Manhattan Associates stock tumbles 11% on weak FY25 earnings guidance

Published 28/01/2025, 22:14
Manhattan Associates stock tumbles 11% on weak FY25 earnings guidance

ATLANTA - Manhattan Associates Inc. (NASDAQ:MANH) reported fourth quarter earnings that beat analyst expectations, but shares fell sharply, by 11.5%, in after-hours trading Tuesday as the company’s 2025 outlook disappointed investors.

The supply chain software provider posted adjusted earnings per share of $1.17, surpassing the consensus estimate of $1.06. Revenue rose 7.3% YoY to $255.8 million, also topping expectations of $253.55 million.

However, Manhattan Associates’ guidance for fiscal 2025 came in below Wall Street forecasts. The company expects full-year EPS of $4.45-$4.55, below the $4.61 analyst consensus. Revenue guidance of $1.06-1.07 billion was slightly above the $1.04 billion estimate.

"We enter 2025 excited about our growing market opportunity and are executing well on our business strategy. While we remain appropriately cautious on the turbulent macro environment, our business momentum is solid," said Manhattan Associates president and CEO Eddie Capel.

For the fourth quarter, cloud subscription revenue jumped 26.5% YoY to $90.3 million. Total (EPA:TTEF) revenue increased 7.3% compared to Q4 2023.

The company reported record bookings that exceeded expectations in Q4, with RPO (remaining performance obligations) growing 25% YoY to $1.78 billion.

Manhattan Associates repurchased 155,444 shares for $43.5 million during the quarter. For the full year 2024, the company bought back 986,555 shares for a total of $241.6 million.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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