Paychex, Inc. (NASDAQ:PAYX) reported strong fiscal second-quarter results, highlighted by an 18% year-over-year increase in total revenue to $1.557 billion.

Adjusted diluted earnings per share were $1.26, up from $1.14 a year earlier, while GAAP diluted earnings per share were $1.10, slightly lower than the $1.14 reported last year.

Adjusted EPS beat estimates by 3 cents; sales missed by $10 million.

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Operating income rose 6% to $572 million. Adjusted operating income, excluding $77 million in acquisition costs, jumped 21% to $649 million.

Second-quarter operating margin fell to 36.7% from 40.9% a year earlier, while adjusted operating margin improved to 41.7%, up from 40.9% in the prior-year period.

“We are ...