Paylocity Holdng (PCTY)

Total asset turnover

		Jun 30, 2025	Mar 31, 2025	Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020
Revenue (ttm)	US$ in thousands	1,595,221	1,551,771	1,498,504	1,447,885	1,402,515	1,353,681	1,292,257	1,238,904	1,174,598	1,095,092	1,001,205	924,234	852,651	791,155	731,238	681,530	635,627	598,765	584,358	570,403
Total assets	US$ in thousands	4,389,430	5,167,970	5,293,770	4,024,780	4,245,460	4,953,040	4,492,720	3,646,780	3,695,680	4,193,520	3,937,770	3,095,110	4,809,010	5,079,240	2,588,590	3,811,540	2,414,880	2,663,550	2,850,960	2,004,850
Total asset turnover		0.36	0.30	0.28	0.36	0.33	0.27	0.29	0.34	0.32	0.26	0.25	0.30	0.18	0.16	0.28	0.18	0.26	0.22	0.20	0.28

June 30, 2025 calculation

Total asset turnover = Revenue (ttm) ÷ Total assets
= $1,595,221K ÷ $4,389,430K
= 0.36

The total asset turnover ratio of Paylocity Holding demonstrates notable variability over the specified periods, reflecting fluctuations in the company's efficiency in utilizing its assets to generate revenue.

Starting from September 2020, the ratio was 0.28, which subsequently declined to 0.20 by the end of 2020, indicating a reduction in asset utilization efficiency during that period. In the first quarter of 2021, there was a slight recovery to 0.22, followed by an increase to 0.26 in the second quarter of 2021. However, the ratio then declined again to 0.18 in the third quarter of 2021 before rebounding to a high of 0.28 at the end of 2021.

Throughout 2022, the ratio experienced further fluctuation, reaching as low as 0.16 in the first quarter before stabilizing somewhat at 0.18 in the second quarter, and then increasing to 0.30 by the third quarter, before decreasing slightly to 0.25 at year-end. The first quarter of 2023 saw a modest rise to 0.26, with a steady upward trend commencing thereafter, as the ratio ascended to 0.32 in June and further to 0.34 in September 2023.

In late 2023 and into 2024, the ratio experienced some oscillations, with a slight decrease to 0.29 at the end of 2023, followed by a dip to 0.27 in the first quarter of 2024, then an increase to 0.33 in June, and reaching 0.36 in September 2024—the highest point in the observed period. Afterwards, the ratio declined to 0.28 in December 2024, but then recovered to 0.30 in the first quarter of 2025. Most recently, it rose again to 0.36 in June 2025, indicating a renewed efficiency in asset utilization.

Overall, the trend suggests periods of both deterioration and improvement in Paylocity's asset efficiency. The ratios fluctuated significantly between periods, but in recent quarters, there has been a general upward trend, with the ratio reaching its peak in mid-2024 and mid-2025. This indicates a possible strategic or operational improvement in utilizing assets to generate revenue, though the intermittent declines signal potential volatility in operational efficiency or asset base management.