When Manhattan Associates Inc. (NASDAQ: MANH) reported its third-quarter financial results after the markets closed on Tuesday, it posted $0.50 in earnings per share (EPS) and $152.2 million in revenue. Consensus estimates had called for $0.46 in EPS on $152.21 million in revenue. In the same period of last year, the supply chain software maker reported EPS of $0.42 and revenue of $142.3 million.
License revenue was $21.6 million in this past quarter, compared to $19.1 million last year. Service revenue dominated as per usual with $119.3 million, up from $112.5 million.
In terms of guidance for the full year, EPS is expected to be in the range of $1.82 to $1.84 and revenues are expected to fall between $603 million to $609 million. The consensus estimates are$1.79 in EPS and $615.98 million in revenue for this full year.
Cash flow from operations was $42.0 million in this quarter. On the books, Manhattan Associates cash and investments totaled $110.8 million at the end of the quarter, up from $95.2 million sequentially.
Eddie Capel, Manhattan Associates president and CEO, commented:
We delivered another good quarter of financial performance growing our business with solid customer activity and competitive win rates. We remain focused on serving our customers and investing in omni-channel, retail store and distribution management innovation to extend our market leadership. Demand for our solutions continues to be solid and we are making excellent progress with our innovation road map. Our outlook for the balance of 2016 and beyond is quite positive.
Shares of Manhattan were trading down over 9% at $53.60 on Wednesday, with a consensus analyst price target of $72.75 and a 52-week trading range of $44.14 to $77.75.