ATLANTA, July 23, 2019 (GLOBE NEWSWIRE) -- Leading Supply Chain and Omnichannel Commerce Solutions provider Manhattan Associates Inc. (NASDAQ: MANH) today reported record total revenue of $154.3 million for the second quarter ended June 30, 2019, applying the new revenue recognition standard retrospectively. GAAP diluted earnings per share for Q2 2019 was $0.32 compared to $0.42 in Q2 2018. Non-GAAP adjusted diluted earnings per share for Q2 2019 was $0.42 compared to $0.47 in Q2 2018.

“Q2 was another solid growth quarter for Manhattan Associates posting record total revenue and exceeding our earnings expectations on strong demand,” said Manhattan Associates president and CEO Eddie Capel. “In a turbulent global macro, our suite of Manhattan Active™ omnichannel, inventory and supply chain solutions continued to drive solid revenue momentum positioning us well for the balance of 2019. We remain focused on enabling our clients to accelerate growth and Push Possible®, while investing significantly in innovation to achieve long-term sustainable growth in 2019 and beyond,” added Mr. Capel.

SECOND QUARTER 2019 FINANCIAL SUMMARY:

  • Consolidated total revenue was $154.3 million in Q2 2019, compared to $141.9 million in Q2 2018. License revenue was $11.7 million in Q2 2019, compared to $13.0 million in Q2 2018. Cloud subscription revenue was $9.0 million in Q2 2019, compared to $5.4 million in Q2 2018. Service revenue was $94.0 million in in Q2 2019, compared to $82.3 million in Q2 2018.
  • GAAP diluted earnings per share was $0.32 in Q2 2019 compared to $0.42 in Q2 2018.
  • Adjusted diluted earnings per share, a non-GAAP measure, was $0.42 in Q2 2019, compared to $0.47 in Q2 2018.
  • GAAP operating income was $27.6 million in Q2 2019, compared to $35.7 million in Q2 2018.
  • Adjusted operating income, a non-GAAP measure, was $36.2 million in Q2 2019, compared to $40.7 million in Q2 2018.
  • Cash flow from operations was $37.2 million in Q2 2019, compared to $16.8 million in Q2 2018. Days Sales Outstanding was 59 days at June 30, 2019, compared to 65 days at March 31, 2019.
  • Cash and investments totaled $119.4 million at June 30, 2019, compared to $104.9 million at March 31, 2019.
  • During the three months ended June 30, 2019, the Company repurchased 301,984 shares of Manhattan Associates common stock under the share repurchase program authorized by our Board of Directors for a total investment of $20.0 million. In July 2019, our Board authorized the Company to repurchase up to an aggregate of $50 million of the Company’s common stock.

SIX MONTH 2019 FINANCIAL SUMMARY:

  • Consolidated revenue for the six months ended June 30, 2019, was $302.7 million, compared to $272.4 million for the six months ended June 30, 2018. License revenue was $24.1 million for the six months ended June 30, 2019, compared to $20.5 million for the six months ended June 30, 2018. Cloud subscription revenue was $16.9 million for the six months ended June 30, 2019, compared to $9.8 million for the six months ended June 30, 2018. Service revenue was $182.6 million for the six months ended June 30, 2019, compared to $161.0 million, for the six months ended June 30, 2018.
  • GAAP diluted earnings per share for the six months ended June 30, 2019 was $0.64, compared to $0.75 for the six months ended June 30, 2018.  
  • Adjusted diluted earnings per share, a non-GAAP measure, was $0.83 for the six months ended June 30, 2019, compared to $0.84 for the six months ended June 30, 2018.
  • GAAP operating income was $55.9 million for the six months ended June 30, 2019, compared to $63.5 million for the six months ended June 30, 2018.
  • Adjusted operating income, a non-GAAP measure, was $71.7 million for the six months ended June 30, 2019, compared to $73.0 million for the six months ended June 30, 2018. 
  • Cash flow from operations was $72.4 million in the six months ended June 30, 2019, compared to $68.1 million in the six months ended June 30, 2018.
  • During the six months ended June 30, 2019, the Company repurchased 765,664 shares of Manhattan Associates common stock under the share repurchase program authorized by our Board of Directors, for a total investment of $44.9 million.

2019 GUIDANCE

Manhattan Associates provides the following updated revenue, operating margin and diluted earnings per share guidance for the full year 2019:

  Guidance Range - 2019 Full Year
 ($'s in millions, except operating margin and EPS)$ Range  % Growth Range 
                
 Total revenue - current guidance$598  $604  7% 8% 
                
 Total revenue - previous guidance$582  $592  4% 6% 
                
 Operating Margin:              
 GAAP operating margin - current guidance 15.6%  15.9%       
 Equity-based compensation 5.4%  5.4%       
 Adjusted operating margin(1) - current guidance 21.0%  21.2%       
                
 GAAP operating margin - previous guidance 15.6%  15.8%       
 Equity-based compensation 5.4%  5.4%       
 Adjusted operating margin(1) - previous guidance 21.0%  21.2%       
                
 Diluted earnings per share (EPS):              
 GAAP EPS - current guidance$1.08  $1.12  -32% -29% 
 Equity-based compensation, net of tax 0.38   0.38        
 Adjusted EPS(1) - current guidance$1.46  $1.50  -18% -16% 
                
 GAAP EPS - previous guidance$1.05  $1.09  -34% -31% 
 Equity-based compensation, net of tax 0.37   0.37        
 Adjusted EPS(1) - previous guidance$1.42  $1.46  -21% -18% 
                
                
 (1) Adjusted operating margin and adjusted EPS are non-GAAP measures that exclude the impact of equity-based 
 compensation and acquisition-related costs, and the related income tax effects of these items if applicable. 
                

Manhattan Associates currently intends to publish in each quarterly earnings release certain expectations with respect to future financial performance. Those statements, including the guidance provided above, are forward looking. Actual results may differ materially. Those statements, including the guidance provided above, do not reflect the potential impact of mergers, acquisitions or other business combinations that may be completed after the date of the release.

Manhattan Associates will make its earnings release and published expectations available on its website (www.manh.com). Following publication of this earnings release, any expectations with respect to future financial performance contained in this release, including the guidance above, should be considered historical only, and Manhattan Associates disclaims any obligation to update them.

CONFERENCE CALL

The Company’s conference call regarding its second quarter financial results will be held today, July 23, 2019, at 4:30 p.m. Eastern Time. We invite investors to a live webcast of the conference call through the Investor Relations section of Manhattan Associates' website at www.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.

Those who cannot listen to the live broadcast may access a replay shortly after the call by dialing +1.855.859.2056 in the U.S. and Canada, or +1.404.537.3406 outside the U.S., and entering the conference identification number ­­­­­­­­2188038 or via the web at www.manh.com. The phone replay will be available for two weeks after the call, and the Internet webcast will be available until Manhattan Associates’ third quarter 2019 earnings release.

GAAP VERSUS NON-GAAP PRESENTATION

The Company 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 six months ended June 30, 2019. 

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, acquisition-related costs and the amortization of these costs, and (from time to time) restructuring charges – all net of income tax effects, and the impact of the enactment of the Tax Cuts and Jobs Act. 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 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 and on-premise 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 “2019 Guidance,” statements we make about market adoption of our cloud-based solution and other 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 such 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 such forward-looking statements. Among the important factors that could cause actual results to differ materially from those indicated by such forward-looking statements are: uncertainty about the global economy, risks related from transitioning our business from a traditional perpetual license software company (generally hosted by our customers on their own premises and equipment) to a subscription-based software-as-a service/cloud-based model, disruption in the retail sector, the possible effect of new U.S. tariffs on imports from other countries (and possible responsive tariffs on U.S. exports by other countries) on international commerce, delays in product development, competitive pressures, software errors, information security breaches and the risk factors set forth in Item 1A of the Company’s Annual Report on Form 10-K for the year ended December 31, 2018 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 June 30,  Six Months Ended June 30, 
  2019  2018  2019  2018 
  (unaudited)  (unaudited)  (unaudited)  (unaudited) 
Revenue:                
Cloud subscriptions $9,009  $5,377  $16,868  $9,846 
Software license  11,721   12,973   24,135   20,528 
Maintenance  37,323   36,993   73,422   73,390 
Services  93,951   82,267   182,582   161,024 
Hardware  2,337   4,261   5,738   7,652 
Total revenue  154,341   141,871   302,745   272,440 
Costs and expenses:                
Cost of software license  623   2,096   1,215   3,404 
Cost of cloud subscriptions, maintenance and services  70,955   56,985   137,533   113,471 
Research and development  21,997   18,176   43,210   35,235 
Sales and marketing  14,520   13,809   29,301   26,693 
General and administrative  16,805   12,885   31,855   25,685 
Depreciation and amortization  1,859   2,235   3,773   4,437 
Total costs and expenses  126,759   106,186   246,887   208,925 
Operating income  27,582   35,685   55,858   63,515 
Other (loss) income, net  (71)  986   (442)  1,707 
Income before income taxes  27,511   36,671   55,416   65,222 
Income tax provision  6,586   9,003   13,519   14,902 
Net income $20,925  $27,668  $41,897  $50,320 
                 
Basic earnings per share $0.32  $0.42  $0.65  $0.75 
Diluted earnings per share $0.32  $0.42  $0.64  $0.75 
                 
Weighted average number of shares:                
Basic  64,623   66,429   64,765   66,987 
Diluted  65,093   66,535   65,148   67,132 
                 


MANHATTAN ASSOCIATES, INC. AND SUBSIDIARIES
Reconciliation of Selected GAAP to Non-GAAP Measures
(in thousands, except per share amounts)

  Three Months Ended June 30,  Six Months Ended June 30, 
  2019  2018  2019  2018 
                 
Operating income $27,582  $35,685  $55,858  $63,515 
Equity-based compensation (a)  8,462   4,927   15,644   9,270 
Purchase amortization (c)  107   108   215   215 
Adjusted operating income (Non-GAAP) $36,151  $40,720  $71,717  $73,000 
                 
                 
Income tax provision $6,586  $9,003  $13,519  $14,902 
Equity-based compensation (a)  2,073   1,207   3,833   2,271 
Tax benefit (deficiency) of stock awards vested (b)  154   (19)  58   730 
Purchase amortization (c)  26   26   53   53 
U.S. Tax Cuts and Jobs Act impact (d)  -   -   -   348 
Adjusted income tax provision (Non-GAAP) $8,839  $10,217  $17,463  $18,304 
                 
                 
Net income $20,925  $27,668  $41,897  $50,320 
Equity-based compensation (a)  6,389   3,720   11,811   6,999 
Tax (deficiency) benefit of stock awards vested (b)  (154)  19   (58)  (730)
Purchase amortization (c)  81   82   162   162 
U.S. Tax Cuts and Jobs Act impact (d)  -   -   -   (348)
Adjusted net income (Non-GAAP) $27,241  $31,489  $53,812  $56,403 
                 
                 
Diluted EPS $0.32  $0.42  $0.64  $0.75 
Equity-based compensation (a)  0.10   0.06   0.18   0.10 
Tax (deficiency) benefit of stock awards vested (b)  -   -   -   (0.01)
Purchase amortization (c)  -   -   -   - 
U.S. Tax Cuts and Jobs Act impact (d)  -   -   -   - 
Adjusted diluted EPS (Non-GAAP) $0.42  $0.47  $0.83  $0.84 
                 
Fully diluted shares  65,093   66,535   65,148   67,132 

(a)     Adjusted results exclude all equity-based compensation, to facilitate comparison with our peers and for the other reasons explained in our Current Report on Form 8-K filed today with the SEC. Equity-based compensation is included in the following GAAP operating expense lines for the three and six months ended June 30, 2019, and 2018:

  Three Months Ended June 30,  Six Months Ended June 30, 
  2019  2018  2019  2018 
                 
Cost of services $2,448  $1,556  $4,545  $2,673 
Research and development  1,603   1,140   2,979   2,061 
Sales and marketing  976   347   1,795   905 
General and administrative  3,435   1,884   6,325   3,631 
Total equity-based compensation $8,462  $4,927  $15,644  $9,270 

(b)     Adjustments represent the excess tax benefits and tax deficiencies of the stock awards vested during the period. Excess tax benefits (deficiencies) occur when the amount deductible for an award of equity instruments on our tax return is more (less) than the cumulative compensation cost recognized for financial reporting purposes. As discussed above, we excluded 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 excluded the related tax benefit (expense) generated upon their vesting.

(c)     Adjustments represent purchased intangibles amortization from a prior acquisition. We exclude that amortization from adjusted results to facilitate comparison with our peers, to facilitate comparisons of the results of our core operations from period to period and for the other reasons explained in our Current Report on Form 8-K filed with the SEC.

(d)     In the fourth quarter of 2017, we recorded a provisional net one-time tax of $2.8 million due to the enactment of the Tax Cuts and Jobs Act in December 2017. We calculated that amount based on a reasonable estimate of the income tax effects, primarily from a tax on accumulated foreign earnings and the remeasurement of deferred tax assets. We adjusted our estimate by $0.3 million during the six months ended June 30, 2018.



MANHATTAN ASSOCIATES, INC. AND SUBSIDIARIES
Condensed Consolidated Balance Sheets
(in thousands, except share and per share data)

  June 30, 2019  December 31, 2018 
  (unaudited)     
ASSETS        
Current assets:        
Cash and cash equivalents $119,401  $99,126 
Short-term investments  -   1,440 
Accounts receivable, net of allowance of $1,678 and $2,589, respectively  100,291   100,108 
Prepaid expenses and other current assets  19,865   14,708 
Total current assets  239,557   215,382 
         
Property and equipment, net  14,512   14,318 
Operating lease right-of-use assets  39,701   - 
Goodwill, net  62,239   62,240 
Deferred income taxes  5,174   5,442 
Other assets  11,000   9,768 
Total assets $372,183  $307,150 
         
LIABILITIES AND SHAREHOLDERS' EQUITY        
Current liabilities:        
Accounts payable $17,272  $18,181 
Accrued compensation and benefits  34,130   29,485 
Accrued and other liabilities  18,448   12,161 
Deferred revenue  98,195   81,894 
Income taxes payable  1,087   3,543 
Total current liabilities  169,132   145,264 
         
Operating lease liabilities, long-term  35,800   - 
Other non-current liabilities  12,564   14,739 
         
Shareholders' equity:        
Preferred stock, no par value; 20,000,000 shares authorized, no shares issued or outstanding in 2019 and 2018  -   - 
Common stock, $0.01 par value; 200,000,000 shares authorized; 64,322,067 and 64,860,419 shares issued and outstanding at June 30, 2019 and December 31, 2018, respectively  643   649 
Retained earnings  170,668   163,359 
Accumulated other comprehensive loss  (16,624)  (16,861)
Total shareholders' equity  154,687   147,147 
Total liabilities and shareholders' equity $372,183  $307,150 
         


MANHATTAN ASSOCIATES, INC. AND SUBSIDIARIES
Condensed Consolidated Statements of Cash Flows
(in thousands)

  Six Months Ended June 30, 
  2019  2018 
  (unaudited)  (unaudited) 
Operating activities:        
Net income $41,897  $50,320 
Adjustments to reconcile net income to net cash provided by operating activities:        
Depreciation and amortization  3,773   4,437 
Equity-based compensation  15,644   9,270 
Gain on disposal of equipment  (121)  (37)
Deferred income taxes  272   803 
Unrealized foreign currency loss (gain)  156   (1,359)
Changes in operating assets and liabilities:        
     Accounts receivable, net  (312)  (7,913)
     Other assets  (6,144)  (5,217)
     Accounts payable, accrued and other liabilities  4,238   15,846 
     Income taxes  (3,145)  (14,300)
     Deferred revenue  16,149   16,244 
Net cash provided by operating activities  72,407   68,094 
         
Investing activities:        
Purchase of property and equipment  (3,305)  (4,055)
Net maturities (purchases) of investments  1,439   (5,196)
Net cash used in investing activities  (1,866)  (9,251)
         
Financing activities:        
Purchase of common stock  (50,238)  (103,714)
Net cash used in financing activities  (50,238)  (103,714)
         
Foreign currency impact on cash  (28)  (1,617)
         
Net change in cash and cash equivalents  20,275   (46,488)
Cash and cash equivalents at beginning of period  99,126   125,522 
Cash and cash equivalents at end of period $119,401  $79,034 
         


MANHATTAN ASSOCIATES, INC.
SUPPLEMENTAL INFORMATION

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

 2018  2019 
 1st Qtr  2nd Qtr  3rd Qtr  4th Qtr  Full Year  1st Qtr  2nd Qtr  YTD 
GAAP Diluted EPS$0.33  $0.42  $0.43  $0.40  $1.58  $0.32  $0.32  $0.64 
Adjustments to GAAP:                               
Equity-based compensation 0.05   0.06   0.06   0.06   0.23   0.08   0.10   0.18 
Tax benefit of stock awards vested (0.01)  -   -   -   (0.01)  -   -   - 
Purchase amortization -   -   -   -   -   -   -   - 
U.S. Tax Cuts and Jobs Act impact (0.01)  -   -   -   -   -   -   - 
Adjusted Diluted EPS$0.37  $0.47  $0.49  $0.46  $1.79  $0.41  $0.42  $0.83 
Fully Diluted Shares 67,736   66,535   65,901   65,526   66,434   65,204   65,093   65,148 

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

 2018  2019 
 1st Qtr  2nd Qtr  3rd Qtr  4th Qtr  Full Year  1st Qtr  2nd Qtr  YTD 
Revenue: 
Americas$104,615  $112,945  $113,886  $114,040  $445,486  $114,873  $121,778  $236,651 
EMEA 19,164   21,356   21,181   23,043   84,744   26,288   25,043   51,331 
APAC 6,790   7,570   7,284   7,283   28,927   7,243   7,520   14,763 
 $130,569  $141,871  $142,351  $144,366  $559,157  $148,404  $154,341  $302,745 
                                
GAAP Operating Income: 
Americas$20,318  $26,589  $26,200  $24,422  $97,529  $18,051  $16,826  $34,877 
EMEA 5,475   6,252   7,413   7,297   26,437   7,734   8,057   15,791 
APAC 2,037   2,844   2,483   2,557   9,921   2,491   2,699   5,190 
 $27,830  $35,685  $36,096  $34,276  $133,887  $28,276  $27,582  $55,858 
                                
Adjustments (pre-tax): 
Americas:                               
Equity-based compensation$4,343  $4,927  $5,303  $5,291  $19,864  $7,182  $8,462  $15,644 
Purchase amortization 107   108   107   108   430   108   107   215 
 $4,450  $5,035  $5,410  $5,399  $20,294  $7,290  $8,569  $15,859 
                                
                                
Adjusted non-GAAP Operating Income: 
Americas$24,768  $31,624  $31,610  $29,821  $117,823  $25,341  $25,395  $50,736 
EMEA 5,475   6,252   7,413   7,297   26,437   7,734   8,057   15,791 
APAC 2,037   2,844   2,483   2,557   9,921   2,491   2,699   5,190 
 $32,280  $40,720  $41,506  $39,675  $154,181  $35,566  $36,151  $71,717 

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):

 2018  2019 
 1st Qtr  2nd Qtr  3rd Qtr  4th Qtr  Full Year  1st Qtr  2nd Qtr  YTD 
Revenue$2,781  $1,699  $(581) $(1,068) $2,831  $(2,419) $(1,906) $(4,325)
Costs and expenses 2,328   831   (1,177)  (1,774)  208   (2,686)  (1,696)  (4,382)
Operating income 453   868   596   706   2,623   267   (210)  57 
Foreign currency gains (losses) in other income 366   705   1,431   (1,185)  1,317   (590)  (377)  (967)
 $819  $1,573  $2,027  $(479) $3,940  $(323) $(587) $(910)

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):

 2018  2019 
 1st Qtr  2nd Qtr  3rd Qtr  4th Qtr  Full Year  1st Qtr  2nd Qtr  YTD 
Operating income$(360) $359  $828  $1,066  $1,893  $981  $438  $1,419 
Foreign currency gains (losses) in other income 210   1,120   1,572   (1,074)  1,828   (182)  (127)  (309)
Total impact of changes in the Indian Rupee$(150) $1,479  $2,400  $(8) $3,721  $799  $311  $1,110 

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

 2018  2019 
 1st Qtr  2nd Qtr  3rd Qtr  4th Qtr  Full Year  1st Qtr  2nd Qtr  YTD 
Interest income$347  $241  $201  $278  $1,067  $231  $178  $409 
Foreign currency gains (losses) 366   705   1,431   (1,185)  1,317   (590)  (377)  (967)
Other non-operating income (expense) 8   40   (94)  6   (40)  (12)  128   116 
Total other income (loss)$721  $986  $1,538  $(901) $2,344  $(371) $(71) $(442)

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

 2018  2019         
 1st Qtr  2nd Qtr  3rd Qtr  4th Qtr  Full Year  1st Qtr  2nd Qtr  YTD 
Capital expenditures$2,174  $1,881  $1,481  $1,770  $7,306  $616  $2,689  $3,305 

6.    Stock Repurchase Activity (in thousands):

 2018  2019 
 1st Qtr  2nd Qtr  3rd Qtr  4th Qtr  Full Year  1st Qtr  2nd Qtr  YTD 
Shares purchased under publicly-announced buy-back program 1,158   1,082   389   519   3,148   464   302   766 
Shares withheld for taxes due upon vesting of restricted stock 111   1   3   -   115   106   1   107 
Total shares purchased 1,269   1,083   392   519   3,263   570   303   873 
                                
Total cash paid for shares purchased under publicly-announced buy-back program$49,972  $47,876  $20,669  $24,757  $143,274  $24,927  $19,993  $44,920 
Total cash paid for shares withheld for taxes due upon vesting of restricted stock 5,843   23   175   7   6,048   5,233   85   5,318 
Total cash paid for shares repurchased$55,815  $47,899  $20,844  $24,764  $149,322  $30,160  $20,078  $50,238 

7.     Remaining Performance Obligations

Under the new revenue recognition standard, we now disclose revenue we expect to recognize from our remaining performance obligations.  Our reported performance obligations primarily represent cloud subscriptions with a non-cancelable term 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).  Our deferred revenue on the balance sheet primarily relates to our maintenance contracts, which are typically one year in duration and are not included in the remaining performance obligations.  Below are our remaining performance obligations as of the end of each period (in thousands):

 March 31,
2018		 June 30,
2018		 September 30,
2018		 December 31,
2018		 March 31,
2019		 June 30,
2019
Remaining Performance Obligations$33,999  $58,434  $64,175  $76,990  $100,532  $120,403 
                        


Contact: Dennis Story Rick Fernandez
  Chief Financial Officer Senior Manager, Corporate Communications
  Manhattan Associates, Inc. Manhattan Associates, Inc.
  770-955-7070 678-597-6988
  dstory@manh.com rfernandez@manh.com

 

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