On July 23, 2024, Manhattan Associates Inc (MANH, Financial) released its 8-K filing for the second quarter ended June 30, 2024. The company, a leading provider of supply chain and omnichannel commerce solutions, reported impressive financial results that surpassed analyst expectations.
Company Overview
Manhattan Associates provides software that helps users manage their supply chains, inventory, and omnichannel operations. Customers are generally retailers, wholesalers, manufacturers, and logistics providers. The company was founded in 1990 and serves more than 1,200 customers around the world.
Q2 2024 Financial Performance
Manhattan Associates Inc (MANH, Financial) reported consolidated total revenue of $265.3 million for Q2 2024, significantly higher than the analyst estimate of $255.88 million and up from $231.0 million in Q2 2023. GAAP diluted earnings per share (EPS) for Q2 2024 was $0.85, surpassing the estimated $0.67 and the $0.63 reported in Q2 2023. Non-GAAP adjusted diluted EPS was $1.18, compared to $0.88 in the same period last year.
Key Financial Metrics
| Metric | Q2 2024 | Q2 2023 |
|---|---|---|
| Total Revenue | $265.3 million | $231.0 million |
| Cloud Subscription Revenue | $82.4 million | $60.9 million |
| License Revenue | $3.1 million | $3.7 million |
| Services Revenue | $136.8 million | $124.6 million |
| GAAP Operating Income | $68.2 million | $50.5 million |
| Adjusted Operating Income | $92.9 million | $68.4 million |
| Cash Flow from Operations | $73.3 million | $40.6 million |
Financial Achievements and Challenges
Manhattan Associates Inc (MANH, Financial) achieved record revenue and earnings for the second quarter and first half of 2024. The company reported strong demand, with RPO bookings increasing by 29% over the prior year. This growth is crucial for a software company like Manhattan Associates, as it indicates robust market demand and effective execution of its business strategy.
“Our second quarter was another solid quarter of growth, margin expansion, and cash flow. We have achieved record second quarter and first half results, each exceeding expectations,” said Manhattan Associates president and CEO Eddie Capel.
Despite the positive performance, the company remains cautious about the global economy. Challenges such as economic conditions, competitive pressures, and potential disruptions in the retail sector could impact future performance.
Six-Month Financial Summary
For the six months ended June 30, 2024, Manhattan Associates reported consolidated total revenue of $519.9 million, up from $452.0 million for the same period in 2023. GAAP diluted EPS for the six months was $1.71, compared to $1.25 in the previous year. Non-GAAP adjusted diluted EPS was $2.21, up from $1.67 in the same period last year.
2024 Full-Year Guidance
Manhattan Associates has raised its full-year guidance for 2024, projecting total revenue between $1,036 million and $1,044 million, representing a 12% growth. The company also expects GAAP EPS to range between $3.08 and $3.16, with adjusted EPS between $4.22 and $4.30, reflecting a 13% to 15% growth.
In conclusion, Manhattan Associates Inc (MANH, Financial) has demonstrated strong financial performance in Q2 2024, exceeding analyst estimates and raising its full-year guidance. The company's ability to deliver record revenue and earnings amid economic uncertainties highlights its solid business fundamentals and market position.
Explore the complete 8-K earnings release (here) from Manhattan Associates Inc for further details.
