Earnings Results to Track: SPS Commerce Inc. (NASDAQ: SPSC)

Raymond Young

I am Raymond Young and I’m passionate about business and finance news with over 4 years in the industry starting as a writer working my way up into senior positions.

I am the driving force behind Import Tourism with a vision to broaden the company’s readership throughout 2016. I am an editor and reporter of “Technology” category.

Address: 3194 Flynn Street, Garfield Heights, OH 44125, USA
Phone: (+1) 440-829-5759
Email: raymondyoung@importtourism.com
Raymond Young

MINNEAPOLIS, July 13, 2019 – Shares of SPS Commerce Inc. (NASDAQ: SPSC) inclined 1.01% to $103.88. The stock traded total volume of 51.139K shares lower than the average volume of 148.12K shares.

SPS Commerce Inc. (SPSC) reported first-quarter earnings of $6.80M. The Minneapolis-based company said it had profit of 38 cents per share. Earnings, adjusted for one-time gains and costs, came to 60 cents per share. The results topped Wall Street expectations. The average estimate of six analysts surveyed by Zacks Investment Research was for earnings of 51 cents per share.

Revenue was $66.90M in the first quarter of 2019, contrast to $59.10M in the first quarter of 2018, reflecting 13% growth in revenue from the first quarter of 2018. Recurring revenue grew 14% from the first quarter of 2018.

Adjusted EBITDA for the first quarter of 2019 increased 51% to $16.40M contrast to the first quarter of 2018.

Guidance

For the second quarter of 2019, revenue is expected to be in the range of $67.70M to $68.20M.  Second quarter net income per diluted share is expected to be in the range of $0.33 to $0.35 with fully diluted weighted average shares outstanding of about 18.00M shares.  Non-GAAP income per diluted share is expected to be in the range of $0.51 to $0.53.  Adjusted EBITDA is expected to be in the range of $15.80M to $16.30M.  Non-cash, share-based compensation expense is expected to be about $3.30M, depreciation expense is expected to be about $2.80M and amortization expense is expected to be about $1.30M.

For the full year of 2019, revenue is expected to be in the range of $275.00M to $276.50M, representing about 11% growth over 2018. Full year net income per diluted share is expected to be in the range of $1.39 to $1.45 with fully diluted weighted average shares outstanding of about 18.00M shares.   Non-GAAP income per diluted share is expected to be in the range of $2.16 to $2.22. Adjusted EBITDA is expected to be in the range of $65.0 to $66.50M, representing about 27% to 30% growth over 2018. Non-cash, share-based compensation expense is expected to be about $15.50M, depreciation expense is expected to be about $11.30M and amortization expense is expected to be about $5.20M.

SPSC has the market capitalization of $1.85B and its EPS growth ratio for the past five years was 83.10%. The return on assets ratio of the Company was 7.20% while its return on investment ratio stands at 7.00%. Price to sales ratio was 7.22 while 98.80% of the stock was owned by institutional investors.

Raymond Young

Raymond Young

I am Raymond Young and I’m passionate about business and finance news with over 4 years in the industry starting as a writer working my way up into senior positions. I am the driving force behind Import Tourism with a vision to broaden the company’s readership throughout 2016. I am an editor and reporter of “Technology” category. Address: 3194 Flynn Street, Garfield Heights, OH 44125, USA Phone: (+1) 440-829-5759 Email: raymondyoung@importtourism.com