Automatic Data Processing, Inc., also known as ADP, is a provider of human resources management software and services. With around 620,000 customers, ADP is one of the world's largest independent IT service companies and is considered a leading provider of HR services such as payroll, time recording and travel expense management.
Operating Margin for Automatic Data Processing (ADP)
Operating Margin as of April 2024 (TTM): 25.80%
According to Automatic Data Processing's latest financial reports and stock price the company's current Operating Margin is 25.80%. At the end of 2022 the company had an Operating Margin of 23.71%.
Operating Margin history for Automatic Data Processing from 2001 to 2023
Operating Margin at the end of each year
| Year | Operating Margin | Change |
|---|---|---|
| 2022 | 23.71% | 2.85% |
| 2021 | 23.05% | 1.71% |
| 2020 | 22.66% | 2.64% |
| 2019 | 22.08% | 30.77% |
| 2018 | 16.88% | -20.07% |
| 2017 | 21.12% | 6.72% |
| 2016 | 19.79% | 0.95% |
| 2015 | 19.61% | 2% |
| 2014 | 19.22% | 0.43% |
| 2013 | 19.14% | -8.25% |
| 2012 | 20.86% | 0.81% |
| 2011 | 20.69% | -0.84% |
| 2010 | 20.87% | -2.84% |
| 2009 | 21.48% | 4.04% |
| 2008 | 20.65% | -0.81% |
| 2007 | 20.81% | 6.06% |
| 2006 | 19.63% | -0.59% |
| 2005 | 19.74% | 2.43% |
| 2004 | 19.27% | -16.28% |
| 2003 | 23.02% | -9.77% |
| 2002 | 25.51% | 17.4% |
| 2001 | 21.73% |
Operating Margin for similar companies or competitors
| Company | Operating Margin | Operating Margin differencediff. | Country |
|---|---|---|---|
 Alliance Data
ADS | 30.49% | 18.20% | 🇺🇸 USA |
 Equifax EFX | 13.93% | -46.01% | 🇺🇸 USA |
 Intuit INTU | 22.08% | -14.42% | 🇺🇸 USA |
 Iron Mountain IRM | 12.37% | -52.05% | 🇺🇸 USA |
 Paychex PAYX | 39.56% | 53.33% | 🇺🇸 USA |
 Accenture ACN | 14.89% | -42.29% | 🇮🇪 Ireland |
 Barrett Business Services BBSI | 5.69% | -77.95% | 🇺🇸 USA |
 TriNet TNET | 10.13% | -60.74% | 🇺🇸 USA |
 Insperity
NSP | 4.13% | -83.99% | 🇺🇸 USA |
What is a company's Operating Margin
The operating margin is a key indicator to assess the profitability of a company. Higher operating margins are generaly better as they show that a company is able to sell its products or services for much more than their production costs. The operating margin is calculated by dividing a company's earnings by its revenue.