Revenue during the quarter grew 6.78 percent to $199.79 million from $187.10 million in the previous year period. Gross margin for the quarter contracted 241 basis points over the previous year period to 12.88 percent. Total expenses were 91.47 percent of quarterly revenues, up from 89 percent for the same period last year. That has resulted in a contraction of 247 basis points in operating margin to 8.53 percent.

Operating income for the quarter was $17.05 million, compared with $20.58 million in the previous year period.

However, the adjusted EBITDA for the quarter stood at $25.36 million compared with $23.33 million in the prior year period. At the same time, adjusted EBITDA margin improved 22 basis points in the quarter to 12.69 percent from 12.47 percent in the last year period.

Jerry Grisko, CBIZ president and chief executive officer, said, "Our results remained strong for the three and nine month periods ended September 30, 2016, with growth in revenue and earnings per share in line with the goals set for 2016. The stability of our business continues to generate strong cash flow from operations, and growth in adjusted EBITDA is in line with expectations. It’s been a very good year for the Financial Services segment, reflecting strength in both our government healthcare consulting business and our core accounting business. The growth in the Employee Services segment was driven primarily by newly acquired operations."

For the financial year 2016, CBIZ, Inc. projects revenue to grow in the range of 6 percent to 8 percent.

Cash flow from investing activities was $35.16 million for the nine month period, down 41.61 percent or $25.06 million, when compared with the last year period.

The company has spent $70.40 million cash to carry out financing activities during the nine month period as against cash outgo of $85.14 million in the last year period.