Manhattan Associates Reports Record Revenue

Leading Supply Chain and Omnichannel Commerce Solutions provider Manhattan Associates Inc. (NASDAQ: MANH) today reported revenue of $231.0 million for the second quarter ended June 30, 2023.

GAAP diluted earnings per share for Q2 2023 was $0.63 compared to $0.49 in Q2 2022. Non-GAAP adjusted diluted earnings per share for Q2 2023 was $0.88 compared to $0.69 in Q2 2022.

“Manhattan delivered record second quarter and first half results. Robust demand drove Q2 cloud revenue growth of 44% and service revenue growth of 23%. These strong results exceeded our expectations, leading to our top-line outperformance and solid earnings leverage in the quarter,” said Manhattan Associates president and CEO Eddie Capel. “While appropriately cautious regarding the global economy, we are optimistic on our opportunity. To extend our leadership position, we remain committed to investing in industry leading innovation across supply chain execution, omnichannel and retail point of sale markets to best help our customers achieve more by digitally transforming their businesses,” Capel concluded.

SECOND QUARTER 2023 FINANCIAL SUMMARY:
• Consolidated total revenue was $231.0 million for Q2 2023, compared to $191.9 million for Q2 2022.
• Cloud subscription revenue was $60.9 million for Q2 2023, compared to $42.2 million for Q2 2022.
• License revenue was $3.7 million for Q2 2023, compared to $5.1 million for Q2 2022.
• Services revenue was $124.6 million for Q2 2023, compared to $100.9 million for Q2 2022.
• GAAP diluted earnings per share was $0.63 for Q2 2023, compared to $0.49 for Q2 2022.
• Adjusted diluted earnings per share, a non-GAAP measure, was $0.88 for Q2 2023, compared to $0.69 for Q2 2022.
• GAAP operating income was $50.5 million for Q2 2023, compared to $37.3 million for Q2 2022.
• Adjusted operating income, a non-GAAP measure, was $68.4 million for Q2 2023, compared to $52.8 million for Q2 2022.
• Cash flow from operations was $40.6 million for Q2 2023, compared to $52.7 million for Q2 2022. Days Sales Outstanding was 70 days at June 30, 2023, compared to 65 days at March 31, 2023.
• Cash totaled $153.3 million at June 30, 2023, compared to $181.6 million at March 31, 2023.
• During the three months ended June 30, 2023, the Company repurchased 381,357 shares of Manhattan Associates common stock under the share repurchase program authorized by our Board of Directors for a total investment of $66.8 million. In July 2023, our Board of Directors approved replenishing the Company’s remaining share repurchase authority to an aggregate of $75.0 million of our common stock.

Manhattan Associates designs, builds and delivers market-leading Supply Chain Commerce Solutions for its customers around the world. We help drive the commerce revolution with unmatched insight and unrivalled technology, connecting front-end revenue and relationships with back-end execution and efficiency — optimized on a common technology platform. This platform-based approach is enabling leading companies across the globe to get closer to their customers and achieve real-world results.