Manhattan Associates Inc. Files 10-Q for Period Ending March 31, 2024

TL;DR

<b>Manhattan Associates Inc. filed its Q1 2024 10-Q, detailing financial performance and segment data.</b>

AI Summary

MANHATTAN ASSOCIATES INC (MANH) filed a Quarterly Report (10-Q) with the SEC on April 26, 2024. Manhattan Associates Inc. filed a 10-Q report for the period ending March 31, 2024. The filing covers financial data for the first quarter of 2024. Key segments include Cloud Subscriptions, Hardware, and Software License Revenue. Geographic segments mentioned are Americas and EMEA. The report details various financial statement items and disclosures.

Why It Matters

For investors and stakeholders tracking MANHATTAN ASSOCIATES INC, this filing contains several important signals. This 10-Q provides investors with the latest quarterly financial results and operational updates for Manhattan Associates. Understanding the segment performance (Cloud Subscriptions, Hardware) and geographic breakdowns (Americas, EMEA) is crucial for assessing the company's growth trajectory and market position.

Risk Assessment

Risk Level: medium — MANHATTAN ASSOCIATES INC shows moderate risk based on this filing. The filing is a standard quarterly report (10-Q), which typically contains routine financial information and disclosures. However, specific financial performance details and forward-looking statements within the full report could alter the risk assessment.

Analyst Insight

Review the detailed financial statements and management discussion within the 10-Q to identify trends in revenue growth, profitability, and any significant changes in financial position.

Revenue Breakdown

Key Numbers

• 2024-03-31 — Report Date (CONFORMED PERIOD OF REPORT)
• 2024-04-26 — Filing Date (FILED AS OF DATE)
• Q1 2024 — Reporting Period (Reporting Period)

Key Players & Entities

• MANHATTAN ASSOCIATES INC (company) — FILER
• MANH (company) — tk
• 0000950170-24-049203 (other) — ACCESSION NUMBER
• 20240331 (date) — CONFORMED PERIOD OF REPORT
• 20240426 (date) — FILED AS OF DATE
• 0001056696 (company) — CENTRAL INDEX KEY
• 7372 (other) — STANDARD INDUSTRIAL CLASSIFICATION
• GA (location) — STATE OF INCORPORATION

FAQ

Key Dates

• 2024-03-31: Quarter End Date — End of the reporting period for the 10-Q.
• 2024-04-26: Filing Date — Date the 10-Q was officially filed with the SEC.

Key Financial Figures

• $0.01 — ows: 61,569,883 shares of common stock, $0.01 par value per share. MANHATTAN ASSOCI

Filing Documents

• manh-20240331.htm (10-Q) — 1254KB
• manh-ex31_1.htm (EX-31.1) — 13KB
• manh-ex31_2.htm (EX-31.2) — 13KB
• manh-ex32.htm (EX-32) — 7KB
• 0000950170-24-049203.txt (&nbsp;) — 4172KB
• manh-20240331.xsd (EX-101.SCH) — 498KB
• manh-20240331_htm.xml (XML) — 601KB

Financial Statements

Financial Statements. Condensed Consolidated Balance Sheets as of March 31, 2024 (unaudited) and December 31, 2023 3 Condensed Consolidated Statements of Income for the three months ended March 31, 2024 and 2023 (unaudited) 4 Condensed Consolidated Statements of Comprehensive Income for the three months ended March 31, 2024 and 2023 (unaudited) 5 Condensed Consolidated Statements of Cash Flows for the three months ended March 31, 2024 and 2023 (unaudited) 6 Condensed Consolidated Statements of Stockholders' Equity for the three months ended March 31, 2024 and 2023 (unaudited) 7 Notes to Condensed Consolidated Financial Statements (unaudited ) 8 Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations. 13 Item 3.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk. 21 Item 4.

Controls and Procedures

Controls and Procedures. 21 PART II OTHER INFORMATION Item 1. Legal Proceedings. 23 Item 1A. Risk Factors. 23 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds. 23 Item 3. Defaults Upon Senior Securities. 23 Item 4. Mine Safety Disclosures. 23 Item 5. Other Information. 23 Item 6. Exhibits. 24 Signatures. 25 2 PART I F INANCIAL INFORMATION I tem 1. Financial Statements MANHATTAN ASSOCIATES, INC. AND SUBSIDIARIES C ondensed Consolidated Balance Sheets (in thousands, except share and per share data) March 31, 2024 December 31, 2023 (unaudited) ASSETS Current assets: Cash and cash equivalents $ 207,524 $ 270,741 Accounts receivable, net 205,701 181,173 Prepaid expenses and other current assets 31,981 27,276 Total current assets 445,206 479,190 Property and equipment, net 12,684 11,795 Operating lease right-of-use assets 52,031 21,645 Goodwill, net 62,232 62,235 Deferred income taxes 69,868 66,043 Other assets 32,741 32,445 Total assets $ 674,762 $ 673,353 LIABILITIES AND SHAREHOLDERS' EQUITY Current liabilities: Accounts payable $ 26,401 $ 24,508 Accrued compensation and benefits 48,517 73,210 Accrued and other liabilities 24,920 27,374 Deferred revenue 263,905 237,793 Income taxes payable 8,277 3,030 Total current liabilities 372,020 365,915 Operating lease liabilities, long-term 51,813 17,694 Other non-current liabilities 11,322 11,466 Shareholders' equity: Preferred stock, no par value; 20,000,000 shares authorized, no shares issued or outstanding in 2024 and 2023 - - Common stock, $ 0.01 par value; 200,000,000 shares authorized; 61,569,549 and 61,566,037 shares issued and outstanding at March 31, 2024 and December 31, 2023, respectively 615 615 Retained earnings 266,757 304,701 Accumulated other comprehensive loss ( 27,765 )

Financial Statements (continued)

Item 1. Financial Statements (continued) MANHATTAN ASSOCIATES, INC. AND SUBSIDIARIES C ondensed Consolidated Statements of Income (in thousands, except per share amounts) Three Months Ended March 31, 2024 2023 (unaudited) (unaudited) Revenue: Cloud subscriptions $ 78,027 $ 57,220 Software license 2,810 5,352 Maintenance 34,972 35,650 Services 132,195 116,170 Hardware 6,548 6,621 Total revenue 254,552 221,013 Costs and expenses: Cost of cloud subscriptions, maintenance and services 118,955 103,327 Cost of software license 332 302 Research and development 35,010 30,794 Sales and marketing 19,929 18,065 General and administrative 21,203 19,953 Depreciation and amortization 1,493 1,487 Total costs and expenses 196,922 173,928 Operating income 57,630 47,085 Other income, net 996 143 Income before income taxes 58,626 47,228 Income tax provision 4,825 8,437 Net income $ 53,801 $ 38,791 Basic earnings per share $ 0.87 $ 0.62 Diluted earnings per share $ 0.86 $ 0.62 Weighted average number of shares: Basic 61,625 62,211 Diluted 62,493 62,767 See accompanying Notes to Condensed Consolidated Financial Statements. 4

Financial Statements (continued)

Item 1. Financial Statements (continued) MANHATTAN ASSOCIATES, INC. AND SUBSIDIARIES C onsolidated Statements of Comprehensive Income (in thousands) Three Months Ended March 31, 2024 2023 (unaudited) (unaudited) Net income $ 53,801 $ 38,791 Foreign currency translation adjustment, net of tax ( 727 ) 808 Comprehensive income $ 53,074 $ 39,599 See accompanying Notes to Condensed Consolidated Financial Statements. 5

Financial Statements (continued)

Item 1. Financial Statements (continued) MANHATTAN ASSOCIATES, INC. AND SUBSIDIARIES C ondensed Consolidated Statements of Cash Flows (in thousands) Three Months Ended March 31, 2024 2023 (unaudited) (unaudited) Operating activities: Net income $ 53,801 $ 38,791 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation and amortization 1,493 1,487 Equity-based compensation 22,095 16,640 (Gain) loss on disposal of equipment ( 138 ) 16 Deferred income taxes ( 3,869 ) ( 2,523 ) Unrealized foreign currency loss 501 1,167 Changes in operating assets and liabilities: Accounts receivable, net ( 25,434 ) 6,730 Other assets ( 4,520 ) ( 8,760 ) Accounts payable, accrued and other liabilities ( 20,809 ) ( 10,009 ) Income taxes 4,594 7,850 Deferred revenue 27,024 7,327 Net cash provided by operating activities 54,738 58,716 Investing activities: Purchase of property and equipment ( 2,321 ) ( 666 ) Net cash used in investing activities ( 2,321 ) ( 666 ) Financing activities: Repurchase of common stock ( 113,834 ) ( 101,688 ) Net cash used in financing activities ( 113,834 ) ( 101,688 ) Foreign currency impact on cash ( 1,800 ) ( 230 ) Net change in cash and cash equivalents ( 63,217 ) ( 43,868 ) Cash and cash equivalents at beginning of period 270,741 225,463 Cash and cash equivalents at end of period $ 207,524 $ 181,595 See accompanying Notes to Condensed Consolidated Financial Statements. 6

Financial Statements (continued)

Item 1. Financial Statements (continued) MANHATTAN ASSOCIATES, INC. AND SUBSIDIARIES Condensed Consolidated Statements of Shareholders' Equity (in thousands, except share data) Accumulated Additional Other Total Common Stock Paid-In Retained Comprehensive Shareholders' Shares Amount Capital Earnings Loss Equity For the Three Months Ended March 31, 2024 Balance, December 31, 2023 (unaudited) 61,566,037 $ 615 $ - $ 304,701 $ ( 27,038 ) $ 278,278 Repurchase of common stock ( 458,736 ) ( 5 ) ( 22,084 ) ( 91,745 ) - ( 113,834 ) Restricted stock units issuance 462,248 5 ( 5 ) - - - Excise tax on net stock repurchases - - ( 6 ) - - ( 6 ) Equity-based compensation - - 22,095 - - 22,095 Foreign currency translation adjustment - - - - ( 727 ) ( 727 ) Net income - - - 53,801 - 53,801 Balance, March 31, 2024 (unaudited) 61,569,549 $ 615 $ - $ 266,757 $ ( 27,765 ) $ 239,607 For the Three Months Ended March 31, 2023 Balance, December 31, 2022 (audited) 62,191,570 $ 621 $ - $ 253,711 $ ( 27,532 ) $ 226,800 Repurchase of common stock ( 723,368 ) ( 7 ) ( 16,355 ) ( 85,326 ) - ( 101,688 ) Restricted stock units issuance 558,638 6 ( 6 ) - - - Excise tax on net stock repurchases - - ( 279 ) - - ( 279 ) Equity-based compensation - - 16,640 - - 16,640 Foreign currency translation adjustment - - - - 808 808 Net income - - - 38,791 - 38,791 Balance, March 31, 2023 (unaudited) 62,026,840 $ 620 $ - $ 207,176 $ ( 26,724 ) $ 181,072 See accompanying Notes to Condensed Consolidated Financial Statements. 7 N otes to Condensed Consolidated Financial Statements (Unaudited) 1. Basis of Presentation and Principles of Consolidation Basis of Presen

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