by continued investments into our operations, innovations and distribution. The PEO continues to perform well growing revenues 14% in the quarter with average worksite employees growing nicely by 10% to 484,000 employees. This revenue growth was primarily driven by the growth in average worksite employees and accelerated growth in health care renewal premiums. This accelerated growth in pass-through health care premiums was also the primary driver for the 60 basis points decline in PEO margins this quarter. But its impact is expected to abate as the year progresses. And I'm pleased with the performance of both of our segments in this quarter. And as Carlos mentioned, we are off to a good start. Before I discuss our fiscal year 2018 outlook, I wanted to highlight some additional detail regarding the acquisition of Global Cash Card. The results of operations of this business will be included in the Employer Services segment, and I expect it to contribute just under 1 percentage point of growth to our updated revenue guidance. While we anticipate future synergies, we also anticipate some slight pressure to margins this year, largely driven by integration costs. Accordingly, we have factored these operational impacts into our updated fiscal year 2018 outlook.

在美國以外，我們的國際業務持續保持穩健的業績，跨國業務的收入實現了兩位數的成長。本季雇主服務利潤率下降了約 110 個基點。這一降幅是由於我們對營運、創新和分銷的持續投入所致。PEO 持續保持良好業績，本季營收成長 14%，平均工作場所員工人數也成長了 10%，達到 484,000 人。這項收入成長主要得益於工作場所員工人數的平均成長和醫療保健續保費的加速成長。醫療保險保費的加速成長也是本季 PEO 利潤率下降 60 個基點的主要原因。但隨著時間的推移，其影響預計將會減弱。我對我們兩個業務部門本季的表現都很滿意。正如卡洛斯所說，我們開局不錯。在討論我們 2018 財年的展望之前，我想先重點介紹一下收購 Global Cash Card 的一些細節。這項業務的經營成果將計入雇主服務部門，我預期它將為我們更新後的營收預期貢獻略低於 1 個百分點的成長。儘管我們預計未來將產生協同效應，但我們也預計今年利潤率將面臨一些輕微壓力，這主要是由於整合成本造成的。因此，我們已將這些營運影響納入我們更新後的 2018 財年展望中。

As a reminder, fiscal year 2018 has a mix of factors impacting revenue growth and margin in the first half of the year, including the disposal of our CHSA and COBRA businesses in November of fiscal year 2017, the impacts to revenue and margin from the incremental ACA-related revenues during the first half of fiscal year 2017, which now have been fully lapped; and also the impact to revenue growth in fiscal year 2018 from lower retention and lower-than-anticipated new business bookings in fiscal year 2017. With these items in mind, I will now take a moment to walk through our revised outlook with you. First, as Carlos mentioned earlier, we are reaffirming our full year new business bookings guidance of 5% to 7% growth on the $1.65 billion sold in fiscal year 2017. With the acquisition of Global Cash Card and some adjustments to our anticipated impacts from our foreign currency translation, we have updated our consolidated revenue forecast growth to 6% to 8% compared to our prior forecast of 5% to 6%. And Employer Services revenue growth of 4% to 5% compared to our prior forecast of 2% to 3%. Separately, we are reaffirming our PEO revenue guidance of 11% to 13%.

提醒各位，2018 財年上半年，多種因素影響了收入增長和利潤率，其中包括：2017 財年 11 月出售了 CHSA 和 COBRA 業務；2017 財年上半年與 ACA 相關的新增收入對收入和利潤率的影響（這些收入現已完全抵消）；以及 2017 財年預期收入將低於 18020 年收入年存財年營收成長的影響。考慮到以上幾點，我現在將花一點時間與大家一起探討我們修改後的觀點。首先，正如卡洛斯先前提到的，我們重申全年新業務預訂量預期為在 2017 財年 16.5 億美元的基礎上增長 5% 至 7%。由於收購了 Global Cash Card，並且我們對預期的外幣折算影響進行了一些調整，我們將合併收入成長預測從先前的 5% 至 6% 更新為 6% 至 8%。雇主服務收入成長預計為 4% 至 5%，高於我們先前預測的 2% 至 3%。另外，我們重申 PEO 營收成長預期為 11% 至 13%。

We are also now expecting growth in client fund interest revenue to increase $45 million to $55 million compared with our prior forecasted increase of $40 million to $50 million. The total impact from the client funds extended investment strategy is now expected to be up $35 million to $45 million compared to the prior forecast increase of $30 million to $40 million. The details of this forecast can be found in the supplemental slides on our Investor Relations website.

我們現在預計客戶基金利息收入將增加 4,500 萬美元至 5,500 萬美元，而我們先前預測的成長額為 4,000 萬美元至 5,000 萬美元。客戶資金擴展投資策略的總影響預計將從先前的預測增加 3,000 萬至 4,000 萬美元增加到 3,500 萬至 4,500 萬美元。此預測的詳細內容可在我們投資者關係網站的補充幻燈片中找到。

Our margin forecast remains unchanged. We continue to anticipate our consolidated adjusted EBIT margin to contract 25 to 50 basis points from 19.8% in fiscal year 2017. And at the segment level, we continue to anticipate margin contraction in Employer Services of 50 to 75 basis points, with PEO margins expected to expand 25 to 50 basis points.

我們的利潤率預測保持不變。我們繼續預計，2017 財年合併調整後的 EBIT 利潤率將從 19.8% 下降 25 至 50 個基點。在細分市場層面，我們繼續預期雇主服務利潤率將收縮 50 至 75 個基點，而 PEO 利潤率預計將成長 25 至 50 個基點。

We now expect growth in adjusted diluted earnings per share of 5% to 7% compared to our prior forecast of 2% to 4%, aided by about 1 percentage points from the first quarter stock compensation-related tax benefit. Having fully returned the proceeds of our debt offering to shareholders in fiscal year 2017, this forecast does not contemplate any further share buybacks beyond anticipated dilution related to equity compensation plans. However, it remains our intent to return excess cash to shareholders, subject to market conditions. So with that, I will turn it over to the operator to take your questions.

我們現在預計調整後稀釋每股盈餘將成長 5% 至 7%，高於我們先前預測的 2% 至 4%，這得益於第一季股票薪酬相關稅收優惠帶來的約 1 個百分點的成長。由於我們在 2017 財年已將債務發行所得款項全部返還給股東，因此，除與股權激勵計劃相關的預期稀釋外，本預測不考慮任何進一步的股票回購。但是，我們仍計劃在市場條件允許的情況下，將多餘的現金回饋給股東。那麼，接下來我將把發言權交給接線員，由他來回答大家的問題。

(Operator Instructions) We will take our first question from the line of Tien-tsin Huang with JPMorgan.

（操作員說明）我們將接受摩根大通的黃天進提出的第一個問題。

Just I guess on the retention front. I'm curious where you're seeing the greatest improvement there. Is it more in the midmarket as you convert to strategic cloud platforms? Any color across the organization?

我猜主要是在客戶留存方面。我很想知道你認為哪方面進步最大。隨著策略雲端平台轉型，中階市場是否受到更多影響？組織內有統一的顏色嗎？

I think as I mentioned in my comments, I think this quarter, the improvements were really across all of our ES segments. And as we said in the past many times, retention can be a very volatile metric especially as you get into the upmarket. But we had -- this quarter, we happen to have good news and we're very happy about it. We think that is not just because of volatility but I think because some of the things we've been doing around investments in our service organization we see our NPS scores coming up. And so we're very pleased with that. I would say that to your question about the midmarket, we are not finished yet with the migrations of our clients in the midmarket. We have about 2,000 left. We still think that we'll be close to done, if not done, by the end of the calendar year. We may have a couple of stragglers. But we do expect to be substantially done by the end of the year. And that does put pressure on our retention because as we have (inaudible) times and the same still holds true that there's quite a substantial difference in retention between our strategic platform in midmarket and our legacy platform. So I think -- what you're alluding to, we hope and we expect will happen a couple of quarters from now as we (inaudible) all these migrations in the midmarket behind us. But that would not be one of the reasons why there was improvement in the midmarket as well as in the rest of ES this quarter.

正如我在評論中提到的，我認為本季我們所有ES部門都取得了顯著進步。正如我們過去多次說過的那樣，用戶留存率可能是一個非常不穩定的指標，尤其是在進入高端市場時。但是，本季度我們恰好有好消息，我們對此感到非常高興。我們認為這不僅僅是因為市場波動，而且我認為是因為我們在服務機構的投資方面所做的一些事情，使得我們的 NPS 分數有所提高。因此，我們對此非常滿意。關於您提出的中端市場問題，我想說的是，我們尚未完成中端市場客戶的遷移工作。我們還剩下大約2000個。我們仍然認為，到年底前，即使不能完全完成，也應該接近完成。可能會有幾個落後的人。但我們預計到年底前將基本完成。這確實給我們的客戶留存帶來了壓力，因為正如我們曾經經歷過的（聽不清楚）時期一樣，現在依然如此，我們在中端市場的策略平台和我們的傳統平台在客戶留存方面存在相當大的差異。所以我認為——你所暗示的，我們希望並期待在幾個季度後發生，因為我們（聽不清楚）所有這些中端市場的遷移都已完成。但這並非本季中階市場以及ES其他地區市場出現改善的原因之一。

One additional comment. Don't forget that we had a little bit of an easier [grow] over this quarter. And we lapped the loss of a large client that we talked about last first quarter in the year. So the improvement was, in particular, visible in the enterprise space but partially aided by the lapping of that large client loss (inaudible).

還有一點補充。別忘了，我們本季的成長相對容易一些。我們失去了一位大客戶，而我們在上個季度就討論過這個問題。因此，這種改善在企業領域尤其明顯，但部分原因是因為大量客戶流失（聽不清楚）而有所緩解。

I think the impact of that large loss was around 100 basis points last year. So the right way to look at this is it's about a 60 basis point improvement in retention for the quarter.

我認為去年那筆巨額虧損的影響約為 100 個基點。所以，正確的理解方式是，本季客戶留存率提高了約 60 個基點。

Right. You get that back but still a little bit better. Okay, good, good, good. Just my quick follow up just on PEO. The WSE unit growth, up 10%. I think that's a little bit below trend. Anything to read into there in PEO?

正確的。你恢復了原狀，但情況還會好一些。好的，很好，很好，很好。我只是想簡單跟進一下關於PEO的事情。WSE單位成長10%。我認為這略低於趨勢水平。PEO方面有什麼值得注意的地方嗎？

Other than that it's getting really big. We're still pretty happy with 10% unit growth. And I don't think anything further to report there but that's becoming a very large -- we're close to 0.5 million worksite employees, that's one of the largest employers in the U.S. if you look at it as -- which we do as an employer even though there are subclients obviously there's more than 10,000 clients in the PEO. But it's a very large the way we treat it for -- the way we have our retirement program and the way we have our workers' compensation and benefits, et cetera. We are a co-employer and consider ourselves a co-employer for the purposes of some of the responsibilities around employment. And so technically, I think we're probably in the top 5 now in terms of size of employers in the U.S. So it's just becoming a very large base. But we feel pretty happy and pretty satisfied with that kind of growth rate.

除此之外，它真的越來越大了。我們對10%的銷售成長仍然相當滿意。我覺得沒什麼可進一步匯報的了，但這正變得越來越龐大——我們擁有近 50 萬名工作場所員工，如果你把它看作是美國最大的雇主之一——即使我們有子客戶，我們作為雇主也確實如此認為，PEO 中有超過 10,000 個客戶。但這關乎我們對待它的方式——我們對待退休計畫的方式，以及我們對待工傷賠償和福利的方式等等。我們是共同雇主，在履行與僱用相關的某些責任時，我們認為自己是共同雇主。因此，從技術層面來說，我認為我們現在在美國雇主規模方面可能已經躋身前五名。所以它正在成為一個非常龐大的群體。但我們對這樣的成長率感到非常高興和滿意。

The development is right in line with our expectations, and as you saw we are reaffirming our revenue guidance. So it's going good.

這項發展完全符合我們的預期，正如您所看到的，我們重申了我們的營收預期。一切進展順利。

Our next question will come from the line of Jason Kupferberg with Bank of America Merrill Lynch.

下一個問題將來自美國銀行美林證券的傑森庫柏伯格。

I just wanted to follow up on the comments around the migrations. I think you said 83% of clients have now been migrated to the next-gen platforms. Can you tell us in terms of percentage of revenue where we stand on that? And then any comments around a reasonable new bookings growth range for Q2.

我只是想就遷移相關的評論做一些後續說明。我想你說過，現在已有 83% 的客戶遷移到了下一代平台。能否以營收百分比的形式告訴我們，我們在這方面的進展如何？然後，請就第二季合理的新預訂成長範圍發表任何評論。

So just to make sure we get our language clear here because we have introduced some new terminology, so when we refer to next-gen platforms. So we have our strategic platforms, which are Workforce Now, RUN, Vantage and our GlobalView multinationals platform. We did start talking and we mentioned it in our introductory comments that we talked to industry analysts in mid-September about our next-generation platforms which we have only a handful of clients on today. So I just want to make sure I clarified kind of the language there. As we go forward, we'll be more careful about making sure that we pick the right language. So and I'm sorry, the rest of the -- what was the rest of the question?

為了確保我們在這裡使用清晰的語言，因為我們引入了一些新的術語，所以當我們提到下一代平台時。我們有自己的策略平台，包括 Workforce Now、RUN、Vantage 和我們的 GlobalView 跨國公司平台。我們確實開始討論，並在開場白中提到，我們在 9 月中旬與產業分析師討論了我們的下一代平台，而目前我們只有少數客戶在使用這些平台。所以我想確認一下我是否已經把那裡的措辭解釋清楚了。今後，我們會更謹慎地選擇合適的語言。所以，很抱歉，剩下的──剩下的問題是什麼來著？

Just the percentage of revenue then I guess that has migrated to the strategic platforms because I think you said 83% of clients but percentage of revenue.

那麼，我猜想，這只是收入百分比，它已經轉移到了戰略平台，因為我記得你說過 83% 的客戶，但指的是收入百分比。

So since we still have a lot of work to do in the upmarket where we've really only begun the migrations, I think that's consistent with what we've said before, in our publicly released information around the proxy contest, I think we included there about 51% of our revenues being on our strategic platforms that I just mentioned the names of. It's very important to note that when we talk about our strategic platforms, we have a number of areas of our business where there's really no immediate plan to migrate or move clients. So for example, our insurance services, our retirement services. We have some international platforms that we're happy with that we're not planning any movement there. So we'll probably in the future, be able to provide some more color around the "addressable" market. In other words, what part of our client base is really up for migration, if you will, but the right answer -- the straight answer is 51%. But we're not aiming to get to 100%. I guess is the...

由於我們在高端市場還有很多工作要做，我們才剛開始遷移，我認為這與我們之前在公開發布的有關代理權爭奪的信息中所說的一致，我認為我們在那裡提到，我們約 51% 的收入來自我剛才提到的戰略平台。需要特別注意的是，當我們談到我們的策略平台時，我們業務的某些領域目前還沒有立即遷移或轉移客戶的計劃。例如，我們的保險服務、我們的退休服務。我們有一些國際平台，我們對這些平台的表現感到滿意，目前沒有在這些平台上進行任何變動的計畫。所以未來我們或許能夠對「目標市場」進行更詳細的闡述。換句話說，我們的客戶群中究竟有多少人真正願意遷移？但正確的答案——直截了當地說的答案是 51%。但我們的目標並不是達到 100%。我想應該是…

And then Jason, if I pick up your question regarding the second quarter, it we're reaffirming just our full year guidance for 5% to 7%, and we don't give quarterly guidance, really, for our new business bookings or any other number. And before Carlos, the 51% of the revenues refers to ES revenues. That's our metric that we offer.

傑森，如果我繼續問你關於第二季度的問題，我們重申全年成長預期為 5% 至 7%，我們不會給出季度業績預期，無論是新業務預訂量還是其他任何數字。在 Carlos 之前，51% 的收入指的是 ES 的收入。這就是我們提供的衡量標準。

Okay. And it's good to hear about some of the innovation investments that you're doing. Any detail we can get on latest trends with respect to your overall R&D spending, the budgets there in terms of kind of the maintenance R&D piece for some of the legacy platforms and how much of the R&D budget is being directed to new product development and any shifts in those ratios?

好的。很高興聽到你們正在進行的一些創新投資。我們能否了解貴公司整體研發支出的最新趨勢，包括一些傳統平台維護研發方面的預算，以及有多少研發預算用於新產品開發，以及這些比例是否有任何變化？

Sure. We disclose a lot of information again as we've been trying to communicate with shareholders about some of the things that we've been doing over the last 5 or 6 years. We've disclosed, I think, some additional information about that. And I think starting off with the fact that we've increased our innovation spend from around $150 million to around $450 million, I think or somewhere thereabouts, in that neighborhood. So it's a significant amount of increase in our R&D investment, a large part of that was in the next-generation platforms that we just announced recently that we've been working on here in some cases for 3 to 4 years. But we've also made big investments in things like our data cloud and things like our mobile solutions and some of the other products and innovations that we actually already have out in the market and are helping us, I think, with our efforts in terms of helping our clients and also helping drive new business bookings and retention and so forth. So that's a sense of what's happened with the innovation spend. On the maintenance spend, for the sake of, I guess, government work it's about flat. So it increased slightly. But again, in the world of some inflation, the fact that we've held that constant, we see that as a good news story. It was a conscious effort to really shift the mix, if you will, the balance of our spending to more innovation and less maintenance. A lot of our maintenance spend is focused on platforms that serve tens of millions of employees that get paid, both on our tax engine and our payroll engine. And so as we develop these next generation technologies, when we retire those legacy platforms, which is a ways down the road, then obviously, there would be -- we would expect actual decreases in maintenance spend. But for the last several years, this has really been a story of increasing the spend and making sure that, that spend is focused on innovation while we build out the necessary platforms to move clients to and then reduce the spending on those legacy platforms. We have retired I think it's around 13 legacy platforms. So it's the first time in a long time at ADP that we have actually retired things. So it's not like we haven't made any progress but those were relatively small dollar items in terms of the overall maintenance spend. The really big chunks of spend are on some of our large scaled legacy platforms that serve us by the way, very well and are very efficient, very secure and very reliable. And we have no plans to get off of them in the next 3 to 6 months or any kind of time frame like that. So this is a -- as we always say, this is an evolutionary process, not an overnight change.

當然。我們再次透露大量訊息，因為我們一直在努力與股東溝通，說明我們在過去 5 到 6 年裡所做的一些事情。我認為，我們已經披露了一些關於這方面的補充資訊。我認為首先要提到的是，我們已經將創新支出從大約 1.5 億美元增加到大約 4.5 億美元，或者差不多在這個範圍內。因此，我們的研發投入大幅增加，其中很大一部分投入到我們最近剛宣布的下一代平台中，在某些情況下，我們已經在這裡研究了 3 到 4 年。但我們也對數據雲、行動解決方案以及其他一些產品和創新進行了大量投資，這些產品和創新實際上已經推出市場，我認為它們正在幫助我們更好地服務客戶，並推動新業務預訂和客戶留存等等。以上就是創新支出方面所發生的情況。就維護費用而言，我想，考慮到政府工作的性質，基本上保持不變。所以它略有增長。但是，在通貨膨脹的世界裡，我們能夠保持通貨膨脹率不變，我們認為這是一個好消息。這是有意識地努力改變支出結構，將支出重心從維護轉向創新。我們的維護支出很大一部分都集中在為數千萬員工提供服務的平台上，這些員工透過我們的稅務引擎和薪資引擎領取薪資。因此，隨著我們開發這些下一代技術，當我們淘汰那些遺留平台時（這還需要一段時間），顯然，我們預計維護支出將實際減少。但近幾年來，這實際上是一個不斷增加支出，並確保這些支出集中用於創新，同時建立必要的平台將客戶遷移到這些平台，然後減少在這些傳統平台上的支出的故事。我們已經淘汰了大約 13 個舊平台。所以這是ADP多年來第一次真正意義上淘汰某些產品。所以並不是說我們沒有任何進展，但就整體維護支出而言，這些只是相對較小的金額項目。真正的大筆支出都花在了我們的一些大型傳統平台上，順便說一句，這些平台為我們提供了非常好的服務，非常有效率、非常安全、非常可靠。未來 3 到 6 個月內，或任何類似的時間範圍內，我們都沒有停止使用這些產品的計畫。所以，正如我們常說的，這是一個漸進的過程，而不是一夕之間的改變。

Our next question will come from the line of Mark Marcon with Robert W. Baird.

我們的下一個問題將來自 Mark Marcon 和 Robert W. Baird 的討論。

Two questions. One, any sort of impact at all with regards to all the hurricanes in terms of sales cadence, implementations? Anything along those lines. That's the first question. Second question is basically on the PEO and pass-through growth rate. When we think about long-term, would you expect this pass-through growth rate to be kind of in this 14% range if we have underlying say PEO growth in the 10%, or how should we think about that from a longer-term perspective? And then lastly, can you just comment with regards to all the distractions that have been going on over the last few months in terms of how it's impacting the folks out in the field and operations.

兩個問題。第一，就銷售節奏和實施而言，所有颶風是否產生了任何影響？類似的事情。這是第一個問題。第二個問題主要涉及 PEO 和轉嫁成長率。從長遠來看，如果 PEO 的基礎成長率在 10% 左右，您是否預期這種轉嫁成長率會在 14% 左右？或者我們應該從更長遠的角度來看這個問題？最後，您能否就過去幾個月來發生的各種幹擾事件，以及這些事件對第一線人員和營運造成的影響發表一下看法？

So I'm going to let Jan maybe go through a few of the numbers here. But just quickly on the hurricanes and Jan will give you a sense of impact. Clearly, it had an impact on the business. But I just want to take a moment to also point out that these were massive storms, especially in Houston and in Puerto Rico. We have a decent sized business in Puerto Rico. We obviously have a very large presence in Texas and in Houston specifically. And what our associates and our infrastructure people did to be able to continue our business not necessarily as usual, but to make sure the business went forward and that we served our clients was nothing short of heroic, including flying airplanes from Tampa when no other planes were flying into Puerto Rico to deliver supplies to our associates. But also to deliver payrolls to the businesses that were actually still functioning and still wanting to pay their people so that they would be able to actually have money in what obviously was an incredible crisis. So the fact that you're asking the question, I think shows the strength of ADP that we continued to perform and to deliver business as usual in the face of what was obviously a very, very challenging situation. I think Jan maybe has a little bit of color on the numbers.

所以我打算讓 Jan 來介紹這裡的一些數字。但簡單了解颶風和一月，就能讓你感受到颶風的影響。顯然，這給公司帶來了影響。但我還想藉此機會指出，這些都是規模巨大的風暴，尤其是在休士頓和波多黎各。我們在波多黎各擁有規模可觀的業務。我們在德州，尤其是在休士頓，顯然擁有非常大的業務規模。我們的員工和基礎設施人員為了能夠繼續開展業務（雖然不一定像往常一樣），但為了確保業務繼續進行並為客戶提供服務，所做的工作堪稱英勇，其中包括在沒有其他飛機飛往波多黎各的情況下，從坦帕駕駛飛機向我們的員工運送物資。但同時也要向那些仍在運作且仍想支付員工工資的企業發放工資，以便他們能夠在這場顯然是巨大的危機中真正擁有資金。所以，你提出這個問題，我認為這表明了 ADP 的實力，即在如此嚴峻的形勢下，我們依然能夠正常開展業務並取得進展。我覺得 Jan 可能對這些數字加了點顏色。

Yes. We experienced some impact on our new business bookings in the quarter and October could have some bleed over but as you can see from our reaffirming of our full year guidance on new business bookings we plan -- actually we had strong performance that overcame that in the quarter, because we performed according to expectations. But there is an impact on -- for our sales force and there could be an impact on our revenues and losses to be quite honest as Puerto Rico is recovering. It will not be material or meaningful to our overall full year performance. But we're sorting that out. So the business and our clients in Puerto Rico are recovering, and we're working with those clients. But not all of them are back online yet. But a large number has and there could be some second quarter impact. But it's not really that material that it should impact your calculations. In the long run, I think, we expect this to be just back to business. There's a little bit of a positive recovery impact that we sometimes experience in the longer sense of a year to 18 months out. But I would assume where we're just going to work ourselves through it throughout the year. Relative to your pass-through revenues, the 14% is a little bit on the high side. It has a variety of reasons. If you recall in the first half of last year, we experienced this meaningful margin expansion in the PEO and overall for ADP, and it was part as we illustrated then, by a lower than typical pass-through revenue growth. And so the factors that impact our pass-through revenue growth are a multitude of things that have all played in the last couple of years. The first thing is the participation rate in our PEO and throughout the introduction of the ACA in the last few years, we have seen an increase in employee participation in our PEO. That now has [stabilized].

是的。本季我們的新業務預訂量受到了一定影響，10 月份可能會有一些延續，但正如您從我們重申全年新業務預訂量預期中看到的那樣，我們計劃——實際上，我們在本季度表現出色，克服了這些影響，因為我們的表現符合預期。但坦白說，這對我們的銷售團隊、收入和虧損都會產生影響，因為波多黎各正在復甦。這不會對我們全年的整體業績產生實質或意義影響。但我們正在解決這個問題。因此，我們在波多黎各的業務和客戶正在復蘇，我們正在與這些客戶合作。但並非所有網站都已恢復上線。但大量車輛已經停運，可能會對第二季造成一定影響。但這並非什麼重要因素，不會影響你的計算。從長遠來看，我認為，我們預計一切都會恢復正常。從較長的意義上講，我們有時會感受到一年到一年半的時間裡，這種積極的恢復影響。但我認為我們會在這一年中逐步解決這個問題。相對於你的轉嫁收入而言，14% 的比例有點高。原因有很多。如果你還記得去年上半年的情況，我們在 PEO 和 ADP 整體上都經歷了顯著的利潤率擴張，正如我們當時所展示的，部分原因是轉嫁收入成長低於正常水平。因此，影響我們轉嫁收入成長的因素有很多，這些因素在過去幾年中都發揮了作用。首先是我們 PEO 的參與率，在過去幾年 ACA 的推行過程中，我們看到員工參與 PEO 的人數增加。目前情況已經穩定下來了。

In health benefits because -- and that participation rate has now stabilized. So we have seen now year-over-year relative stable employee participation rate. What then comes [it] , is the overall renewal rate, which we are now experiencing is health care inflation as you had described. And that's obviously dependent on the overall market development of medical health inflation. And the last component is the actual employee choice of plans of where we have seen a general trend to higher deductible consumer health-oriented plans. But there's a little bit of an anomaly in this quarter actually, employees opted out of the most skinny solution and diverted a little bit to higher quality medical plans in our client base, which was a little unusual. So the overall pass-through growth of 14% is relative to the 10% worksite employee growth, is a little bit on the high side I would say. In our long-term plans, we anticipate and we published this in our investor deck pass-through growth of approximately 12% to 14%, Mark.

在醫療福利方面，因為——而且參與率現在已經穩定下來了。因此，我們現在看到的是員工參與率較去年同期相對穩定。接下來就是整體續約率，正如你所描述的，我們現在正在經歷的是醫療通膨。這顯然取決於醫療保健通膨的整體市場發展。最後一個組成部分是員工對計劃的實際選擇，我們看到的總體趨勢是選擇自付額較高的消費者健康導向計劃。但實際上，本季出現了一些異常情況，員工們放棄了最精簡的方案，轉而選擇了我們客戶群中更高品質的醫療計劃，這有點不尋常。因此，14% 的整體傳遞成長率相對於 10% 的工作場所員工成長率而言，我認為有點偏高。馬克，在我們的長期計劃中，我們預計（並且我們在投資者簡報中也公佈了）利潤傳遞成長率約為 12% 至 14%。

And just to point out, there have been times in our history in the PEO where it's been even higher than this. So as Jan said, it really depends on the general health care inflation environment. It's clearly not sustainable from a -- it's not just about our PEO or our own company. But this is why there was health care reform to begin with, that you can't have this kind of health care inflation for a long period of time because it just doesn't work from an economy standpoint. It becomes the entire GDP eventually. So it's safe to say that this is a number that has to, by definition, maybe not over a quarter or 2 or over 1 year, but that number has to, at some point, converge or regress back to the mean. But we have had times where we have had even bigger differential between worksite employees growth and our pass-through revenue growth. And this is probably from a 3- or 4-year standpoint this is probably the highest it's been. And it's probably in line with what you're hearing out in the world, right? Which is health care inflation is picking up a little bit.

需要指出的是，在 PEO 的歷史上，也曾經出現過比這更高的情況。正如 Jan 所說，這真的取決於整體醫療通膨環境。這顯然是不可持續的——這不僅僅關乎我們的 PEO 或我們自己的公司。但這正是當初進行醫療改革的原因，你不能長期容忍這種醫療通膨，因為從經濟角度來看，這是行不通的。最終它會成為整個GDP的一部分。因此可以肯定地說，根據定義，這個數字必然會（也許不會在一個季度、兩個季度或一年內）收斂或回歸到平均值。但我們也曾遇到這樣的情況：工作場所員工成長與我們的轉嫁收入成長之間出現更大的差距。從三、四年來的角度來看，這可能是最高的水準了。這大概也跟你從外界聽到的說法一致，對吧？也就是說，醫療保健通膨正在略有上升。

I was just trying to get towards the longer-term and with a not so subtle reference to some of the discussion around okay, well, how much pass through -- when we think about the net operating profit margin growth that we're going to end up having, how much of an impact is the pass-throughs going to be and what's the right growth rate to factor in?

我只是想著眼於長遠，並且不經意地提及一些關於「好吧，有多少成本會傳遞出去」的討論——當我們考慮最終的淨營業利潤率增長時，成本傳遞會產生多大的影響，以及應該考慮的正確增長率是多少？

Yes. We'll try to help with that. But again, what we encourage people to do is to look at Employer Services' margins and profit growth and the PEO's margins and profit growth. Because what we're focused on is growing EPS and creating value for our shareholders. We're not fixated on a specific margin number even though we realize that the margin number is important to the overall economic model, and to actually building a model that works.

是的。我們會盡力幫忙。但我們再次鼓勵大家關注雇主服務部門的利潤率和利潤成長情況，以及專業雇主組織 (PEO) 的利潤率和利潤成長。因為我們關注的是提高每股收益，為股東創造價值。我們並沒有執著於某個具體的利潤率數字，儘管我們意識到利潤率數字對於整體經濟模型以及建立一個真正有效的模型都很重要。

At the end of the day, it's return on invested capital, right?

歸根究底，就是投資報酬率，對吧？

Right. Exactly, I mean, those are -- that's ultimately the -- growth in Employer Services and profitability in Employer Services and growth in PEO and profitability are ultimately what drive returns on invested capital and that's really the right way to focus on the business, not -- as you know, our PEO business is our most profitable, most successful best business. So for us to get overly concerned about mix and what impact that has on the overall margin, I realize that's something that we have to address and we have to talk about and help people with their models. But it's really not the right way to focus on the business. One last thing because you did mention about the distraction on the -- I just want to answer that question because others may have the same question. I think the way I have been (inaudible) a lot of investors asking the same thing is there is a lot of concern about the distraction of the proxy contest. I would say that it's an extremely high distraction for an extremely small group of people. As you can see, from the results this quarter, it did not distract our associates or our sales force.

正確的。沒錯，我的意思是，歸根結底，雇主服務的成長和獲利能力，以及 PEO 的成長和獲利能力，最終才是推動投資回報的根本因素，這才是真正關注業務的正確方式，而不是——正如你所知，我們的 PEO 業務是我們最賺錢、最成功、最好的業務。因此，如果我們過於關注產品組合及其對整體利潤率的影響，我意識到這是我們必須解決的問題，我們必須討論這個問題，並幫助人們完善他們的模型。但這並非經營業務的正確方法。最後還有一件事，因為你提到了乾擾因素——我只是想回答這個問題，因為其他人可能也有同樣的疑問。我認為我一直（聽不清楚）很多投資人都在問同樣的問題，那就是大家非常擔心代理權爭奪會分散注意力。我認為，對於極少數人來說，這會造成極大的干擾。從本季的業績可以看出，這並沒有分散我們員工或銷售團隊的注意力。

Our next question will come from the line of Rick Eskelsen with Wells Fargo.

下一個問題將來自富國銀行的里克·埃斯克爾森。

I just wanted to follow up quickly on Tien-tsin's earlier question on the PEO. Just the question -- you did see the PEO, the ending client worksite employees down slightly sequentially. That's out of the ordinary for that business. I'm just curious if there's anything sort of onetime going on. Did anything get pulled forward last quarter? Just maybe a little bit more color on the PEO would be helpful.

我只是想快速跟進一下田進之前關於 PEO 的問題。問一個問題－你確實看到了 PEO，客戶工作場所的員工人數逐年略有下降。對於這家公司來說，這很不尋常。我只是好奇有沒有一次性的活動。上個季度有什麼項目提前進行嗎？或許在PEO部分加入一些更詳細的說明會更有幫助。

Yes, I think I wouldn't over interpret this, this happens once in a while a little bit and we do have a little bit of fluctuations of how our sales come in and how the last quarter ended and they're like kind of different growth dynamics. So I noticed it myself but there's nothing out of the ordinary here in the PEO that I could report.

是的，我認為不應該過度解讀，這種情況偶爾會發生，我們的銷售額和上一季的最終結果確實會有一些波動，它們就像是不同的成長動態。我自己也注意到了，但是 PEO 這裡沒有什麼異常情況可以報告。

That's helpful. Just a quick follow-up. You talked a little bit about the pay equity tool and the data cloud. Just wondering if you could talk more on what you guys are doing on big data. I know that's sort of a long-term thing that I believe Jan has been helping to lead. So just any more details on the big data and analytics progress would be helpful.

那很有幫助。再補充一點。您剛才簡單談到了薪酬公平工具和資料雲。我想問您能否詳細介紹一下你們在大數據領域所做的工作。我知道這是一項長期計劃，我相信 Jan 一直在幫助領導這項工作。所以，如果能提供更多關於大數據和分析進展的細節就太好了。

Yes. As many of you know, we believe that it's going to be one of our long-term strategic differentiators or is already today actually. We're selling a core product of data analytics and benchmarks to our core client base and to new clients, which is called DataCloud, that delivers now more than 30 benchmarks. And really sophisticated analytical reporting and on top of that, viewed as a platform we have released numerous incremental value-add solutions and you see in our emerging strategy. So the first tool that we have been working on is a tool that allows our employers to manage the risk of employee retention and employee loss and can predict the likelihood of employees leaving the company and allow companies to way better manage performance and over outcomes, we now released incremental tools on the Pay Equity Explorer, which is a compliance tool that helps you to identify potential misalignment in your compensation relative to diversity measures. And the richness of the tool is kind of the exciting part because it will go in a variety of areas towards verticals, towards specific problems to be addressed. And you're going to see a continued (inaudible) coming out and all being fully integrated into our cloud-based platform, which is the benefit that we are now reaping from having one data cloud tool that services all these strategic platforms and then the relative ease of integration of these insights and data analytics into the actual platform. So it's going to be a very important tool and this innovation and Explorer, the specific ones that Carlos mentioned are really driving the differentiation, leading and client discussions helping us to increase our win rates. So it's truly exciting and there's also revenue carrying. There has been a question around do we would charge for this tool and we do charge for DataCloud. It's a recurring revenue model that clients buy.

是的。正如你們許多人所知，我們相信這將是我們長期的策略差異化因素之一，或者實際上現在已經成為了。我們正在向核心客戶群和新客戶銷售一款名為 DataCloud 的核心資料分析和基準測試產品，目前提供 30 多個基準測試。而且，我們還提供了非常複雜的分析報告，此外，作為一個平台，我們已經發布了許多增量增值解決方案，您可以在我們的新興策略中看到這一點。因此，我們一直在開發的第一個工具是能夠幫助雇主管理員工留任和流失風險的工具，它可以預測員工離職的可能性，並幫助公司更好地管理績效和整體結果。現在，我們發布了薪資公平探索器（Pay Equity Explorer）的增量工具，這是一個合規工具，可以幫助您識別薪資與多元化措施之間可能存在的不匹配之處。該工具的豐富性才是最令人興奮的地方，因為它將應用於各個領域，包括垂直行業，以及需要解決的具體問題。您將會看到（聽不清楚）持續推出，並且全部完全整合到我們的雲端平台中，這就是我們現在從擁有一個服務於所有這些策略平台的資料雲工具中獲得的益處，以及將這些見解和資料分析相對容易地整合到實際平台中。因此，這將是一個非常重要的工具，而這項創新和 Explorer，特別是 Carlos 提到的那些具體功能，正在真正推動差異化，引領客戶討論，幫助我們提高成交率。所以這真的很令人興奮，而且還能帶來收益。有人問我們是否會對這個工具收費，答案是 DataCloud 是收費的。這是一種客戶定期購買的收入模式。

(Operator Instructions) Our next question will come from the line of James Berkley with Barclays.

（操作員說明）我們的下一個問題將來自巴克萊銀行的詹姆斯·伯克利。

Looks like your top line guidance ticked up about 200 basis points at the high end of the range versus an incremental 100 expected improvement stemming from global cash and FX combined. Is this just a function of rounding or trends surpassing your prior expectations?

看來，你們的營收預期在區間高端上調了約 200 個基點，而此前預期全球現金和外匯綜合增長將帶來 100 個基點的增量改善。這只是四捨五入的結果，還是趨勢超越了您先前的預期？

I think it's probably -- it's both. I think we had -- we obviously feel better about what's going on with retention and I think the trends in the business. We got a little bit of help even from float income, as you mentioned, because that actually flows into our top line as well as into our bottom line. But I think you're correct that it just happens to be the way the numbers fall out as well. So I think it's both things.

我認為很可能是——兩者都是。我認為我們—我們顯然對客戶留存率和業務趨勢都感覺更好了。正如您所提到的，我們甚至從浮動收入中也得到了一些幫助，因為這實際上也計入了我們的營業額和利潤。但我認為你的說法是對的，這恰好也是數字的排列方式。所以我覺得兩者都是。

It's Global Cash Card FX and then a tiny bit of pass-through is in our increased guidance also. So that may be the third factor if you're looking for the factors.

這是全球現金卡外匯，此外，我們增加的指導方針中也包含少量轉嫁。所以，如果你在尋找影響因素的話，這可能是第三個因素。

All right. And I just want a quick follow-up. You guys obviously did your downmarket replatforming, double margins over a 6-year period. The midmarket is almost wrapped up here. Could you just talk about your expectations for margin expansion over like, say, another 6-year period for the midmarket and then your thoughts on the upmarket longer term as well?

好的。我只想快速跟進一下。你們顯然進行了低端市場轉型，在6年內實現了利潤翻倍。中端市場部分基本結束了。您能否談談您對未來六年左右中端市場利潤率擴張的預期，以及您對高端市場長期發展的看法？

Sure. I think that one of the things we've been, as we've been kind of going out talking to folks, making sure that this is an opportunity now to make sure everyone understands that the starting point for margins in terms of the amount of room there is for improvement was larger in the small business market than it is in the midmarket. So we have a successful good business in the midmarket, including healthy margins. We do think that, based on what we see around retention potential -- because the real -- one of the really important improvements in the small business division was the rise in retention, which has a fairly big impact in that business on margins because the amount of business you have to sell, which brings with it sales cost and implementation cost, is less to achieve the same growth objective, if you will. And so that was an important part of that picture, if you will, in small business, the improvement in retention.

當然。我認為，我們一直在做的一件事，就是透過與人們交談，確保現在是一個機會，讓每個人都明白，就改進空間而言，小企業市場的利潤起點比中型市場要大。因此，我們在中端市場擁有成功的良好業務，包括健康的利潤率。我們認為，根據我們對客戶留存潛力的觀察——因為小型企業部門真正重要的改進之一是客戶留存率的提高，這對該業務的利潤率產生了相當大的影響，因為要實現相同的成長目標，你需要銷售的業務量（以及隨之而來的銷售成本和實施成本）會減少。因此，在小型企業中，提高員工留存率是這幅圖景的重要組成部分。

I'm hopeful, based on what we're seeing so far, that we're going to experience good improvements in retention in our midmarket as well once we have -- once we're through all the migrations and we have all of our clients on one platform. Better retention should have the same impact that it had on SBS in the sense that you have to less -- sell that much less business in order to achieve the same growth rate, or you can grow faster. Like it's either -- you get the best of both worlds, because you can choose which way, depending on market conditions, you want to move. But the absolute starting point is important, as it is always in any situation.

根據我們目前所看到的，我樂觀地認為，一旦我們完成所有遷移，並將所有客戶都轉移到一個平台上，我們在中端市場的留存率也將得到很好的提高。更好的客戶留存率應該會對 SBS 產生與 SBS 相同的影響，也就是說，為了達到相同的成長率，你只需要銷售更少的業務，或者你可以成長得更快。就像兩者兼得——你可以兩全其美，因為你可以根據市場情況選擇你想走的路。但絕對的出發點非常重要，這在任何情況下都是如此。

And again, we don't give specifics of subsegment data, if you will. Neither do any of our competitors, I would just point out. But the fact is the margins are higher. They always -- they were higher to begin with in midmarket. And the replatforming is really about strengthening our competitive position, driving faster growth, and hopefully some modest improvement in margins as well, because we do expect to get higher retention rates in the mid- to long term as we get all of our clients onto one platform.

再次強調，我們不會提供細分市場的具體數據。我想指出的是，我們的競爭對手也沒有這麼做。但事實是利潤率更高。它們一直都是——它們在中階市場的價格本來就比較高。而此次平台重組的真正目的在於增強我們的競爭地位，推動更快成長，並有望在利潤率方面取得一些小幅提升，因為我們預計，隨著所有客戶都轉移到一個平台上，中長期客戶留存率將會提高。

Our next question will come from the line of Jim Schneider with Goldman Sachs.

我們的下一個問題將來自高盛的吉姆·施耐德。

I just maybe wanted to ask a follow-up question on the margin side of things. Can you maybe just give us an update short term in terms of your investment programs on service alignment and any other new products and how that's kind of contributing to the margin degradation in the next couple of quarters? And then as we exit the year and head into 2019, is it reasonable to expect that you would, as you kind of get to the compounded 50 to 75 bps of long-term margin expansion you've guided to, whether we see kind of above normalized margin expansion in the back half of this year and heading into 2019?

我只是想就利潤率方面再問一個後續問題。能否請您簡要介紹一下貴公司在服務調整和其他新產品方面的投資計劃，以及這些計劃將如何導致未來幾季的利潤率下降？然後，隨著我們告別今年，邁入 2019 年，您之前預測的長期利潤率將增長 50 至 75 個基點，那麼我們是否可以合理地預期，在今年下半年以及進入 2019 年之際，利潤率將出現高於正常水平的增長？

Yes, Jim. This year we have about a similar amount of dual operations cost. I think it's about 20 to 25 basis points of margin pressure for the company in this fiscal year. And as we then complete our service alignment initiative, I think Carlos mentioned we're making good progress on it, we exited 9 locations already in this fiscal year and we are really on track and on time. We'll see that those new associates are going to be settling in and dual ops is going to disappear. And then next year, fiscal year '19 and '20, we did actually provide investors with an idea about the margin expansion that we I think characterized to be around 100 basis points at the enterprise level in our presentations. And there's nothing changed in our view that that's what we would be doing at this point in time.

是的，吉姆。今年我們的雙重營運成本也大致相同。我認為該公司本財年的利潤率將面臨 20 至 25 個基點的壓力。隨著我們完成服務調整計劃，我想卡洛斯也提到過，我們在這方面取得了良好進展，本財年我們已經關閉了 9 個地點，我們真的在按計劃進行。我們會看到這些新同事逐漸適應工作，雙薪模式將會消失。然後，在接下來的 2019 和 2020 財年，我們確實向投資者介紹了利潤率擴張的情況，我認為我們在演示中將其描述為企業層面的利潤率擴張約為 100 個基點。我們目前仍然堅持這樣做，這一點沒有任何改變。

So that would -- the dual ops would be dissipating. And then I think also elsewhere in that presentation we allude to the fact that we see then the benefit of the workflow efficiency, wage advantages and so forth that our strategic locations offer, and contributing incremental to it the productivity improvements and cost efficiencies. So I think what we're presenting is kind of the current plan.

這樣一來，雙重行動就會逐漸消失。而且我認為，在演講的其他部分，我們也提到了這樣一個事實：我們看到了戰略位置帶來的工作流程效率、工資優勢等等好處，並在此基礎上增加了生產力提高和成本效益。所以我認為我們提出的就是目前的計劃。

And I think I also want to point out again, I want to say it one more time, that clearly some of the pressure we're experiencing is from investments, because we have been investing in our sales force, for example. But it's just important to note that some of what's happening in terms of these numbers is still these mathematical grow-overs and comparisons. Because last year, in the first half of the fiscal year, so the last 2 quarters of the calendar year, we had almost 20% operating income growth. And then in the last 2 quarters of the fiscal year, first 2 quarters of the calendar year, because of the ACA grow-over and the comparisons of having lapped the revenues, the revenue comparison, we ended up having the numbers going the opposite direction. And the 2 quarters that we're in right now, the quarter that we're just reporting plus the next quarter, are really mirror images of the first 2 quarters of the calendar year. And then, as we've said multiple times in our guidance, our second half of this fiscal year gets back, from a margin standpoint, from a growth standpoint, from a bookings standpoint to a more reasonable normalized place, if you will.

我想再次指出，我想再說一遍，很明顯，我們所面臨的一些壓力來自投資，例如，我們一直在投資我們的銷售團隊。但要注意的是，這些數字中所包含的一些內容仍然是數學上的成長和比較。因為去年，在財政年度上半年，也就是日曆年的最後兩個季度，我們的營業收入成長了近 20%。然後在財政年度的最後兩個季度，也就是日曆年的前兩個季度，由於 ACA 的成長以及收入的比較，最終導致數字朝著相反的方向發展。我們現在所處的這兩個季度，也就是我們正在報告的這個季度加上下一個季度，實際上與日曆年的前兩個季度完全相反。然後，正如我們在業績指引中多次提到的那樣，從利潤率、成長和預訂量來看，本財年下半年將會恢復到一個更合理的正常水平。

So unfortunately the way, and you guys know this better than anyone else, whenever you -- whether it's an acquisition or ACA or some other factor, you have to really look beyond that to understand what's really happening beneath the covers. And so we had 12 months of easy comparisons and then we had 12 months of hard comparisons. And we have I guess right now a couple more months before we get through those difficult compares.

所以很不幸，你們比任何人都清楚這一點，無論何時——無論是收購、ACA 還是其他因素——你們都必須真正深入了解背後的真相。因此，我們經歷了 12 個月的輕鬆對比，然後又經歷了 12 個月的艱難對比。我想我們大概還有幾個月的時間才能完成那些艱難的對比。

That's helpful context. And then maybe a follow-up on the product side, maybe for Carlos. As you think about your enterprise product suite and how you plan to refresh and augment it over time, you referenced the low-code application development platform, can you maybe give us a sense about your conversations with clients in the early stages? What are the elements of this platform that are resonating with them? And do you get a sense that any of the enterprises that may be shopping around are swayed or potentially have changed their mind about switching off of an ADP platform or staying on an ADP platform because of this?

提供的背景資訊很有幫助。然後或許可以跟進產品方面的問題，也許是給卡洛斯的。當您考慮企業產品套件以及如何隨著時間的推移對其進行更新和增強時，您提到了低程式碼應用程式開發平台，您能否向我們介紹一下您在早期階段與客戶的對話？這個平台的哪些元素引起了他們的共鳴？您是否覺得，那些正在尋找替代方案的企業中，有人因此而動搖或改變了主意，決定放棄或繼續使用 ADP 平台？

Well, we hope -- we do, for example, invite clients on a regular basis to visit our Innovation Center in New York City in Chelsea to kind of get first-hand knowledge of some of the things that we're working on. And it's not just about the platform. We have other things that we are working on as well that we share with our clients. So obviously, part of that is an effort to make sure the clients understand our road map and so that they stick with us as we get through product development and then eventually a transition to our newer platforms. I think that would be true in each of our business segments, but it's obviously very important in the upmarket enterprise space where the client life cycles are very, very long. So we have very high retention rates in our upmarket business. Clients stay 15 to 20 years on average. And obviously, if they're staying with ADP for that long, that means they've already been through multiple changes in technology with ADP over the years. So this is just another evolution, if you will, which makes the products better for them, easier to use, easier to service, easier to upgrade.

嗯，我們希望——例如，我們確實會定期邀請客戶參觀我們在紐約市切爾西的創新中心，以便他們能夠親身了解我們正在研究的一些項目。而且這不僅僅是關乎平台。我們還有其他一些正在進行的項目，也會與客戶分享。顯然，其中一部分工作是為了確保客戶了解我們的發展路線圖，以便他們在產品開發過程中以及最終過渡到我們的新平台時能夠繼續與我們合作。我認為這在我們每個業務領域都是如此，但顯然在高端企業領域尤其重要，因為該領域的客戶生命週期非常非常長。因此，我們在高端業務領域擁有非常高的客戶留存率。客戶平均留任時間為15至20年。顯然，如果他們與 ADP 保持合作關係這麼長時間，那就意味著多年來他們已經隨著 ADP 經歷了多次技術變革。所以，這可以說是另一個進化，讓產品對他們來說更好，更容易使用、更容易維修、更容易升級。

So these are all, I think, part of leveraging technology, which is one of the central themes that we've had here for the last 5 or 6 years. So we're really trying to do what ADP has been doing for many years with a slight change in emphasis, with greater emphasis on product and technology than maybe historically we had had 5, 10, 15 years ago.

我認為，這些都是利用科技的一部分，而利用科技正是我們過去五、六年來一直關注的核心主題之一。所以，我們實際上是在努力做 ADP 多年來一直在做的事情，只是在重點上稍作調整，更加註重產品和技術，這與我們 5 年前、10 年前、15 年前的情況有所不同。

Our next question will come from David Grossman with Stifel.

下一個問題將來自 Stifel 公司的 David Grossman。

It's been a while since we've been in any favorable rate environment. So could you just help or just review for us how higher rates flow through to ADP and how much of that perhaps is shared with the clients and gets reflected in pricing over time?

我們已經很久沒有遇到有利的利率環境了。所以，您能否幫我們回顧一下，更高的費率是如何傳遞到 ADP 的，其中有多少會分給客戶，並隨著時間的推移反映在價格中？

So the second part is a tricky question, because the way it gets shared, if you will, is it makes our company stronger. It allows us to, for example, theoretically to be more careful with price increases, none of which -- so I guess the answer is we haven't changed anything. Like it hasn't -- if rates were -- as you know, because of the way our portfolio is laddered, even though we felt multiple years of pressure on the downside, we are getting a little bit of help here on the upside. But there's really -- this isn't like an overnight -- and I don't mean overnight in the sense of rates. But because of the laddering, there's not that kind of dramatic of a change that we are -- all of a sudden that it's raining money out of the helicopters and we have to figure out what to do with it.

所以第二個問題比較棘手，因為它的分享方式，或者說分享方式，是讓我們的公司更強大。例如，理論上它可以讓我們在價格上漲方面更加謹慎，但實際上並沒有——所以我想答案是我們什麼都沒改變。就像利率沒有變化一樣——正如你所知，由於我們的投資組合採用階梯式結構，儘管我們多年來一直感受到下行壓力，但現在我們在上行方面得到了一些幫助。但實際上——這不像隔夜事件——我指的隔夜事件不是指利率方面的隔夜事件。但由於資金是分階段撥付的，所以不會出現我們現在面臨的那種劇烈變化——突然之間，資金像雨般從直升機上落下，而我們必須想辦法如何處理這些資金。

But we definitely appreciate it. It's better than it was when it was going in the other direction. So it's all positive. So I think historically we've -- I'd say it probably makes us stronger, more competitive, but we really don't -- there's no pricing mechanism. We didn't raise prices when interest float income went down and rates went down. We don't plan on lowering prices when it goes up, I guess to be completely direct.

但我們非常感激。現在的情況比之前朝相反方向發展時好得多。所以一切都是正面的。所以我認為從歷史上看，我們——我本來想說這可能使我們更強大、更有競爭力，但我們實際上並沒有——沒有定價機制。當浮動利息收入下降、利率下降時，我們沒有提高價格。坦白說，我們不打算在價格上漲時降低價格。

And I give a couple of more technical updates, David. There's no -- if you ask the revenue share of float income with any of our clients, we don't have that business model. It is a negotiated fee price. And then some of our products, actually, the clients really -- we negotiate with them the value of the float and it reflects in the net contractual relationship with our clients, but it is not an explicit revenue share of float income.

大衛，我再補充一些技術性的更新。沒有－如果你問我們與任何客戶之間浮動收入的收入分成比例，我們都不會採用這種商業模式。這是協商確定的費用價格。對於我們的一些產品，實際上，客戶確實會與我們協商浮動價值，這反映在我們與客戶的淨合約關係中，但這並不是浮動收入的明確收入分成。

And just to add, just to be even more clear, we lost $300 million in float income. And that's assuming that the balances had stayed flat. The balances actually grew from about $15 billion to over $20 billion during that period of time. And I'm thinking back to like 2007 and '08 when we peaked in terms of our float income. And so there's a long way to go to get back that $300 million. And that would not even be adjusting for inflation and for growth. And as Jan just said, we don't have those kinds of arrangements. We didn't increase our prices when that was going on. So we managed to improve our margins and grow our business in the face of that kind of headwind. And so I think it's -- it feels fair to us to now enjoy the fruits of a better environment on a go-forward basis, would be the way we look at it.

另外，為了更清楚說明，我們損失了 3 億美元的浮動收益。而這還是假設餘額不變的情況下。在此期間，餘額實際上從約 150 億美元增長到超過 200 億美元。我回想起 2007 年和 2008 年，那時我們的浮動收益達到了頂峰。因此，要收回那3億美元還有很長的路要走。而且這還沒考慮到通貨膨脹和經濟成長的影響。正如 Jan 剛才所說，我們沒有那種安排。當時我們沒有提價。因此，面對這種不利因素，我們成功地提高了利潤率並實現了業務成長。所以我覺得，從現在開始享受更好的環境所帶來的成果，對我們來說是公平的，這就是我們看待這個問題的方式。

Okay. Understood. And then I just have a follow-up to the last question that was asked about -- a little bit about the product road map for the upmarket. Can you give us a better sense of timing of when you -- or how you expect to roll out some of the new feature functionality of what you're working on? At least in your mind, what are the major changes, if you will, that you're making to the new version of the upmarket product?

好的。明白了。然後，我還有一個後續問題，是關於上一個被問到的問題──關於高階產品的產品路線圖。您能否更清楚地說明一下您預計何時或如何推出您正在開發的某些新功能？至少在你看來，你對這款高階產品的新版本做了哪些主要改變？

Well, we never said there's a new version to an upmarket product, and so you shouldn't say it either. So what we built was we built a platform on which we can build apps that could serve a number of different clients. It could be used globally. It could be used in the upmarket. And frankly, someday it could be used in the midmarket. So we're not ready -- we shared a lot of information with industry analysts and we're trying to share as much information with all of you without sharing so much information that it creates a competitive problem for us.

我們從未說過高端產品有新版本，所以你也不應該這麼說。所以我們建構的是一個平台，我們可以在這個平台上建立能夠服務眾多不同客戶的應用程式。它可在全球範圍內使用。它可用於高端市場。坦白說，它將來或許能在中端市場得到應用。所以我們還沒有做好準備——我們已經與行業分析師分享了很多信息，我們也在努力與大家分享盡可能多的信息，但又不想分享太多信息，以免給我們造成競爭問題。

And so we're not ready to say exactly what we're doing or where we're going. But I can tell you that the benefits are obviously usability, speed to change and speed to development, cost of maintenance, not to mention cost of development. So there are a number of benefits that we will get from our product development efforts. And that's really only talking about the low-code development platform.

因此，我們還不方便透露我們正在做什麼或要去哪裡。但我可以告訴你，其優勢顯而易見，包括易用性、變更速度和開發速度、維護成本，更不用說開發成本了。因此，我們的產品開發工作將帶來許多益處。而且這實際上只是指低程式碼開發平台。

We also have 2 very large investments in back office systems. So this is our gross to net payroll engine and our tax engine as well. There, we expect and the plan is to have that be completely transparent. These engines are back office engines that are really not visible to the clients. They just -- they create outcomes. The front ends are Workforce Now, Vantage and some of our other front end products. And so there's really no expected impact, assuming that we execute well, in the kind of transition, if you will, to a new gross to net payroll and also tax engine.

我們也在後台系統方面進行了兩項非常大的投資。所以，這就是我們的工資總額到淨額計算引擎，也是我們的稅務引擎。我們希望，而且計劃是，讓這一切完全透明。這些引擎是後台引擎，客戶實際上看不到它們。他們只是——他們創造了結果。前端產品包括 Workforce Now、Vantage 以及我們的其他一些前端產品。因此，假設我們執行得當，向新的毛工資淨額和稅收引擎過渡的過程中，實際上不會產生任何預期影響。

The expectation for improvements, though, are fairly significant, in the sense that we'll have a lot more flexibility around the things we can do around payments. So we may choose to, we may not necessarily do it, but we'll have the ability to do same-day payments, real-time payments. We'll have a lot more flexibility around the speed to make changes, whether they're statutory or competitive, changes in our systems. And then the cost of maintenance and the cost of support will go down significantly based on our business cases that we have for these back office engines.

不過，人們對改進的預期相當高，因為在支付方面我們將擁有更大的彈性。所以我們可以選擇這樣做，也不一定會這樣做，但我們將有能力進行當日付款、即時付款。我們將擁有更大的靈活性，可以更快地做出改變，無論是法定的還是競爭性的改變，以及對我們系統進行改變。根據我們針對這些後台引擎提出的商業案例，維護成本和支援成本將會大幅下降。

So these are really modernization efforts, because those platforms serve us incredibly well today at high scale, high reliability and high security. But we believe, based on our business cases, that obviously, whether it's 2, 5, 7 years down the road, that new technology can help us leverage those services that we provide in a much more efficient manner.

所以這些確實是現代化努力，因為這些平台如今在規模大、可靠性高、安全性高方面為我們提供了非常好的服務。但根據我們的商業案例，我們相信，顯然，無論是 2 年、5 年還是 7 年後，新技術都能幫助我們以更有效率的方式利用我們提供的這些服務。

Our next question will come from the line of Jeff Silber with BMO.

我們的下一個問題將來自 BMO 的 Jeff Silber。

It's Henry Chien calling for Jeff. Just a question on the changing guidance for the EPS, or adjusted EPS. Could you break out how much of that is the impact of the acquisition and how much is FX, if you could?

是亨利·錢在找傑夫。關於每股盈餘（EPS）或調整後每股盈餘的預期變化，我有個問題。如果可以的話，能否分別說明其中有多少是收購的影響，有多少是匯率波動的影響？

Well, the impact of the acquisition would be 0 because it's 0. It's a great business. It's a good sized revenue business. And fortunately, it's around breakeven, is the way we would describe it. So it's not a huge drag on our earnings and it's not a huge help. It has a small drag on margins, obviously, because at breakeven and with some reasonable revenues, it doesn't help our margins. But I would say no impact in terms of EPS guidance from acquisitions.

收購的影響為零，因為它本身就是零。這是一家很棒的公司。這是一個收入相當可觀的企業。幸運的是，它基本上達到了損益平衡點，我們可以這樣形容。所以它對我們的收益既沒有造成很大的拖累，也沒有帶來很大的幫助。顯然，這會對利潤率造成輕微拖累，因為在收支平衡且收入合理的情況下，它對我們的利潤率沒有幫助。但我認為收購不會對每股盈餘預期產生影響。

And the other -- I'm sorry, the second part of your question was?

還有另一個——抱歉，您問題的第二部分是？

I can give you a little bit on the tax side. Actually, that's a big chunk of it. It's a little less than 2% of that increase comes from tax. And that's just the good performance that we had as well as the $0.05 that we're letting flow through.

我可以簡單介紹一下稅務方面的情況。實際上，這佔了很大一部分。其中略低於2%的成長來自稅收。而這僅僅是我們取得的良好業績，以及我們允許流入的 0.05 美元。

Got it. And FX?

知道了。FX呢？

I don't have anything here. We're looking it up. I don't think it's that meaningful really.

我這裡什麼都沒有。我們正在查一下。我覺得這其實沒什麼意義。

Okay, okay, got it. And just a second question on bookings growth and how it's tracking for the year? Just curious if you have a sense of what are some of the drivers for the rest of the year, whether it's product or by market, for new bookings growth?

好的好的，明白了。還有一個關於預訂成長的問題，今年的預訂成長情況如何？我只是好奇，您是否了解今年剩餘時間裡，無論是產品方面還是市場方面，哪些因素會推動新訂單成長？

I think for bookings growth, what we try to look at is the noise in the system has been pretty significant in the last 24 months because first we had ACA and then we didn't have ACA. So I have to preface my comments by saying it hasn't been exactly business as usual. But in typical business as usual for ADP, we would have a headcount increase accompanied by a productivity increase of our sales force, which would lead to our sales result. And so the mechanisms that we would -- the buttons that we would push to try to increase or improve our new business bookings would generally be around increasing our headcount or capacity, if you will, of sales, because we could also spend money on digital marketing and other tools to make our sales force more efficient, and then what can we do around products to drive the productivity. Because some of the productivity is just -- like in any business, we expect our sales force to do a little bit better each year, but we also try to give them better products and more things to sell so that they can also grow their productivity that way.

我認為，就預訂量增長而言，我們試圖關注的是，過去 24 個月中系統中的噪音相當大，因為先是 ACA 法案出台，然後 ACA 法案又被取消了。所以，在發表評論之前，我必須先說明，情況並非完全如常。但在 ADP 的正常業務運作中，我們會增加員工人數，同時提高銷售團隊的生產力，進而提升銷售績效。因此，我們為了增加或改善新業務預訂量而採取的措施——也就是我們通常會採取的措施——是增加銷售人員的數量或能力，因為我們也可以在數位行銷和其他工具上投入資金，以提高銷售團隊的效率，然後我們還可以圍繞產品做些什麼來提高生產力。因為有些生產力提升只是——就像在任何企業中一樣，我們希望我們的銷售團隊每年都能做得更好一些，但我們也努力為他們提供更好的產品和更多的產品來銷售，以便他們也能通過這種方式提高生產力。

So one of the things we did last year is, in the face of the challenges we were having, we decided to actually invest in headcount. We had had 2 or 3 years where we were able, because of the tailwinds of ACA, to put less into headcount because we were getting more from productivity. And we opted last year really to, in order to make sure that we had a good couple of years of new business bookings, we invested in our headcount. And we're now, I think, at about 7% headcount growth year-over-year. That's pretty healthy for us when you look at the last 5 or 6 years. It doesn't have an immediate impact because those people have to become productive, they have to get ramped up, they have to get into the field. But as those people mature, that's an investment that should pay off for us for several years to come as those new sales reps become more mature and become more productive over time.

所以去年我們採取的措施之一，就是面對我們面臨的挑戰，決定增加人手。在過去的 2 到 3 年裡，由於《平價醫療法案》(ACA) 的推動，我們得以減少員工人數，因為我們從生產力中獲得了更多收益。去年，為了確保未來幾年能有良好的新業務預訂，我們決定增加員工人數。我認為，我們目前的人員數量年增率約為 7%。從過去五、六年的情況來看，這對我們來說相當健康。它不會立即產生影響，因為這些人必須開始工作，必須提升效率，必須進入工作崗位。但隨著這些人逐漸成熟，這項投資將在未來幾年內為我們帶來回報，因為這些新的銷售代表會隨著時間的推移而變得更加成熟，工作效率也會更高。

So I guess the answer to your question is, the reason we feel good about our forecasts, which, again, is subject to interference by, as we just saw the government had a fairly large change in direction 9 months ago, so we can't ever say we're 100% sure, but we look at certain metrics that give us confidence in terms of what we have in terms of guidance, and it's mainly around headcount and modest productivity improvement.

所以，我想你問題的答案是，我們對自己的預測感到樂觀的原因是，正如我們剛才看到的，政府在9個月前做出了相當大的政策調整，因此我們的預測會受到干擾，所以我們永遠不能說我們100%確定，但我們會關註一些指標，這些指標讓我們對目前的指導充滿信心，主要圍繞員工人數和適度的生產力提升。

And throughout the year, basically what we'll see is that, that accelerated headcount growth naturally becomes more productive as that sales force is maturing. And then secondly, it's an easier grow-over. So for your type of modeling, I think those are the 2 major growth drivers that will make the comparison the second half of the year look -- it will accelerate the growth in the second half of the year.

在這一年中，我們基本上會看到，隨著銷售團隊的成熟，人員數量的加速成長自然會變得更有效率。其次，它的生長也更容易過渡。所以對於你這種建模方式來說，我認為這是兩個主要的成長驅動因素，它們將使下半年的對比結果看起來——它們將加速下半年的成長。

We have time for one final question. Our final question will come from the line of Gary Bisbee with RBC Capital Markets.

我們還有時間回答最後一個問題。最後一個問題來自加拿大皇家銀行資本市場的 Gary Bisbee。

This is Jay Hanna on for Gary today. Just with regard to the 3-year framework you laid out recently, should we expect any change to that based on the fiscal '18 guidance increase given this quarter?

這裡是傑伊漢納，今天他為加里報道。關於您最近提出的三年框架，鑑於本季度上調了 2018 財年的業績指引，我們是否應該預期該框架會有任何變化？

I don't think so because, as Jan said, I mean, I think it's -- first of all, it's early. We're through the first quarter, and I think you could tell that we feel good about our results, we feel good about the future, but I think it's premature. We did get help from tax. We did get a little bit of help from -- on the growth rate from the float income. So I think it's just too early. But directionally we feel good. But I think it's way too early to think about how the first quarter impacts 2020 for us.

我不這麼認為，因為正如 Jan 所說，我的意思是，首先，現在還早。第一季已經過去，我想大家可以看出我們對業績感到滿意，對未來也充滿信心，但我認為現在下結論還為時過早。我們確實得到了稅務部門的幫助。我們確實從以下方面得到了一些幫助——關於浮動收益的成長率。所以我覺得現在還太早。但就方向而言，我們感覺不錯。但我認為現在考慮第一季對我們2020年的影響還為時過早。

Okay. And then with the next-gen tools and migrations you spoke to earlier, is any of that associated with the 500 basis points in margin accretion that you spoke to recently as well?

好的。那麼，您之前提到的下一代工具和遷移，是否與您最近提到的 500 個基點的利潤成長有關？

No. The scale and operational improvement that we illustrated in our margin long-term outlook is not counting on these next-generation products making a meaningful impact for that planning horizon which ends at 2020.

不。我們在長期利潤展望中所展現的規模和營運改進，並沒有指望這些下一代產品在截至 2020 年的規劃期內產生有意義的影響。

Yeah, and I think that part of the reason for that is we've obviously invested a lot already, but now we're in the process of "hardening" and also getting clients. We do have clients, by the way, on each of the 3 next-generation platforms. These are real platforms that we've invested hundreds of millions of dollars in over multiple years. So we feel good about it. They're real and they're going to drive long-term efficiency, lower costs, stronger sales, better client experience. It's going to -- but from a timing standpoint, I think it's clearly way too early, I think, for us to be factoring those types of improvements into our forecast. But for -- there's no question that, whether it's in 2020 or the last half of 2020 or in '21 or '22, these investments are expected to have meaningful impacts on ADP's competitiveness and its profitability as well.

是的，我認為部分原因是我們已經投入了很多資金，但現在我們正在「鞏固」自身實力，同時也在爭取客戶。順便一提，我們在所有這三個下一代平台上都有客戶。這些都是我們多年來投入數億美元打造的真實平台。所以我們對此感到很滿意。它們是真實存在的，而且它們將推動長期效率提升、成本降低、銷售成長、客戶體驗改善。確實會如此——但從時間角度來看，我認為現在就將這些類型的改進納入我們的預測顯然為時過早。但毫無疑問，無論是在 2020 年，還是 2020 年下半年，亦或是 2021 年或 2022 年，這些投資預計都將對 ADP 的競爭力和盈利能力產生重大影響。

Thank you. This concludes our question-and-answer portion for today. I am pleased to hand the program over to Carlos Rodriguez for closing remarks.

謝謝。今天的問答環節到此結束。我很高興將節目交給卡洛斯·羅德里格斯，請他致閉幕詞。

Thank you. As you can see, we're off to a really good start. And we're happy that the initiatives that we have around enhancing our service, the innovation of our products and expanding our distribution model are working. And we have, obviously, a lot of confidence that I think the investments will continue to deliver the results we expected from those investments, especially in the latter half of fiscal 2018 and beyond.

謝謝。如你所見，我們開局非常順利。我們很高興看到，我們在提升服務、創新產品和拓展分銷模式方面所採取的舉措正在取得成效。顯然，我們非常有信心，這些投資將繼續帶來我們預期的回報，尤其是在 2018 財年下半年及以後。

Over the last several months, obviously, we've been involved in this proxy contest. And I just want to acknowledge for a minute our associates, because obviously some of them may feel like their efforts have been put into question during this process. And as I mentioned, I think the distraction has been largely to a small group, but inevitably our associates also hear some of the noise out in the market. And I just want to thank our associates for the resolve that they've had in delivering to our clients what the clients expect from ADP.

顯然，在過去的幾個月裡，我們一直參與這場代理權爭奪戰。我只想花一分鐘時間感謝一下我們的同事們，因為很顯然，他們中的一些人可能會覺得在這個過程中他們的努力受到了質疑。正如我之前提到的，我認為這種幹擾主要影響的是一小部分人，但我們的同事們不可避免地也會聽到市場上的一些噪音。我還要感謝我們的同事們，感謝他們始終如一地為客戶提供他們期望從 ADP 獲得的服務。

And I also want to thank them for their encouragement they've given to us to continue to move beyond the distraction and continue to deliver valuable services to our clients. The dedication, I think, and the attentiveness and the integrity, more importantly, of our associates is what makes this company great, and it's what our founder, I think, insisted on. And I'm confident that, with their help and their support, we're going to continue to make ADP successful.

我還要感謝他們給予我們的鼓勵，讓我們能夠繼續克服幹擾，並繼續為客戶提供有價值的服務。我認為，正是我們員工的奉獻精神、專注精神以及更重要的正直品格，才使這家公司變得偉大，而這，我認為，也是我們創始人一直堅持的。我相信，在他們的幫助和支持下，我們將繼續推動 ADP 成功。

I also want by extension to thank our shareholders and the confidence they've put in our management and our board. As we've gone around visiting and talking to investors, the encouragement that we've gotten from them I think has just strengthened our resolve to continue to do the right thing for them and also on their behalf.

我也要藉此機會感謝我們的股東，感謝他們對我們管理階層和董事會的信任。在我們拜訪和與投資者交談的過程中，他們給予我們的鼓勵更加堅定了我們繼續為他們做正確事情的決心，也更加代表了他們的利益。

And so with that, I want to thank you again for joining us, and thank you for your interest in ADP.

最後，我要再次感謝各位的參與，也感謝各位對ADP的關注。

Ladies and gentlemen, thank you for your participation on today's conference. This does conclude the program, and we may all disconnect. Everybody, have a wonderful day.

女士們、先生們，感謝各位參加今天的會議。節目到此結束，我們可以斷開連線了。祝大家今天過得愉快。