ATLANTA, Oct. 21, 2014 (GLOBE NEWSWIRE) -- Leading Supply Chain Commerce Solutions provider Manhattan Associates, Inc. (Nasdaq:MANH) today reported record non-GAAP adjusted diluted earnings per share for the third quarter ended September 30, 2014 of $0.32 compared to $0.26 in Q3 2013, on license revenue of $16.9 million and record total revenue of $125.6 million. GAAP diluted earnings per share for Q3 2014 was $0.30 compared to $0.25 in Q3 2013.

"We're very pleased with our third quarter performance in a generally tepid macro environment. We continue to execute well serving our customers and delivering strong financial performance," said Eddie Capel, Manhattan Associates president and CEO. "Demand for our omni-channel and distribution management solutions remains solid and we continue to innovate and strive to enhance our market position. Our outlook for the balance of 2014 and the future is quite positive."

THIRD QUARTER 2014 FINANCIAL SUMMARY:

  • Adjusted diluted earnings per share, a non-GAAP measure, was $0.32 in Q3 2014, compared to $0.26 in Q3 2013.
  • GAAP diluted earnings per share was $0.30 in Q3 2014, compared to $0.25 in Q3 2013.
  • Consolidated total revenue was $125.6 million in Q3 2014, compared to $107.8 million in Q3 2013. License revenue was $16.9 million in Q3 2014, compared to $14.8 million in Q3 2013.
  • Adjusted operating income, a non-GAAP measure, was $37.9 million in Q3 2014, compared to $32.0 million in Q3 2013.
  • GAAP operating income was $35.5 million in Q3 2014, compared to $30.8 million in Q3 2013.
  • Cash flow from operations was $32.7 million in both Q3 2014 and Q3 2013. Days Sales Outstanding was 64 days at September 30, 2014 and June 30, 2014.
  • Cash and investments at September 30, 2014 was $111.5 million, compared to $101.4 million at June 30, 2014.
  • During the three months ended September 30, 2014, the Company repurchased 503,434 shares of Manhattan Associates common stock under the share repurchase program authorized by the Board of Directors, for a total investment of $15.1 million. In October 2014, the Board of Directors approved raising the Company's share repurchase authority to an aggregate of $50.0 million of the Company's outstanding common stock.

NINE MONTH 2014 FINANCIAL SUMMARY:

  • Adjusted diluted earnings per share, a non-GAAP measure, was $0.87 for the nine months ended September 30, 2014, compared to $0.69 for the nine months ended September 30, 2013.
  • GAAP diluted earnings per share for the nine months ended September 30, 2014 was $0.81, compared to $0.65 for the nine months ended September 30, 2013.
  • Consolidated revenue for the nine months ended September 30, 2014 was $361.7 million, compared to $306.9 million for the nine months ended September 30, 2013. License revenue was $52.0 million for the nine months ended September 30, 2014, compared to $45.1 million for the nine months ended September 30, 2013.
  • Adjusted operating income, a non-GAAP measure, was $105.1 million for the nine months ended September 30, 2014, compared to $81.9 million for the nine months ended September 30, 2013.
  • GAAP operating income was $98.1 million for the nine months ended September 30, 2014, compared to $76.6 million for the nine months ended September 30, 2013.
  • Cash flow from operations was $53.7 million in the nine months ended September 30, 2014, compared to $66.4 million in the nine months ended September 30, 2013.
  • During the nine months ended September 30, 2014, the Company repurchased 1,980,470 shares of Manhattan Associates common stock for a total investment of $65.7 million.

SALES ACHIEVEMENTS:

  • Four contracts of $1.0 million or more in recognized license revenue during the third quarter of 2014.
  • Completing software license wins with new customers such as: Brent Redmond Transportation, Citizen Watch of America, Corporativo La Moderna, E.Land Group, Frito Lay Manufacturing, Groupe Robert, Suzhou Hengding Logistics, VBM Retail, and Vida Panama Zona Libre.
  • Expanding relationships with existing customers such as: Alliance Healthcare, Big Lots Stores, Cardinal Health, Central Retail Corporation, Chico's® Retail Services, Cotton On, DENSO Europe, e-Store Logistics, Federal-Mogul, Forever Direct, GENCO Distribution, Giant Tiger Stores, Gregg Distributors, Hillman Group, Holiday Classic, Hot Topic, Integracolor, Kapal Api, Mitsubishi Fuso Truck and Bus, Mothercare, MWI Veterinary Supply, My Chemist, Nalsani S.A., Northern Safety Company, O'Key, Origin Enterprises, Performance Team Freight Systems, Redmart, Sodimac Colombia, Stella & Dot, Super Retail Group, Thai Beverage Logistics, The Men's Wearhouse, and We Pak Logistics.

2014 GUIDANCE

Manhattan Associates provides the following updated revenue and diluted earnings per share guidance for the full year 2014:

 
  Guidance Range - 2014 Full Year
($'s in millions, except EPS) $ Range % Growth Range
         
Total revenue - current guidance $479 $481 16% 16%
Total revenue - previous guidance $472 $477 14% 15%
         
Diluted earnings per share (EPS):      
Adjusted EPS(1) - current guidance $1.13 $1.15 23% 25%
GAAP EPS - current guidance $1.06 $1.08 23% 26%
         
Adjusted EPS(1) - previous guidance $1.10 $1.12 20% 22%
GAAP EPS - previous guidance $1.03 $1.05 20% 22%
         
(1) Adjusted EPS is a Non-GAAP measure which excludes the impact of equity-based compensation
         

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, especially in the current uncertain economic environment. 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). Beginning the close of business on December 15, 2014, Manhattan Associates will observe a "Quiet Period" during which Manhattan Associates and its representatives will not comment concerning previously published financial expectations. Prior to the start of the Quiet Period, the public can continue to rely on the expectations published in this 2014 Guidance section as being Manhattan Associates' current expectation on matters covered, unless Manhattan Associates publishes a notice stating otherwise. During the Quiet Period, previously published expectations should be considered historical only, speaking only as of or prior to the Quiet Period, and Manhattan Associates disclaims any obligation to update any previously published financial expectations during the Quiet Period. The Quiet Period will extend until publication of Manhattan Associates' next quarterly earnings release, currently scheduled for the first full week of February 2015.

CONFERENCE CALL

The Company's conference call regarding its third quarter financial results will be held today, October 21, 2014, at 4:30 p.m. Eastern Time. Investors are invited to listen 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.

For those who cannot listen to the live broadcast, a replay can be accessed 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 10541757 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' fourth quarter 2014 earnings release.

GAAP VERSUS NON-GAAP PRESENTATION

The Company provides adjusted operating income, adjusted net income and adjusted diluted earnings per share in this press release as additional information regarding the Company's operating results. These measures are not in accordance with – or an alternative to – GAAP, and may be different from non-GAAP operating income, non-GAAP net income and non-GAAP earnings per share measures used by other companies. The Company believes that 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 important supplemental information in evaluating the operating results of its business, as distinct from results that include items that are not indicative of ongoing operating results, and because the Company's competitors and 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 quarter and nine months ended September 30, 2014. 

Non-GAAP adjusted operating income, adjusted net income and adjusted diluted earnings per share exclude the impact of equity-based compensation and acquisition-related costs and the amortization thereof – all net of income tax effects. Reconciliations of the Company's GAAP financial measures to non-GAAP adjustments are included in the supplemental information attached to this release.

ABOUT MANHATTAN ASSOCIATES

Manhattan Associates brings companies closer to their customers. We design, build and deliver market-leading Supply Chain Commerce Solutions that drive top line growth by converging front-end sales with back-end supply chain execution and efficiency. Our software, platform technology and unmatched experience help our customers around the world adapt to the challenges of the omni-channel 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 the information set forth under "2014 Guidance." 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, delays in product development, competitive pressures, software errors, and the additional risk factors set forth in Item 1A of the Company's Annual Report on Form 10-K for the year ended December 31, 2013. 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
September 30,
Nine Months Ended
September 30,
  2014 2013 2014 2013
  (unaudited)
Revenue:        
Software license  $ 16,945  $ 14,768  $ 52,041  $ 45,149
Services 98,518 85,025  278,950 238,115
Hardware and other 10,145 8,009  30,710 23,655
Total revenue 125,608 107,802  361,701 306,919
Costs and expenses:        
Cost of license 1,679 2,445  5,140 6,160
Cost of services 43,689 35,835  123,606 105,939
Cost of hardware and other 8,496 6,812  25,240 20,049
Research and development 12,236 10,906  35,906 33,414
Sales and marketing 11,476 9,863  36,344 33,185
General and administrative 10,856 9,755  32,761 27,195
Depreciation and amortization 1,675 1,414  4,652 4,357
Total costs and expenses 90,107 77,030  263,649 230,299
Operating income  35,501  30,772  98,052  76,620
Other (loss) income, net  (55)  546  24  1,940
Income before income taxes 35,446 31,318  98,076 78,560
Income tax provision 13,106  11,630  36,430  28,110
Net income  $ 22,340  $ 19,688  $ 61,646  $ 50,450
         
Basic earnings per share  $ 0.30  $ 0.26  $ 0.82  $ 0.66
Diluted earnings per share  $ 0.30  $ 0.25  $ 0.81  $ 0.65
         
Weighted average number of shares:      
Basic  74,687  76,452  75,255  76,880
Diluted  75,466  77,552  76,104  78,104
         
 
MANHATTAN ASSOCIATES, INC. AND SUBSIDIARIES
Reconciliation of Selected GAAP to Non-GAAP Measures
(in thousands, except per share amounts)
         
         
  Three Months Ended September 30, Nine Months Ended September 30,
  2014 2013 2014 2013
         
Operating income  $ 35,501  $ 30,772  $ 98,052  $ 76,620
Equity-based compensation (b)  2,297  1,209  6,967  5,249
Purchase amortization (c)  58  2  59  5
Adjusted operating income (Non-GAAP)  $ 37,856  $ 31,983  $ 105,078  $ 81,874
         
         
Income tax provision  $ 13,106  $ 11,630  $ 36,430  $ 28,110
Equity-based compensation (b)  852  451  2,585  1,873
Purchase amortization (c)  22  1  22  2
Adjusted income tax provision (Non-GAAP)  $ 13,980  $ 12,082  $ 39,037  $ 29,985
         
         
Net income  $ 22,340  $ 19,688  $ 61,646  $ 50,450
Equity-based compensation (b)  1,445  758  4,382  3,376
Purchase amortization (c)  36  1  37  3
Adjusted net income (Non-GAAP)  $ 23,821  $ 20,447  $ 66,065  $ 53,829
         
         
Diluted EPS (a)  $ 0.30  $ 0.25  $ 0.81  $ 0.65
Equity-based compensation (a,b)  0.02  0.01  0.06  0.04
Purchase amortization (a,c)  --   --   --   -- 
Adjusted diluted EPS (Non-GAAP) (a)  $ 0.32  $ 0.26  $ 0.87  $ 0.69
         
Fully diluted shares (a)  75,466  77,552  76,104  78,104
         

(a) On December 19, 2013, our Board of Directors approved a four-for-one stock split of the Company's Common Stock, effected in the form of a stock dividend. All references made to shares or per share amounts have been restated to reflect the effect of this four-for-one stock split for all periods presented.

(b) Adjusted results exclude all equity-based compensation, to facilitate comparison with our competitors and peers and for the other reasons explained in our Current Report on Form 8-K filed with the SEC on the date hereof. Equity-based compensation is included in the following GAAP operating expense lines for the three and nine months ended September 30, 2014 and 2013:

  Three Months Ended September 30, Nine Months Ended September 30,
  2014 2013 2014 2013
         
Cost of services  $ 441  $ 303 $ 1,288  $ 881
Research and development  374  281  1,133  836
Sales and marketing  389  (436)  1,094  611
General and administrative  1,093  1,061  3,452  2,921
Total equity-based compensation  $ 2,297  $ 1,209 $ 6,967  $ 5,249
         

(c) Adjustments represent purchased intangibles amortization from prior acquisitions. Such amortization is excluded from adjusted results to facilitate comparison with our competitors and 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 on the date hereof.

 
MANHATTAN ASSOCIATES, INC. AND SUBSIDIARIES
Condensed Consolidated Balance Sheets
(in thousands, except share and per share data)
     
     
     
  September 30, 2014 December 31, 2013
  (unaudited)  
ASSETS    
Current Assets:    
Cash and cash equivalents  $ 101,116  $ 124,375
Short term investments  10,406  8,581
Accounts receivable, net of allowance of $3,810 and $3,156 in 2014 and 2013, respectively  87,998  71,136
Deferred income taxes  7,382  7,300
Prepaid expenses and other current assets  9,964  7,346
Total current assets  216,866  218,738
     
Property and equipment, net  16,370  14,342
Goodwill, net  62,257  62,272
Deferred income taxes  426  427
Acquisition-related intangible assets, net  2,907  -- 
Other assets  5,790  2,049
Total assets  $ 304,616  $ 297,828
     
     
LIABILITIES AND SHAREHOLDERS' EQUITY    
     
Current liabilities:    
Accounts payable  $ 10,219  $ 11,555
Accrued compensation and benefits  22,656  19,465
Accrued and other liabilities  11,218  12,225
Deferred revenue  57,928  53,812
Income taxes payable  4,802  7,131
Total current liabilities  106,823  104,188
     
Other non-current liabilities  13,311  12,054
     
Shareholders' equity:    
Preferred stock, no par value; 20,000,000 shares authorized, no shares issued or outstanding in 2014 and 2013  --   -- 
Common stock, $0.01 par value; 200,000,000 shares and 100,000,000 shares authorized at September 30, 2014 and December 31, 2013, respectively; 74,642,744 and 76,374,180 shares issued and outstanding at September 30, 2014 and December 31, 2013, respectively  746  764
Retained earnings  191,937  188,604
Accumulated other comprehensive loss  (8,201)  (7,782)
Total shareholders' equity  184,482  181,586
Total liabilities and shareholders' equity  $ 304,616  $ 297,828
     
 
MANHATTAN ASSOCIATES, INC. AND SUBSIDIARIES
Condensed Consolidated Statements of Cash Flows
(in thousands)
     
  Nine Months Ended September 30,
  2014 2013
  (unaudited)
Operating activities:    
Net income  $ 61,646  $ 50,450
Adjustments to reconcile net income to net cash provided by operating activities:    
Depreciation and amortization  4,652  4,357
Equity-based compensation  6,967  5,249
(Gain) loss on disposal of equipment  (23)  32
Tax benefit of stock awards exercised/vested  7,395  6,301
Excess tax benefits from equity-based compensation  (7,359)  (6,005)
Deferred income taxes  122  1,448
Unrealized foreign currency (gain) loss  (36)  56
Changes in operating assets and liabilities:    
Accounts receivable, net  (17,147)  (6,313)
Other assets  (6,408)  1,472
Accounts payable, accrued and other liabilities  1,564  (4,602)
Income taxes  (2,442)  6,906
Deferred revenue  4,786  7,035
Net cash provided by operating activities  53,717  66,386
     
Investing activities:    
Purchase of property and equipment  (6,676)  (3,201)
Net purchases of investments  (1,849)  (2,254)
Payment in connection with acquisition  (2,773)  -- 
Net cash used in investing activities  (11,298)  (5,455)
     
Financing activities:    
Purchase of common stock  (73,706)  (48,715)
Proceeds from issuance of common stock from options exercised  1,014  5,369
Excess tax benefits from equity-based compensation  7,359  6,005
Net cash used in financing activities  (65,333)  (37,341)
     
Foreign currency impact on cash  (345)  (2,090)
     
Net change in cash and cash equivalents  (23,259)  21,500
Cash and cash equivalents at beginning of period  124,375  96,737
Cash and cash equivalents at end of period  $ 101,116  $ 118,237
     
 
MANHATTAN ASSOCIATES, INC.
SUPPLEMENTAL INFORMATION
                     
                     
1. GAAP and Adjusted earnings per share by quarter are as follows:
                     
  On December 19, 2013, our Board of Directors approved a four-for-one stock split of the Company's Common Stock, effected in the form of a stock dividend. All references made to shares or per share amounts have been restated to reflect the effect of this four-for-one stock split for all periods presented.
                     
                     
    2013 2014
    1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Full Year 1st Qtr 2nd Qtr 3rd Qtr YTD
  GAAP Diluted EPS  $ 0.17  $ 0.22  $ 0.25  $ 0.22  $ 0.86  $ 0.24  $ 0.27  $ 0.30  $ 0.81
  Adjustments to GAAP:                  
  Equity-based compensation  0.02  0.02  0.01  0.02  0.06  0.02  0.02  0.02  0.06
  Purchase amortization  --   --   --   --   --   --   --   --   -- 
  Adjusted Diluted EPS  $ 0.19  $ 0.24  $ 0.26  $ 0.24  $ 0.92  $ 0.26  $ 0.29  $ 0.32  $ 0.87
  Fully Diluted Shares  78,740  78,036  77,552  77,256  77,932  76,795  76,037  75,466  76,104
                     
                     
2. Revenues and operating income by reportable segment are as follows (in thousands):
                     
    2013 2014
    1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Full Year 1st Qtr 2nd Qtr 3rd Qtr YTD
  Revenue:                  
  Americas  $ 79,820  $ 83,600  $ 87,977  $ 86,947  $ 338,344  $ 91,355  $ 98,633  $ 103,419  $ 293,407
  EMEA  11,431  11,964  12,686  14,333  50,414  15,679  15,911  14,253  45,843
  APAC  5,350  6,952  7,139  6,319  25,760  6,529  7,986  7,936  22,451
     $ 96,601  $ 102,516  $ 107,802  $ 107,599  $ 414,518  $ 113,563  $ 122,530  $ 125,608  $ 361,701
                     
  GAAP Operating Income:                  
  Americas  $ 16,964  $ 21,256  $ 25,613  $ 19,618  $ 83,451  $ 24,133  $ 25,127  $ 28,750  $ 78,010
  EMEA  1,753  2,736  2,633  3,166  10,288  4,058  4,239  3,617  11,914
  APAC  944  2,195  2,526  1,883  7,548  1,860  3,134  3,134  8,128
     $ 19,661  $ 26,187  $ 30,772  $ 24,667  $ 101,287  $ 30,051  $ 32,500  $ 35,501  $ 98,052
                     
  Adjustments (pre-tax):                  
  Americas:                  
  Equity-based compensation  $ 1,907  $ 2,133  $ 1,209  $ 2,076  $ 7,325  $ 2,274  $ 2,396  $ 2,297  $ 6,967
  Purchase amortization   2  1  2  1  6  1  --   58  59
     $ 1,909  $ 2,134  $ 1,211  $ 2,077  $ 7,331  $ 2,275  $ 2,396  $ 2,355  $ 7,026
                     
                     
  Adjusted non-GAAP Operating Income:                
  Americas  $ 18,873  $ 23,390  $ 26,824  $ 21,695  $ 90,782  $ 26,408  $ 27,523  $ 31,105  $ 85,036
  EMEA  1,753  2,736  2,633  3,166  10,288  4,058  4,239  3,617  11,914
  APAC  944  2,195  2,526  1,883  7,548  1,860  3,134  3,134  8,128
     $ 21,570  $ 28,321  $ 31,983  $ 26,744  $ 108,618  $ 32,326  $ 34,896  $ 37,856  $ 105,078
                     
                     
3. Our services revenue consists of fees generated from professional services and customer support and software enhancements related to our software products as follows (in thousands):
                     
    2013 2014
    1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Full Year 1st Qtr 2nd Qtr 3rd Qtr YTD
  Professional services  $ 49,151  $ 52,492  $ 57,690  $ 51,490  210,823  $ 59,422  $ 65,702  $ 69,398  194,522
  Customer support and software enhancements  25,736  25,711  27,335  26,296  105,078  27,491  27,817  29,120  84,428
  Total services revenue  $ 74,887  $ 78,203  $ 85,025  $ 77,786  $ 315,901  $ 86,913  $ 93,519  $ 98,518  $ 278,950
                     
                     
4. Hardware and other revenue includes the following items (in thousands):
    2013 2014
    1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Full Year 1st Qtr 2nd Qtr 3rd Qtr YTD
                     
  Hardware revenue  $ 4,175  $ 4,285  $ 3,904  $ 8,557  $ 20,921  $ 5,946  $ 6,114  $ 4,707  $ 16,767
  Billed travel  3,294  3,892  4,105  3,989  15,280  3,597  4,908  5,438  13,943
  Total hardware and other revenue  $ 7,469  $ 8,177  $ 8,009  $ 12,546  $ 36,201  $ 9,543  $ 11,022  $ 10,145  $ 30,710
                     
                     
5. 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):
                     
    2013 2014
    1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Full Year 1st Qtr 2nd Qtr 3rd Qtr YTD
                     
  Revenue  $ (182)  $ (150)  $ (329)  $ (63)  $ (724)  $ 202  $ 696  $ 479  $ 1,377
  Costs and expenses  (541)  (262)  (877)  (902)  (2,582)  (713)  73  522  (118)
  Operating income  359  112  548  839  1,858  915  623  (43)  1,495
  Foreign currency (losses) gains in other income  (179)  972  313  (445)  661  (516)  12  (415)  (919)
     $ 180  $ 1,084  $ 861  $ 394  $ 2,519  $ 399  $ 635  $ (458)  $ 576
                     
                     
  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):
    2013 2014
    1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Full Year 1st Qtr 2nd Qtr 3rd Qtr YTD
                     
  Operating income  $ 440  $ 173  $ 733  $ 900  $ 2,246  $ 898  $ 505  $ (171)  $ 1,232
  Foreign currency (losses) gains in other income  4  931  204  3  1,142  (141)  (129)  191  (79)
  Total impact of changes in the Indian Rupee  $ 444  $ 1,104  $ 937  $ 903  $ 3,388  $ 757  $ 376  $ 20  $ 1,153
                     
                     
6. Other (loss) income includes the following components (in thousands):
                     
    2013 2014
    1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Full Year 1st Qtr 2nd Qtr 3rd Qtr YTD
                     
  Interest income  $ 326  $ 271  $ 263  $ 307  $ 1,167  $ 267  $ 302  $ 349  $ 918
  Foreign currency (losses) gains  (179)  972  313  (445)  661  (516)  12  (415)  (919)
  Other non-operating (expense) income  4  --  (30)  20  (6)  16  (2)  11  25
  Total other (loss) income  $ 151  $ 1,243  $ 546  $ (118)  $ 1,822  $ (233)  $ 312  $ (55)  $ 24
                     
                     
7. Total equity-based compensation is as follows (in thousands except per share amounts):
                     
    2013 2014
    1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Full Year 1st Qtr 2nd Qtr 3rd Qtr YTD
                     
  Stock options  $ 148  $ 11  $ 11  $ 20  $ 190  $ --  $ --  $ --  $ --
  Restricted stock  1,759  2,122  1,198  2,056  7,135  2,274  2,396  2,297  6,967
  Total equity-based compensation  1,907  2,133  1,209  2,076  7,325  2,274  2,396  2,297  6,967
  Income tax provision  671  751  451  729  2,602  844  889  852  2,585
  Net income  $ 1,236  $ 1,382  $ 758  $ 1,347  $ 4,723  $ 1,430  $ 1,507  $ 1,445  $ 4,382
  Diluted earnings per share  $ 0.02  $ 0.02  $ 0.01  $ 0.02  $ 0.06  $ 0.02  $ 0.02  $ 0.02  $ 0.06
                     
  Diluted earnings per share - stock options  $ 0.00  $ 0.00  $ 0.00  $ 0.00  $ 0.00  $ --   $ --   $ --   $ -- 
  Diluted earnings per share - restricted stock  $ 0.01  $ 0.02  $ 0.01  $ 0.02  $ 0.06  $ 0.02  $ 0.02  $ 0.02  $ 0.06
                     
                     
8. Capital expenditures are as follows (in thousands):
                     
    2013 2014
    1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Full Year 1st Qtr 2nd Qtr 3rd Qtr YTD
                     
  Capital expenditures  $ 598  $ 1,035  $ 1,568  $ 1,539  $ 4,740  $ 1,156  $ 2,424  $ 3,096  $ 6,676
                     
                     
9. Stock Repurchase Activity (in thousands):
                     
    2013 2014
    1st Qtr 2nd Qtr 3rd Qtr 4th Qtr Full Year 1st Qtr 2nd Qtr 3rd Qtr YTD
                     
  Shares purchased under publicly-announced buy-back program  903  785  607  537  2,832  695  782  504  1,981
  Shares withheld for taxes due upon vesting of restricted stock  281  1  13  5  300  235  1  10  246
  Total shares purchased  1,184  786  620  542  3,132  930  783  514  2,227
                     
  Total cash paid for shares purchased under publicly-announced buy-back program  $ 15,929  $ 14,409  $ 13,533  $ 15,332  $ 59,203  $ 25,459  $ 25,090  $ 15,112  $ 65,661
  Total cash paid for shares withheld for taxes due upon vesting of restricted stock  4,545  19  280  152  4,996  7,720  36  289  8,045
  Total cash paid for shares repurchased  $ 20,474  $ 14,428  $ 13,813  $ 15,484  $ 64,199  $ 33,179  $ 25,126  $ 15,401  $ 73,706
                     
Dennis Story
Chief Financial Officer
Manhattan Associates, Inc.
770-955-7070
dstory@manh.com

Cameron Smith
Director, Corporate Communications
Manhattan Associates, Inc.
678-597-6841
camsmith@manh.com