Paycom Software (NYSE: PAYC) saw its stock surge 10.41% in after-hours trading on Wednesday, following the release of its impressive second-quarter earnings report that surpassed analysts' expectations across key financial metrics.

The human capital management software provider reported adjusted earnings per share of $2.06, significantly beating the consensus estimate of $1.79. This represents a 27.16% increase from the same period last year. Revenue also exceeded expectations, coming in at $483.6 million, up 10.53% year-over-year and above the anticipated $472 million. The company's adjusted EBITDA reached $198 million, outperforming the estimated $176.8 million.

Adding to the positive sentiment, Paycom raised its full-year 2025 revenue guidance to a range of $2.045 billion to $2.055 billion, up from its previous outlook of $2.023 billion to $2.038 billion. This upward revision signals management's confidence in the company's growth trajectory and has likely contributed to the strong after-hours stock performance. Investors appear to be reacting favorably to Paycom's ability to exceed expectations and its optimistic future outlook in the competitive human capital management software market.