Manhattan Associates Inc【MANH】株式ニュース

Manhattan Associates Reports First Quarter ResultsApril 21, 2026 4:06 PM
Business Wire
RPO Increased 24% over Prior Year

Leading Supply Chain and Omnichannel Commerce Solutions provider Manhattan Associates Inc. (NASDAQ: MANH) today reported revenue of $282.2 million for the first quarter ended March 31, 2026, compared to $262.8 million in Q1 2025. GAAP diluted earnings per share for Q1 2026 was $0.82 compared to $0.85 in Q1 2025. Non-GAAP adjusted diluted earnings per share for Q1 2026 was $1.24 compared to $1.19 in Q1 2025.

“Manhattan is off to a strong start to 2026. On solid and broad-based demand, we accelerated our Q1 revenue growth and delivered better than expected bookings,” said Manhattan Associates president and CEO Eric Clark.

“While macro volatility persists, Manhattan’s fundamentals are solid. With a strong pipeline across our product suite, numerous opportunities to drive growth, and our unmatched ability to consistently deliver leading innovation to the supply chain commerce universe, we are optimistic about our long-term growth opportunity,” Mr. Clark concluded.

FIRST QUARTER 2026 FINANCIAL SUMMARY:

Consolidated total revenue was $282.2 million for Q1 2026, compared to $262.8 million for Q1 2025.

Cloud subscription revenue was $117.1 million for Q1 2026, compared to $94.3 million for Q1 2025.

License revenue was $2.2 million for Q1 2026, compared to $9.3 million for Q1 2025.

Services revenue was $125.7 million for Q1 2026, compared to $121.1 million for Q1 2025.

GAAP diluted earnings per share was $0.82 for Q1 2026, compared to $0.85 for Q1 2025.

Adjusted diluted earnings per share, a non-GAAP measure, was $1.24 for Q1 2026, compared to $1.19 for Q1 2025.

GAAP operating income was $64.9 million for Q1 2026, compared to $63.2 million for Q1 2025.

Adjusted operating income, a non-GAAP measure, was $91.5 million for Q1 2026, compared to $91.3 million for Q1 2025.

Cash flow from operations was $84.0 million for Q1 2026, compared to $75.3 million for Q1 2025. Days Sales Outstanding was 72 days at March 31, 2026, and 73 days at December 31, 2025.

Cash totaled $226.1 million at March 31, 2026, compared to $328.7 million at December 31, 2025.

RPO increased to $2.35 billion as of March 31, 2026, compared to $2.23 billion as of December 31, 2025.

During the three months ended March 31, 2026, the Company repurchased 1,043,312 shares of Manhattan Associates common stock under the share repurchase program authorized by our Board of Directors for a total investment of $150.0 million. In March 2026, our Board of Directors approved an increase to the Company’s share repurchase authority from $100 million to $500 million. As of the end of the quarter, approximately $350.0 million remained under the existing March 2026 repurchase authority.

2026 GUIDANCE

Manhattan Associates provides the following revenue, operating margin, and diluted earnings per share guidance for the full year 2026:

Guidance Range - 2026 Full Year

($'s in millions, except operating margin and EPS)

$ Range

% Growth Range

Total revenue

$1,147

$1,157

6

%

7

%

Operating Margin:

GAAP operating margin

24.6

%

24.9

%

Equity-based compensation

10.3

%

10.2

%

Adjusted operating margin(1)

34.9

%

35.1

%

Diluted earnings per share (EPS):

GAAP EPS

$3.55

$3.63

-1

%

1

%

Equity-based compensation

1.70

1.70

Tax deficiency of stock awards vested (2)

0.04

0.04

Adjusted EPS(1)

$5.29

$5.37

5

%

6

%

(1) Adjusted operating margin and adjusted EPS are non-GAAP measures that exclude the impact of equity-based compensation,

expense related to an unusual health insurance claim, restructuring expense, and the related income tax effects, if applicable.

(2) The Company expects the tax deficiency on stock vesting to occur primarily in the first quarter of 2026.

Manhattan Associates currently intends to make public certain expectations with respect to future financial performance. Those statements, including the guidance provided above, are forward looking. Actual results may differ materially. See our cautionary note regarding “forward-looking statements” below.

Manhattan Associates will make this earnings release and a recording of the conference call referenced below available on the investor relations section of the Manhattan Associates website at ir.manh.com. Following publication of this earnings release, any expectations with respect to future financial performance contained in this release or the conference call, including the guidance, should be considered historical only, and Manhattan Associates disclaims any obligation to update them.

CONFERENCE CALL

Manhattan Associates’ conference call regarding its first quarter financial results will be held today, April 21, 2026, at 4:30 p.m. Eastern Time. The Company will also discuss its business and expectations for the year and next quarter in additional detail during the call. We invite investors to a live webcast of the conference call through the Investor Relations section of the Manhattan Associates website at ir.manh.com. To listen to the live webcast, please go to the website at least 15 minutes before the call to download and install any necessary audio software. The Internet webcast will be available until Manhattan Associates’ second quarter 2026 earnings release.

GAAP VERSUS NON-GAAP PRESENTATION

Manhattan Associates provides adjusted operating income and margin, adjusted income tax provision, adjusted net income, and adjusted diluted earnings per share in this press release as additional information regarding the Company’s historical and projected operating results. These measures are not in accordance with, or alternatives to, GAAP, and may be different from similarly titled non-GAAP measures used by other companies. The Company believes the presentation of these non-GAAP financial measures facilitates investors’ ability to understand and compare the Company’s results and guidance, because the measures provide supplemental information in evaluating the operating results of its business, as distinct from results that include items not indicative of ongoing operating results, and because the Company believes its peers typically publish similar non-GAAP measures. This release should be read in conjunction with the Company’s Form 8-K earnings release filing for the three months ended March 31, 2026.

Non-GAAP adjusted operating income and margin, adjusted income tax provision, adjusted net income, and adjusted diluted earnings per share exclude the impact of equity-based compensation, an expense – net of insurance recoveries, related to an unusual health insurance claim, and restructuring expense – net of income tax effects, collectively. They also exclude the tax benefits or deficiencies of vested stock awards caused by differences in the amount deductible for tax purposes from the compensation expense recorded for financial reporting purposes. We include reconciliations of the Company’s GAAP financial measures to non-GAAP adjustments in the supplemental information attached to this release.

ABOUT MANHATTAN ASSOCIATES

Manhattan Associates is a global technology leader, providing supply chain and omnichannel commerce solutions with unmatched AI capabilities. We design, build and offer best-in-class, AI-powered, cloud-based solutions that drive resilience and efficiency for businesses. We enable enterprises to uniquely unify front-end sales with back-end supply chain execution.

Our commitment to innovation, cloud-native platform and API-first architecture create simpler experiences and faster paths to value for our customers. We empower them to preempt and react to emerging trends and global disruptions with technical expertise and operational confidence, transforming challenges into competitive advantage. For more information, please visit www.manh.com.

This press release contains “forward-looking statements” relating to Manhattan Associates, Inc. Forward-looking statements in this press release include, without limitation, the information set forth under “2026 Guidance” and statements identified by words such as “may,” “expect,” “forecast,” “anticipate,” “intend,” “plan,” “believe,” “could,” “seek,” “project,” “estimate,” and similar expressions. Prospective investors are cautioned that any of those forward-looking statements are not guarantees of future performance and involve risks and uncertainties, and that actual results may differ materially from those contemplated by those forward-looking statements. Among the important factors that could cause actual results to differ materially from those indicated by those forward-looking statements are: economic conditions, including as a result of global instability due to military conflict, including the military conflict involving the United States, Israel, and Iran, as well as the ongoing war between Russia and Ukraine, disruption and transformation in the retail sector and our vertical markets; delays in product development; competitive and pricing pressures; software errors and information technology failures, disruption and security breaches; risks related to our products’ technology and customer implementations; risks associated with our use of generative and agentic artificial intelligence; and the other risk factors set forth in Item 1A of the Company’s Annual Report on Form 10-K for the year ended December 31, 2025, and in Item 1A of Part II in subsequent Quarterly Reports on Form 10-Q. Manhattan Associates undertakes no obligation to update or revise forward-looking statements to reflect changed assumptions, the occurrence of unanticipated events or changes in future operating results.

MANHATTAN ASSOCIATES, INC. AND SUBSIDIARIES

Condensed Consolidated Statements of Income

(in thousands, except per share amounts)

Three Months Ended March 31,

2026

2025

(unaudited)

(unaudited)

Revenue:

Cloud subscriptions

$117,123

$94,306

Software license

2,234

9,292

Maintenance

30,592

32,144

Services

125,717

121,127

Hardware

6,549

5,918

Total revenue

282,215

262,787

Costs and expenses:

Cost of cloud subscriptions, maintenance and services

126,077

114,358

Cost of software license

564

209

Research and development

37,346

35,298

Sales and marketing

27,752

21,061

General and administrative

23,706

24,219

Depreciation and amortization

1,833

1,541

Restructuring expense

-

2,929

Total costs and expenses

217,278

199,615

Operating income

64,937

63,172

Other income, net

4,337

1,337

Income before income taxes

69,274

64,509

Income tax provision

19,979

11,927

Net income

$49,295

$52,582

Basic earnings per share

$0.83

$0.86

Diluted earnings per share

$0.82

$0.85

Weighted average number of shares:

Basic

59,688

60,870

Diluted

60,038

61,527

Reconciliation of Selected GAAP to Non-GAAP Measures

(in thousands, except per share amounts)

Three Months Ended March 31,

2026

2025

Operating income

$64,937

$63,172

Equity-based compensation (a)

26,524

28,826

Unusual health insurance claim (c)

-

(3,658

)

Restructuring expense (d)

-

2,929

Adjusted operating income (Non-GAAP)

$91,461

$91,269

Income tax provision

$19,979

$11,927

Equity-based compensation (a)

3,698

4,340

Tax (deficiency) benefit of stock awards vested (b)

(2,177

)

3,542

Unusual health insurance claim (c)

-

(883

)

Restructuring expense (d)

-

707

Adjusted income tax provision (Non-GAAP)

$21,500

$19,633

Net income

$49,295

$52,582

Equity-based compensation (a)

22,826

24,486

Tax deficiency (benefit) of stock awards vested (b)

2,177

(3,542

)

Unusual health insurance claim (c)

-

(2,775

)

Restructuring expense (d)

-

2,222

Adjusted net income (Non-GAAP)

$74,298

$72,973

Diluted EPS

$0.82

$0.85

Equity-based compensation (a)

0.38

0.40

Tax deficiency (benefit) of stock awards vested (b)

0.04

(0.06

)

Unusual health insurance claim (c)

-

(0.05

)

Restructuring expense (d)

-

0.04

Adjusted diluted EPS (Non-GAAP)

$1.24

$1.19

Fully diluted shares

60,038

61,527

(a)

Adjusted results exclude all equity-based compensation, as detailed below, to facilitate comparison with our peers and for the other reasons explained in our Current Report on Form 8-K filed with the SEC. We do not receive a GAAP tax benefit for a portion of our equity-based compensation, mainly because of Section 162(m) of the Internal Revenue Code, which limits tax deductions for compensation granted to certain executives.

Three Months Ended March 31,

2026

2025

Cost of services

$11,586

$11,425

Research and development

6,387

5,958

Sales and marketing

3,668

2,306

General and administrative

4,883

9,137

Total equity-based compensation

$26,524

$28,826

(b)

Adjustments represent the excess tax benefits and tax deficiencies of the equity awards vested during the period. Excess tax benefits (deficiencies) occur when the amount deductible on our tax return for an equity award is more (less) than the cumulative compensation cost recognized for financial reporting purposes. As discussed above, we exclude equity-based compensation from adjusted non-GAAP results to be consistent with other companies in the software industry and for the other reasons explained in our Current Report on Form 8-K filed with the SEC. Therefore, we also exclude the related tax benefit (expense) generated upon their vesting.

(c)

In the fourth quarter of 2024, we recorded $7.0 million of expense for an unusual health insurance claim. During the first quarter of 2025, we received an insurance recovery of $4.7 million for this claim, partially offset by $1.0 million of ongoing expense for the claim. During the second quarter of 2025, we recorded an additional $3.0 million of expense for this unusual health insurance claim. During the fourth quarter of 2025, we settled the remaining balance of the claim and recorded $6.2 million of benefit as the final payment was much lower than the cost estimates previously provided by our health insurance provider. Based on the uncommonly large magnitude and nature of the claim and timing of related insurance recoveries, we do not believe that this expense reflects our normal operating activities, and we have excluded the amount from adjusted non-GAAP results.

(d)

In January 2025, the Company eliminated about 100 positions to align our services capacity with customer demand, which had been impacted by macro-economic uncertainty. We recorded pre-tax restructuring expense in the first quarter of 2025 of approximately $2.9 million. The expense primarily consists of employee severance and outplacement services. We do not believe that the expense is a common cost that resulted from normal operating activities, and thus we have excluded the amount from adjusted non-GAAP results.

MANHATTAN ASSOCIATES, INC. AND SUBSIDIARIES

Condensed Consolidated Balance Sheets

(in thousands, except share and per share data)

March 31, 2026

December 31, 2025

(unaudited)

ASSETS

Current assets:

Cash and cash equivalents

$

226,133

$

328,747

Accounts receivable, net

227,110

214,679

Prepaid expenses and other current assets

62,573

39,912

Total current assets

515,816

583,338

Property and equipment, net

25,269

23,120

Operating lease right-of-use assets

47,431

50,443

Goodwill, net

62,241

62,244

Deferred income taxes

43,763

75,900

Other assets

46,018

44,343

Total assets

$

740,538

$

839,388

LIABILITIES AND SHAREHOLDERS' EQUITY

Current liabilities:

Accounts payable

$

22,415

$

22,182

Accrued compensation and benefits

58,415

69,309

Accrued and other liabilities

30,571

26,570

Deferred revenue

355,909

337,049

Income taxes payable

90

803

Total current liabilities

467,400

455,913

Operating lease liabilities, long-term

55,685

56,180

Other non-current liabilities

12,278

12,530

Shareholders' equity:

Preferred stock, no par value; 20,000,000 shares authorized, no shares issued or outstanding in 2026 and 2025

-

-

Common stock, $0.01 par value; 200,000,000 shares authorized; 59,164,492 and 59,845,291 shares issued and outstanding at March 31, 2026 and December 31, 2025, respectively

591

598

Retained earnings

240,577

345,097

Accumulated other comprehensive loss

(35,993

)

(30,930

)

Total shareholders' equity

205,175

314,765

Total liabilities and shareholders' equity

$

740,538

$

839,388

MANHATTAN ASSOCIATES, INC. AND SUBSIDIARIES

Condensed Consolidated Statements of Cash Flows

(in thousands)

Three Months Ended March 31,

2026

2025

(unaudited)

(unaudited)

Operating activities:

Net income

$

49,295

$

52,582

Adjustments to reconcile net income to net cash provided by operating activities:

Depreciation and amortization

1,833

1,541

Equity-based compensation

26,524

28,826

Gain on disposal of equipment

(156

)

(98

)

Deferred income taxes

31,854

2,133

Unrealized foreign currency (gain) loss

(2,212

)

781

Changes in operating assets and liabilities:

Accounts receivable, net

(13,217

)

(3,321

)

Other assets

(9,651

)

(11,959

)

Accounts payable, accrued and other liabilities

(4,044

)

(18,807

)

Income taxes

(15,790

)

6,482

Deferred revenue

19,609

17,100

Net cash provided by operating activities

84,045

75,260

Investing activities:

Purchase of property and equipment

(4,103

)

(891

)

Net cash used in investing activities

(4,103

)

(891

)

Financing activities:

Repurchase of common stock

(179,387

)

(136,447

)

Net cash used in financing activities

(179,387

)

(136,447

)

Foreign currency impact on cash

(3,169

)

1,721

Net change in cash and cash equivalents

(102,614

)

(60,357

)

Cash and cash equivalents at beginning of period

328,747

266,230

Cash and cash equivalents at end of period

$

226,133

$

205,873

MANHATTAN ASSOCIATES, INC.

SUPPLEMENTAL INFORMATION

1. GAAP and adjusted earnings per share by quarter are as follows:

2025

2026

1st Qtr

2nd Qtr

3rd Qtr

4th Qtr

Full Year

1st Qtr

GAAP Diluted EPS

$0.85

$0.93

$0.96

$0.86

$3.60

$0.82

Adjustments to GAAP:

Equity-based compensation

0.40

0.35

0.40

0.43

1.57

0.38

Tax deficiency (benefit) of stock awards vested

(0.06

)

-

(0.01

)

-

(0.06

)

0.04

Restructuring expense

(0.05

)

0.04

-

(0.08

)

(0.09

)

-

Unusual health insurance claim

0.04

-

-

-

0.04

-

Adjusted Diluted EPS

$1.19

$1.31

$1.36

$1.21

$5.06

$1.24

Fully Diluted Shares

61,527

61,074

60,954

60,642

61,054

60,038

2. Revenues and operating income by reportable segment are as follows (in thousands):

2025

2026

1st Qtr

2nd Qtr

3rd Qtr

4th Qtr

Full Year

1st Qtr

Revenue:

Americas

$194,615

$206,606

$206,659

$202,546

$810,426

$214,550

EMEA

55,542

52,301

53,975

53,978

215,796

53,663

APAC

12,630

13,514

15,161

13,865

55,170

14,002

$262,787

$272,421

$275,795

$270,389

$1,081,392

$282,215

GAAP Operating Income:

Americas

$33,862

$48,051

$45,783

$39,875

$167,571

$39,005

EMEA

23,703

19,807

22,877

21,686

88,073

19,670

APAC

5,607

5,930

7,168

5,451

24,156

6,262

$63,172

$73,788

$75,828

$67,012

$279,800

$64,937

Adjustments (pre-tax):

Americas:

Equity-based compensation

$28,826

$24,275

$27,577

$30,585

$111,263

$26,524

Unusual health insurance claim

(3,658

)

3,000

-

(6,224

)

(6,882

)

-

Restructuring expense

2,929

8

-

-

2,937

-

$28,097

$27,283

$27,577

$24,361

$107,318

$26,524

Adjusted non-GAAP Operating Income:

Americas

$61,959

$75,334

$73,360

$64,236

$274,889

$65,529

EMEA

23,703

19,807

22,877

21,686

88,073

19,670

APAC

5,607

5,930

7,168

5,451

24,156

6,262

$91,269

$101,071

$103,405

$91,373

$387,118

$91,461

3. Impact of Currency Fluctuation

The following table reflects the increases (decreases) in the results of operations for each period attributable to the change in foreign currency exchange rates from the prior period as well as foreign currency gains (losses) included in other income, net for each period (in thousands):

2025

2026

1st Qtr

2nd Qtr

3rd Qtr

4th Qtr

Full Year

1st Qtr

Revenue

$(1,591

)

$2,724

$2,652

$3,833

$7,618

$5,975

Costs and expenses

(1,966

)

1,180

738

906

858

2,646

Operating income

375

1,544

1,914

2,927

6,760

3,329

Foreign currency gains (losses) in other income

131

(65

)

1,596

9

1,671

3,229

$506

$1,479

$3,510

$2,936

$8,431

$6,558

Manhattan Associates has a large research and development center in Bangalore, India. The following table reflects the increases (decreases) in the financial results for each period attributable to changes in the Indian Rupee exchange rate (in thousands):

2025

2026

1st Qtr

2nd Qtr

3rd Qtr

4th Qtr

Full Year

1st Qtr

Operating income

$785

$514

$832

$1,409

$3,540

$1,045

Foreign currency gains (losses) in other income

15

140

1,978

742

2,875

3,449

Total impact of changes in the Indian Rupee

$800

$654

$2,810

$2,151

$6,415

$4,494

4. Other income includes the following components (in thousands):

2025

2026

1st Qtr

2nd Qtr

3rd Qtr

4th Qtr

Full Year

1st Qtr

Interest income

$1,101

$852

$1,007

$1,429

$4,389

$951

Foreign currency gains (losses)

130

(65

)

1,597

9

1,671

3,229

Other non-operating income (expense)

106

(72

)

-

(1

)

33

157

Total other income (loss)

$1,337

$715

$2,604

$1,438

$6,094

$4,337

5. Capital expenditures are as follows (in thousands):

2025

2026

1st Qtr

2nd Qtr

3rd Qtr

4th Qtr

Full Year

1st Qtr

Capital expenditures

$891

$3,980

$5,928

$4,658

$15,457

$4,103

6. Stock Repurchase Activity (in thousands):

2025

2026

1st Qtr

2nd Qtr

3rd Qtr

4th Qtr

Full Year

1st Qtr

Shares purchased under publicly-announced buy-back program

539

263

233

416

1,451

1,043

Shares withheld for taxes due upon vesting of restricted stock

179

3

8

2

192

198

Total shares purchased

718

266

241

418

1,643

1,241

Total cash paid for shares purchased under publicly-announced buy-back program

$100,000

$49,596

$49,947

$74,996

$274,539

$149,983

Total cash paid for shares withheld for taxes due upon vesting of restricted stock

36,447

595

1,602

398

39,042

29,404

Total cash paid for excise tax

-

-

-

1,581

1,581

-

Total cash paid for shares repurchased

$136,447

$50,191

$51,549

$76,975

$315,162

$179,387

7. Remaining Performance Obligations

We disclose revenue that we expect to recognize from our remaining performance obligations ("RPO"). Over 98% of our RPO represents cloud native subscriptions with non-cancelable terms greater than one year (including cloud-deferred revenue as well as amounts we will invoice and recognize as revenue from our performance of cloud services in future periods). Maintenance contracts are typically one year and not included in the RPO. Our RPO as of the end of each period appears below (in thousands):

March 31, 2025

June 30, 2025

September 30, 2025

December 31, 2025

March 31, 2026

Remaining Performance Obligations

$1,891,384

$2,013,495

$2,076,628

$2,232,234

$2,347,952

View source version on businesswire.com: https://www.businesswire.com/news/home/20260421438075/en/
Michael Bauer

VP, Investor Relations

Manhattan Associates, Inc.

678-597-7538

mbauer@manh.com
Devika Goel

Director, Corporate Communications

Manhattan Associates, Inc.

678-597-6754

dgoel@manh.com

Original: Manhattan Associates Reports First Quarter Results

Manhattan Associates Reports Fourth Quarter ResultsJanuary 27, 2026 9:06 PM
Business Wire
RPO Bookings Increased 25% over Prior Year

Leading Supply Chain and Omnichannel Commerce Solutions provider Manhattan Associates Inc. (NASDAQ: MANH) today reported revenue of $270.4 million for the fourth quarter ended December 31, 2025, compared to $255.8 million in Q4 2024. GAAP diluted earnings per share for Q4 2025 was $0.86 compared to $0.77 in Q4 2024. Non-GAAP adjusted diluted earnings per share for Q4 2025 was $1.21 compared to $1.17 in Q4 2024.

“Manhattan's business momentum continues to strengthen. We delivered record fourth quarter cloud bookings, and our industry leading solutions are gaining market share,” said Manhattan Associates president and CEO Eric Clark.

“Manhattan enters 2026 with an expanded go-to-market footprint and numerous opportunities to drive growth from new and existing customers. Our global team is dedicated to our customers’ success, and we are excited for our newly released AI agents to help deliver optimal results for our entire Active customer community,” Mr. Clark concluded.

FOURTH QUARTER 2025 FINANCIAL SUMMARY:

Consolidated total revenue was $270.4 million for Q4 2025, compared to $255.8 million for Q4 2024.

Cloud subscription revenue was $108.6 million for Q4 2025, compared to $90.3 million for Q4 2024.

License revenue was $2.6 million for Q4 2025, compared to $5.5 million for Q4 2024.

Services revenue was $120.0 million for Q4 2025, compared to $119.5 million for Q4 2024.

GAAP diluted earnings per share was $0.86 for Q4 2025, compared to $0.77 for Q4 2024.

Adjusted diluted earnings per share, a non-GAAP measure, was $1.21 for Q4 2025, compared to $1.17 for Q4 2024.

GAAP operating income was $67.0 million for Q4 2025, compared to $60.7 million for Q4 2024.

Adjusted operating income, a non-GAAP measure, was $91.4 million for Q4 2025, compared to $90.3 million for Q4 2024.

Cash flow from operations was $147.0 million for Q4 2025, compared to $104.7 million for Q4 2024. Days Sales Outstanding was 73 days at both December 31, 2025 and at September 30, 2025.

Cash totaled $328.7 million at December 31, 2025, compared to $263.6 million at September 30, 2025.

During the three months ended December 31, 2025, the Company repurchased 415,925 shares of Manhattan Associates common stock under the share repurchase program authorized by our Board of Directors for a total investment of $75.0 million. In January 2026, our Board of Directors replenished the Company’s share repurchase authority to an aggregate of $100.0 million of our common stock.

FULL YEAR 2025 FINANCIAL SUMMARY:

Consolidated total revenue for the twelve months ended December 31, 2025, was $1,081.4 million, compared to $1,042.4 million for the twelve months ended December 31, 2024.

Cloud subscription revenue was $408.1 million for the twelve months ended December 31, 2025, compared to $337.2 million for the twelve months ended December 31, 2024.

License revenue was $14.8 million for the twelve months ended December 31, 2025, compared to $15.1 million for the twelve months ended December 31, 2024.

Services revenue was $503.0 million for the twelve months ended December 31, 2025, compared to $525.5 million for the twelve months ended December 31, 2024.

GAAP diluted earnings per share for the twelve months ended December 31, 2025, was $3.60, compared to $3.51 for the twelve months ended December 31, 2024.

Adjusted diluted earnings per share, a non-GAAP measure, was $5.06 for the twelve months ended December 31, 2025, compared to $4.72 for the twelve months ended December 31, 2024.

GAAP operating income was $279.8 million for the twelve months ended December 31, 2025, compared to $261.6 million for the twelve months ended December 31, 2024.

Adjusted operating income, a non-GAAP measure, was $387.1 million for the twelve months ended December 31, 2025, compared to $361.8 million for the twelve months ended December 31, 2024.

Cash flow from operations was $389.5 million for the twelve months ended December 31, 2025, compared to $295.0 million for the twelve months ended December 31, 2024.

During the twelve months ended December 31, 2025, the Company repurchased 1,451,019 shares of Manhattan Associates common stock under the share repurchase program authorized by our Board of Directors, for a total investment of $274.5 million. In January 2026, our Board of Directors replenished the Company’s share repurchase authority to an aggregate of $100.0 million of our common stock.

2026 GUIDANCE

Manhattan Associates provides the following revenue, operating margin, and diluted earnings per share guidance for the full year 2026:

Guidance Range - 2026 Full Year

($'s in millions, except operating margin and EPS)

$ Range

% Growth Range

Total revenue

$1,133

$1,153

5%

7%

Operating Margin:

GAAP operating margin

24.1%

24.7%

Equity-based compensation

10.4%

10.3%

Adjusted operating margin(1)

34.5%

35.0%

Diluted earnings per share (EPS):

GAAP EPS

$3.37

$3.53

-6%

-2%

Equity-based compensation

1.69

1.69

Excess tax benefit on stock vesting(2)

(0.02)

(0.02)

Adjusted EPS(1)

$5.04

$5.20

0%

3%

(1) Adjusted operating margin and adjusted EPS are non-GAAP measures that exclude the impact of equity-based compensation and the related income tax effects, if applicable.

(2) Excess tax benefit on stock vesting expected to occur primarily in the first quarter of 2026.

Manhattan Associates currently intends to make public certain expectations with respect to future financial performance. Those statements, including the guidance provided above, are forward looking. Actual results may differ materially. See our cautionary note regarding “forward-looking statements” below.

Manhattan Associates will make this earnings release and a recording of the conference call referenced below available on the investor relations section of the Manhattan Associates website at ir.manh.com. Following publication of this earnings release, any expectations with respect to future financial performance contained in this release or the conference call, including the guidance, should be considered historical only, and Manhattan Associates disclaims any obligation to update them.

CONFERENCE CALL

Manhattan Associates’ conference call regarding its fourth quarter and twelve months ended December 31, 2025 financial results will be held today, January 27, 2026, at 4:30 p.m. Eastern Time. The Company will also discuss its business and expectations for the year and next quarter in additional detail during the call. We invite investors to a live webcast of the conference call through the Investor Relations section of the Manhattan Associates website at ir.manh.com. To listen to the live webcast, please go to the website at least 15 minutes before the call to download and install any necessary audio software. The Internet webcast will be available until Manhattan Associates’ first quarter 2026 earnings release.

GAAP VERSUS NON-GAAP PRESENTATION

Manhattan Associates provides adjusted operating income and margin, adjusted income tax provision, adjusted net income, and adjusted diluted earnings per share in this press release as additional information regarding the Company’s historical and projected operating results. These measures are not in accordance with, or alternatives to, GAAP, and may be different from similarly titled non-GAAP measures used by other companies. The Company believes the presentation of these non-GAAP financial measures facilitates investors’ ability to understand and compare the Company’s results and guidance, because the measures provide supplemental information in evaluating the operating results of its business, as distinct from results that include items not indicative of ongoing operating results, and because the Company believes its peers typically publish similar non-GAAP measures. This release should be read in conjunction with the Company’s Form 8-K earnings release filing for the three and twelve months ended December 31, 2025.

Non-GAAP adjusted operating income and margin, adjusted income tax provision, adjusted net income, and adjusted diluted earnings per share exclude the impact of equity-based compensation, an expense – net of insurance recoveries, related to an unusual health insurance claim, and restructuring expense – net of income tax effects, collectively. They also exclude the tax benefits or deficiencies of vested stock awards caused by differences in the amount deductible for tax purposes from the compensation expense recorded for financial reporting purposes. We include reconciliations of the Company’s GAAP financial measures to non-GAAP adjustments in the supplemental information attached to this release.

ABOUT MANHATTAN ASSOCIATES

Manhattan Associates is a global technology leader in supply chain and omnichannel commerce. We unite information across the enterprise, converging front-end sales with back-end supply chain execution. Our software, platform technology, and unmatched experience help drive both top-line growth and bottom-line profitability for our customers.

Manhattan Associates designs, builds, and delivers leading edge cloud solutions so that across the store, through your network, or from your fulfillment center, you are ready to reap the rewards of the omnichannel marketplace. For more information, please visit www.manh.com.

This press release contains “forward-looking statements” relating to Manhattan Associates, Inc. Forward-looking statements in this press release include, without limitation, the information set forth under “2026 Guidance” and statements identified by words such as “may,” “expect,” “forecast,” “anticipate,” “intend,” “plan,” “believe,” “could,” “seek,” “project,” “estimate,” and similar expressions. Prospective investors are cautioned that any of those forward-looking statements are not guarantees of future performance and involve risks and uncertainties, and that actual results may differ materially from those contemplated by those forward-looking statements. Among the important factors that could cause actual results to differ materially from those indicated by those forward-looking statements are: economic conditions, including disruption and transformation in the retail sector and our vertical markets; delays in product development; competitive and pricing pressures; software errors and information technology failures, disruption and security breaches; risks related to our products’ technology and customer implementations; risks associated with our use of generative and agentic artificial intelligence; global instability, including the wars in Ukraine and the Middle East; and the other risk factors set forth in Item 1A of the Company’s Annual Report on Form 10-K for the year ended December 31, 2024, and in Item 1A of Part II in subsequent Quarterly Reports on Form 10-Q. Manhattan Associates undertakes no obligation to update or revise forward-looking statements to reflect changed assumptions, the occurrence of unanticipated events or changes in future operating results.

MANHATTAN ASSOCIATES, INC. AND SUBSIDIARIES

Condensed Consolidated Statements of Income

(in thousands, except per share amounts)

Three Months Ended December 31,

Year Ended December 31,

2025

2024

2025

2024

(unaudited)

(unaudited)

Revenue:

Cloud subscriptions

$108,558

$90,330

$408,138

$337,203

Software license

2,643

5,452

14,819

15,085

Maintenance

32,279

33,568

129,972

138,304

Services

120,011

119,482

503,044

525,517

Hardware

6,898

6,969

25,419

26,243

Total revenue

270,389

255,801

1,081,392

1,042,352

Costs and expenses:

Cost of cloud subscriptions, maintenance and services

121,522

112,739

471,405

469,659

Cost of software license

223

253

934

1,321

Research and development

38,533

32,996

145,062

137,689

Sales and marketing

22,078

20,307

81,175

75,976

General and administrative

19,489

27,187

93,762

89,810

Depreciation and amortization

1,532

1,631

6,317

6,301

Restructuring expense

-

-

2,937

-

Total costs and expenses

203,377

195,113

801,592

780,756

Operating income

67,012

60,688

279,800

261,596

Other income, net

1,438

1,996

6,094

5,218

Income before income taxes

68,450

62,684

285,894

266,814

Income tax provision

16,497

14,668

65,946

48,450

Net income

$51,953

$48,016

$219,948

$218,364

Basic earnings per share

$0.87

$0.79

$3.64

$3.56

Diluted earnings per share

$0.86

$0.77

$3.60

$3.51

Weighted average number of shares:

Basic

60,036

60,999

60,473

61,303

Diluted

60,642

62,009

61,054

62,183

Reconciliation of Selected GAAP to Non-GAAP Measures

(in thousands, except per share amounts)

Three Months Ended December 31,

Year Ended December 31,

2025

2024

2025

2024

Operating income

$67,012

60,688

$279,800

261,596

Equity-based compensation (a)

30,585

22,592

111,263

93,206

Unusual health insurance claim (c)

(6,224)

7,002

(6,882)

7,002

Restructuring expense (d)

-

-

2,937

Adjusted operating income (Non-GAAP)

$91,373

$90,282

$387,118

$361,804

Income tax provision

$16,497

14,668

65,946

48,450

Equity-based compensation (a)

4,498

3,160

15,247

14,127

Tax benefit of stock awards vested (b)

4

57

3,928

9,120

Unusual health insurance claim (c)

(1,501)

1,690

(1,660)

1,690

Restructuring expense (d)

-

-

708

-

Adjusted income tax provision (Non-GAAP)

$19,498

19,575

84,169

73,387

Net income

$51,953

48,016

219,948

218,364

Equity-based compensation (a)

26,087

19,432

96,016

79,079

Tax benefit of stock awards vested (b)

(4)

(57)

(3,928)

(9,120)

Unusual health insurance claim (c)

(4,723)

5,312

(5,222)

5,312

Restructuring expense (d)

-

-

2,229

-

Adjusted net income (Non-GAAP)

$73,313

72,703

309,043

293,635

Diluted EPS

$0.86

$0.77

$3.60

$3.51

Equity-based compensation (a)

0.43

0.31

1.57

1.27

Tax benefit of stock awards vested (b)

-

-

(0.06)

(0.15)

Unusual health insurance claim (c)

(0.08)

0.09

(0.09)

0.09

Restructuring expense (d)

-

-

0.04

-

Adjusted diluted EPS (Non-GAAP)

$1.21

$1.17

$5.06

$4.72

Fully diluted shares

60,642

62,009

61,054

62,183

a)

Adjusted results exclude all equity-based compensation, as detailed below, to facilitate comparison with our peers and for the other reasons explained in our Current Report on Form 8-K filed with the SEC. We do not receive a GAAP tax benefit for a portion of our equity-based compensation, mainly because of Section 162(m) of the Internal Revenue Code, which limits tax deductions for compensation granted to certain executives.

Three Months Ended December 31,

Year Ended December 31,

2025

2024

2025

2024

Cost of services

$12,275

$10,049

$45,630

$41,531

Research and development

6,744

4,948

24,592

20,760

Sales and marketing

3,400

2,149

9,094

8,444

General and administrative

8,166

5,446

31,947

22,471

Total equity-based compensation

$30,585

$22,592

$111,263

$93,206

(b)

Adjustments represent the excess tax benefits and tax deficiencies of the equity awards vested during the period. Excess tax benefits (deficiencies) occur when the amount deductible on our tax return for an equity award is more (less) than the cumulative compensation cost recognized for financial reporting purposes. As discussed above, we exclude equity-based compensation from adjusted non-GAAP results to be consistent with other companies in the software industry and for the other reasons explained in our Current Report on Form 8-K filed with the SEC. Therefore, we also exclude the related tax benefit (expense) generated upon their vesting.

(c)

In the fourth quarter of 2024, we recorded $7.0 million of expense for an unusual health insurance claim. During the first quarter of 2025, we received an insurance recovery of $4.7 million for this claim, partially offset by $1.0 million of ongoing expense for the claim. During the second quarter of 2025, we recorded an additional $3.0 million of expense for this unusual health insurance claim. During the fourth quarter of 2025, we settled the remaining balance of the claim and recorded $6.2 million of benefit as the final payment was much lower than the cost estimates previously provided by our health insurance provider. Based on the uncommonly large magnitude and nature of the claim and timing of related insurance recoveries, we do not believe that this expense reflects our normal operating activities, and we have excluded the amount from adjusted non-GAAP results.

(d)

In January 2025, the Company eliminated about 100 positions to align our services capacity with customer demand, which has been impacted by macro-economic uncertainty. We recorded pre-tax restructuring expense in the first quarter of 2025 of approximately $2.9 million. The expense primarily consists of employee severance and outplacement services. We do not believe that the expense is a common cost that resulted from normal operating activities, and thus we have excluded the amount from adjusted non-GAAP results.

MANHATTAN ASSOCIATES, INC. AND SUBSIDIARIES

Condensed Consolidated Balance Sheets

(in thousands, except share and per share data)

December 31, 2025

December 31, 2024

ASSETS

Current Assets:

Cash and cash equivalents

$

328,747

$

266,230

Accounts receivable, net

214,679

205,475

Prepaid expenses and other current assets

39,912

31,559

Total current assets

583,338

503,264

Property and equipment, net

23,120

13,971

Operating lease right-of-use assets

50,443

47,923

Goodwill

62,244

62,226

Deferred income taxes

75,900

94,505

Other assets

44,343

35,662

Total assets

$

839,388

$

757,551

LIABILITIES AND SHAREHOLDERS' EQUITY

Current liabilities:

Accounts payable

$

22,182

$

26,615

Accrued compensation and benefits

69,309

72,180

Accrued and other liabilities

26,570

22,275

Deferred revenue

337,049

277,970

Income taxes payable

803

1,264

Total current liabilities

455,913

400,304

Operating lease liabilities, long-term

56,180

47,794

Other non-current liabilities

12,530

10,327

Shareholders' equity:

Preferred stock, no par value; 20,000,000 shares authorized, no shares issued or outstanding at December 31, 2025 and December 31, 2024

-

-

Common stock, $.01 par value; 200,000,000 shares authorized; 59,845,291 and 60,921,191 shares issued and outstanding at December 31, 2025 and December 31, 2024, respectively

598

609

Retained earnings

345,097

329,439

Accumulated other comprehensive loss

(30,930

)

(30,922

)

Total shareholders' equity

314,765

299,126

Total liabilities and shareholders' equity

$

839,388

$

757,551

MANHATTAN ASSOCIATES, INC. AND SUBSIDIARIES

Condensed Consolidated Statements of Cash Flows

(in thousands)

Year Ended December 31,

2025

2024

Operating activities:

Net income

$

219,948

$

218,364

Adjustments to reconcile net income to net cash provided by operating activities:

Depreciation and amortization

6,317

6,301

Equity-based compensation

111,263

93,206

(Gain) Loss on disposal of equipment

(21

)

(133

)

Deferred income taxes

18,342

(28,689

)

Unrealized foreign currency loss (gain)

(253

)

(380

)

Changes in operating assets and liabilities:

Accounts receivable, net

(3,583

)

(26,702

)

Other assets

(14,729

)

(4,157

)

Accounts payable, accrued and other liabilities

(229

)

1,248

Income taxes

319

(6,242

)

Deferred revenue

52,096

42,187

Net cash provided by operating activities

389,470

295,003

Investing activities:

Purchases of property and equipment

(15,457

)

(8,675

)

Net cash used in investing activities

(15,457

)

(8,675

)

Financing activities:

Purchase of common stock

(315,162

)

(286,366

)

Net cash used in financing activities

(315,162

)

(286,366

)

Foreign currency impact on cash

3,666

(4,473

)

Net change in cash and cash equivalents

62,517

(4,511

)

Cash and cash equivalents at beginning of period

266,230

270,741

Cash and cash equivalents at end of period

$

328,747

$

266,230

MANHATTAN ASSOCIATES, INC.

SUPPLEMENTAL INFORMATION

1. GAAP and adjusted earnings per share by quarter are as follows:

2024

2025

1st Qtr

2nd Qtr

3rd Qtr

4th Qtr

Full Year

1st Qtr

2nd Qtr

3rd Qtr

4th Qtr

Full Year

GAAP Diluted EPS

$0.86

$0.85

$1.03

$0.77

$3.51

$0.85

$0.93

$0.96

$0.86

$3.60

Adjustments to GAAP:

Equity-based compensation

0.30

0.34

0.33

0.31

1.27

0.40

0.35

0.40

0.43

1.57

Tax benefit of stock awards vested

(0.13)

(0.01)

(0.01)

-

(0.15)

(0.06)

-

(0.01)

-

(0.06)

Unusual health insurance claim

-

-

-

0.09

0.09

(0.05)

0.04

-

(0.08)

(0.09)

Restructuring expense

-

-

-

-

-

0.04

-

-

-

0.04

Adjusted Diluted EPS

$1.03

$1.18

$1.35

$1.17

$4.72

$1.19

$1.31

$1.36

$1.21

$5.06

Fully Diluted Shares

62,493

62,118

61,948

62,009

62,183

61,527

61,074

60,954

60,642

61,054

2. Revenues and operating income by reportable segment are as follows (in thousands):

2024

2025

1st Qtr

2nd Qtr

3rd Qtr

4th Qtr

Full Year

1st Qtr

2nd Qtr

3rd Qtr

4th Qtr

Full Year

Revenue:

Americas

$196,312

$205,955

$205,852

$194,367

$802,486

$194,615

$206,606

$206,659

$202,546

$810,426

EMEA

46,620

46,918

48,082

48,903

190,523

55,542

52,301

53,975

53,978

215,796

APAC

11,620

12,445

12,747

12,531

49,343

12,630

13,514

15,161

13,865

55,170

$254,552

$265,318

$266,681

$255,801

$1,042,352

$262,787

$272,421

$275,795

$270,389

$1,081,392

GAAP Operating Income:

Americas

$36,687

$45,300

$49,033

$36,323

$167,343

$33,862

$48,051

$45,783

$39,875

$167,571

EMEA

15,884

17,195

20,521

18,896

72,496

23,703

19,807

22,877

21,686

88,073

APAC

5,059

5,693

5,536

5,469

21,757

5,607

5,930

7,168

5,451

24,156

$57,630

$68,188

$75,090

$60,688

$261,596

$63,172

$73,788

$75,828

$67,012

$279,800

Adjustments (pre-tax):

Americas:

Equity-based compensation

$22,095

$24,666

$23,853

$22,592

$93,206

$28,826

$24,275

$27,577

$30,585

$111,263

Unusual health insurance claim

-

-

-

7,002

7,002

(3,658)

3,000

-

(6,224)

(6,882)

Restructuring expense

-

-

-

-

-

2,929

8

-

-

2,937

$22,095

$24,666

$23,853

$29,594

$100,208

$28,097

$27,283

$27,577

$24,361

$107,318

Adjusted non-GAAP Operating Income:

Americas

$58,782

$69,966

$72,886

$65,917

$267,551

$61,959

$75,334

$73,360

$64,236

$274,889

EMEA

15,884

17,195

20,521

18,896

72,496

23,703

19,807

22,877

21,686

88,073

APAC

5,059

5,693

5,536

5,469

21,757

5,607

5,930

7,168

5,451

24,156

$79,725

$92,854

$98,943

$90,282

$361,804

$91,269

$101,071

$103,405

$91,373

$387,118

3. Impact of Currency Fluctuation

The following table reflects the increases (decreases) in the results of operations for each period attributable to the change in foreign currency exchange rates from the prior period as well as foreign currency gains (losses) included in other income, net for each period (in thousands):

2024

2025

1st Qtr

2nd Qtr

3rd Qtr

4th Qtr

Full Year

1st Qtr

2nd Qtr

3rd Qtr

4th Qtr

Full Year

Revenue

$648

$(531)

$936

$316

$1,369

$(1,591)

$2,724

$2,652

$3,833

$7,618

Costs and expenses

176

(673)

211

(227)

(513)

(1,966)

1,180

738

906

858

Operating income

472

142

725

543

1,882

375

1,544

1,914

2,927

6,760

Foreign currency gains (losses) in other income

(564)

(577)

(331)

519

(953)

131

(65)

1,596

9

1,671

$(92)

$(435)

$394

$1,062

$929

$506

$1,479

$3,510

$2,936

$8,431

Manhattan Associates has a large research and development center in Bangalore, India. The following table reflects the increases (decreases) in the financial results for each period attributable to changes in the Indian Rupee exchange rate (in thousands):

2024

2025

1st Qtr

2nd Qtr

3rd Qtr

4th Qtr

Full Year

1st Qtr

2nd Qtr

3rd Qtr

4th Qtr

Full Year

Operating income

$185

$307

$261

$302

$1,055

$785

$514

$832

$1,409

$3,540

Foreign currency gains (losses) in other income

164

41

284

1,283

1,772

15

140

1,978

742

2,875

Total impact of changes in the Indian Rupee

$349

$348

$545

$1,585

$2,827

$800

$654

$2,810

$2,151

$6,415

4. Other income includes the following components (in thousands):

2024

2025

1st Qtr

2nd Qtr

3rd Qtr

4th Qtr

Full Year

1st Qtr

2nd Qtr

3rd Qtr

4th Qtr

Full Year

Interest income

$1,414

$1,503

$1,636

$1,476

$6,029

$1,101

$852

$1,007

$1,429

$4,389

Foreign currency gains (losses)

(564)

(577)

(331)

519

(953)

130

(65)

1,597

9

1,671

Other non-operating income (expense)

146

(12)

7

1

142

106

(72)

-

(1)

33

Total other income

$996

$914

$1,312

$1,996

$5,218

$1,337

$715

$2,604

$1,438

$6,094

5. Capital expenditures are as follows (in thousands):

2024

2025

1st Qtr

2nd Qtr

3rd Qtr

4th Qtr

Full Year

1st Qtr

2nd Qtr

3rd Qtr

4th Qtr

Full Year

Capital expenditures

$2,321

$2,217

$1,009

$3,128

$8,675

$891

$3,980

$5,928

$4,658

$15,457

6. Stock Repurchase Activity (in thousands):

2024

2025

1st Qtr

2nd Qtr

3rd Qtr

4th Qtr

Full Year

1st Qtr

2nd Qtr

3rd Qtr

4th Qtr

Full Year

Shares purchased under publicly-announced buy-back program

294

343

194

156

987

539

263

233

416

1,451

Shares withheld for taxes due upon vesting of restricted stock

165

3

8

2

178

179

3

8

2

192

Total shares purchased

459

346

202

158

1,165

718

266

241

418

1,643

Total cash paid for shares purchased under publicly-announced buy-back program

$73,411

$74,999

$49,687

$43,539

$241,636

$100,000

$49,596

$49,947

$74,996

$274,539

Total cash paid for shares withheld for taxes due upon vesting of restricted stock

40,423

713

1,917

569

43,622

36,447

595

1,602

398

39,042

Total cash paid for excise tax

-

-

-

1,108

1,108

-

-

-

1,581

1,581

Total cash paid for shares repurchased

$113,834

$75,712

$51,604

$45,216

$286,366

$136,447

$50,191

$51,549

$76,975

$315,162

7. Remaining Performance Obligations

We disclose revenue that we expect to recognize from our remaining performance obligations ("RPO"). Over 98% of our RPO represents cloud native subscriptions with non-cancelable terms greater than one year (including cloud-deferred revenue as well as amounts we will invoice and recognize as revenue from our performance of cloud services in future periods). Maintenance contracts are typically one year and not included in the RPO. Our RPO as of the end of each period appears below (in thousands):

March 31, 2024

June 30, 2024

September 30, 2024

December 31, 2024

March 31, 2025

June 30, 2025

September 30, 2025

December 31, 2025

Remaining Performance Obligations

$1,516,430

$1,601,531

$1,686,421

$1,780,400

$1,891,384

$2,013,495

$2,076,628

$2,232,234

View source version on businesswire.com: https://www.businesswire.com/news/home/20260127602098/en/
Michael Bauer

Senior Director,

Investor Relations

Manhattan Associates, Inc.

678-597-7538

mbauer@manh.com

Devika Goel

Senior Manager,

Public Relations

Manhattan Associates, Inc.

678-597-6754

dgoel@manh.com

Original: Manhattan Associates Reports Fourth Quarter Results