ADP lifts annual revenue forecast on demand for payroll services

Jan 28 (Reuters) - Automatic ⁠Data ⁠Processing ‍lifted its annual revenue forecast on Wednesday and surpassed quarterly ‍profit estimates, helped by steady demand ​for its payroll and human resources services.

ADP ​is one of the largest human resources management firms globally, and provides services ranging from administrative ​support to assistance on employee benefits.

The company reported revenue of $5.36 billion ​for the second quarter, beating analysts' average estimate of $5.34 ‌billion, according to data compiled by LSEG. Adjusted profit per share ​came in at $2.62, compared ⁠with estimates of $2.57.

ADP now expects annual revenue to grow about ‌6%, at the top end of the previous forecast of 5% to 6% ‌growth.

Its U.S. "pay-per-control" metric for the second quarter, ‌which tracks how many employees are on its clients' payrolls, rose 1% from a year ‍earlier, in line with the growth reported in the past ⁠three quarters.

Layoffs remain muted in the U.S. labor market, but hiring has slowed substantially.

(Reporting by Anhata Rooprai in Bengaluru; Editing by Sahal Muhammed)

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