Mission Statement, Vision, & Core Values (2024) of Manhattan Associates, Inc. (MANH).

An Overview of Manhattan Associates, Inc. (MANH)

An Overview of Manhattan Associates, Inc. (MANH)

Manhattan Associates, Inc. (MANH) is a leading provider of supply chain and omnichannel commerce solutions. Established in 1990, the company has evolved from its origins in warehouse management systems to a comprehensive suite of cloud-based solutions designed to optimize supply chain operations across various industries. As of 2024, Manhattan Associates offers products that include Warehouse Management, Transportation Management, Inventory Optimization, and Unified Omnichannel Commerce solutions. In 2024, the company reported total sales of approximately $786.6 million for the nine months ended September 30, 2024, reflecting a robust demand for its innovative solutions in the logistics and retail sectors.

Company's Financial Performance in the Latest Financial Reports

In the latest financial reports for the third quarter of 2024, Manhattan Associates achieved record-breaking revenue of $266.7 million, a 12% increase from $238.4 million in the same quarter of 2023. Notably, cloud subscription revenues surged by 33% to $86.5 million, up from $65.0 million year-over-year. For the nine months ended September 30, 2024, total revenue reached $786.6 million, a 14% increase compared to $690.5 million during the same period in 2023.

The company's operating income for the nine months ended September 30, 2024, was $200.9 million, with an operating margin of 25.5%, compared to $151.0 million and 21.9% for the same period in the previous year. Diluted earnings per share also saw significant growth, climbing to $2.74 from $2.05 in the prior year. The increase in financial performance can be attributed to the growth in cloud and services revenue, alongside effective cost management strategies that enhanced operating leverage.

Introduction to Company as One of the Leaders in the Industry

Manhattan Associates stands out as a leader in the supply chain management and omnichannel software solutions market, as recognized by industry analysts such as ARC Advisory Group and Gartner. The company has consistently demonstrated its ability to innovate and adapt to changing market demands, particularly with its transition toward cloud-based solutions. In 2024, approximately 98% of its remaining performance obligations are cloud-native subscriptions, underscoring the strategic shift towards cloud offerings. As businesses increasingly seek integrated solutions to enhance operational efficiency, Manhattan Associates is well-positioned to capitalize on these trends and maintain its leadership status in the industry. For more insights into the company's successful strategies and market position, readers are encouraged to explore further details in the following sections.

Mission Statement of Manhattan Associates, Inc. (MANH)

Company's Mission Statement Overview

Manhattan Associates, Inc. (MANH) has articulated a mission statement that serves as a compass for its strategic direction. The mission statement emphasizes the company’s commitment to delivering high-quality software solutions that optimize supply chain and omnichannel operations for businesses worldwide. This guiding principle is crucial as it underpins the company's long-term goals and informs its operational strategies.

Core Component 1: Delivering Innovative Solutions

The first core component of Manhattan Associates' mission statement revolves around the delivery of innovative software solutions. The company has consistently invested in research and development, with R&D expenses totaling $34.3 million for the three months ended September 30, 2024. This commitment to innovation has enabled Manhattan to maintain its leadership position in supply chain management and omnichannel software solutions.

In the nine months ended September 30, 2024, total revenue from cloud subscriptions reached $246.9 million, reflecting a 35% increase compared to the previous year. Such growth underscores the effectiveness of Manhattan’s innovative solutions in meeting the evolving demands of the market.

Core Component 2: Customer-Centric Approach

The second core component emphasizes a customer-centric approach. Manhattan Associates has demonstrated its commitment to customer satisfaction by achieving a maintenance revenue of $104.7 million, which accounted for 13% of total revenue for the nine months ended September 30, 2024. This focus on maintaining strong customer relationships is evident in the company’s high renewal rates of support contracts.

Manhattan has also reported that approximately 14% of new cloud subscriptions signed in 2024 were with new customers, indicating a successful strategy in expanding its customer base. This demonstrates not only a commitment to existing clients but also a proactive approach to attracting new business.

Core Component 3: Commitment to Quality and Excellence

The final core component of the mission statement highlights a commitment to quality and excellence. Manhattan Associates’ operating income for the nine months ended September 30, 2024, was $200.9 million, reflecting an increase from $151.0 million in the same period of the previous year. This growth in profitability showcases the company's operational efficiency and commitment to delivering high-quality products.

In addition, the company's diluted earnings per share increased to $2.74 in the nine months ended September 30, 2024, compared to $2.05 in the same period of the prior year. This upward trend in earnings reflects Manhattan's dedication to maintaining high standards in product delivery and service provision.

Vision Statement of Manhattan Associates, Inc. (MANH)

Vision Statement Overview

The vision statement of Manhattan Associates, Inc. (MANH) emphasizes its goal to be a leader in supply chain and omnichannel solutions. This is reflected in their commitment to innovation, customer service, and operational excellence.

Commitment to Innovation

Manhattan Associates is focused on developing advanced technology solutions that enhance the efficiency and effectiveness of supply chain operations. In the first nine months of 2024, the company allocated approximately $34.3 million to research and development, representing a 4% increase from the prior year. This investment underlines their dedication to innovation in their product offerings, including cloud-based solutions that cater to evolving market needs.

Customer-Centric Approach

The company aims to deliver exceptional value to its customers through tailored solutions. In the nine months ended September 30, 2024, the revenue from cloud subscriptions reached $246.9 million, a significant increase of 35% compared to the same period in 2023. This growth indicates a strong preference among customers for Manhattan's cloud-based offerings, demonstrating the company's responsiveness to customer demands.

Operational Excellence

Manhattan Associates strives for operational excellence in its business processes. The operating income for the nine months ended September 30, 2024, was reported at $200.9 million, reflecting an increase of 33% year-over-year. This improvement in operational performance is a testament to the company’s efficient management practices and commitment to maintaining high standards in service delivery.

Global Leadership in Supply Chain Solutions

Manhattan Associates positions itself as a global leader in supply chain solutions. The company’s total revenue for the nine months ended September 30, 2024, was $786.6 million, marking a 14% increase from the previous year. This growth solidifies its standing in the competitive landscape of supply chain management and underscores its vision to expand its market presence internationally.

Future Direction

Looking ahead, Manhattan Associates intends to continue investing in technology and innovation to further enhance its service offerings. The company has earmarked significant resources for product development, focusing on unified omnichannel commerce and digital supply chain solutions. This strategic direction is aligned with their vision to remain at the forefront of the industry and deliver superior value to their clients.

Core Values of Manhattan Associates, Inc. (MANH)

Integrity

Integrity is a foundational core value at Manhattan Associates, Inc. (MANH). It emphasizes transparency, honesty, and ethical conduct in all business dealings. This commitment to integrity ensures that the company maintains trust with its clients, partners, and employees.

In 2024, Manhattan Associates demonstrated its commitment to integrity through various initiatives:

• The implementation of rigorous compliance training programs for employees, ensuring that ethical standards are understood and upheld across the organization.
• Regular audits and assessments of business practices to identify areas for improvement in ethical conduct and compliance.

Innovation

Innovation drives the growth and evolution of Manhattan Associates. The company focuses on developing cutting-edge solutions that address the complexities of supply chain management.

In 2024, key examples of innovation include:

• Investment of $34.3 million in research and development (R&D) during Q3 2024, aimed at enhancing the company's Unified Omnichannel Commerce and Digital Supply Chain solutions.
• The launch of new cloud-based solutions that cater to the increasing demand for flexible, scalable supply chain management tools, contributing to a 35% increase in cloud subscription revenue to $246.9 million for the nine months ended September 30, 2024.

Customer Success

Customer success is paramount at Manhattan Associates. The company aims to foster long-lasting relationships with its customers by ensuring their needs are met and exceeded.

In 2024, Manhattan Associates exemplified this value through:

• A 10% increase in services revenue, totaling $406.0 million for the nine months ended September 30, 2024.
• Offering comprehensive support and training services that have resulted in a high customer satisfaction rate, with a significant percentage of professional services revenue (approximately 74%) related to cloud subscriptions.

Collaboration

Collaboration is essential for Manhattan Associates, fostering teamwork within the organization and with external partners to achieve shared goals.

In 2024, the company demonstrated collaboration by:

• Establishing cross-functional teams that integrate various expertise areas to enhance product development and customer service.
• Engaging in strategic partnerships that expand the company's capabilities in supply chain technology, evidenced by the increase in market share and customer base across the Americas, EMEA, and APAC.

Excellence

Excellence is a core value that drives Manhattan Associates to achieve the highest standards in its operations and customer service.

In 2024, the commitment to excellence was evident through:

• Achieving an operating income of $200.9 million for the nine months ended September 30, 2024, reflecting a 33% growth compared to the previous year.
• Maintaining operating margins of 25.5% for the nine months ended September 30, 2024, up from 21.9% in the same period of 2023.

Article updated on 8 Nov 2024

Resources:

• Manhattan Associates, Inc. (MANH) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of Manhattan Associates, Inc. (MANH)' financial performance, including balance sheets, income statements, and cash flow statements.
• SEC Filings – View Manhattan Associates, Inc. (MANH)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.