NASDAQ$MANH

Manhattan Associates Inc · Q1 2020 earnings

Q1 2020 earnings · · Investor relations

Briefing

Reported record revenue and solid performance despite COVID-19 impact.

Manhattan Associates reported a record first-quarter revenue of $153.9 million, with GAAP diluted earnings per share at $0.35 and non-GAAP adjusted diluted earnings per share at $0.40. The company's cloud business outperformed, demonstrating noticeable revenue growth and continued strength in overall bookings. Due to the COVID-19 pandemic, the company is taking a conservative approach and updating its full-year financial guidance to reflect current visibility.

  • Consolidated total revenue reached $153.9 million, compared to $148.4 million in the same quarter last year.
  • Cloud subscription revenue was $17.3 million, a notable increase from $7.9 million in the previous year.
  • GAAP diluted earnings per share was $0.35, compared to $0.32 in the first quarter of the prior year.
  • Adjusted diluted earnings per share, a non-GAAP measure, was $0.40, slightly lower than $0.41 in the prior year.

Headline financials

Total Revenue

$154M

Previous: $148M+3.7%
EPS (adj)

$0.40

Previous: $0.41-2.4%
Capital Expenditures

-$1.25M

Previous: -$616K-102.1%
Free Cash Flow

$21.3M

Previous: $20.4M+4.6%
Net Income

$22.5M

Previous: $21M+7.4%
Operating Income

$24.2M

Previous: $28.3M-14.4%
Gross Profit

$79.1M

Previous: $81.2M-2.7%
Cash & Equivalents

$75.3M

Previous: $105M-28.2%
Total Assets

$348M

Previous: $360M-3.2%
Stock-Based Comp

$7.56M

Previous: $7.18M+5.3%

Revenue & EPS history

Manhattan Associates · Revenue · Quarterly

$154M

Q1 2020+3.7%vs Q1 2019
Beat estimate in 15 of 16 quarters(94%)
ActualEstimate

Revenue by segment

Manhattan Associates · $154M total across 5 segments · Q1 2020

  • Services
    $87.4M-1.4%
  • Maintenance
    $35.7M-1.0%
  • Cloud subscriptions
    $17.3M+119.6%
  • Software license
    $9.74M-21.6%
  • Hardware
    $3.76M+10.5%

Forward guidance

Manhattan Associates updated its full-year 2020 financial guidance to reflect the current business environment, considering the impact of the COVID-19 pandemic.

Tailwinds

  • Total revenue is expected to be between $541 million and $565 million.
  • GAAP operating margin is projected to be between 17.5% and 17.9%.
  • Adjusted operating margin is anticipated to be between 22.9% and 23.1%.
  • GAAP EPS is forecasted to be between $1.16 and $1.24.
  • Adjusted EPS is expected to be between $1.50 and $1.58.

Headwinds

  • Total revenue current guidance reflects a decrease of -12% to -9%.
  • Previous total revenue guidance reflected an increase of 4% to 6%.
  • GAAP EPS current guidance reflects a decrease of -12% to -6%.
  • Adjusted EPS current guidance reflects a decrease of -14% to -9%.
  • The severity, duration, and ultimate impact of the COVID-19 pandemic are difficult to predict at this time.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q1 2020

Historical avgQ1 2020

+0.7%

Avg return

Earnings day

-0.6%

Avg return

5 days after

+0.7%

Avg return

30 days after

50%

33 / 66 earnings

Positive

+19.5%

Q2 2019

Best reaction

-24.5%

Q4 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+6.0%+2.2%+2.6%
Q4 2025-5.1%-11.2%-20.2%
Q3 2025-5.0%-8.0%-16.7%
Q2 2025-0.2%-1.5%+0.4%
Q1 2025+6.0%+7.5%+14.2%
Q4 2024-24.5%-32.1%-40.1%
Q3 2024-8.2%-6.7%-8.0%
Q2 2024+11.0%+14.8%+15.3%
Q1 2024-9.6%-8.5%-1.3%
Q4 2023+7.4%+10.9%+12.1%
Q3 2023+4.7%+2.2%+20.4%
Q2 2023-1.9%-3.0%-1.2%
Q1 2023+6.4%+6.4%+12.9%
Q4 2022+9.8%+7.0%+7.9%
Q3 2022-7.9%-6.4%-3.7%
Q2 2022+15.5%+18.2%+24.7%
Q1 2022-3.9%-3.1%-11.6%
Q4 2021-4.7%-3.5%-0.2%
Q3 2021+5.6%+6.7%-5.3%
Q2 2021+6.1%+8.4%+10.6%
Q1 2021+12.3%+7.0%+5.8%
Q4 2020+3.5%+13.1%-0.9%
Q3 2020-1.2%-7.4%-2.8%
Q2 2020-1.0%-1.3%-2.4%
Q1 2020+4.8%+5.0%+38.7%
Q4 2019-10.4%-12.1%-22.6%
Q3 2019-2.3%+0.4%+3.3%
Q2 2019+19.5%+23.2%+19.0%
Q1 2019+11.3%+12.2%+9.2%
Q4 2018-4.9%+0.1%+4.5%
Q3 2018-7.3%-5.6%-1.3%
Q2 2018-4.3%-2.8%+11.5%
Q1 2018+1.0%+4.4%+3.4%
Q4 2017-16.4%-17.6%-10.3%
Q3 2017-6.9%-9.7%-10.3%
Q2 2017-8.1%-4.6%-11.6%
Q1 2017-9.5%-8.0%-6.1%
Q4 2016-6.9%-4.4%-0.7%
Q3 2016-8.7%-10.1%-6.9%
Q2 2016-4.0%-6.1%-5.8%
Q1 2016+15.0%
Q4 2015-2.0%
Q3 2015+2.7%
Q2 2015+9.1%
Q1 2015-3.1%
Q4 2014+12.1%
Q3 2014+4.7%
Q2 2014-0.7%
Q1 2014+1.5%
Q4 2013-0.7%
Q3 2013+15.8%
Q2 2013+2.6%
Q1 2013-0.7%
Q4 2012+8.1%
Q3 2012-0.2%
Q2 2012+8.5%
Q1 2011-0.3%
Q1 2012+2.7%
Q4 2009+1.8%
Q1 2010+1.8%
Q4 2011+1.8%
Q3 2010-0.6%
Q3 2011-0.6%
Q2 2010+0.6%
Q4 2010+0.6%
Q2 2011+0.6%

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