Manhattan Associates beats Q2 revenue estimates on strong cloud subscription
Overview
Manhattan Associates Q2 revenue of $272.4 mln beats analyst expectations, per LSEG data
Adjusted EPS for Q2 at $1.31, surpasses consensus estimates, per LSEG data
Co repurchased 262,341 shares for $49.6 mln, replenished buyback authority to $100 mln
Outlook
Manhattan Associates expects 2025 revenue between $1.071 bln and $1.075 bln
Company sees 2025 GAAP EPS between $3.23 and $3.31
Manhattan Associates projects 2025 adjusted EPS of $4.76 to $4.84
Company anticipates 2025 GAAP operating margin between 24.1% and 24.6%
Result Drivers
CLOUD REVENUE GROWTH - 22% increase in cloud subscription revenue to $100.4 mln, driving overall revenue growth
RPO MILESTONE - RPO surpassing $2 bln, indicating strong future revenue potential
MACRO ENVIRONMENT - Co acknowledges challenging global macro environment but highlights cloud platform leadership as a competitive advantage
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q2 Revenue | Beat | $272.40 mln | $263.70 mln (7 Analysts) |
Q2 Adjusted EPS | Beat | $1.31 | $1.13 (8 Analysts) |
Q2 EPS | $0.93 | ||
Q2 Cloud Revenue | $100.4 mln |
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 6 "strong buy" or "buy", 4 "hold" and 1 "sell" or "strong sell"
The average consensus recommendation for the it services & consulting peer group is "buy"
Wall Street's median 12-month price target for Manhattan Associates Inc is $200.00, about 0.1% above its July 21 closing price of $199.73
The stock recently traded at 41 times the next 12-month earnings vs. a P/E of 37 three months ago
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