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Dec 31, 2019

Manhattan Associates Q4 2019 Earnings Report

Reported record revenue for the fourth quarter and full year 2019.

Key Takeaways

Manhattan Associates reported a record total revenue of $152.9 million for Q4 2019, with GAAP diluted EPS at $0.26 and non-GAAP adjusted diluted EPS at $0.40. The company saw growth in cloud subscriptions and services revenue, offset by a decrease in license revenue.

Consolidated total revenue reached $152.9 million, compared to $144.4 million in Q4 2018.

Cloud subscription revenue increased to $15.7 million, up from $6.8 million in Q4 2018.

GAAP diluted earnings per share was $0.26, compared to $0.40 in Q4 2018.

Non-GAAP adjusted diluted earnings per share was $0.40, compared to $0.46 in Q4 2018.

Total Revenue
$153M
Previous year: $144M
+5.9%
EPS
$0.4
Previous year: $0.46
-13.0%
Gross Profit
$81.1M
Previous year: $81.5M
-0.6%
Cash and Equivalents
$111M
Previous year: $99.1M
+11.7%
Free Cash Flow
$30.7M
Previous year: $32.3M
-4.8%
Total Assets
$372M
Previous year: $307M
+21.2%

Manhattan Associates

Manhattan Associates

Manhattan Associates Revenue by Segment

Manhattan Associates Revenue by Geographic Location

Forward Guidance

Manhattan Associates provides revenue guidance for the full year 2020. Total revenue is expected to be between $644 million and $656 million. GAAP EPS is expected to be between $1.12 and $1.19. Adjusted EPS is expected to be between $1.53 and $1.60.

Positive Outlook

  • Total revenue is expected to be between $644 million and $656 million.
  • Revenue growth projected between 4% and 6%.
  • GAAP operating margin is expected to be between 14.6% and 15.2%.
  • Adjusted operating margin is expected to be between 20.0% and 20.5%.
  • Adjusted EPS is expected to be between $1.53 and $1.60.

Challenges Ahead

  • GAAP EPS is expected to be between $1.12 and $1.19, representing a decrease of 15% to 10%.
  • Adjusted EPS is expected to be between $1.53 and $1.60, representing a decrease of 12% to 8%.
  • Guidance does not reflect potential impact of mergers, acquisitions or other business combinations.
  • Excess tax benefit on stock vesting expected to occur primarily in the first quarter of 2020.
  • Actual results may differ materially from those contemplated by such forward-looking statements.

Revenue & Expenses

Visualization of income flow from segment revenue to net income