What: Shares of Manhattan Associates (NASDAQ:MANH) were getting a boost today after reporting a strong earnings report. Shares were up 15.8% as of 3:02 p.m. EST.
So what: The software maker beat estimates across the board, posting a per-share profit of $0.42, better than expectations of $0.39, while revenue increased 12%, to $149.9 million, easily ahead of the consensus at $145 million. CEO Eddie Capel said he was "very pleased" with the company's results, touting "our investments in omni-channel, retail store and distribution management solutions."
The company that provides supply-management software and other business solutions said it completed license wins with new customers such as Central Garden & Pet and Levi Strauss in the quarter, and expanded its relationship with businesses including lululemon athletica and Under Armour.
Now what: Not only was the first-quarter performance ahead of expectations, but investors were also impressed by Manhattan Associates' guidance. The company lifted its full-year revenue projection to $615 million-$620 million from $609 million-$615 million, or a 10.5%-11.5% increase. It also upped its adjusted EPS guidance to $1.73-$1.76 from a prior range of $1.69-$1.72, representing an increase of 14%-16%.
Analysts had expected full-year revenue of $612.3 million, and earnings per share of $1.71. Manhattan Associates has breezed past estimates in its last four earnings reports, and the combination of a customer base of fast-growing businesses like Under Armour, and the ability to attract new customers, should drive continued growth. I'd expect Manhattan Associates to keep outperforming.
Jeremy Bowman has no position in any stocks mentioned. The Motley Fool owns shares of and recommends Lululemon Athletica and Under Armour. The Motley Fool recommends Manhattan Associates. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.