Dayforce raises 2024 revenue forecast on strong payroll demand

Dayforce

01/05/2024 13:14

May 1 (Reuters) - Dayforce  DAY.N , formerly Ceridian
HCM Holding, raised its full-year revenue forecast on Wednesday,
helped by strong demand for its payroll services amid a
resilient labor market.
    A rise in U.S. jobs is driving demand for the company's
human resource and payroll services, while Dayforce's investment
in artificial intelligence and recent acquisition of Eloomi have
helped it combat stiff competition.
    U.S. jobs growth for the month of March blew past
expectations as the labor market benefited from a steady rise in
immigration over the past year.  
    Dayforce, which counts Spirit Aerosystems  SPR.N  and
Gannett  GCI.N  among its customers, now expects full-year
revenue in the range of $1.73 billion to $1.74 billion, up from
its prior forecast of $1.72 billion to $1.73 billion.
    Its second-quarter revenue forecast of $414 million to $419
million was, however, largely in line with analysts' estimates,
according to LSEG data. 
    The company reported first-quarter revenue of $431.5
million, above the average analyst estimate of $426.1 million. 
    It posted earnings per share of 4 cents, compared with 6
cents per share a year earlier. 
    

 (Reporting by Zaheer Kachwala in Bengaluru; Editing by Shinjini
Ganguli)
 ((Zaheer.Kachwala@thomsonreuters.com;))