MEDIUMOutside partyCounterparty
25%
referral network participants
“10-K Item 1: 'more than 25% of our new client revenue originated through referrals from participants in our referral network'”
PCTY · Concentration risk · 10-K extracted
Paylocity Holding (PCTY) concentration risks
Updated
The most significant concentration Paylocity Holding discloses is referral network participants at 25%, classified MEDIUM by disclosed size. Below: the full set from the latest 10-K — verbatim quotes, filing references, and a synthesis of what these exposures mean together.
Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results.
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Source: Paylocity Holding’s SEC Form 10-K filed — view the filing on SEC EDGAR ↗
At a glance
Disclosed-size breakdown · 1 disclosed concentration
HIGH0
MEDIUM1
LOW0
Disclosed concentrations
Each card carries a disclosed-size chip (HIGH / MEDIUM / LOW — how large the exposure is as a share of revenue, not how dangerous it is) and a nature tag: Built-in(the company’s own model, geography, or products) or Outside party (an external customer, supplier, or distributor it relies on).
TrendMatrix Research · concentration synthesis
What these concentrations mean together
updated 2026-10-18Paylocity discloses one concentration, and it is a go-to-market dependency rather than a customer or supplier one: more than 25% of new client revenue originated through referrals from participants in its referral network. This is a medium-share exposure with a dependency character, because a meaningful part of new-business generation runs through third parties the company does not control. The metric is scoped to new client revenue, not to total revenue, so it speaks to how growth is sourced rather than to how much of the existing base is at risk. If referral relationships weakened, the most plausible effect would be slower new-client additions, with the installed base largely unaffected. With a single disclosed exposure there is nothing to offset or compound it. The open question for an investor is how diversified the network participants are, which the filing does not quantify here. As disclosed, this is a contained and transparent dependency, not a structural concentration likely to move the overall verdict on its own.
For the engine’s reasoning on PCTY’s current verdict — including which dimensions drove the score — see the per-dimension breakdown.
Industry peers · Software - Application
Peer concentration profile
| Symbol | Name | HIGH | MEDIUM | LOW | Total |
|---|---|---|---|---|---|
| ADSK | Autodesk, Inc. | 1 | 1 | 1 | 3 |
| ADEA | Adeia Inc. | 1 | 0 | 0 | 1 |
| AGYS | Agilysys, Inc. | 0 | 2 | 0 | 2 |
| PCTY● | Paylocity Holding Corporation | 0 | 1 | 0 | 1 |
| ADBE | Adobe Inc. | 0 | 0 | 0 | 0 |
| ADP | Automatic Data Processing, Inc. | 0 | 0 | 0 | 0 |
Concentration counts reflect items disclosed in each peer’s most recent 10-K; disclosed-size classification uses TrendMatrix’s internal 10-K extraction taxonomy.