Manhattan Associates MANH Form 8-K filing Earnings

Exhibit 99.1

Manhattan Associates Reports Second Quarter Results

Cloud Revenue Increased 26% over Prior Year

RPO Increased 23% over Prior Year

ATLANTA – July 28, 2026 – Leading Supply Chain and Omnichannel Commerce Solutions provider Manhattan Associates Inc. (NASDAQ: MANH) today reported revenue of $297.8 million for the second quarter ended June 30, 2026, compared to $272.4 million in Q2 2025. GAAP diluted earnings per share for Q2 2026 was $0.85 compared to $0.93 in Q2 2025. Non-GAAP adjusted diluted earnings per share for Q2 2026 was $1.39 compared to $1.31 in Q2 2025.

“Manhattan delivered record Q2 and first half results. On strong demand, we posted our third consecutive record bookings quarter and once again accelerated our revenue growth,” said Manhattan's President and CEO Eric Clark.

“While mindful of the continued global macro volatility, we are confident in our business momentum and our ability to deliver successful customer outcomes. As Manhattan’s product advantage continues to widen and our targeted go-to-market investments gain traction, we believe we are well positioned to continue to gain market share in the large supply chain commerce market,” Mr. Clark concluded.

SECOND QUARTER 2026 FINANCIAL SUMMARY:

• Consolidated total revenue was $297.8 million for Q2 2026, compared to $272.4 million for Q2 2025.
• Cloud subscription revenue was $126.7 million for Q2 2026, compared to $100.4 million for Q2 2025.
• Services revenue was $133.0 million for Q2 2026, compared to $128.9 million for Q2 2025.
• GAAP diluted earnings per share was $0.85 for Q2 2026, compared to $0.93 for Q2 2025.
• Adjusted diluted earnings per share, a non-GAAP measure, was $1.39 for Q2 2026, compared to $1.31 for Q2 2025.
• GAAP operating income was $66.2 million for Q2 2026, compared to $73.8 million for Q2 2025.
• Adjusted operating income, a non-GAAP measure, was $103.9 million for Q2 2026, compared to $101.1 million for Q2 2025.
• Cash flow from operations was $90.7 million for Q2 2026, compared to $74.0 million for Q2 2025.
• Days Sales Outstanding was 67 days at June 30, 2026, and 72 days at March 31, 2026.
• Cash totaled $186.1 million at June 30, 2026, compared to $226.1 million at March 31, 2026.
• RPO increased to $2.47 billion as of June 30, 2026, compared to $2.35 billion as of March 31, 2026.
• During the three months ended June 30, 2026, Manhattan repurchased 874,029 shares of its common stock under the share repurchase program authorized by our Board of Directors for a total investment of $125.0 million. In March 2026, our Board approved an increase to Manhattan's share repurchase authority from $100 million to $500 million. As of the end of the quarter, approximately $225.0 million remained under the existing March 2026 repurchase authority.

SIX MONTH 2026 FINANCIAL SUMMARY:

• Consolidated total revenue for the six months ended June 30, 2026, was $580.0 million, compared to $535.2 million for the six months ended June 30, 2025.
• Cloud subscription revenue was $243.8 million for the six months ended June 30, 2026, compared to $194.7 million for the six months ended June 30, 2025.
• Services revenue was $258.8 million for the six months ended June 30, 2026, compared to $250.0 million for the six months ended June 30, 2025.
• GAAP diluted earnings per share for the six months ended June 30, 2026, was $1.67, compared to $1.78 for the six months ended June 30, 2025.
• Adjusted diluted earnings per share, a non-GAAP measure, was $2.62 for the six months ended June 30, 2026, compared to $2.50 for the six months ended June 30, 2025.
• GAAP operating income was $131.2 million for the six months ended June 30, 2026, compared to $137.0 million for the six months ended June 30, 2025.
• Adjusted operating income, a non-GAAP measure, was $195.3 million for the six months ended June 30, 2026, compared to $192.3 million for the six months ended June 30, 2025.
• Cash flow from operations was $174.7 million for the six months ended June 30, 2026, compared to $149.3 million for the six months ended June 30, 2025.
• During the six months ended June 30, 2026, Manhattan repurchased 1,917,341 shares of its common stock under the share repurchase program authorized by our Board of Directors, for a total investment of $275.0 million. In March 2026, our Board approved an increase to Manhattan's share repurchase authority from $100 million to $500 million. As of the end of the quarter, approximately $225.0 million remained under the existing March 2026 repurchase authority.

2026 GUIDANCE

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

Manhattan 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 will make this earnings release and a recording of the conference call referenced below available on the investor relations section of our 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 disclaims any obligation to update them.

CONFERENCE CALL

Manhattan’s conference call regarding its second quarter financial results will be held today, July 28, 2026, at 4:30 p.m. Eastern Time. We also will discuss our 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 our 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’ third quarter 2026 earnings release.

GAAP VERSUS NON-GAAP PRESENTATION

Manhattan 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 our 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. Manhattan believes the presentation of these non-GAAP financial measures facilitates investors’ ability to understand and compare our results and guidance, because the measures provide supplemental information in evaluating the operating results of our business, as distinct from results that include items not indicative of ongoing operating results, and because we believe our peers typically publish similar non-GAAP measures. This release should be read in conjunction with Manhattan's Form 8-K earnings release filing for the three and six months ended June 30, 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 Manhattan'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.

MANHATTAN ASSOCIATES, INC. AND SUBSIDIARIES

Condensed Consolidated Statements of Income

(in thousands, except per share amounts)

• (unaudited)
• (unaudited)
• (unaudited)_

Reconciliation of Selected GAAP to Non-GAAP Measures (in thousands, except per share amounts)

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.

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) Restructuring expense primarily consists of employee severance and outplacement services. On June 1, 2026, we reduced our global headcount by approximately 6% and recorded pre-tax restructuring expense in the second quarter of 2026 of approximately $8.3 million. In January 2025, we eliminated about 100 positions and recorded pre-tax restructuring expense in the first quarter of 2025 of approximately $2.9 million. We excluded these costs for adjusted non-GAAP results to facilitate period-to-period comparability of operating performance.

MANHATTAN ASSOCIATES, INC. AND SUBSIDIARIES

Condensed Consolidated Statements of Cash Flows

(in thousands)

MANHATTAN ASSOCIATES, INC.

SUPPLEMENTAL INFORMATION

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

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

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):

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):

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

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

6. Stock Repurchase Activity (in thousands):

7. Remaining Performance Obligations

We disclose revenue that we expect to recognize from our remaining performance obligations ("RPO"). Over 99% 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):