沛齊 (PAYX) 2019 Q1 法說會逐字稿

Ladies and gentlemen, thank you for standing by, and welcome to Paychex First Quarter Earnings Call.

女士們、先生們，感謝各位的耐心等待，歡迎參加 Paychex 第一季財報電話會議。

At this time, I'll turn the conference over to your host, Martin Mucci. Please go ahead.

現在，我將把會議交給主持人馬丁·穆奇。請繼續。

Thank you, good morning, everyone. Sorry for our slight delay there, just a little bit of issues in conferencing, but we'll get started now.

謝謝大家，早安。抱歉耽擱了一會兒，會議系統出了點小問題，但我們現在就開始。

Thank you for joining us for our discussion for the Paychex First Quarter Fiscal 2019 Earnings Release. Joining me today is Efrain Rivera, our Chief Financial Officer. And this morning, before the market opened, we released our financial results for the first quarter ended August 31, 2018. You can access our earnings release on our Investor Relations web page, and our Form 10-Q will be filed with the SEC within the next few days.

感謝您參加我們對 Paychex 2019 財年第一季財報發布的討論。今天和我一起出席的是我們的財務長埃弗雷恩·裡維拉。今天早上，在市場開盤之前，我們發布了截至 2018 年 8 月 31 日的第一季財務表現。您可以造訪我們的投資者關係網頁查看我們的獲利報告，我們的 10-Q 表格將在未來幾天內提交給美國證券交易委員會。

This teleconference is being broadcast over the Internet, will be achieved and available on our website for about 1 month.

本次電話會議將透過網路進行直播，錄影將在我們的網站上保留約1個月。

On today's call, I will review the business highlights for the first quarter. Efrain will review our first quarter financial results and discuss our guidance for fiscal 2019. Then we'll open it up for your questions.

在今天的電話會議上，我將回顧第一季的業務亮點。埃弗雷恩將回顧我們第一季的財務業績，並討論我們對 2019 財年的展望。接下來我們將開放提問環節。

We have had a good start for fiscal 2019, and our financial results reflect growth across our major product lines. Our total revenue growth was a solid 9% for the first quarter.

2019 財年開局良好，我們的財務表現反映了主要產品線的成長。第一季我們的總營收成長了9%，表現穩健。

Beginning this quarter, we are changing from our traditional disclosures, as Efrain talked about last quarter, of the service revenue categories of payroll and human resource services and are now reporting service revenues as management solutions revenues or PEO and insurance services revenues.

從本季開始，我們將改變以往對薪資和人力資源服務等服務收入類別的傳統揭露方式（正如 Efrain 上個季度所談到的），現在將服務收入報告為管理解決方案收入或 PEO 和保險服務收入。

This new revenue disaggregation provides a better representation of how our business has evolved to the selling of more bundled products. And Efrain will provide more information about this in his commentary.

這種新的收入細分方式能更好地反映出我們的業務是如何發展到銷售更多的捆綁產品。埃弗雷恩將在他的評論中提供更多相關資訊。

You may recall, last fiscal year, we implemented certain go-to-market strategies for sales, which began to gain momentum in the back half of the year. That momentum has continued for the first quarter, especially (technical difficulty) HR outsourcing services, both in our PEO as well as our traditional ASO-HCM service bundle.

您可能還記得，上個財政年度，我們實施了一些市場推廣銷售策略，這些策略在下半年開始取得進展。這一勢頭在第一季得以延續，尤其是在人力資源外包服務方面（技術困難），包括我們的 PEO 和傳統的 ASO-HCM 服務包。

We have also continued to add to our sales force and are fully staffed as we head into our upcoming peak selling season.

我們持續擴充銷售團隊，目前人員配備齊全，即將迎來銷售旺季。

With regards to the client retention in the first quarter, we're very pleased with the continued increase in this metric for retention as well as our strong client satisfaction performance.

關於第一季的客戶留存率，我們非常高興看到這項指標持續成長，同時客戶滿意度也表現強勁。

August 18 was the anniversary of our acquisition of HR Outsourcing Holdings, Inc., or HROI, a national PEO. HROI continues to perform well and has integrated very well into the existing PEO sales and service organization of Paychex.

8 月 18 日是我們收購 HR Outsourcing Holdings, Inc.（簡稱 HROI）的周年紀念日，HROI 是一家全國性的 PEO 公司。HROI 持續保持良好的業績，並且已融入 Paychex 現有的 PEO 銷售和服務組織。

We also acquired Lessor Group, a payroll and HR services provider headquartered in Denmark, at the end of February 2018. Lessor is performing well. And we are enthusiastic about the growth opportunities that these acquisitions provide us.

2018 年 2 月底，我們也收購了總部位於丹麥的薪資和人力資源服務提供者 Lessor Group。出租方表現良好。我們對此次收購帶來的成長機會感到非常興奮。

At the HR Tech Conference in September, we premiered our Paychex brand refresh, which focuses on the power of simplicity. This renews our commitment to our customers to make their lives easier by alleviating the complexity of payroll, HR, benefits and insurance.

在 9 月的人力資源科技大會上，我們首次推出了 Paychex 品牌煥新，重點在於化繁為簡的力量。這重申了我們對客戶的承諾，透過簡化薪資、人力資源、福利和保險的複雜性，讓客戶的生活更輕鬆。

Paychex has over 4 decades of experience working with businesses to solve their complex challenges and everything we do is focused on making it simpler for our clients to run their businesses through a combination of our leading technology, our breadth of product offerings and our personalized service options.

Paychex 擁有超過 40 年的經驗，致力於協助企業解決其複雜的挑戰。我們所做的一切都旨在透過結合我們領先的技術、廣泛的產品系列和個人化的服務選項，讓客戶更輕鬆地經營業務。

At HR Tech, we also introduced Paychex Learning Management, a web-based learning management system that provides employers with a simple and affordable learning tool. Paychex Learning Management features access to hundreds of preloaded learning modules, allows clients to create their own new materials and upload existing training material specific to their industry or workforce. It is also integrated with our performance management solution, which recently underwent a user experience update.

在 HR Tech 展會上，我們也推出了 Paychex 學習管理系統，這是一個基於網路的學習管理系統，為雇主提供了一個簡單且價格合理的學習工具。Paychex 學習管理系統提供數百個預先載入的學習模組，讓客戶可以建立自己的新資料，並上傳特定於其行業或員工的現有培訓資料。它還與我們的績效管理解決方案集成，該解決方案最近進行了用戶體驗更新。

In our current environment of record low unemployment and a war for talent, employers need every advantage they can to get for recruiting and retaining employees. And our comprehensive suite of HR products can help employers recruit with attractive benefits -- attractive benefit package; and our new LMS offering helps with the retention of talent by providing ongoing engagement and professional development.

在當前失業率創歷史新低、人才爭奪戰白熱化的環境下，雇主需要竭盡所能取得各種優勢來招募和留住員工。我們全面的人力資源產品套件可以幫助雇主透過有吸引力的福利待遇來招募人才；我們新的學習管理系統產品可以透過提供持續的互動和職業發展來幫助留住人才。

We also showcased additional new enhancements and features within our HR product suite. We now offer tablet-enabled facial recognition for time and attendance and the new Paychex Flex Assistant, a chat bot for commonly asked HR-related questions. These are examples of our ongoing commitment to continually introduce advancements in technology that evolves and enhances our clients' experience and makes it more valuable to them across all of our services.

我們也展示了人力資源產品套件中的其他新增增強功能和特性。我們現在提供平板電腦人臉辨識考勤系統和全新的 Paychex Flex Assistant，這是一個用於解答常見人力資源相關問題的聊天機器人。這些例子體現了我們持續致力於引入先進技術，從而不斷提升客戶體驗，並使其在我們所有服務中獲得更多價值的承諾。

We are pleased with our progress in retirement services for the eighth consecutive year. Paychex was named by PLANSPONSOR magazine as the leader in total number of defined contribution plans as we now serve well over 80,000 plans.

我們對退休服務連續第八年取得的進展感到滿意。Paychex 被 PLANSPONSOR 雜誌評為固定繳款計畫總數的領導者，我們現在為超過 80,000 個計畫提供服務。

Paychex retirement services meets the needs of businesses of all sizes by delivering next-level efficiency with full Paychex HCM integration, fee transparency, plan accessibility across devices, flexibility and investment options and fiduciary solutions and personalized participant support.

Paychex 退休服務透過提供更高水準的效率來滿足各種規模企業的需求，包括完全整合 Paychex HCM、費用透明、跨裝置存取計畫、靈活性和投資選擇、信託解決方案以及個人化的參與者支援。

We also ranked #20 as the 20th largest business insurance agency in 2018 in their top list of 100 brokers in the U.S. This is up one spot from last year. This is our eighth time on this list as well and is a testament to our best-in-class insurance agents, who continue to deliver customized solutions to meet the evolving needs of business owners and their employees. Value-rich insurance coverage plays a key role in both hiring and keeping key talent.

2018 年，我們在全美 100 家頂級經紀公司榜單中排名第 20 位，成為排名第 20 的商業保險代理公司。這比去年上升了一位。這已經是我們第八次上榜了，這證明了我們一流的保險代理人的實力，他們不斷提供客製化的解決方案，以滿足企業主及其員工不斷變化的需求。具有高價值的保險保障在招募和留住關鍵人才方面都發揮著關鍵作用。

I'd also like to note that for the sixth consecutive year we were recognized by Selling Power magazine as its -- one of its 50 best companies to sell for, in fact, ranking #3.

我還想指出，我們連續第六年被《銷售力量》雜誌評為 50 家最佳銷售公司之一，事實上排名第 3。

We have been making significant investments in our sales force, including new technology, support tools and more sophisticated demand generation to improve the quantity and quality of the sales leads to support our sales force and their success.

我們一直在對銷售團隊進行大量投資，包括新技術、支援工具和更複雜的需求生成，以提高銷售線索的數量和質量，從而支持我們的銷售團隊及其成功。

We continue to also provide value to our shareholders. Our quarterly dividend is currently at $0.56 per share with the last increase of 12% this past April.

我們將繼續為股東創造價值。我們目前的季度股息為每股 0.56 美元，最近一次增長是在今年 4 月，增幅為 12%。

In summary, our state-of-art technology, full suite of integrated HCM product offerings and personalized service is a powerful combination that positions us for sustainable growth in our markets. Our employees make this combination successful with their hard work and commitment to our clients each and every day.

總而言之，我們先進的技術、全套整合式 HCM 產品以及個人化服務，是我們實現市場永續成長的強大組合。我們的員工憑藉著每天的辛勤工作和對客戶的盡心盡責，使這一組合取得了成功。

I will now turn the call over to Efrain Rivera to review our financial results for the first quarter. Efrain?

現在我將把電話交給埃弗雷恩·裡維拉，讓他回顧我們第一季的財務表現。埃弗雷恩？

Thanks Marty, and good morning. I'd like to remind everyone that today's conference call will contain forward-looking statements. Please refer to our earnings release that includes a discussion of forward-looking statements and related risk factors.

謝謝馬蒂，早安。我想提醒大家，今天的電話會議將包含前瞻性陳述。請參閱我們的獲利報告，其中包含前瞻性陳述及相關風險因素的討論。

In addition, I'll periodically refer to some non-GAAP measures such as adjusted net income and adjusted diluted earnings per share. These measurements include certain discrete tax items and onetime charges. Please refer to the press release and investor slide presentation for a discussion of these measures. The investor slide presentation should be up and it's got a lot of supplemental information on it.

此外，我也會定期參考一些非GAAP指標，例如調整後的淨收入和調整後的稀釋每股盈餘。這些費用包括某些單獨的稅金和一次性費用。有關這些措施的詳細討論，請參閱新聞稿和投資者簡報。投資者簡報應該已經上傳，上面有很多補充資訊。

As mentioned previously, effective for this fiscal year, we've adopted the new revenue recognition guidance in ASC topic 606. We adopted under the full retrospective method, so prior year results have been restated to conform with this guidance. After our previous earnings call in June, you'll recall that I held a supplemental call to introduce the impacts of this new guidance on our financial results.

如前所述，自本財政年度起，我們採用了 ASC 606 號主題中的新收入確認準則。我們採用了完全回顧性方法，因此前一年的業績已根據該指導原則進行了重述。大家應該還記得，在六月的上一次財報電話會議之後，我召開了一次補充電話會議，介紹了這項新指引對我們財務表現的影響。

On our IR page, we published an updated presentation from that call and that gives quarterly information on the financial impacts of ASC 606 and other non-GAAP adjustments for the past 2 years.

我們在投資者關係頁面上發布了該電話會議的最新演示文稿，其中提供了過去兩年 ASC 606 和其他非 GAAP 調整的季度財務影響資訊。

Overall, the changes from adoption of the accounting standard are not significant, but they do have a modest effect on the quarterly periods. This presentation also reflects the impact of tax reform and non-GAAP measures.

整體而言，採用該會計準則帶來的變化並不顯著，但對季度期間確實產生了一定的影響。本次報告也反映了稅改和非GAAP指標的影響。

In connection with the adoption of the new guidance, the categorization of our service revenues is evolving. In prior years, we disaggregated service revenue into 2 buckets: Payroll service revenue and human resource services revenues.

隨著新準則的實施，我們的服務收入分類也正在改變。往年，我們將服務收入分為兩類：薪資服務收入和人力資源服務收入。

As our business has evolved to selling more bundled products, this disaggregation has become less meaningful. ASC 606 requires disaggregation of revenues to reflect how the nature, amount, timing and uncertainty of revenue and cash flows are impacted by economic factors.

隨著我們的業務發展方向是銷售更多捆綁產品，這種分割分析的意義已經降低。ASC 606 要求對收入進行分解，以反映收入和現金流量的性質、金額、時間和不確定性如何受到經濟因素的影響。

Given how we manage our business and the risk inherent in various services, we've decided that a more meaningful presentation is the categories of management solutions revenue and PEO and insurances revenue.

鑑於我們管理業務的方式以及各種服務固有的風險，我們決定更有意義的表述方式是按管理解決方案收入和 PEO 及保險收入類別進行劃分。

Management solutions revenue includes payroll and HR and employee benefits products that are better reflective of offerings in our product bundles. So this presentation includes our previous category of payroll services together with retirement services and HR administration solutions, including our comprehensive ASO service bundle. This presentation represents our integrated HCM services. PEO and insurance services revenues have similar operational economic characteristics; both involve the provision of insurance benefits to clients.

管理解決方案收入包括薪資、人力資源和員工福利產品，這些產品更能反映我們產品組合中的服務內容。因此，本次示範涵蓋了我們先前的薪資服務類別，以及退休服務和人力資源管理解決方案，包括我們全面的 ASO 服務包。本次演示將介紹我們的一體化人力資本管理服務。PEO 和保險服務的收入具有相似的營運經濟特徵；兩者都涉及向客戶提供保險福利。

PEO revenues also reflect a gross up for certain of our insurance offerings to PEO clients. During this transition period, I want to emphasize this, we'll provide information on service revenues under both our previous and new classifications. So you'll have that information, you'll have the ability to adjust your models as you go forward. And there's information on our Investor Relations site. It provides both as reported disaggregation of revenue, payroll and HRS, and the revised disaggregation of revenue management solutions and PEO and insurance services for the past few years.

PEO 收入也反映了我們向 PEO 客戶提供的某些保險產品的毛利。在這個過渡時期，我想強調一點，我們將提供先前分類和新分類下的服務收入資訊。這樣你就能掌握這些訊息，並且能夠在後續工作中調整你的模型。我們的投資者關係網站上也有相關資訊。它提供了過去幾年中收入、工資和人力資源服務 (HRS) 的報告細分數據，以及收入管理解決方案、PEO 和保險服務的修訂細分數據。

Now with that preface out of the way, I'll provide some of the key highlights for the quarter, then provide greater detail in areas. And as usual, I will touch briefly on the results and wrap-up with a review of fiscal 2019 outlook.

現在，在完成前言之後，我將提供本季的一些關鍵亮點，然後對各個領域進行更詳細的闡述。照例，我將簡要介紹業績，並總結 2019 財年的展望。

Total revenue and services grew 9% for the first quarter to $863 million and $846 million, respectively. The growth was aided by the acquisitions of HROI and Lessor. More to come on those.

第一季總營收和服務收入分別成長 9%，達到 8.63 億美元和 8.46 億美元。收購 HROI 和 Lessor 促進了公司的發展。後續會有更多相關內容。

Expenses increased 14% for the first quarter. The acquisitions of HROI and Lessor together contributed approximately 6% to the total expense growth for the first quarter. Accelerated investment in sales, marketing and product development as part of tax reform investments and PEO costs were major factors in expense growth.

第一季支出成長了14%。收購 HROI 和 Lessor 兩家公司合計導致第一季總支出成長約 6%。稅收改革投資和 PEO 成本的增加，加速了對銷售、行銷和產品開發的投資，這是支出成長的主要因素。

Operating income increased 1% to $320 million. Operating margins were 37.1% for the first quarter. Margins were impacted by acquisition expenses, increased investment initiatives, higher growth in PEO costs and the composition of payroll processing days.

營業收入成長1%，達到3.2億美元。第一季營業利益率為 37.1%。利潤率受到收購費用、增加的投資計劃、PEO 成本的更高增長以及工資處理天數構成的影響。

Our effective income tax was 24.5% for the first quarter compared to 34% -- 34.1% for the respective prior year quarter. A significant decline year-over-year in the effective tax rate is, of course, due to tax reform legislation. We anticipate that the effective tax rate will be approximately 24% for the remainder of the year.

第一季我們的實際所得稅率為 24.5%，而去年同期為 34% 至 34.1%。實際稅率年減，當然是因為稅改立法所致。我們預計今年剩餘時間的實際稅率約為 24%。

Net income increased 16% to $244 million for the first quarter, and adjusted net income increased 18% to $242 million. Diluted earnings per share increased 16% to $0.67 for the first quarter, and adjusted diluted earnings per share increased 18% to $0.67.

第一季淨利成長16%至2.44億美元，調整後淨利成長18%至2.42億美元。第一季稀釋後每股收益成長 16% 至 0.67 美元，調整後稀釋後每股收益成長 18% 至 0.67 美元。

I'll provide some additional color now in selected areas and start with the discussion of service revenues. And we'll discuss results under our previous categories and our new service revenue categories. Under our previously reported categories of service revenue, Payroll services revenue growth was 1% for the first quarter, in line with our expectations. Organic growth related to pricing for the first quarter was offset by the impact of client size mix and the composition of payroll processing days within the quarter. If you recall in June, I indicated that payroll revenue growth for Q1 would be below the low end of the range of our guidance.

現在我將對一些特定領域進行更詳細的闡述，首先討論服務收入。我們將討論先前分類和新的服務收入分類下的結果。根據我們先前報告的服務收入類別，第一季薪資服務收入成長了 1%，符合我們的預期。第一季與定價相關的有機成長被客戶規模組合和季度內工資處理天數構成的影響所抵消。如果你還記得的話，我在六月曾表示，第一季的薪資收入成長將低於我們預期範圍的下限。

HRS revenues grew 18%, approximately 12% excluding the HROI acquisition. This growth is due to the growth in clients across our HR products, in particular, Paychex HR Services, ASO and PEO and retirement services.

HRS 營收成長了 18%，若不計入 HROI 收購，則成長約 12%。這一成長歸功於我們人力資源產品（特別是 Paychex 人力資源服務、ASO 和 PEO 以及退休服務）客戶數量的成長。

Now let's talk about management solutions revenue. This includes, as I discussed previously, payroll service revenue together with other HCM products included in many of our product bundles. Management solutions revenue increased 3% to $688 million for the first quarter. This increase was driven by growth in client bases across our HCM services including payroll, ASO, retirement services and time and attendance solutions.

現在我們來談談管理解決方案的收入。正如我之前討論過的，這包括工資服務收入以及我們許多產品組合中包含的其他 HCM 產品。第一季管理解決方案營收成長3%，達到6.88億美元。這一成長是由我們 HCM 服務（包括薪資管理、ASO、退休服務以及考勤解決方案）的客戶群成長所推動的。

Retirement services revenue also benefited from an increase in the asset value of participants' funds. The acquisition of Lessor contributed less than 1% to this growth. This was partially offset -- the growth was partially offset by the impact of unfavorable composition of payroll processing days in the first quarter compared to the prior year quarter, same thing that I mentioned on payroll.

退休服務收入也受益於參與者資金資產價值的成長。收購 Lessor 對此成長的貢獻不到 1%。這種情況部分被抵消了——與上年同期相比，第一季工資處理天數的不利構成影響部分抵消了增長，這與我在工資方面提到的情況相同。

PEO and insurance services revenue increased 39% to $158 million for the first quarter. We acquired HROI near the end of the first quarter of fiscal 2018. The incremental impact of HROI accounts for approximately 1/2 of this growth. The remaining growth was primarily driven by continued strong demand for our combined PEO services as we continued to experience strong growth in the number of client worksite employees. In addition, our insurance services revenue benefited from growth in the number of applicants.

第一季度，PEO 和保險服務收入成長 39%，達到 1.58 億美元。我們在 2018 財年第一季末收購了 HROI。HROI的增量影響約佔此成長的1/2。剩餘的成長主要得益於我們綜合 PEO 服務的持續強勁需求，因為我們的客戶現場員工數量持續強勁成長。此外，由於申請人數的成長，我們的保險服務收入也受益匪淺。

Interest on funds held for clients grew 25% for the first quarter to $17 million, primarily as a result of higher average interest rates earned. And just to pause there for a second, we have assumed that there would be 2 Fed rate increases in this fiscal; there will likely be more, but we only included 2 in our plan. The first occurred this month or last month, I should say, and we anticipate there will be one more at least that's what's contemplated in our plans. As we get to mid-year, we'll talk a little bit more about what our expectation is based on where the Fed is at that point.

第一季度，為客戶持有的資金利息增加了 25%，達到 1,700 萬美元，主要是由於平均利率上升所致。稍作停頓，我們假設本財年聯準會將升息兩次；可能會有更多次，但我們的計劃中只包括了兩次。第一次事件發生在本月或上個月，我們預計還會發生一次，至少我們的計畫中是這麼設想的。到年中時，我們將根據聯準會屆時的政策立場，再詳細談談我們的預期。

Turning to our investment portfolio, our goal, as always, is to protect principal and optimize liquidity. And the short-term side, primary short-term investment vehicles were demand -- bank demand deposit accounts and variable rate demand notes. In our longer-term portfolio, we invest primarily in high credit quality municipal bonds, corporate bonds and U.S. government agency securities.

就我們的投資組合而言，我們的目標一如既往，是保護本金並優化流動性。短期方面，主要的短期投資工具是需求－銀行活期存款帳戶和浮動利率活期票據。在我們的長期投資組合中，我們主要投資於高信用等級的市政債券、公司債和美國政府機構證券。

Our long-term portfolio has an average yield of 1.9%. Average duration is 3.1 years.

我們的長期投資組合平均報酬率為 1.9%。平均持續時間為 3.1 年。

Our combined portfolios have earned an average rate of return of 1.8% for the first quarter, up from 1.4% last year.

我們綜合投資組合第一季的平均報酬率為 1.8%，高於去年同期的 1.4%。

Average balances for interest on funds held for clients were down modestly for the first quarter, primarily driven by the impacts of tax reform on client employee withholdings, partially offset by wage inflation.

第一季客戶資金利息平均餘額略有下降，主要原因是稅改對客戶員工預扣稅款的影響，部分被薪資上漲抵銷。

I'll now walk through our thoughts on our financial position. It remains strong with cash and total corporate investments of $788 million as of the end of the quarter.

接下來，我將闡述我們對公司財務狀況的看法。截至季末，該公司現金及企業總投資額達 7.88 億美元，財務狀況依然穩健。

Funds held for clients were $3.8 billion compared to $4.7 billion as of May 31, 2018. Funds held for clients vary widely, as you know, on a day-to-day basis and averaged $3.7 billion for the first quarter.

截至 2018 年 5 月 31 日，為客戶持有的資金為 38 億美元，而 2018 年 5 月 31 日為 47 億美元。如您所知，為客戶持有的資金每天都有很大的波動，第一季的平均規模為 37 億美元。

Our total available-for-sale investments, included -- including corporate investments and funds held for clients, reflected net unrealized losses of $36 million as of August 31, 2018, compared with $38 million as of May 31, 2018.

截至 2018 年 8 月 31 日，我們的可供出售投資總額（包括公司投資和為客戶持有的基金）反映出未實現淨虧損 3,600 萬美元，而截至 2018 年 5 月 31 日，該虧損為 3,800 萬美元。

Total stockholders' equity was $2.4 billion as of May -- as of August 31, 2018, reflecting $201 million in dividends paid and $33 million of shares repurchased during the first quarter.

截至 2018 年 8 月 31 日，股東權益總額為 24 億美元，其中包括第一季支付的 2.01 億美元股利和回購的 3,300 萬美元股票。

Our return on equity for the past 12 months has been a stellar 45%. Please note that our return on equity calculation was adjusted to reflect the impacts of the adoption of ASC 606. At fiscal 2018 year-end, we reported 46% return on equity, which would be actually 44% on a restated basis because of those changes made by ASC 606.

過去 12 個月，我們的股本回報率高達 45%。請注意，我們的權益報酬率計算已進行調整，以反映採用 ASC 606 的影響。2018 財年末，我們報告的股本回報率為 46%，但由於 ASC 606 的變更，按重述後的實際回報率為 44%。

Cash flows from operations were $274 million for the first quarter. It was a decline versus the prior year quarter. The change was primarily a result of timing impacts within working capital, largely related to income taxes and our PEO payroll and related unbilled receivables for payrolls, not yet processed as of the reporting day offset by higher net income.

第一季經營活動產生的現金流量為2.74億美元。與去年同期相比有所下降。這項變更主要是由於營運資金的時間表受到影響，主要與所得稅、我們的 PEO 工資以及截至報告日尚未處理的相關未開票應收工資有關，但被更高的淨收入所抵消。

Fiscal 2019 guidance. Now I'll turn to guidance for the upcoming fiscal year ending May 31, 2019. I'll remind you that our outlook is based upon our current view of economic conditions continuing with no significant changes. Our guidance for fiscal 2019 is unchanged from what was provided in June, which was given reflecting adoption of ASC 606. Under our previous revenue categories, there's no change to payroll revenue guidance in the range of 2% to 3% and HRS revenue guidance in the range of 10% to 11%.

2019財年業績指引。現在我將展望截至 2019 年 5 月 31 日的下一個財政年度。我在此提醒各位，我們的展望是基於我們對當前經濟狀況持續不變的預期。我們對 2019 財年的業績指引與 6 月發布的指引相同，當時發布的指引反映了 ASC 606 的採用。根據我們先前的收入類別，薪資收入預期在 2% 到 3% 的範圍內保持不變，HRS 收入預期在 10% 到 11% 的範圍內保持不變。

Payroll services revenue was below the low end of the range in the first quarter as anticipated due to the composition of payroll processing days.

由於薪資處理天數的組成，第一季薪資服務收入如預期般低於預期範圍的下限。

Growth in payroll revenue will be at or above the high end of the range for Q2 and Q3; and Q4 is anticipated to be within the range.

第二季和第三季薪資收入成長將達到或超過預期範圍的高端；預計第四季也將在預期範圍內。

HRS revenue growth for the first quarter was significantly higher than the range due to the timing of the HROI acquisition. Growth for Q2 and Q3 is anticipated to be within the range. For Q4, growth is anticipated to be at the low end of the range due to a more challenging compare caused by the strong growth in the PEO in the latter part of fiscal 2018. We'll also provide you with revenue guidance under our new categories as we transition to this approach in the future.

由於 HROI 收購的時機，HRS 第一季的營收成長明顯高於預期範圍。預計第二季和第三季的成長將在該範圍內。由於 2018 財年下半年 PEO 業務的強勁成長，導致基數較高，預計第四季的成長將處於區間低端。未來，隨著我們逐步過渡到這種方法，我們也會根據新的分類向您提供收入指導。

Management solutions revenue is anticipated to grow by approximately 4% for fiscal 2019 as compared to fiscal 2018. Our Q1 results were obviously lower than this due, as I mentioned before, to the composition of payroll processing days. We anticipate that Q2 and Q3 will be above 4%, and we anticipate that Q4 will be in line with the full year guidance.

預計 2019 財年管理解決方案營收將比 2018 財年成長約 4%。正如我之前提到的，由於薪資處理天數的組成，我們第一季的業績顯然低於這個數字。我們預計第二季和第三季將超過 4%，並預計第四季將與全年預期保持一致。

PEO and insurance services revenue is anticipated to grow in the range of 18% to 20%. Growth in the first quarter was obviously significantly higher due to the timing of the HROI acquisition. We anticipate that growth for Q2 and Q3 will be in the range of 15% to 17%, and for Q4 in the range of 11% to 13% due to the factors that I mentioned before, i.e., a challenging comparison with strong PEO growth in the latter part of fiscal 2018. All other guidance remains unchanged.

PEO 和保險服務收入預計將成長 18% 至 20%。由於 HROI 收購的時機恰到好處，第一季的成長明顯更高。我們預計第二季和第三季的成長率將在 15% 至 17% 之間，第四季的成長率將在 11% 至 13% 之間，這是由於我之前提到的因素造成的，即 2018 財年下半年 PEO 業務強勁成長帶來的挑戰性比較。其他所有指導原則保持不變。

Finally, just as a reminder, we have provided on our IR website a presentation entitled service revenue disaggregation, which reflects historical revenues as originally reported and as they would be under the new categories. We've also published an updated presentation entitled impacts of ASC 606 and other items that reflects the impacts of adoption of 606 and other non-GAAP adjustments for fiscal 2017 and fiscal 2018.

最後，提醒一下，我們在投資者關係網站上提供了一份名為「服務收入細分」的演示文稿，其中反映了最初報告的歷史收入以及在新類別下的收入。我們還發布了一份更新的演示文稿，題為“ASC 606 的影響及其他項目”，反映了 2017 財年和 2018 財年採用 606 及其他非 GAAP 調整的影響。

And with all of that, I will turn it now back to Marty.

說完這些，我現在就把麥克風交還給馬蒂。

All right, thank you, Efrain. Operator, we'll now open up the call to questions, please.

好的，謝謝你，埃弗雷恩。接線員，現在開始接受提問。

(Operator Instructions) Our first question will come from the line of Bryan Keane with Deutsche Bank.

（操作員說明）我們的第一個問題將來自德意志銀行的布萊恩·基恩。

Solid results. Just wanted to ask about the margins, they came in a little bit better than expected. I'm wondering if that had to do with some timing of investments, because I think the full year operating margins were reiterated?

結果令人滿意。我只是想問一下利潤率的情況，結果比預期的好一些。我懷疑這是否與投資時機有關，因為我記得他們重申了全年的營業利潤率？

Yes, Bryan, I'd say that investments in Q1 were a little bit lower, they were planned that way. So this wasn't different. Investments were a little bit lower in first quarter than they will be in subsequent quarters; that was one. And then revenue was a little bit better than we had originally anticipated in the quarter. So a combination of those 2 drove margins a bit better than we anticipated.

是的，布萊恩，我認為第一季的投資略低，這是事先計劃好的。所以這次也沒什麼不同。第一季的投資額略低於之後幾季的水平；這是其中之一。而且，該季度的收入比我們最初預期的要好一些。因此，這兩項因素結合起來，使利潤率比我們預期的要好一些。

Okay. And then just in particular on ASO and PEO strength, it looks like that those trends continue, in particular, just curious if there are any callouts? And then Efrain, when we get towards the end of the year, I know it gets a little more challenging on comps. So does that mean that, that 11% to 13% is a more normalized range for those -- for the PEO business and insurance business as we go forward past this fiscal year?

好的。特別是就 ASO 和 PEO 實力而言，這些趨勢似乎仍在繼續，我很好奇有沒有特別需要指出的地方？然後，埃弗雷恩，到了年底的時候，我知道比賽會變得更具挑戰性。那麼，這是否意味著，對於 PEO 業務和保險業務而言，11% 到 13% 是一個更正常的範圍，尤其是在本財年之後？

You know, Bryan, I knew when I put out that number and those ranges just so everybody could be centered I'd get that question. I don't know the answer to that at this point. I think, I'll talk to that as we get closer to Q2 and Q3. We had an exceptionally strong back half of the year. So I'll have to see. The -- we have some momentum in PEO. And we have a degree of conservatism in the way we look at the information. So I'll hold out on commenting whether that's the run rate going into next year.

布萊恩，你知道嗎，我知道當我公佈那個數字和那些範圍，以便讓每個人都能找到中心點時，我肯定會被問到這個問題。目前我還不知道答案。我想，等到第二季和第三季臨近的時候，我會談到這個問題。我們下半年的表現異常出色。那我得看看情況。我們在PEO方面取得了一些進展。我們在看待資訊的方式上也持一定程度的保守態度。所以我暫時不評論這是否是明年的正常水平。

Your first question was any callouts on PEO, I'll just let Marty...

你的第一個問題是關於PEO的任何公開批評，我這就讓馬蒂來回答…

Yes, I think just -- Bryan, just that we continued as we said -- as Efrain just said, we had a strong back half of last year. That continued right into the first quarter. We're finding a lot of success with the PEO and ASO both from an HR outsourcing perspective. And the integration with HROI has gone very well and, frankly, has complemented us and our teams and the leadership, I think, very well. So we've really picked up -- continued to have some great momentum in the first quarter. So right now, the callouts are that there's a great need for the PEO and the ASO products. And we're capturing the sales for that need. So we're very pleased with the work that those guys have been doing.

是的，我認為——布萊恩，就像我們之前說的那樣——就像埃弗雷恩剛才說的，我們去年下半年表現強勁。這種情況一直持續到第一季。從人力資源外包的角度來看，我們發現 PEO 和 ASO 都取得了巨大的成功。與 HROI 的整合進展非常順利，坦白說，我認為它對我們、我們的團隊和領導層都起到了很好的補充作用。所以我們確實取得了進展——在第一季繼續保持了良好的發展勢頭。所以目前來看，市場對 PEO 和 ASO 產品的需求非常大。我們正在抓住這項銷售需求。所以我們對他們的工作非常滿意。

Our next question comes from the line of David Grossman with Stifel.

我們的下一個問題來自 Stifel 的 David Grossman 的產品線。

So just -- I'm wondering if you could go back to the PEO for a minute. And I don't know if you can just focus on the PEO, excluding the other insurance business. But can you help us understand the components of the growth that you're anticipating for this year, broken down -- how much of that is unit growth versus pass-through versus maybe pricing and other items that may be impacting the growth rate year-over-year?

所以——我想問您能否回 PEO 一分鐘。我不知道你是否可以只專注於 PEO（專業雇主組織），而排除其他保險業務。您能否幫助我們了解您預計今年成長的組成部分，並將其細分為：其中有多少是單位成長，有多少是成本轉嫁，又有多少是價格和其他可能影響同比成長率的因素？

You know, David, here's what I'd say, the -- what we're experiencing is strong growth in worksite employees that continued into first quarter. So it's not primarily pricing-driven. It's really much more driven by volume of clients. So we're not -- and we're not anticipating any significant stead up -- step up, I'm sorry, in the rate of attach on health care. So it's not that we're getting a little bit more contribution from pass-throughs. It's really more volume-driven. And, I got a lot of calls or we got a lot of questions about whether our worksite employee growth was real or how real it was and how sustainable, more than that not how real. And we had strength in the back half of the year and that's continuing as we start the year.

你知道，大衛，我想說的是，我們目前經歷的是工作場所員工數量的強勁增長，這種增長勢頭一直延續到第一季。所以這主要不是價格驅動的。實際上，客戶數量才是主要驅動因素。所以，我們不會——而且我們也不預期在醫療保健方面的投入速度上有任何顯著的提升——抱歉，是提升。所以並不是說我們從轉嫁款項中獲得了更多的貢獻。實際上，銷量才是主要驅動因素。而且，我接到了很多電話，或者我們收到了很多關於我們工作場所員工成長是否真實、有多真實以及是否可持續的問題，更重要的是，不是有多真實。我們在下半年表現出色，而且這種勢頭在新年開始時仍在延續。

Yes, I think, you can really see it in the -- because when you think about it, the worksite employee growth is double-digits as well. So it's continued to be very strong. Not only the sales of -- from new sales but also the existing bases is continuing to grow. So we're getting a little uptick on the economy from those slightly larger businesses, I guess I'd say, midmarket-size PEO client.

是的，我認為，這一點確實可以從——因為仔細想想，工作場所的員工成長率也是兩位數。所以它一直保持著非常強勁的勢頭。不僅是新銷售額，現有客戶的銷售額也在持續成長。所以，我們從那些規模稍大的企業，我猜應該說是中型市場規模的 PEO 客戶那裡，看到了經濟的些許回溫。

And David, one other thing that I'd like to add, because this is probably not what was true 5 or 6 years ago, we get a lot of PEO clients outside of the base. So when you see the growth, a lot of that's coming from outside the Paychex PEO -- Paychex payroll base. So we're winning both inside the base and outside the base.

大衛，我還想補充一點，因為這可能與 5 或 6 年前的情況不同，我們現在有很多 PEO 客戶來自基地以外的地方。所以，當你看到成長時，很多成長都來自 Paychex PEO（Paychex 薪資庫）以外。所以我們在壘內和壘外都取得了勝利。

And just to confirm, since you -- the way your disclosure is set up, the actual WSE growth that you're quoting now is actually an organic number, right, because you had HROI at the end of last -- fiscal first quarter last year as well. Correct?

另外，為了確認一下，由於你們的披露方式，你們現在引用的 WSE 實際增長實際上是一個有機增長數字，對吧，因為你們在上個財年第一季末也有 HROI。正確的？

WSE growth or revenue growth?

WSE 成長還是營收成長？

Worksite employee growth.

工作場所員工成長。

WSE growth?

WSE成長？

Yes, I'm sorry. Yes.

是的，我很抱歉。是的。

Organic is double-digit.

有機產品銷售量達到兩位數。

Yes, yes, correct.

是的，是的，沒錯。

Right, got it, okay, great. And then just to -- you gave us some good guidance on the growth and the cadence as the year goes by. Do processing days normalize at all as the year goes on? Or is that just this year or 1 quarter issue with no real impact, you know, to the balance of the year?

好的，明白了，太好了。然後，您也為這一年的發展和節奏給了我們一些很好的指導。隨著時間推移，處理時間是否會趨於正常？或者這只是今年或本季的問題，對今年剩餘時間沒有實際影響？

Well. We never recover that one heavy processing day. And the impact on payroll services revenue is about $5 million from that one day, so we never recover it. And then you have, kind of, the normal ups and downs you might have in a given quarter, which is why the other quarters look so different from Q1.

出色地。我們永遠無法彌補那一天繁重的處理工作。光是這一天就對工資服務收入造成了約 500 萬美元的影響，我們永遠無法彌補這筆損失。然後，你會發現，在一個季度內，正常的起伏波動是正常的，這就是為什麼其他季度與第一季看起來如此不同的原因。

All right. So just 1Q is the $5 million and nothing else through the balance of the year?

好的。所以只有第一季有500萬美元，今年剩餘時間就沒有其他款項了嗎？

Yes, just to be clear because I'll get this question. We're not saying there's 1 less day, it's really just the composition of a heavier processing day in Q1 that we lost. And then the rest of the year is normal, which will mean you've got some -- a little bit more in 1 quarter, a little bit less in other quarters and -- but it'll look like a normal year.

是的，我這麼說只是為了避免被問到這個問題。我們並不是說少了一天，實際上只是因為第一季處理量較大的一天而被耽擱了。然後，今年的其餘時間就正常了，這意味著某個季度會稍微多一些，其他季度會稍微少一些，但看起來就像正常的一年。

Got it. And then just one last quick question on the competitive dynamic. One of, kind of, nontraditional competitor came out with a, kind of, revised payroll solution during the quarter. I think, it's been out there, so it's really not terribly new. But I guess the reason I bring it up is that in the past, point-of-sale usually goes into small business before payroll. And I'm just curious whether -- how you're thinking about that if, in fact, the point-of-sale competitor comes in with a stronger solution? And how that may impact you given that typically the cash register, if you will, goes in before the payroll system?

知道了。最後，關於競爭格局，我還有一個簡短的問題。本季度，一家非傳統競爭對手推出了經過改進的薪資解決方案。我認為，它早就存在了，所以其實也不算什麼新鮮事。但我之所以提起這件事，是因為在過去，銷售點系統通常是在小企業發放薪水之前就投入使用的。我只是好奇，如果銷售點競爭對手真的推出了更強大的解決方案，您會怎麼想？考慮到通常情況下，收銀機（或薪資系統）的資料會在薪資系統之前處理，這會對你產生什麼影響？

Yes.

是的。

David, this is Marty. You're absolutely right. I mean that's how it's always been. And of course, other competitors have been out there with those solutions for a while. This one is not a new one, a lot was made about it and -- but it's a mobile version of something they've had for a number of years. It doesn't support all the states and it's not as complex, obviously, as close to our offering. You have to do payroll many days ahead. So I don't -- at least, in this instance, I don't see it as any big change from a competitive standpoint.

大衛，這是馬蒂。你說得完全正確。我的意思是，一直以來都是這樣。當然，其他競爭對手也早就推出了類似的解決方案。這並不是什麼新鮮事，之前也曾對此進行過很多報導——但它只是他們多年來一直擁有的產品的行動版本。它不支援所有州，而且顯然不如我們的產品複雜。你需要提前很多天進行工資結算。所以，至少就目前而言，我不認為從競爭角度來看，這會有任何重大變化。

And you're right that in, kind of, that point-of-sale typically, because we're selling -- we're also selling, through a partner, those solutions -- payment solutions. We find that, that is something that they take upfront and then payroll comes along a little bit later. So we've experienced that ourselves, so we can be selling it. We actually unseat more payment solutions, because they already have them before they ever talk about payroll with us. So we don't see that as a big change at this point.

你說得對，在銷售點，通常是這樣，因為我們正在銷售——我們也透過合作夥伴銷售這些解決方案——支付解決方案。我們發現，這是他們預先支付的費用，薪資發放則稍晚一些。我們自己經歷過，所以我們才能推銷它。實際上，我們取代了更多支付解決方案，因為在與我們討論工資發放之前，他們就已經擁有了這些解決方案。所以目前我們並不認為這是一個很大的改變。

Again, a number of competitors have been out there. And this one really wasn't that big of a change or anything close to the competitiveness that we have. It's a mobile payroll solution. It doesn't, I don't believe, even have employee access, which is what many companies are looking for now on a mobile basis.

同樣，市場上已經湧現許多競爭對手。而這次的改變其實也不算大，也遠遠達不到我們現在的競爭力水準。這是一個行動端薪資解決方案。我不認為它有員工存取權限，而這正是許多公司現在在行動端所需要的。

And if I -- just more concretely or beyond what adding -- building on what Marty said. Look, I mean, we have a really competitive offering in the micro-enterprise space, and we'll be talking as we go through the year about some really significant enhancements to the product that we think will put us certainly at the forefront of what's happening on the low end of the DIY, SaaS part of the market.

如果我──更具體地說，或者說，在馬蒂所說的基礎上──繼續闡述。你看，我的意思是，我們在微型企業領域擁有非常有競爭力的產品，而且在今年裡，我們將討論對產品進行一些非常重要的改進，我們認為這些改進肯定會使我們在DIY、SaaS市場的低端領域處於領先地位。

We're doing really well in that part of the business. It was really, really surprising to us what the -- the reaction that occurred as a result of that, because it -- we don't see any of that in our numbers. As a matter of fact, in the past 6 months, we've been building momentum in that part of the market. So everyone's entitled to make their own opinion as to what a press release makes. Unfortunately from the standpoint of the facts, we're not seeing any impact. And so I just want to make that very clear.

我們在這項業務方面做得非常出色。這件事引發的反應真的讓我們非常非常驚訝，因為我們的數據中並沒有出現這種情況。事實上，在過去的6個月裡，我們一直在該市場領域累積勢頭。所以每個人都有權利對新聞稿的角色發表自己的看法。遺憾的是，從事實來看，我們並沒有看到任何影響。所以我想把這一點說清楚。

But I guess the following relate to that, does this change, at all, your appetite to be in the merchant acquiring business? Or is that really -- has that really not changed?

但我想接下來的問題與此有關，這是否會改變您對商家收單業務的興趣？難道真的——難道真的沒有改變嗎？

No, I mean, we're still -- we're selling, and our sales have done very well. We have an inside team that sells through a couple of partners now and have continued to do well. But as far as getting into a full-fledged doing the processing itself of the payment, I don't think so. There's not a great interest there. But as you know, the company dynamics are very different, the financials are very different. And I don't think it makes a huge difference from the payroll side on the front end.

不，我的意思是，我們仍然在銷售，而且銷售情況非常好。我們有一個內部團隊，現在透過幾個合作夥伴進行銷售，而且業績一直不錯。但要全面負責支付處理本身，我認為不太可能。那裡的人們對此興趣不大。但如你所知，公司的運作方式截然不同，財務狀況也截然不同。我認為這從前期工資方面來說不會造成太大影響。

Frankly, we've had better experience with having the payroll and then unseating an existing competitor in the payment space because we can -- because those rates constantly are changing and we can give them a little bit better product. And frankly, sometimes it offsets the cost of payroll or other products. So we're in it, but I think we're in it at the right level right now.

坦白說，我們在薪資發放方面更有經驗，然後我們能夠取代支付領域的現有競爭對手，因為我們有能力做到這一點——因為這些費率不斷變化，我們可以為他們提供更好的產品。坦白說，有時候它甚至可以抵銷工資或其他產品的成本。所以我們已經參與其中，但我認為我們現在所處的階段正合適。

Our next question will come from the line of Tim McHugh with William Blair.

我們的下一個問題將來自蒂姆·麥克休和威廉·布萊爾的對話。

I guess 2 questions on the PEO business. I guess one is, just somewhat of a follow-up. I guess the WSE growth at double-digits versus the 19%, I guess, organic growth. It seems double-digits doesn't sound quite as high as 19%. So what's the, kind of, revenue per WSE? Maybe talk about that in terms of that driving incremental growth. Maybe -- I'll stop there first.

我想問兩個關於PEO業務的問題。我想其中一個算是後續吧。我猜WSE的成長是兩位數，而有機成長大概是19%。兩位數聽起來似乎沒有 19% 那麼高。那麼，每個WSE的收入大概是多少呢？或許可以從推動漸進式成長的角度來談談這個問題。或許——我先到此為止。

Yes, so we don't disclose the revenue per WSE number, Tim. We will talk to that as we go through the year. The -- it doesn't sound impressive, because when we said organic was 19%, remember that the base now, including HROI, increases the number of WSEs, it's still pretty strong. So I wouldn't take that as an implication that growth is somehow decelerating. Because now, when we talk about organic, we're talking about the inclusion of HROI in the base, which adds more WSEs. And so we're talking about a more apples-to-apples comparison. So -- and then, as we talk -- as we walk through the year, we'll talk more about revenue per worksite employee.

是的，所以我們不會披露每個 WSE 號碼的收入，Tim。我們將在今年的工作中討論這個問題。這聽起來並不令人印象深刻，因為我們之前說過有機成長率為 19%，但請記住，現在的基數，包括 HROI，增加了 WSE 的數量，它仍然相當強勁。所以，我不會將此解讀為成長正在放緩的暗示。因為現在，當我們談論有機成長時，我們指的是將 HROI 納入基礎，這會增加更多的 WSE。這樣一來，我們才能進行真正意義上的同類比較。所以——然後，隨著我們回顧這一年，我們將更多地討論每個工作場所員工的收入。

Is the implication of that last comment, that I guess HROI wouldn't be growing as fast as your organic? Is that what you're saying to it now that it's rolled in?

最後那句話的意思是，HROI（人力資源投資報酬率）的成長速度可能不如你的自然成長速度快嗎？現在它被捲進來了，你就是想對它這麼說嗎？

No, the implication of that is that now you've got a larger base on which to calculate growth. So the 19% was on the Paychex business itself. That was the organic comparison. And now we roll in the HROI base to our clients. And so the growth rate, obviously, is a little bit lower, because you got a bigger base on what you're calculating the growth.

不，這意味著現在你有了更大的基數來計算成長。所以，這 19% 的利潤是來自 Paychex 本身的業務。這是有機物的比較。現在，我們將 HROI 基礎資料提供給我們的客戶。因此，成長率顯然會略低一些，因為計算成長率的基數較大。

Yes, and we didn't really need to -- didn't mean to imply that double-digits means at the low end of the digits, so...

是的，我們其實沒必要那樣做──並不是說兩位數就代表數字很小，所以…

Okay. And then, I guess, a broader question just, you're breaking PEO and insurance out into separate segments. I get it's somewhat driven by the revenue disclosures. But also even just this call, a lot of discussion of it -- this business, and you've talked about a lot of momentum in it. So -- yet it's still a smaller piece relative to your business. I know, it's been clearly an area of expansion, I guess. Should we read anything into, I guess, how important this is going to be strategically to Paychex in terms of your focus? And where the investment dollars are going over the next 3 years, given all those factors?

好的。然後，我想問一個更廣泛的問題，你們是將 PEO 和保險業務拆分成不同的部分嗎？我明白這在某種程度上是受收入揭露的影響。但即便只是這通通話，也進行了許多討論——關於這個行業，你也談到了它的發展勢頭。所以——但相對於你的業務而言，它仍然只佔很小一部分。我知道，這顯然是一個正在擴張的領域。我想，我們是否應該從中解讀出，這對 Paychex 的策略發展重點來說有多重要？考慮到所有這些因素，未來三年投資資金將流向何處？

Well I think you certainly could read into it, that we think that's an important part of our business going forward. The HR outsourcing has been very important and the PEO has picked up momentum really the last 2 or 3 years, in particular, from -- even from the clients' standpoint from accepting what a PEO is and understanding. The competition that's out there, I think, has also helped drive that, understanding that what a PEO is and how that can assist them. The changes in insurance have driven that.

嗯，我認為你當然可以從中解讀出，我們認為這是我們未來業務發展的重要組成部分。人力資源外包非常重要，尤其是在過去兩三年裡，PEO（專業雇主組織）發展勢頭迅猛，甚至從客戶的角度來看，他們也開始接受和理解PEO是什麼。我認為，市場上的競爭也推動了這一趨勢，讓企業了解了 PEO 是什麼以及它如何幫助他們。保險業的變革是造成這種情況的原因。

So yes, I think, you'll see us continue to make investment in that business. And we do think, we wouldn't break it out as a segment with insurance unless we thought it was a growing -- certainly a growing piece of the -- a significantly growing piece of the business. And it had different dynamics due to -- obviously to the financials that we like to call out as well.

所以，是的，我認為，你會看到我們繼續對該業務進行投資。而且我們認為，除非我們認為保險業務正在成長——當然，正在成長——正在顯著成長——否則我們不會將其作為單獨的業務板塊單獨列出。而且，由於——顯然也由於我們喜歡提到的財務因素——它的發展動態也不同。

Okay, maybe actually one more on that, the dynamics part -- sorry, I raised the question, just the margins on that side of the business. Can you comment at all, is it different versus the other segment as we think about the growth of that segment?

好的，或許還可以再補充一點，關於動態部分——抱歉，是我提出了這個問題，只是想了解一下這方面的業務利潤率。您能否就此發表一下看法，當我們考慮該細分市場的成長時，它與其他細分市場有何不同？

Yes, Tim, so we'll talk more as it is the first quarter reporting on it. But obviously because PEO is bundled with insurance -- or not bundled with insurance, but presented with insurance, and PEO has pass-through cost, it's lower than the overall company margin and management solutions is higher. We'll have to go through the year and, kind of, see where rates normalize. But it's fair to say, it is lower than overall company margins.

是的，提姆，我們會就此進行更多討論，因為這是第一季的報告。但顯然，由於 PEO 與保險捆綁在一起（或雖然沒有與保險捆綁在一起，但以保險的形式呈現），而且 PEO 有轉嫁成本，因此其利潤率低於公司整體利潤率，而管理解決方案的利潤率則更高。我們得觀察一年的時間，看看利率最終會恢復到什麼程度。但公平地說，它低於公司整體利潤率。

Our next question will come from the line of James Faucette with Morgan Stanley.

我們的下一個問題將來自摩根士丹利的詹姆斯·福塞特。

I just wanted to follow-up on the question related to, kind of, the crossover. And you've made it clear that like merchant acquiring, et cetera, is a different business. But I am wondering if there is opportunity? Or how you think about like the selling motion to continue to make sure that Paychex has the best opportunity to win on the business where you do want it; especially as the way people are setting up business -- new businesses, et cetera -- seems to be changing?

我只是想就跨界融合相關的問題做個後續討論。您已經明確表示，像商家收單等業務是不同的業務。但我很想知道是否存在機會？或者，您如何考慮銷售策略，以確保 Paychex 在您想要的業務領域擁有最佳的獲勝機會；尤其是在人們建立業務（例如新業務）的方式似乎正在改變的情況下？

Yes. I hope I got the question, you mean specific to the payment business, payment with payroll?

是的。我希望我了解你的問題，你指的是支付業務方面，例如薪資支付？

Yes, just as people are starting to think about as they set out new business, especially smaller businesses, that they may be looking for one-stop shop. And I can understand what you're talking about in terms of where merchant acquiring maybe doesn't fit within Paychex. But I think perhaps what people are expressing as some concern about is like what that selling motion looks like or needs to look like so you can get the best opportunity to win new business?

是的，正如人們在創辦新企業時，特別是小型企業時，開始考慮他們可能正在尋找一站式服務一樣。我明白你的意思，商家收單業務可能不適合 Paychex。但我認為，人們表達的一些擔憂或許在於，銷售過程應該是什麼樣的，或是需要是什麼樣子，才能獲得贏得新事業的最佳機會？

Yes, I think -- one, I think we are very much at the front end. I would just say, our experience has been that with the payment solutions that we do have a payment solution through 2 partners. We're, I think, very effective at it. That sales team has grown. It's all an inside team, so we get referrals from the field. And we have, of course, one of the largest field-based selling teams out there in payroll and HR. And so, when we run into brand-new clients, we can certainly refer them back to that team to sell payment now and then build a relationship to payroll. But we also, more times than that, have payroll first and then unseat the payment solution.

是的，我認為——首先，我認為我們正處於非常早期的階段。我想說的是，根據我們的經驗，我們目前透過兩家合作夥伴提供支付解決方案。我認為我們在這方面非常有效。銷售團隊規模擴大了。我們都是內部團隊，所以我們都是從第一線員工那裡獲得推薦。當然，我們在薪資和人力資源領域也擁有規模最大的現場銷售團隊之一。因此，當我們遇到新客戶時，我們當然可以把他們介紹給那個團隊，讓他們先銷售支付服務，然後再建立薪資管理方面的關係。但是，很多時候，我們都是先發薪水，然後再考慮支付解決方案。

On the other hand, I would tell you that a lot of the work that we're doing now on the front end is to be able to get at those clients where they come to us on the web. So you're seeing a lot more web-based -- coming in through the web and then selling them whatever they need at that point, whether that's payment, payroll or a combination of that with HR. So I think we're well positioned very much to get those businesses at the very much the front end of when they're searching. And more of our dollars, frankly, have shifted to marketing and to web development and lead gen -- and demand generation than ever -- than any time in our history because of that, because of the way the whole sales approach is.

另一方面，我想說的是，我們現在在前端所做的許多工作都是為了能夠接觸到那些透過網路找到我們的客戶。所以你會看到更多基於網路的——透過網路進入市場，然後向他們銷售他們當時需要的任何東西，無論是支付、工資還是人力資源方面的組合。所以我認為我們處於非常有利的位置，能夠在企業進行搜尋的最初階段就吸引到他們。坦白說，由於整個銷售方式的改變，我們比以往任何時候都投入了更多的資金用於行銷、網站開發、潛在客戶開發和需求創造。

So -- and Efrain mentioned, SurePayroll, a component of ours out of Chicago, obviously, is also -- we're working on some things that we'll be releasing and talking about in the next quarter or 2 that, I think, will help that even more.

所以——正如 Efrain 所提到的，SurePayroll 是我們位於芝加哥的一個組成部分，顯然——我們正在開發一些我們將在接下來的一個或兩個季度發布和討論的東西，我認為這將對此有更大的幫助。

The other thing is, we have been involved with merchant services over the past 5 years. And I think we've got a pretty good understanding of the dynamics of how that sale occurs and how it occurs with payroll. So I think between SurePayroll and what we do on the merchant side, we're in a position to see if that starts to tilt or to tip and take the appropriate action. Right now, though, I just want to emphasize that, we're not seeing that. And a lot of the dynamics that we saw 5 years ago still remain. Now what happens in the future, we'll monitor and see what's going on.

另外，過去五年我們一直從事商家服務的工作。我認為我們已經相當清楚地了解了銷售是如何發生的，以及它如何與工資發放聯繫起來。所以我認為，憑藉 SurePayroll 和我們在商家方面所做的工作，我們能夠看到這種情況是否開始傾斜或發生轉變，並採取適當的行動。不過，我現在只想強調一點，我們還沒看到這種情況。5年前我們看到的許多動態仍然存在。至於未來會發生什麼，我們會密切注意並觀察事態發展。

Great. That's really reassuring. And I guess on your, kind of, online customer acquisition and referral efforts and what you're putting in there, any even qualitative color you can share with us about the effectiveness of that versus the traditional sales force? And maybe how that has been changing? And what kind of further improvements you may be able to make at least on what those metrics look like?

偉大的。這真是令人安心。那麼，關於你們的線上客戶獲取和推薦工作，以及你們投入的資源，你們能否分享一些定性方面的信息，例如這些工作與傳統銷售團隊相比的有效性？或許這種情況發生了什麼樣的變化？那麼，至少從這些指標來看，你還有哪些可以再改進的地方呢？

Yes, sure, I think it's been a very significant change over -- particularly, over the last year. We've moved more leads to a virtual team inside for the smallest of clients, those who were starting up 1 to 4. We used more of virtual teams or telephonic sales, because that's the way the client in those small areas, in particular, their leads come in. They want to be addressed very quickly. We've really become much more sophisticated in our lead generation and the way we're scoring leads and then communicating with prospects who aren't ready to buy yet. Those used to all be, kind of, in a bucket with all the leads being the same. That is not the way it's done anymore.

是的，當然，我認為這是一個非常重大的變化——尤其是在過去一年。我們已經將更多潛在客戶轉移到內部虛擬團隊，用於那些規模最小的客戶，也就是那些只有 1 到 4 名員工的新創公司。我們更多地使用虛擬團隊或電話銷售，因為在這些規模較小的地區，客戶主要是透過這種方式獲得潛在客戶。他們希望盡快得到解決。我們在潛在客戶開發、潛在客戶評分以及與尚未準備購買的潛在客戶溝通方面，都變得更加成熟和完善。以前這些東西，基本上都放在一個桶子裡，所有的線索都一樣。現在不這麼做了。

We know when someone just comes in, we know where they start and stop. Looking at our product, they know if we've been compared to somewhere else, we know if they've looked at pricing or not. And we can respond telephonically much faster with much better data targeted right at that client. And we're set up to demo and sell over the phone or through chat very quickly.

我們知道當有人進來時，我們知道他們的活動範圍。他們透過查看我們的產品，知道我們是否與其他產品進行了比較，我們也知道他們是否查看了價格。而且我們可以透過電話更快回應，並提供更精準、更準確的數據，直接針對客戶。我們已做好充分準備，可以透過電話或聊天快速進行演示和銷售。

So the dynamics have changed quite dramatically, particularly, for the inbound, web search and low-end client. And I think we've really -- last year, we, kind of, started this toward the beginning of the year, actually in the fourth quarter of the year before, and we really have picked up momentum in the last 6 months. And I think we've really fine-tuned this to where it's working very well.

因此，市場動態發生了相當大的變化，尤其是對於入站流量、網路搜尋和低端客戶而言。我認為我們真的——去年，我們實際上是在年初，也就是前一年的第四季開始這項工作的，並且在過去的6個月裡，我們真的獲得了發展勢頭。我認為我們已經對它進行了非常精細的調整，現在它運行得非常好。

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

接下來，我們將向高盛的吉姆·施耐德提出一個問題。

Maybe Marty, if you could talk through -- I think, you've touched on some of them, but maybe talk through the remaining product and service initiatives you've got underway for the fiscal year? And maybe share what goals you might have in terms of retention rates exiting this fiscal year? If you could give us any color on that, that would be great.

馬蒂，如果你能詳細談談——我想你已經談到了一些，但能不能再談談你在本財年正在進行的其他產品和服務計劃？或許也可以分享一下，在本財年結束時，您在客戶留存率上有哪些目標？如果你能提供一些相關信息，那就太好了。

I'll start with the latter. Certainly our goal is always to be at the best we've ever been. I think we're approaching that from a client-retention level. First quarter doesn't make the year. But we certainly have seen continuous improvement in the -- our Net Promoter Scores and our satisfaction surveys, which have been translated into even better retention. And we went through a pretty big service, kind of, realignment 2 years ago that really settled out through last year. And we really feel like all of that is behind us now and has worked very effectively in how we're servicing clients in different ways with different teams.

我先從後者說起。當然，我們的目標始終是做到我們有史以來最好的狀態。我認為我們是從客戶留存的角度來解決這個問題的。第一季業績並不能決定全年業績。但我們確實看到淨推薦值和滿意度調查持續改善，這轉化為更好的客戶留存率。兩年前我們經歷了一次相當大的服務調整，並在去年真正穩定下來。我們現在真的感覺這一切都已成為過去，而且這種模式在我們如何透過不同的團隊以不同的方式為客戶提供服務方面也發揮了非常有效的作用。

We've also added a lot of technology for the retention, so we've put in a whole new unified communications system across all of our branches and locations. We collect a lot more data. I know a lot more about the clients, what they're looking at, what their history has been before I ever talk to them when they're calling in. So -- and of course, we've continued to use a lot of data analytic models to anticipate if a client is possibly going to leave us or not, and then do proactive calling to them. So our goal is certainly to have the best retention ever in our history, and we hit that peak about 2 years ago, 2.5, and we're slightly below that and aiming for more.

我們也增加了許多用於客戶留存的技術，因此我們在所有分公司和地點都部署了一套全新的統一通訊系統。我們收集了更多數據。在客戶打電話來之前，我就已經對他們有了更多的了解，知道他們在尋找什麼，他們的過往經歷等等。所以——當然，我們一直在使用大量的數據分析模型來預測客戶是否有可能離開我們，然後主動打電話給他們。所以我們的目標當然是實現公司歷史上最好的用戶留存率，我們在大約兩年前達到了這個峰值，2.5，現在略低於這個水平，我們的目標是更高。

From a product standpoint, Jim, we're very proud that at HR Tech just a few weeks ago we released, as I mentioned, the Learning Management, Paychex Learning Management, that tied training into development. So now we have, kind of, a fully bundled development. So is -- we're helping, you can think about it all away from acquiring new employees for our clients. We can do all of that paperless -- in a paperless fashion, right from the recruiting to the onboarding of the clients. So nothing -- there is no paper necessary once they're in the system. Now we've been much more full-featured as far as training them, developing them, giving turnover data analytics of what's going on in the environment. I think the data and the enhancements have never come faster.

從產品角度來看，Jim，我們非常自豪地宣布，就在幾週前，我們在 HR Tech 發布了 Paychex 學習管理系統，正如我之前提到的，該系統將培訓與發展聯繫起來。所以現在我們有了一個相當完整的開發方案。所以——我們正在提供幫助，您可以把注意力從為我們的客戶招募新員工上轉移開來。我們可以完全實現無紙化辦公室－從招募到客戶入職，全程無紙化。所以什麼都不需要——一旦他們進入系統，就不需要任何紙本文件了。現在我們在培訓、發展員工、提供營業額數據分析以了解環境狀況等方面已經做得更加完善了。我認為數據和功能增強的速度從未如此之快。

And then adding more self-service. So we're -- the other thing we're seeing is a lot of clients wanting self-service. So meaning that if they have questions or their employees have questions or their employees want to make changes, that we allow them to do that in the app, whether mobile or on the desktop. They can make changes. They can ask questions. We'll be introducing a chat bot that we showed at HR Tech that will basically service up 50 or 60 answers to questions. All you have to do is, where's my W2? Or where do I find this? Or how do I do that? And that will pop up and you'll see that continue to evolve throughout the year.

然後增加更多自助服務。所以我們也看到，很多客戶都希望獲得自助服務。這意味著，如果他們或他們的員工有任何疑問，或者他們的員工想要進行更改，我們允許他們在應用程式（無論是在行動裝置上還是在桌面裝置上）中進行操作。他們可以做出改變。他們可以提問。我們將推出一款在 HR Tech 大會上展示過的聊天機器人，它基本上可以回答 50 到 60 個問題。你只需要問，我的 W2 表格在哪裡？或者我該去哪裡找呢？我該怎麼做呢？而且這種情況會不斷出現，你會看到它在一年中持續演變。

That's helpful. And maybe corollary question to that is, are you seeing those initiatives now starting to translate to higher bookings at this point? And I know you don't give the precise bookings figures, but is there a way to quantify how much higher bookings were this quarter than, say, a year ago quarter?

那很有幫助。或許可以由此引申出一個問題：您是否看到這些措施現在已經開始轉換為更高的預訂量？我知道你們沒有給出確切的預訂數據，但是有沒有辦法量化本季的預訂量比去年同期高出多少呢？

Not without giving it to you. But a good try anyway. But we're -- I would just say, we had some momentum going into the last half of last year; we feel like that has continued. So, selling season is the peak, and we're fully staffed up on our sales team. We did that very quickly, where we added some additional sales, we have added more to virtual, the telephonic as well, both field and telephonic, and I think we're well positioned for peak selling season, product wise and sales wise.

不會不把它給你。但無論如何，這是一次不錯的嘗試。但是——我只想說，我們在去年下半年發展勢頭良好；我們感覺這種勢頭一直延續了下來。所以，銷售旺季到了，我們的銷售團隊人員配備齊全。我們很快就做到了這一點，增加了一些額外的銷售額，虛擬銷售、電話銷售（包括現場銷售和電話銷售）都增加了，我認為無論從產品還是銷售方面來看，我們都為銷售旺季做好了充分的準備。

And they have -- by the way, I didn't even mention, the sales team has a lot more tools as well. So when you think about the use of Salesforce and how sophisticated Salesforce has now become for them. It's just -- it's amazing, the tools that are at their disposal. And the ability to train and get them to use it is coming much better too, because they're seeing that when they give us data on a prospect that maybe didn't close this time, they're getting a lot more information back the next time they go out and talk to CPAs, current clients, et cetera. So it's starting to translate. We wouldn't quite call it the year yet, but because we got to get through that peak selling season, but we're feeling really good about where we are now.

而且他們還有──順便一提，我還沒提到呢，銷售團隊也擁有更多工具。所以，當你想到 Salesforce 的使用情況，以及 Salesforce 如今對他們來說變得多麼複雜時，你就會明白這一點。真是——太不可思議了，他們所擁有的工具真是令人驚嘆。培訓他們並讓他們使用它的能力也越來越好，因為他們發現，當他們向我們提供這次可能沒有成交的潛在客戶的數據時，下次他們與註冊會計師、現有客戶等交談時，他們會得到更多資訊。所以它開始翻譯了。我們現在還不能算是今年的收官之年，但因為我們已經度過了銷售旺季，所以我們對目前的狀況感到非常滿意。

Our next question will come from the line of Tien-tsin Huang with JPMorgan.

我們的下一個問題將來自摩根大通的黃天進。

Just a couple of quick clarification questions and I have a strategic question. Just within the PEO side, I heard you mention, it's more new rather than existing. But I'm curious, are you taking pre-existing PEO clients and converting to your own, or are these first-time PEO clients? Just trying to understand the end-market dynamics.

我還有幾個需要澄清的問題，以及一個策略性的問題。正如你所提到的，在 PEO 這方面，它更像是一個新的事物，而不是一個現有的事物。但我很好奇，你們是把現有的 PEO 客戶轉化成自己的客戶，還是這些都是第一次使用 PEO 的客戶？只是想了解終端市場的動態。

Yes, I don't have a good split between previous -- obviously, the -- you get a lot outside the PEO who know PEO. So we're doing well there. And the split as to new to PEO, I don't know. My suspicion is it's more people who know about the PEO model to start with. But I do want to say -- just reiterate, Tien-tsin, what you said, which is as we looked at the data, we always had a certain amount of PEO clients outside the base, but that trend has certainly been accelerating.

是的，我沒有很好的劃分——顯然，——你會接觸到很多 PEO 以外的人，他們了解 PEO。所以，我們那邊進展順利。至於新加入 PEO 的人員組成，我不清楚。我懷疑首先了解 PEO 模式的人比較多。但我確實想說——田進，重申一下你剛才說的話，那就是，當我們查看數據時，我們一直有一些 PEO 客戶不在基地範圍內，但這種趨勢肯定是在加速增長。

Got you. No, it seems that way. Then within the core payroll, I know the segmenting is changing. But just as we go into 2Q, 3Q, you mentioned it will be at the high end or above the range. Is that just a function of the processing days? Or are there any other drivers, pricing, units, retention that you might see?

抓到你了。不，看起來確實如此。然後，在核心薪資體系中，我知道劃分方式正在改變。但正如你所說，進入第二季、第三季後，價格將達到或超過預期範圍的高端。這僅僅是處理時間長短的問題嗎？或者您認為還有哪些因素會影響定價、銷售和用戶留存率？

Yes, it is a function of the days, but our assumption is that through the year, we build in terms of sales units and sales volume as we progress through the next 3 quarters. And as Marty said, we're off to a decent start this year.

是的，這與日期有關，但我們的假設是，在接下來的三個季度中，我們的銷售單位和銷售量都會逐年增加。正如馬蒂所說，我們今年開局不錯。

Got it, it's the [backlog] conversion, okay, great. And then last one, just for you Marty, just if you don't mind. Just a [head] of a question on freelancers and that whole market. I'm curious if that's an area of focus for you to potentially go after that freelance market?

明白了，是[積壓]轉換，好的，太好了。最後，還有最後一個，專門給你的，馬蒂，如果你不介意的話。只是想問一個關於自由工作者及其整個市場的問題。我很好奇，這是否是你有意進軍自由業市場的重點領域？

Yes, I'm not sure...

是的，我不確定…

The 99-gig.

99G。

Oh, oh. I'm sorry. The gig economy.

哦，哦。對不起。零工經濟。

The gig economy, sorry, trendier word to use.

零工經濟，抱歉，現在用這個詞更時髦。

That's all right. I'm thinking freelancers. It's -- I think we're well prepared for that. We've been building out a number of the products and looking at it from a strategy standpoint of how do we look at from an insurance, retirement, savings and payroll; but even more so from the benefit side, how do you look at ways to let that follow the employee as opposed to being so client-focused, the employer-focused? And I think we'll have some things to talk about in future quarters as we're rolling that out.

沒關係。我想到的是自由工作者。我認為我們已經為此做好了充分的準備。我們一直在開發許多產品，並從策略角度考慮如何從保險、退休、儲蓄和薪資的角度看待問題；但更重要的是從福利方面來看，如何讓福利跟隨員工，而不是僅僅以客戶或雇主為中心？我認為，隨著我們逐步推出這項服務，未來幾季我們會有一些事情需要討論。

We're not seeing a big impact from that right now. It's -- I think it was a little bit overstated last year, but we're certainly preparing for that. And I think already with the mobile app and the way that we're building out the data by employee, you're going to see much more of a shift toward the employee and how they can carry information with them. And we'll be prepared to really react to that as it continues to grow.

目前我們還沒有看到由此產生重大影響。我覺得去年這件事被誇大了，但我們肯定會為此做好準備。我認為，隨著行動應用程式的推出以及我們按員工建立資料的方式，你會看到資訊獲取方式向員工轉移，讓他們能夠隨身攜帶資訊。隨著事態的持續發展，我們將做好充分準備，並積極應對。

And our next question will come from the line of Jeff Silber with BMO. We'll move on to the next question. It comes from the line of Jason Kupferberg with Bank of America.

接下來，我們將提出 BMO 的 Jeff Silber 的問題。我們繼續討論下一個問題。它源自於美國銀行的傑森·庫柏伯格 (Jason Kupferberg) 的理念。

So I just had a question to follow-up on core payroll. Thanks for continuing to give the disclosure there. I just wanted to try and break down the pieces, because it seems like there's a few moving parts. So I guess, it seems like the tailwind from Lessor was more or less offset by the 1 less processing day. So if that's right, you've got about this 1% underlying revenue growth. And it does sound like pricing is still a tailwind. I know it had been running around 2%.

我還有一個關於核心工資系統的問題需要跟進。感謝您持續提供相關資訊揭露。我只是想試著把各個部分拆解開來，因為它似乎包含一些活動部件。所以我覺得，Lessor 帶來的順風似乎或多或少被少一天的處理時間抵消了。所以如果情況屬實，那麼基本營收成長率約為 1%。價格因素似乎仍是利好因素。我知道它之前一直維持在2%左右。

So just trying to figure out the implications for organic client count, because qualitatively, it doesn't sound, based on what you're saying, that, that metric would be down year-over-year. But what are the other pieces here? Is this a average client size issue? Or is organic client count down?

所以，我只是想弄清楚這對自然客戶數量的影響，因為從你所說的來看，這個指標似乎不會比去年同期下降。但這裡還有哪些部分呢？這是客戶平均規模的問題嗎？還是說自然流量正在減少？

No, no, no, it isn't. And I don't typically give quarterly, but I can say, no. No, it's really client size and that abates as we go through the year. We anticipate that it will abate in addition to all of the other factors changing as we go through the year. We have another day. We have, we assume, better unit and volume growth, all of those and mix abates a bit. So it's those factors.

不，不，不，不是這樣的。我通常不按季度捐款，但我可以拒絕。不，這其實是客戶規模的問題，而且隨著時間的推移，客戶規模會逐漸縮小。我們預計，隨著時間的推移，這種情況會逐漸緩解，其他各種因素也會改變。我們還有一天的時間。我們預計，單位數量和銷售成長都會有所改善，所有這些因素以及產品組合都會有所緩解。所以就是這些因素。

Are you running at about 16 on the average client size now?

你們目前的平均客戶端規模是不是在 16 左右？

We're between -- I think, 15 and 16 is where we ended up the client base last year.

我覺得，去年我們的客戶群最終在 15 到 16 人之間。

Okay. Can you just talk a little bit about what the differences may be in the pricing trends between renewals of existing clients versus pricing for new clients that you're bidding on? And just, I guess, at a high level, are you still running at around a 2% pricing uplift?

好的。您能否簡要談談現有客戶續約的價格趨勢與您競標的新客戶的價格趨勢之間可能存在的差異？我猜，從整體來看，你們的價格漲幅仍維持在 2% 左右嗎？

You want to take that?

你想拿走它嗎？

No, go ahead.

不，你繼續。

I think -- yes, that would be the -- our anticipation is still 2 to 3. We've always said kind of 2 to 4, but on a -- tend to recognize a little bit on the lower end of that. I think on new clients, what you're seeing is some discounting there upfront, but we're able to get -- roll that off very effectively and pretty quickly through using a lot of data analytics. We started this a number of years ago. But instead of leaving it to, kind of, individual branches to decide how to roll off discounts, we do it on a much more automated basis and it's done with data analytics.

我認為——是的，那應該是——我們仍然預期是2到3。我們一直說大概是2到4，但——傾向於認為會稍微低於這個數字。我認為對於新客戶，我們一開始會提供一些折扣，但我們能夠透過大量的數據分析，非常有效且迅速地取消這些折扣。我們幾年前就開始做這件事了。但是，我們並沒有讓各分店自行決定如何推出折扣，而是以更自動化的方式，利用數據分析來完成這項工作。

So we know based on the history of the client whether we can roll off more of a discount or less of a discount. And that has been very effective for us at bringing the price -- the discount back off. So you're still seeing pretty much the same level of competition upfront, which drives a little bit more of the discounting or the same level of discounting, but we're able to roll that off. And I think between the service levels, the additional products we offer, all of that is -- allows you to bring -- drive more revenue per client, kind of, after you have the client. And once you have the client, the price increase seems to stick pretty well. So the more of that discounting is more upfront to get the client in a competitive environment, but not as much once you're going forward.

所以，根據客戶的歷史記錄，我們就能知道應該給予更多折扣還是更少折扣。這對我們降低價格——也就是恢復折扣——來說非常有效。所以，你仍然會看到前期競爭程度基本上相同，這導致折扣力度略有增加或折扣力度保持不變，但我們可以克服這些困難。我認為，透過提高服務水準、提供額外產品等等，所有這些因素都能幫助你——在獲得客戶之後，為每個客戶帶來更多收入。一旦拿下客戶，價格上漲似乎就能維持下去。因此，前期折扣力道更大，目的是在競爭激烈的環境中吸引客戶，但一旦進入交易後期，折扣力度就不會那麼大了。

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

我們的下一個問題來自富國銀行的里克·埃斯克爾森。

Just one from me. Just wondering if you could talk about the talent acquisition. You did mention, Marty, in your script about how you're fully staffed up on the sales headcount increases you were looking for. But just in general across your organization, how has it been finding talent? And maybe if you could spend a little time on finding the sales talent as you upped your investments?

我只有一個。我想請您談談人才招募方面的問題。馬蒂，你在劇本中確實提到過，你所需要的銷售人員增加人數已經全部到位了。但就整個組織而言，人才招募情況如何？或許，在您增加投資的同時，花點時間尋找銷售人才會更好？

Yes, interesting question. I think it's still been pretty good, as far as finding. And I know there's -- the shortages that are more difficult to find based on the work that we do in the overall market as well as Paychex itself is more on the IT side, and we've actually been very successful there too. That's where when you get into certain disciplines of IT security and so forth, that's been difficult.

是的，很有意思的問題。我認為就尋找而言，情況仍然相當不錯。我知道，根據我們在整個市場以及 Paychex 本身所做的工作來看，有些短缺的人才更難找到，這些短缺更集中在 IT 方面，而我們在這方面也取得了巨大的成功。這就是為什麼當你深入到資訊科技安全等某些領域時，就會遇到困難的原因。

Sales has not been too difficult. I think, one, we're attracting good solid sales folks who are -- typically we still look for that some sales experience already. And they're seeing the level of products and success that we're having. They're seeing growth opportunities that when they come into the company, they could start. And frankly in virtual telephonic, they can grow to the field payroll. They can advance to midmarket. They can grow into HRS.

銷售工作並不太困難。我認為，首先，我們吸引了一些優秀的銷售人員，他們通常——我們仍然會尋找一些已經具備銷售經驗的人。他們看到了我們所取得的產品水準和成功。他們看到了公司的發展機會，加入公司後，就可以開始著手這些工作。坦白說，在虛擬電話會議中，他們的規模可以擴展到現場薪資。它們可以進軍中端市場。它們可以成長為HRS。

In fact, we just came back from our sales conference 2 weeks ago and just tremendous enthusiasm and a lot of good employee referrals. So we're really not having an issue of getting fully staffed. In fact, we got fully staffed faster than we expected in the first quarter because of the success in the recruiting. And the retention is improving across virtually every sales organization. So the retention is getting back in line where we were historically as well.

事實上，我們兩週前才剛參加完銷售會議，會上大家熱情高漲，也收到了許多優秀的員工推薦。所以我們其實並沒有人員配備不足的問題。事實上，由於招募工作的成功，我們在第一季就比預期更快實現了人員齊全。幾乎所有銷售組織的留存率都在提高。因此，用戶留存率也正在恢復到歷史水準。

I think that's all about them feeling like they've got the right tools, Salesforce, the enhancements we've made to that, the lead generation that they're getting, the leads, and that they can be successful. All of that equates well to acquiring and retaining the talent.

我認為這一切都與他們感覺自己擁有合適的工具有關，例如 Salesforce，以及我們對 Salesforce 所做的改進，還有他們獲得的潛在客戶開發資源，以及他們能夠取得成功。所有這些都與人才的取得和留用息息相關。

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

接下來，我們將向 BMO 的 Jeff Silber 提出一個問題。

I know you're not directly impacted by all the noise regarding tariff wars, et cetera. Are you seeing, though, any hesitation from your clients that might be impacted that could indirectly impact you?

我知道你並沒有直接受到關稅戰等等相關喧囂的影響。不過，您是否發現客戶有任何猶豫，而這種猶豫可能會受到影響，進而間接影響到您？

Not at this point. We're not seeing much -- there certainly are specific small and midsize businesses that are impacted, whether they're supplying the automobile industry and so forth. But we have not seen much of an impact on our client base at all. And when you think about -- also, when we saw the storm impacting an awful lot of businesses in South Carolina and North Carolina, we didn't -- we haven't seen too much of an impact there yet either. So, so far, retention is in very good shape, as I mentioned earlier, and we're not seeing an impact either from regulation and tariff changes or the hurricane.

目前還不行。我們沒有看到太多影響——當然，也有一些特定的中小企業受到了影響，無論它們是為汽車行業等提供零件的。但我們的客戶群並未受到太大影響。而且，當我們在南卡羅來納州和北卡羅來納州看到風暴對當地許多企業造成嚴重影響時，我們並沒有——我們還沒有看到那裡受到太大的影響。所以，到目前為止，客戶留存率狀況非常好，正如我之前提到的，我們既沒有看到監管和關稅變化的影響，也沒有看到颶風的影響。

Our next question comes from the line of Samad Samana with Jefferies.

我們的下一個問題來自 Samad Samana 與 Jefferies 的合作。

A couple of follow-ups to some of the answers. You mentioned a lot of new tools for the sales organization and I was wondering if maybe you could dig deeper into what those are? And how much you're factoring in productivity increases from these tools into the forecast for this year? And then I have one follow-up.

對一些回答，我還有一些後續問題。您提到了許多銷售部門的新工具，我想知道您能否更深入地介紹這些工具是什麼？您將這些工具帶來的生產力提昇在多大程度上納入了今年的預測？然後我還有一個後續問題。

Yes, I think when you think about like Salesforce, we've had Salesforce for some time, but we've really added a team that has really worked with the sales team to say what -- to encourage them to find it to be much more useful. And so, we've gotten a lot more into the analytics of Salesforce. And we've also profiled the clients and the leads that they're getting much better.

是的，我認為，當你想到 Salesforce 時，我們已經使用 Salesforce 一段時間了，但我們確實增加了一個團隊，該團隊與銷售團隊密切合作，鼓勵他們發現 Salesforce 的實用性。因此，我們對 Salesforce 的分析有了更深入的了解。我們也分析了客戶及其潛在客戶的情況，發現他們的表現有了很大的提升。

So let me start with the leads. When the leads come in, you know in the past, as I mentioned, they were in, kind of, one big bucket. So all the leads that came in that had interest, kind of, went out to the Salesforce and they may have been of different quality. We started with a new leader in marketing and with a lot of experience in demand generation, started making these much more sophisticated. We're scoring the leads now.

那麼，就讓我先從線索說起吧。你知道，就像我之前提到的那樣，以前收集到的銷售線索，都放在一個大桶子裡。因此，所有有興趣的潛在客戶都會被送到 Salesforce 系統中，而這些潛在客戶的品質可能各不相同。我們聘請了一位新的行銷負責人，他在需求創造方面擁有豐富的經驗，並開始讓這些工作變得更加複雜。我們現在正在統計領先優勢。

At the front end, we have a team that has been talking to leads for some time, taking them through the web, et cetera, and now scoring them. And if they don't score high enough, they're put, kind of, back into the system to get -- to really get worked and continue to provide information and details to prospective clients before we send a salesperson out to them. And so, we're seeing that the quality of the leads to the sales team is much better.

在前端，我們有一個團隊已經與潛在客戶溝通了一段時間，引導他們瀏覽網頁等等，現在正在對他們進行評分。如果他們得分不夠高，他們就會被放回系統中，真正接受培訓，繼續向潛在客戶提供資訊和細節，然後再派銷售人員去拜訪他們。因此，我們看到銷售團隊獲得的銷售線索品質要好得多。

As the sales team continues to use Salesforce and gives us more data on their prospects, that goes back into data analytics, that is then helps us profile the clients, also profile the CPAs and give you more data on the CPAs. And what's the last time that they referred us, who referred us, how they referred us, what they referred us. All of giving the sales rep much more data to go out and approach either a prospective client, a current client for referral, a CPA or other lead referral source.

隨著銷售團隊繼續使用 Salesforce 並向我們提供更多關於其潛在客戶的數據，這些數據會反饋到數據分析中，從而幫助我們分析客戶畫像，分析 CPA 畫像，並為您提供更多關於 CPA 的數據。他們上次向我們推薦機構是什麼時候？是誰推薦的？他們是如何推薦的？他們推薦了什麼？所有這些都為銷售代表提供了更多的數據，以便他們可以接觸潛在客戶、現有客戶（尋求推薦）、註冊會計師或其他潛在客戶推薦來源。

You're also evolving into giving them a lot more data on their mobile phone as to where their next appointments are, how they make the best use of their time and how they can then get data off of social media on those prospects. So when I walk into a prospect, I know a lot about them already from our internal resources and combining that with external resources. So the level of sophistication and the tools that we give them has increased dramatically just even in the last 6 to 12 months.

你也在不斷發展，向他們的手機提供更多數據，例如他們的下一個預約在哪裡，如何最好地利用他們的時間，以及如何從社交媒體上獲取有關這些潛在客戶的數據。所以當我接觸潛在客戶時，我已經透過我們的內部資源並結合外部資源對他們有了很多了解。因此，即使在過去的 6 到 12 個月裡，我們提供給他們的技術水平和工具也大幅提高了。

And we're starting to see some benefit from that: one, I think better retention of the sales force. And certainly, we're looking for an improved productivity as well. And it's a little early in the year to talk about that. But so far, as we've said a number of times, we think we're off to a good start.

我們開始看到一些好處：首先，我認為銷售人員的留存率提高了。當然，我們也希望提高生產效率。現在談論這個話題還為時過早。但正如我們多次所說，到目前為止，我們認為我們開局良好。

That's very helpful. And then maybe if I could just ask a follow-up with that in mind and then some of the commentary about nontraditional competitors and customer acquisition. I'm curious if you've seen a change in your customer acquisition costs as you move more to virtual and/or your nontraditional competitors try to spend aggressively in building their merchant base? I'm just curious what you've seen in your customer acquisition cost trends?

那很有幫助。然後，我是否可以就此提出一個後續問題，並就非傳統競爭對手和客戶獲取發表一些評論。我很好奇，隨著您更多地轉向線上管道，或者您的非傳統競爭對手試圖大力投資拓展商戶基礎，您的客戶獲取成本是否發生了變化？我只是好奇您在客戶獲取成本趨勢方面觀察到了什麼？

Yes, I would say, first of all, not in the merchant base. I mean, I think again, it seems like they got an awful lot of play and we just haven't seen that there. And I think it's -- that's not really much of an impact, at least at this time. What we have seen is that the shift of dollars have definitely gone toward marketing. So where you would necessarily shift -- put dollars more into sales, we continue to put dollars into sales, but I have to say, some of it has shifted earlier in the process. So redesigning our web, redesigning the whole lead flow that I just talked about, you know data analytics and the work in building those support systems. More money goes into and investment goes into the marketing side. And overall, that probably does raise the cost of acquiring a client to some degree certainly. But you're also getting more productive on the sales side or that's your hope. So you're getting more revenue and more success and higher close rate as a result of that. But you're definitely doing more upfront and the spend is much more upfront to get that. That's just the way they're searching. Most client prospects today are 60% of the way through the sales process before we even get contacted. That's very different than in our past. And we think we're very much ready for that.

是的，首先，我認為不在商家基地。我的意思是，我覺得他們似乎得到了很多上場機會，但我們卻沒有看到這一點。我認為這——至少目前來看，影響並不大。我們看到，資金的轉移無疑已經流向了行銷領域。所以，在某些方面，例如增加銷售額，我們會繼續增加銷售額，但不得不說，有些方面已經提前轉移到了銷售環節。所以，我們要重新設計我們的網站，重新設計我剛才提到的整個潛在客戶開發流程，還有資料分析以及建構這些支援系統的工作。更多的資金和投資投入在行銷方面。總的來說，這肯定會在一定程度上增加獲取客戶的成本。但你也希望銷售方面的效率能夠提升。因此，您將獲得更多收入、更大成功和更高的成交率。但你前期投入肯定更多，而且前期支出也更多。他們就是用這種方式搜尋的。如今，大多數潛在客戶在聯繫我們之前就已經完成了 60% 的銷售流程。這和我們過去的情況截然不同。我們認為我們已經為此做好了充分的準備。

Our next question comes from the line of James Berkley with Wolfe Research.

我們的下一個問題來自沃爾夫研究公司的詹姆斯柏克萊。

On the service revenue disaggregation slide that you put out earlier this week or last week rather, I was just wondering if you could speak to the drop-off in growth for the restated HR management solutions revenue from fiscal '17 and '18 end, you know it goes from like 6.1% to 2.9%?

關於您本週早些時候（或更確切地說是上週）發布的關於服務收入細分的幻燈片，我想請您談談 2017 財年末和 2018 財年末重述的人力資源管理解決方案收入增長下降的情況，您知道它從大約 6.1% 下降到 2.9% 嗎？

Yes, I'd just make that really quick. So what happens there is that because we bundle into that revenue, the impacts from modules related to Affordable Care Act, you didn't see that growth in that number. So that number started to tail off just -- we penetrated the base and that part of the module, which a couple of years earlier started at basically 0, didn't grow very much. So that dropped off in growth. And then the second thing was the impact of payroll services revenue growing more slowly is seen in that number. You'll see, if you look at the numbers that we're projecting in terms of growth for the remainder of the year, that we bounced back off that number that we had last year, and we start to see better growth in the first half of this year. But those are the reasons, growth and payroll growth in that one category was muted.

是的，我會盡快完成。因此，由於我們將與《平價醫療法案》相關的模組的影響打包到該收入中，所以你沒有在那個數字中看到成長。所以這個數字開始逐漸下降——我們突破了底部，模組的這一部分，幾年前基本上是從 0 開始的，並沒有增長多少。所以它的成長率下降了。其次，工資服務收入成長放緩的影響也反映在這個數字中。如果你看我們對今年剩餘時間成長的預測數字，你會發現我們已經從去年的數字中反彈，並且我們開始看到今年上半年的成長情況會更好。但正是由於這些原因，該類別的成長和薪資成長才會較為平淡。

Okay. And then just a quick follow-up. I know last quarter, you guys talked about organic growth guidance being like 1.5% for payroll and then 9% to 10% for HRS. Are you able to provide those numbers for the new segmentation?

好的。然後還有一個簡短的後續問題。我知道上個季度你們談到，有機成長預期是薪資成長1.5%，人力資源成長9%到10%。您能否提供新細分市場的相關數據？

We repeated it. It should be on the website. So we break out management solutions and PEO and insurance. And then we just reaffirmed the guidance that we provided for the full year, so...

我們重複了一遍。應該在網站上。因此，我們將管理解決方案、PEO（專業雇主組織）和保險業務分開來談。然後，我們重申了我們全年提供的指導方針，所以…

On an organic basis?

以有機方式？

On organic basis, yes. I think what we said, James, was that Lessor would be about 1% of payroll growth.

從有機角度來看，是的。詹姆斯，我想我們之前說過，Lessor 的薪資成長大約會占到總薪資成長的 1%。

Our next question comes from the line of Kartik Mehta with Northcoast Research.

我們的下一個問題來自 Northcoast Research 的 Kartik Mehta。

Marty, I wanted to go back to, I think, Efrain, you were talking about client growth. And I'm just wondering if you could talk about, maybe, is there a difference in the client growth you're seeing between your traditional payroll and SurePayroll? And so in essence, are you seeing client growth in both? And is one greater than the other?

馬蒂，我想回到剛才的話題，埃弗雷恩，你剛才好像在談論客戶成長。我想問一下，您能否談談，您觀察到的傳統薪資系統和 SurePayroll 在客戶成長方面是否有差異？所以從本質上講，您是否看到兩方面的客戶數量都有成長？兩者孰優孰劣？

We don't break out the client base with -- between them anymore, Kart. But I think both -- I mean both are growing. You certainly see, as Efrain said, on the low end of both companies, you're seeing a stronger growth. We really feel like that has picked up a lot of momentum, particularly in the low end and I think that's a lot of the things that we've been talking about, the demand generation, the virtual sales team, the faster response to leads, doing it with chat and selling over the phone much more. So I think both of them are doing well. Certainly, Sure is continuing to see good growth as well, really pleased with the team there.

我們現在不再將客戶群分開分割了，Kart。但我認為兩者——我的意思是兩者都在發展。正如埃弗雷恩所說，在兩家公司的低端業務中，確實可以看到更強勁的成長。我們真的覺得這方面發展勢頭很強勁，尤其是在低端市場。我認為這與我們一直在討論的許多事情有關，例如需求創造、虛擬銷售團隊、對銷售線索的更快回應、透過聊天和電話進行銷售等等。所以我覺得他們兩個都做得很好。當然，Sure 也持續保持著良好的成長勢頭，我對那裡的團隊非常滿意。

And then just lastly, on the PEO side, any thoughts on maybe price competition. It seems like that business is really growing well. So I'm assuming, it's attracting all of the competitors into that space. So any worries on that becoming a little bit more price-competitive as we go through this fiscal year?

最後，關於 PEO 方面，您對價格競爭有什麼看法嗎？這家公司似乎發展得非常順利。所以我認為，它吸引了所有競爭對手進入這個領域。那麼，隨著本財年的推進，您是否擔心產品價格競爭力會下降一些？

Always some concern with that. But I think right now, what you see on those kind of clients that are taking a PEO solution is they're much more interested in the service that they're getting and the support for the insurance, in particular, and they're looking at those costs. And do you have the right insurance plans? Do you have the right service with the HR generalist? And you know we have 500 of those out there that are supporting PEO and ASO. Do they have the right experience? It's really much more of a value play. So frankly, I worry less about that price competition than I would small business payroll, which is much more competitive. So the more that we grow toward the PEO side from a price standpoint, I think that the value is much stronger to say, we hear plenty of clients that say to us, this was having a strong HR person and this insurance plan was very valuable to my business and they probably pay more.

總是會有人對此感到擔憂。但我認為，目前選擇 PEO 解決方案的客戶更關注他們所獲得的服務和保險支持，尤其是保險方面的支持，他們也在關注這些成本。您是否有合適的保險計劃？您的人力資源專員是否能提供適當的服務？你知道，我們有 500 家這樣的機構在支持 PEO 和 ASO。他們是否具備相應的經驗？這其實更像是一種價值投資。坦白說，我更擔心的是小企業薪資方面的競爭，而不是價格競爭，因為小企業的薪資競爭要激烈得多。因此，從價格角度來看，我們越是向 PEO 方向發展，我認為其價值就越強。我們經常聽到客戶說，擁有一個強大的人力資源人員和一份保險計劃對我的業務非常有價值，而他們可能為此支付了更多費用。

And the last question that we have in queue comes from the line of Matt O'Neill with Autonomous Research.

最後一個問題來自 Autonomous Research 的 Matt O'Neill。

Thank you for taking my question. It has actually already been answered, so thank you for the time.

感謝您回答我的問題。這個問題其實已經有人回答過了，謝謝你抽出時間。

And we have no further questions in queue at this time.

目前我們沒有其他問題需要提問。

All right, thank you. And at this point, we'll close the call. If you're interested in replaying the webcast of this conference call, it will be archived for approximately 30 days. Thank you for taking the time to participate in our first quarter press release conference call and for your interest in Paychex. We very much appreciate it. And have a great day.

好的，謝謝。通話到此結束。如果您有興趣重播本次電話會議的網路直播，它將存檔約 30 天。感謝您抽空參加我們第一季的新聞發布電話會議，也感謝您對 Paychex 的關注。我們非常感謝。祝你今天過得愉快。

Ladies and gentlemen, it does conclude today's conference. Thank you for your participation. You may now disconnect.

女士們、先生們，今天的會議到此結束。感謝您的參與。您現在可以斷開連線了。