Exhibit 99.1
 
 Contact:
    
    Dennis Story
Chief Financial Officer
Manhattan Associates, Inc.
678-597-7115 dstory@manh.com
    
    Will Haraway
Senior Manager, Media Relations
Manhattan Associates, Inc.
678-597-7466wharaway@manh.com
 Manhattan Associates Reports Record Earnings on Strong Revenue Performance
 Company raises full-year Revenue and EPS guidance
 ATLANTA  July 19, 2011 
  SECOND QUARTER 2011 FINANCIAL SUMMARY:
 
    
    Adjusted diluted earnings per share, a non-GAAP measure, was $0.65
in the second quarter of 2011, compared to $0.42 in the second
quarter of 2010.
 
    
    The Company reported GAAP diluted earnings per share of $0.57 in
the second quarter of 2011, compared to $0.36 in the second quarter
of 2010.
 
    
    Consolidated revenue for the second quarter of 2011 was $88.4
million, compared to $77.6 million in the second quarter of 2010.
License revenue was $16.3 million in the second quarter of 2011,
compared to $15.5 million in the second quarter of 2010.
 
    
    Adjusted operating income, a non-GAAP measure, was $21.1 million
in the second quarter of 2011, compared to $14.4 million in the
second quarter of 2010.
 
    
    GAAP operating income for the second quarter of 2011 was $18.2
million, compared to $12.0 million in the second quarter of 2010.




---



##### 




    
    Cash flow from operations was $16.0 million in the second quarter
of 2011, compared to $10.0 million in the second quarter of 2010.
Days Sales Outstanding were 55 days at June 30, 2011, compared to 57
days at March 31, 2011.
 
    
    Cash and investments on-hand at June 30, 2011 was $110.3 million,
compared to $126.9 million at December 31, 2010.
 
    
    The Company repurchased approximately 1.1 million common shares
under the share repurchase program authorized by the Board of
Directors, totaling $38.3 million at an average share price of $35.50
in the second quarter of 2011. In July 2011, the Board of Directors
approved raising the Companys remaining share repurchase authority
to an aggregate $50.0 million of Manhattan Associates outstanding
common stock.
 SIX MONTH 2011 FINANCIAL SUMMARY:
 
    
    Adjusted diluted earnings per share, a non-GAAP measure, was a
record $1.06 for the six months ended June 30, 2011, compared to
$0.82 for the six months ended June 30, 2010.
 
    
    GAAP diluted earnings per share for the six months ended June 30,
2011 was $0.89, compared to $0.68 for the six months ended June 30,
2010.
 
    
    Consolidated revenue for the six months ended June 30, 2011 was
$160.1 million, compared to $151.6 million for the six months ended
June 30, 2010. License revenue was $24.1 million for the six months
ended June 30, 2011, compared to $29.7 million in the six months
ended June 30, 2010.
 
    
    Adjusted operating income, a non-GAAP measure, was $31.5 million
for the six months ended June 30, 2011, compared to $28.7 million
for the six months ended June 30, 2010.
 
    
    GAAP operating income was $25.8 million for the six months ended
June 30, 2011, compared to $23.5 million for the six months ended
June 30, 2010, which included $1.2 million of recoveries of
previously expensed sales tax associated with expiring sales tax
audit statutes.
 
    
    For the six months ended June 30, 2011, the Company repurchased
approximately 1.9 million common shares under the share repurchase
program authorized by the Board of Directors at an average share
price of $33.55, for a total investment of $63.9 million.




---



##### 



SALES ACHIEVEMENTS:
 
    
    Closing four contracts of $1.0 million or more in recognized
license revenue during the quarter.
 
    
    Completing software license wins with new customers such as:
Beigi Foton Motor Co., Ltd, Bollore Logistics, Copernica Inc., CSPC
Zhongcheng Pharmaceutical Logistics Company, DBA Amplifier, eCMM
Services, Inc., Heilan Group, Jiangsu Horizon Supermarket Company
Limited, Michael Kors (USA), Inc., MWI Veterinary Supply Co.,
Precision Planting Incorporated, Starbucks Corporation and Westco
MultiTemp Distribution Centres, Inc.
 
    
    Expanding partnerships with existing customers such as: American
Eagle Outfitters, Inc., Better Life Commercial Chain Share Co LTD,
Ceva Logistics U.S., Inc., Coach, Inc., Devanlay SA, Ewing
Irrigation, Inc., Family Dollar, Inc., Fiskars Brands,Inc., Follett
Higher Education Group, House of Fraser (Stores) Limited, Kwik Trip
Inc., Masscash (Pty) Ltd, Ocean State Jobbers, Inc., OReilly
Automotive, Inc., Panalpina Management AG and True Religion Brand
Jeans.
 2011 GUIDANCE
  Guidance Range - 2011 Full year($s in millions, except EPS)
    
    $ Range
    
    
    % Growth rangeTotal revenue  current guidance
    
    $
    325
    
    
    $
    335
    
    
    
    10
    %
    
    
    13
    %Total revenue  previous guidance
    
    $
    325
    
    
    $
    330
    
    
    
    10
    %
    
    
    11
    %Diluted earnings per share (EPS):Adjusted EPS(1)  current guidance
    
    $
    1.97
    
    
    $
    2.02
    
    
    
    25
    %
    
    
    28
    %GAAP EPS  current guidance
    
    $
    1.65
    
    
    $
    1.70
    
    
    
    32
    %
    
    
    36
    %Adjusted EPS(1)  previous guidance
    
    $
    1.87
    
    
    $
    1.92
    
    
    
    18
    %
    
    
    22
    %GAAP EPS  previous guidance
    
    $
    1.55
    
    
    $
    1.60
    
    
    
    24
    %
    
    
    28
    %
 (1)
    
    Adjusted EPS is Non-GAAP




---



##### 



CONFERENCE CALL
 www.manh.com www.manh.com




---



##### 



GAAP VERSUS NON-GAAP PRESENTATION
   ABOUT MANHATTAN ASSOCIATES, INC.
 Manhattan SCOPE® Manhattan
SCALE Manhattan
Carrier www.manh.com
 This press release contains forward-looking statements relating to
Manhattan Associates, Inc. Forward-looking statements in this press release
includes the information set forth under 2011 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
additional risk factors set forth in Item 1A of the Companys Annual Report
on Form 10-K for the year ended December 31, 2010. 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 OPERATIONS
(in thousands, except per share amounts)
 Three Months Ended June 30,
    
    
    Six Months Ended June 30,2011
    
    
    2010
    
    
    2011
    
    
    2010(unaudited)Revenue:Software license
    
    $
    16,347
    
    
    $
    15,485
    
    
    $
    24,109
    
    
    $
    29,692Services
    
    
    63,774
    
    
    
    54,780
    
    
    
    119,852
    
    
    
    108,241Hardware and other
    
    
    8,281
    
    
    
    7,376
    
    
    
    16,151
    
    
    
    13,657Total revenue
    
    
    88,402
    
    
    
    77,641
    
    
    
    160,112
    
    
    
    151,590Costs and expenses:Cost of license
    
    
    1,824
    
    
    
    1,611
    
    
    
    3,063
    
    
    
    3,160Cost of services
    
    
    27,462
    
    
    
    24,906
    
    
    
    52,420
    
    
    
    48,970Cost of hardware and other
    
    
    6,457
    
    
    
    6,205
    
    
    
    12,757
    
    
    
    11,274Research and development
    
    
    10,676
    
    
    
    10,334
    
    
    
    21,059
    
    
    
    20,774Sales and marketing
    
    
    12,309
    
    
    
    12,073
    
    
    
    22,909
    
    
    
    22,541General and administrative
    
    
    9,238
    
    
    
    8,177
    
    
    
    17,914
    
    
    
    16,638Depreciation and amortization
    
    
    2,223
    
    
    
    2,318
    
    
    
    4,224
    
    
    
    4,733Total costs and expenses
    
    
    70,189
    
    
    
    65,624
    
    
    
    134,346
    
    
    
    128,090Operating income
    
    
    18,213
    
    
    
    12,017
    
    
    
    25,766
    
    
    
    23,500Other income (loss), net
    
    
    334
    
    
    
    304
    
    
    
    352
    
    
    
    (194
    )Income before income taxes
    
    
    18,547
    
    
    
    12,321
    
    
    
    26,118
    
    
    
    23,306Income tax provision
    
    
    6,208
    
    
    
    4,132
    
    
    
    6,613
    
    
    
    7,922Net income
    
    $
    12,339
    
    
    $
    8,189
    
    
    $
    19,505
    
    
    $
    15,384Basic earnings per share
    
    $
    0.60
    
    
    $
    0.38
    
    
    $
    0.93
    
    
    $
    0.70Diluted earnings per share
    
    $
    0.57
    
    
    $
    0.36
    
    
    $
    0.89
    
    
    $
    0.68Weighted average number of shares:Basic
    
    
    20,696
    
    
    
    21,718
    
    
    
    20,861
    
    
    
    21,837Diluted
    
    
    21,775
    
    
    
    22,776
    
    
    
    21,926
    
    
    
    22,655




---



##### 



MANHATTAN ASSOCIATES, INC. AND SUBSIDIARIES
RECONCILIATION OF SELECTED GAAP TO NON-GAAP MEASURES
(in thousands, except per share amounts)
 Three Months Ended June 30,
    
    
    Six Months Ended June 30,2011
    
    
    2010
    
    
    2011
    
    
    2010Operating income
    
    $
    18,213
    
    
    $
    12,017
    
    
    $
    25,766
    
    
    $
    23,500Equity-based compensation (a)
    
    
    2,405
    
    
    
    2,502
    
    
    
    4,814
    
    
    
    5,087Purchase amortization (b)
    
    
    438
    
    
    
    639
    
    
    
    877
    
    
    
    1,277Sales tax recoveries (c)
    
    
    
    
    
    
    (792
    )
    
    
    
    
    
    
    (1,212
    )Adjusted operating income (Non-GAAP)
    
    $
    21,056
    
    
    $
    14,366
    
    
    $
    31,457
    
    
    $
    28,652Income tax provision
    
    $
    6,208
    
    
    $
    4,132
    
    
    $
    6,613
    
    
    $
    7,922Equity-based compensation (a)
    
    
    806
    
    
    
    863
    
    
    
    1,613
    
    
    
    1,755Purchase amortization (b)
    
    
    147
    
    
    
    221
    
    
    
    294
    
    
    
    441Sales tax recoveries (c)
    
    
    
    
    
    
    (273
    )
    
    
    
    
    
    
    (418
    )Unusual tax adjustments (d)
    
    
    6
    
    
    
    118
    
    
    
    112
    
    
    
    118Adjusted income tax provision (Non-GAAP)
    
    $
    7,167
    
    
    $
    5,061
    
    
    $
    8,632
    
    
    $
    9,818Net income
    
    $
    12,339
    
    
    $
    8,189
    
    
    $
    19,505
    
    
    $
    15,384Equity-based compensation (a)
    
    
    1,599
    
    
    
    1,639
    
    
    
    3,201
    
    
    
    3,332Purchase amortization (b)
    
    
    291
    
    
    
    418
    
    
    
    583
    
    
    
    836Sales tax recoveries (c)
    
    
    
    
    
    
    (519
    )
    
    
    
    
    
    
    (794
    )Unusual tax adjustments (d)
    
    
    (6
    )
    
    
    (118
    )
    
    
    (112
    )
    
    
    (118
    )Adjusted net income (Non-GAAP)
    
    $
    14,223
    
    
    $
    9,609
    
    
    $
    23,177
    
    
    $
    18,640Diluted EPS
    
    $
    0.57
    
    
    $
    0.36
    
    
    $
    0.89
    
    
    $
    0.68Equity-based compensation (a)
    
    
    0.07
    
    
    
    0.07
    
    
    
    0.15
    
    
    
    0.15Purchase amortization (b)
    
    
    0.01
    
    
    
    0.02
    
    
    
    0.03
    
    
    
    0.04Sales tax recoveries (c)
    
    
    
    
    
    
    (0.02
    )
    
    
    
    
    
    
    (0.04
    )Unusual tax adjustments (d)
    
    
    
    
    
    
    (0.01
    )
    
    
    (0.01
    )
    
    
    (0.01
    )Adjusted diluted EPS (Non-GAAP)
    
    $
    0.65
    
    
    $
    0.42
    
    
    $
    1.06
    
    
    $
    0.82Fully diluted shares
    
    
    21,775
    
    
    
    22,776
    
    
    
    21,926
    
    
    
    22,655
 (a)
    
    Beginning in 2011, to be consistent with other companies in the
software industry, we began to report adjusted results excluding
all equity-based compensation. The equity-based compensation is
included in the following GAAP operating expense lines for the
three and six months ended June 30, 2011 and 2010: Three Months Ended June 30,
    
    
    Six Months Ended June 30,2011
    
    
    2010
    
    
    2011
    
    
    2010Cost of services
    
    $
    356
    
    
    $
    369
    
    
    $
    703
    
    
    $
    706Research and development
    
    
    386
    
    
    
    406
    
    
    
    758
    
    
    
    778Sales and marketing
    
    
    562
    
    
    
    734
    
    
    
    1,148
    
    
    
    1,432General and administrative
    
    
    1,101
    
    
    
    993
    
    
    
    2,205
    
    
    
    2,171Total equity-based compensation
    
    $
    2,405
    
    
    $
    2,502
    
    
    $
    4,814
    
    
    $
    5,087
 (b)
    
    Adjustments represent purchased intangibles amortization from prior acquisitions. Such
amortization is commonly excluded from GAAP net income by companies in our industry and we
therefore exclude these amortization costs to provide more relevant and meaningful comparisons
of our operating results to that of our competitors.(c)
    
    Adjustment represents recoveries of previously recorded state sales tax resulting primarily
from the expiration of the sales tax audit statutes in certain states. Because we have
recognized the full potential amount of the sales tax expense in prior periods, any recovery
of that expense resulting from the expiration of the statutes or the collection of tax from
our customers would overstate the current period net income derived from our core operations
as the recovery is not a result of any event occurring within our control during the current
period. Thus, we have excluded these recoveries from adjusted non-GAAP results.(d)
    
    Adjustments represent tax benefit from disqualifying dispositions of incentive stock options
that were previously expensed. As discussed above, we excluded equity-based compensation from
adjusted non-GAAP results to be consistent with other companies in the software industry.
Therefore, we also excluded the related tax benefit generated upon their disposition.




---



##### 



MANHATTAN ASSOCIATES, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands, except share and per share data)
 June 30, 2011
    
    
    December 31, 2010(unaudited)ASSETSCurrent Assets:Cash and cash equivalents
    
    $
    103,400
    
    
    $
    120,744Short term investments
    
    
    5,956
    
    
    
    4,414Accounts receivable, net of allowance of $5,094 and $5,711 in 2011 and 2010,
respectively
    
    
    52,995
    
    
    
    47,419Deferred income taxes
    
    
    7,486
    
    
    
    7,214Income taxes receivable
    
    
    1,609
    
    
    
    2,446Prepaid expenses and other current assets
    
    
    6,979
    
    
    
    6,743Total current assets
    
    
    178,425
    
    
    
    188,980Property and equipment, net
    
    
    13,516
    
    
    
    14,833Long-term investments
    
    
    909
    
    
    
    1,711Goodwill, net
    
    
    62,281
    
    
    
    62,265Acquisition-related intangible assets, net
    
    
    309
    
    
    
    1,186Deferred income taxes
    
    
    9,204
    
    
    
    8,816Other assets
    
    
    3,118
    
    
    
    2,673Total assets
    
    $
    267,762
    
    
    $
    280,464LIABILITIES AND SHAREHOLDERS EQUITYCurrent liabilities:Accounts payable
    
    $
    8,927
    
    
    $
    7,745Accrued compensation and benefits
    
    
    13,959
    
    
    
    19,807Accrued and other liabilities
    
    
    13,950
    
    
    
    13,856Deferred revenue
    
    
    50,335
    
    
    
    44,974Total current liabilities
    
    
    87,171
    
    
    
    86,382Other non-current liabilities
    
    
    9,888
    
    
    
    10,282Shareholders equity:Preferred stock, no par value; 20,000,000 shares authorized, no shares issued or
outstanding in 2011 or 2010
    
    
    
    
    
    
    Common stock, $.01 par value; 100,000,000 shares authorized; 21,106,727 and
21,729,789
shares issued and outstanding at June 30, 2011 and December 31, 2010, respectively
    
    
    211
    
    
    
    217Additional paid-in capital
    
    
    
    
    
    
    487Retained earnings
    
    
    171,371
    
    
    
    184,152Accumulated other comprehensive loss
    
    
    (879
    )
    
    
    (1,056
    )Total shareholders equity
    
    
    170,703
    
    
    
    183,800Total liabilities and shareholders equity
    
    $
    267,762
    
    
    $
    280,464




---



##### 



MANHATTAN ASSOCIATES, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(in thousands)
 Six Months Ended June 30,2011
    
    
    2010(unaudited)Operating activities:Net income
    
    $
    19,505
    
    
    $
    15,384Adjustments to reconcile net income to net cash provided by operating activities:Depreciation and amortization
    
    
    4,224
    
    
    
    4,733Stock compensation
    
    
    4,814
    
    
    
    5,087Loss on disposal of equipment
    
    
    12
    
    
    
    (6
    )Tax benefit of stock awards exercised/vested
    
    
    2,885
    
    
    
    1,237Excess tax benefits from stock based compensation
    
    
    (1,198
    )
    
    
    (342
    )Deferred income taxes
    
    
    (633
    )
    
    
    (25
    )Unrealized foreign currency (gain) loss
    
    
    (57
    )
    
    
    24Changes in operating assets and liabilities:Accounts receivable, net
    
    
    (5,198
    )
    
    
    (9,299
    )Other assets
    
    
    (623
    )
    
    
    (1,122
    )Accounts payable, accrued and other liabilities
    
    
    (5,347
    )
    
    
    8,285Income taxes
    
    
    855
    
    
    
    (1,837
    )Deferred revenue
    
    
    4,886
    
    
    
    1,743Net cash provided by operating activities
    
    
    24,125
    
    
    
    23,862Investing activities:Purchase of property and equipment
    
    
    (1,996
    )
    
    
    (2,706
    )Net (purchases) maturities of investments
    
    
    (723
    )
    
    
    98Net cash used in investing activities
    
    
    (2,719
    )
    
    
    (2,608
    )Financing activities:Purchase of common stock
    
    
    (65,996
    )
    
    
    (41,022
    )Proceeds from issuance of common stock from options exercised
    
    
    25,517
    
    
    
    17,445Excess tax benefits from stock based compensation
    
    
    1,198
    
    
    
    342Net cash used in financing activities
    
    
    (39,281
    )
    
    
    (23,235
    )Foreign currency impact on cash
    
    
    531
    
    
    
    (573
    )Net change in cash and cash equivalents
    
    
    (17,344
    )
    
    
    (2,554
    )Cash and cash equivalents at beginning of period
    
    
    120,744
    
    
    
    120,217Cash and cash equivalents at end of period
    
    $
    103,400
    
    
    $
    117,663




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##### 



MANHATTAN ASSOCIATES, INC.
SUPPLEMENTAL INFORMATION
 1.
    
    GAAP and Adjusted earnings (loss) per share by quarter are as follows:
 2010
    
    
    20111st Qtr
    
    
    2nd Qtr
    
    
    3rd Qtr
    
    
    4th Qtr
    
    
    Full Year
    
    
    1st Qtr
    
    
    2nd Qtr
    
    
    YTDGAAP Diluted EPS
    
    $
    0.32
    
    
    $
    0.36
    
    
    $
    0.28
    
    
    $
    0.29
    
    
    $
    1.25
    
    
    $
    0.32
    
    
    $
    0.57
    
    
    $
    0.89Adjustments to GAAP:Equity-based compensation
    
    
    0.08
    
    
    
    0.07
    
    
    
    0.08
    
    
    
    0.08
    
    
    
    0.30
    
    
    
    0.07
    
    
    
    0.07
    
    
    
    0.15Purchase amortization
    
    
    0.02
    
    
    
    0.02
    
    
    
    0.02
    
    
    
    0.01
    
    
    
    0.07
    
    
    
    0.01
    
    
    
    0.01
    
    
    
    0.03Sales tax recoveries
    
    
    (0.01
    )
    
    
    (0.02
    )
    
    
    
    
    
    
    
    
    
    
    (0.04
    )
    
    
    
    
    
    
    
    
    
    
    Unusual tax adjustments
    
    
    
    
    
    
    (0.01
    )
    
    
    
    
    
    
    
    
    
    
    (0.01
    )
    
    
    
    
    
    
    
    
    
    
    (0.01
    )Adjusted Diluted EPS
    
    $
    0.40
    
    
    $
    0.42
    
    
    $
    0.38
    
    
    $
    0.38
    
    
    $
    1.58
    
    
    $
    0.41
    
    
    $
    0.65
    
    
    $
    1.06
 2.
    
    Revenues and operating income (loss) by reportable segment are as follows (in thousands):
 2010
    
    
    20111st Qtr
    
    
    2nd Qtr
    
    
    3rd Qtr
    
    
    4th Qtr
    
    
    Full Year
    
    
    1st Qtr
    
    
    2nd Qtr
    
    
    YTDRevenue:Americas
    
    $
    61,889
    
    
    $
    64,875
    
    
    $
    62,555
    
    
    $
    59,631
    
    
    $
    248,950
    
    
    $
    60,185
    
    
    $
    72,634
    
    
    $
    132,819EMEA
    
    
    7,989
    
    
    
    8,587
    
    
    
    8,266
    
    
    
    7,324
    
    
    
    32,166
    
    
    
    8,336
    
    
    
    11,075
    
    
    
    19,411APAC
    
    
    4,071
    
    
    
    4,179
    
    
    
    3,193
    
    
    
    4,558
    
    
    
    16,001
    
    
    
    3,189
    
    
    
    4,693
    
    
    
    7,882$
    73,949
    
    
    $
    77,641
    
    
    $
    74,014
    
    
    $
    71,513
    
    
    $
    297,117
    
    
    $
    71,710
    
    
    $
    88,402
    
    
    $
    160,112GAAP Operating Income (Loss):Americas
    
    $
    10,333
    
    
    $
    9,836
    
    
    $
    8,121
    
    
    $
    7,578
    
    
    $
    35,868
    
    
    $
    7,087
    
    
    $
    15,749
    
    
    $
    22,836EMEA
    
    
    418
    
    
    
    1,530
    
    
    
    1,214
    
    
    
    523
    
    
    
    3,685
    
    
    
    909
    
    
    
    1,963
    
    
    
    2,872APAC
    
    
    732
    
    
    
    651
    
    
    
    277
    
    
    
    714
    
    
    
    2,374
    
    
    
    (443
    )
    
    
    501
    
    
    
    58$
    11,483
    
    
    $
    12,017
    
    
    $
    9,612
    
    
    $
    8,815
    
    
    $
    41,927
    
    
    $
    7,553
    
    
    $
    18,213
    
    
    $
    25,766Adjustments (pre-tax):Americas:Equity-based compensation
    
    $
    2,585
    
    
    $
    2,502
    
    
    $
    2,620
    
    
    $
    2,713
    
    
    $
    10,420
    
    
    $
    2,409
    
    
    $
    2,405
    
    
    $
    4,814Purchase amortization
    
    
    638
    
    
    
    639
    
    
    
    571
    
    
    
    439
    
    
    
    2,287
    
    
    
    439
    
    
    
    438
    
    
    
    877Sales tax recoveries
    
    
    (420
    )
    
    
    (792
    )
    
    
    
    
    
    
    
    
    
    
    (1,212
    )
    
    
    
    
    
    
    
    
    
    
    $
    2,803
    
    
    $
    2,349
    
    
    $
    3,191
    
    
    $
    3,152
    
    
    $
    11,495
    
    
    $
    2,848
    
    
    $
    2,843
    
    
    $
    5,691Adjusted non-GAAP Operating Income (Loss):Americas
    
    $
    13,136
    
    
    $
    12,185
    
    
    $
    11,312
    
    
    $
    10,730
    
    
    $
    47,363
    
    
    $
    9,935
    
    
    $
    18,592
    
    
    $
    28,527EMEA
    
    
    418
    
    
    
    1,530
    
    
    
    1,214
    
    
    
    523
    
    
    
    3,685
    
    
    
    909
    
    
    
    1,963
    
    
    
    2,872APAC
    
    
    732
    
    
    
    651
    
    
    
    277
    
    
    
    714
    
    
    
    2,374
    
    
    
    (443
    )
    
    
    501
    
    
    
    58$
    14,286
    
    
    $
    14,366
    
    
    $
    12,803
    
    
    $
    11,967
    
    
    $
    53,422
    
    
    $
    10,401
    
    
    $
    21,056
    
    
    $
    31,457
 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):
 2010
    
    
    20111st Qtr
    
    
    2nd Qtr
    
    
    3rd Qtr
    
    
    4th Qtr
    
    
    Full Year
    
    
    1st Qtr
    
    
    2nd Qtr
    
    
    YTDProfessional services
    
    $
    33,960
    
    
    $
    34,349
    
    
    $
    33,349
    
    
    $
    30,213
    
    
    $
    131,871
    
    
    $
    35,184
    
    
    $
    42,150
    
    
    $
    77,334Customer support and software enhancements
    
    
    19,501
    
    
    
    20,431
    
    
    
    20,137
    
    
    
    21,810
    
    
    
    81,879
    
    
    
    20,894
    
    
    
    21,624
    
    
    
    42,518Total services revenue
    
    $
    53,461
    
    
    $
    54,780
    
    
    $
    53,486
    
    
    $
    52,023
    
    
    $
    213,750
    
    
    $
    56,078
    
    
    $
    63,774
    
    
    $
    119,852
 4.
    
    Hardware and other revenue includes the following items (in thousands):
 2010
    
    
    20111st Qtr
    
    
    2nd Qtr
    
    
    3rd Qtr
    
    
    4th Qtr
    
    
    Full Year
    
    
    1st Qtr
    
    
    2nd Qtr
    
    
    YTDHardware revenue
    
    $
    4,518
    
    
    $
    5,053
    
    
    $
    5,763
    
    
    $
    4,612
    
    
    $
    19,946
    
    
    $
    5,504
    
    
    $
    5,540
    
    
    $
    11,044Billed travel
    
    
    1,763
    
    
    
    2,323
    
    
    
    2,673
    
    
    
    2,212
    
    
    
    8,971
    
    
    
    2,366
    
    
    
    2,741
    
    
    
    5,107Total hardware and other revenue
    
    $
    6,281
    
    
    $
    7,376
    
    
    $
    8,436
    
    
    $
    6,824
    
    
    $
    28,917
    
    
    $
    7,870
    
    
    $
    8,281
    
    
    $
    16,151
 5.
    
    Impact of Currency FluctuationThe 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):
 2010
    
    
    20111st Qtr
    
    
    2nd Qtr
    
    
    3rd Qtr
    
    
    4th Qtr
    
    
    Full Year
    
    
    1st Qtr
    
    
    2nd Qtr
    
    
    YTDRevenue
    
    $
    1,053
    
    
    $
    (72
    )
    
    $
    (548
    )
    
    $
    (217
    )
    
    $
    216
    
    
    $
    282
    
    
    $
    1,743
    
    
    $
    2,025Costs and expenses
    
    
    1,346
    
    
    
    235
    
    
    
    (262
    )
    
    
    (26
    )
    
    
    1,293
    
    
    
    386
    
    
    
    1,513
    
    
    
    1,899Operating income
    
    
    (293
    )
    
    
    (307
    )
    
    
    (286
    )
    
    
    (191
    )
    
    
    (1,077
    )
    
    
    (104
    )
    
    
    230
    
    
    
    126Foreign currency gains (losses) in other income
    
    
    (415
    )
    
    
    187
    
    
    
    (436
    )
    
    
    
    
    
    
    (664
    )
    
    
    (207
    )
    
    
    77
    
    
    
    (130
    )$
    (708
    )
    
    $
    (120
    )
    
    $
    (722
    )
    
    $
    (191
    )
    
    $
    (1,741
    )
    
    $
    (311
    )
    
    $
    307
    
    
    $
    (4
    )
 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):
 2010
    
    
    20111st Qtr
    
    
    2nd Qtr
    
    
    3rd Qtr
    
    
    4th Qtr
    
    
    Full Year
    
    
    1st Qtr
    
    
    2nd Qtr
    
    
    YTDOperating income
    
    $
    (395
    )
    
    $
    (340
    )
    
    $
    (180
    )
    
    $
    (181
    )
    
    $
    (1,096
    )
    
    $
    (53
    )
    
    $
    (82
    )
    
    $
    (135
    )Foreign currency gains (losses) in other income
    
    
    (289
    )
    
    
    246
    
    
    
    (302
    )
    
    
    64
    
    
    
    (281
    )
    
    
    (112
    )
    
    
    53
    
    
    
    (59
    )Total impact of changes in the Indian Rupee
    
    $
    (684
    )
    
    $
    (94
    )
    
    $
    (482
    )
    
    $
    (117
    )
    
    $
    (1,377
    )
    
    $
    (165
    )
    
    $
    (29
    )
    
    $
    (194
    )




---



##### 



MANHATTAN ASSOCIATES, INC.
SUPPLEMENTAL INFORMATION
 6.
    
    Other (expense) income includes the following components (in thousands):
 2010
    
    
    20111st Qtr
    
    
    2nd Qtr
    
    
    3rd Qtr
    
    
    4th Qtr
    
    
    Full Year
    
    
    1st Qtr
    
    
    2nd Qtr
    
    
    YTDInterest income
    
    $
    80
    
    
    $
    109
    
    
    $
    252
    
    
    $
    195
    
    
    $
    636
    
    
    $
    225
    
    
    $
    269
    
    
    $
    494Foreign currency (losses) gains
    
    
    (415
    )
    
    
    187
    
    
    
    (436
    )
    
    
    
    
    
    
    (664
    )
    
    
    (207
    )
    
    
    77
    
    
    
    (130
    )Other non-operating (expense) income
    
    
    (163
    )
    
    
    8
    
    
    
    (4
    )
    
    
    44
    
    
    
    (115
    )
    
    
    
    
    
    
    (12
    )
    
    
    (12
    )Total other (expense) income
    
    $
    (498
    )
    
    $
    304
    
    
    $
    (188
    )
    
    $
    239
    
    
    $
    (143
    )
    
    $
    18
    
    
    $
    334
    
    
    $
    352
 7.
    
    Effective Tax Rate Reconciliation for GAAP and Adjusted Results (in thousands except tax
rate and per share data):
 Three Months Ended June 30, 2011
    
    
    Six Months Ended June 30, 2011Income before
    
    
    Income tax
    
    
    Net
    
    
    Diluted
    
    
    Effective
    
    
    Income before
    
    
    Income tax
    
    
    Net
    
    
    Diluted
    
    
    Effectiveincome taxes
    
    
    provision
    
    
    income
    
    
    EPS
    
    
    Tax Rate
    
    
    income taxes
    
    
    provision
    
    
    income
    
    
    EPS
    
    
    Tax RateGAAP results before tax adjustments
    
    $
    18,547
    
    
    $
    6,214
    
    
    $
    12,333
    
    
    $
    0.57
    
    
    
    33.5
    %
    
    $
    26,118
    
    
    $
    8,750
    
    
    $
    17,368
    
    
    $
    0.79
    
    
    
    33.5
    %Release of India valuation allowance (a)
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    (2,025
    )
    
    
    2,025
    
    
    
    0.09
    
    
    
    Disqualifying dispositions of incentive stock options(b)
    
    
    
    
    
    
    (6
    )
    
    
    6
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    (112
    )
    
    
    112
    
    
    
    0.01
    
    
    
    GAAP results- reported
    
    $
    18,547
    
    
    $
    6,208
    
    
    $
    12,339
    
    
    $
    0.57
    
    
    
    33.5
    %
    
    $
    26,118
    
    
    $
    6,613
    
    
    $
    19,505
    
    
    $
    0.89
    
    
    
    25.3
    %Adjusted results before tax adjustments
    
    $
    21,390
    
    
    $
    7,167
    
    
    $
    14,223
    
    
    $
    0.65
    
    
    
    33.5
    %
    
    $
    31,809
    
    
    $
    10,657
    
    
    $
    21,152
    
    
    $
    0.96
    
    
    
    33.5
    %Release of India valuation allowance (a)
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    (2,025
    )
    
    
    2,025
    
    
    
    0.09
    
    
    
    Adjusted results- reported
    
    $
    21,390
    
    
    $
    7,167
    
    
    $
    14,223
    
    
    $
    0.65
    
    
    
    33.5
    %
    
    $
    31,809
    
    
    $
    8,632
    
    
    $
    23,177
    
    
    $
    1.06
    
    
    
    27.1
    %
 (a)
    
    Our subsidiary in India had a tax holiday under Software Technology Park of
India Plan through March 2011. Late in the first quarter of 2011, the tax authorities in
India announced that the tax holiday would not be extended. This decision eliminated
uncertainty as to our ability to realize a tax credit carry-forward and other deferred tax
assets. Therefore, we released the corresponding valuation allowance of approximately $2.0
million.(b)
    
    The adjustment represents a tax benefit from disqualifying dispositions of incentive
stock options that were previously expensed. 8.
    
    Beginning in 2011, to be consistent with other companies in the software industry, we began
to report adjusted results excluding all equity-based compensation. Historically, our
adjusted results did not exclude restricted stock expense. See note 1 above for the other
reconciling items between our GAAP and adjusted results. The impact of restricted stock
expense on our GAAP and Adjusted Results is as follows (in thousands except per share
amounts):
 2007
    
    
    20081st Qtr
    
    
    2nd Qtr
    
    
    3rd Qtr
    
    
    4th Qtr
    
    
    Full Year
    
    
    1st Qtr
    
    
    2nd Qtr
    
    
    3rd Qtr
    
    
    4th Qtr
    
    
    Full YearCost of services
    
    $
    38
    
    
    $
    40
    
    
    $
    42
    
    
    $
    42
    
    
    $
    162
    
    
    $
    81
    
    
    $
    79
    
    
    $
    84
    
    
    $
    81
    
    
    $
    325Sales and marketing
    
    
    134
    
    
    
    149
    
    
    
    131
    
    
    
    152
    
    
    
    566
    
    
    
    231
    
    
    
    235
    
    
    
    244
    
    
    
    244
    
    
    
    954Research and development
    
    
    57
    
    
    
    60
    
    
    
    65
    
    
    
    63
    
    
    
    245
    
    
    
    117
    
    
    
    117
    
    
    
    120
    
    
    
    120
    
    
    
    474General and administrative
    
    
    220
    
    
    
    206
    
    
    
    322
    
    
    
    204
    
    
    
    952
    
    
    
    377
    
    
    
    424
    
    
    
    432
    
    
    
    420
    
    
    
    1,653Total restricted stock expense
    
    $
    449
    
    
    $
    455
    
    
    $
    560
    
    
    $
    461
    
    
    $
    1,925
    
    
    $
    806
    
    
    $
    855
    
    
    $
    880
    
    
    $
    865
    
    
    $
    3,406Income tax provision
    
    
    159
    
    
    
    162
    
    
    
    199
    
    
    
    163
    
    
    
    683
    
    
    
    280
    
    
    
    297
    
    
    
    306
    
    
    
    301
    
    
    
    1,184Net income
    
    $
    290
    
    
    $
    293
    
    
    $
    361
    
    
    $
    298
    
    
    $
    1,242
    
    
    $
    526
    
    
    $
    558
    
    
    $
    574
    
    
    $
    564
    
    
    $
    2,222Diluted earnings per share
    
    $
    0.01
    
    
    $
    0.01
    
    
    $
    0.01
    
    
    $
    0.01
    
    
    $
    0.05
    
    
    $
    0.02
    
    
    $
    0.02
    
    
    $
    0.02
    
    
    $
    0.02
    
    
    $
    0.09
 2009
    
    
    20101st Qtr
    
    
    2nd Qtr
    
    
    3rd Qtr
    
    
    4th Qtr
    
    
    Full Year
    
    
    1st Qtr
    
    
    2nd Qtr
    
    
    3rd Qtr
    
    
    4th Qtr
    
    
    Full YearCost of services
    
    $
    98
    
    
    $
    106
    
    
    $
    108
    
    
    $
    107
    
    
    $
    419
    
    
    $
    198
    
    
    $
    240
    
    
    $
    242
    
    
    $
    236
    
    
    $
    916Sales and marketing
    
    
    267
    
    
    
    146
    
    
    
    254
    
    
    
    258
    
    
    
    925
    
    
    
    378
    
    
    
    438
    
    
    
    442
    
    
    
    449
    
    
    
    1,707Research and development
    
    
    134
    
    
    
    42
    
    
    
    125
    
    
    
    125
    
    
    
    426
    
    
    
    206
    
    
    
    250
    
    
    
    262
    
    
    
    269
    
    
    
    987General and administrative
    
    
    420
    
    
    
    395
    
    
    
    438
    
    
    
    446
    
    
    
    1,699
    
    
    
    625
    
    
    
    673
    
    
    
    821
    
    
    
    899
    
    
    
    3,018Total restricted stock expense
    
    $
    919
    
    
    $
    689
    
    
    $
    925
    
    
    $
    936
    
    
    $
    3,469
    
    
    $
    1,407
    
    
    $
    1,601
    
    
    $
    1,767
    
    
    $
    1,853
    
    
    $
    6,628Income tax provision
    
    
    308
    
    
    
    215
    
    
    
    300
    
    
    
    382
    
    
    
    1,205
    
    
    
    485
    
    
    
    553
    
    
    
    609
    
    
    
    652
    
    
    
    2,299Net income
    
    $
    611
    
    
    $
    474
    
    
    $
    625
    
    
    $
    554
    
    
    $
    2,264
    
    
    $
    922
    
    
    $
    1,048
    
    
    $
    1,158
    
    
    $
    1,201
    
    
    $
    4,329Diluted earnings per share
    
    $
    0.03
    
    
    $
    0.02
    
    
    $
    0.03
    
    
    $
    0.02
    
    
    $
    0.10
    
    
    $
    0.04
    
    
    $
    0.05
    
    
    $
    0.05
    
    
    $
    0.05
    
    
    $
    0.19
 9.
    
    Total equity-based compensation is as follows (in thousands except per share amounts):
 2010
    
    
    20111st Qtr
    
    
    2nd Qtr
    
    
    3rd Qtr
    
    
    4th Qtr
    
    
    Full Year
    
    
    1st Qtr
    
    
    2nd Qtr
    
    
    YTDStock options
    
    $
    1,178
    
    
    $
    901
    
    
    $
    853
    
    
    $
    860
    
    
    $
    3,792
    
    
    $
    512
    
    
    $
    487
    
    
    $
    999Restricted stock
    
    
    1,407
    
    
    
    1,601
    
    
    
    1,767
    
    
    
    1,853
    
    
    
    6,628
    
    
    
    1,897
    
    
    
    1,918
    
    
    
    3,815Total equity-based compensation
    
    
    2,585
    
    
    
    2,502
    
    
    
    2,620
    
    
    
    2,713
    
    
    
    10,420
    
    
    
    2,409
    
    
    
    2,405
    
    
    
    4,814Income tax provision
    
    
    892
    
    
    
    863
    
    
    
    904
    
    
    
    955
    
    
    
    3,614
    
    
    
    807
    
    
    
    806
    
    
    
    1,613Net income
    
    $
    1,693
    
    
    $
    1,639
    
    
    $
    1,716
    
    
    $
    1,758
    
    
    $
    6,806
    
    
    $
    1,602
    
    
    $
    1,599
    
    
    $
    3,201Diluted earnings per share
    
    $
    0.08
    
    
    $
    0.07
    
    
    $
    0.08
    
    
    $
    0.08
    
    
    $
    0.30
    
    
    $
    0.07
    
    
    $
    0.07
    
    
    $
    0.15Diluted earnings per share  stock options
    
    $
    0.03
    
    
    $
    0.03
    
    
    $
    0.03
    
    
    $
    0.02
    
    
    $
    0.11
    
    
    $
    0.02
    
    
    $
    0.01
    
    
    $
    0.03Diluted earnings per share  restricted stock
    
    $
    0.04
    
    
    $
    0.05
    
    
    $
    0.05
    
    
    $
    0.05
    
    
    $
    0.19
    
    
    $
    0.06
    
    
    $
    0.06
    
    
    $
    0.12




---



##### 



MANHATTAN ASSOCIATES, INC.
SUPPLEMENTAL INFORMATION
 10.
    
    Capital expenditures are as follows (in thousands):
 2010
    
    
    20111st Qtr
    
    
    2nd Qtr
    
    
    3rd Qtr
    
    
    4th Qtr
    
    
    Full Year
    
    
    1st Qtr
    
    
    2nd Qtr
    
    
    YTDCapital expenditures
    
    $
    1,177
    
    
    $
    1,529
    
    
    $
    1,625
    
    
    $
    1,541
    
    
    $
    5,872
    
    
    $
    1,338
    
    
    $
    658
    
    
    $
    1,996
 11.
    
    Stock Repurchase Activity (in thousands):
 2010
    
    
    20111st Qtr
    
    
    2nd Qtr
    
    
    3rd Qtr
    
    
    4th Qtr
    
    
    Full Year
    
    
    1st Qtr
    
    
    2nd Qtr
    
    
    YTDShares purchased under publicly-announced buy-back program
    
    
    595
    
    
    
    869
    
    
    
    573
    
    
    
    680
    
    
    
    2,717
    
    
    
    826
    
    
    
    1,079
    
    
    
    1,905Shares withheld for taxes due upon vesting of restricted stock
    
    
    39
    
    
    
    3
    
    
    
    3
    
    
    
    4
    
    
    
    49
    
    
    
    65
    
    
    
    4
    
    
    
    69Total shares purchased
    
    
    634
    
    
    
    872
    
    
    
    576
    
    
    
    684
    
    
    
    2,766
    
    
    
    891
    
    
    
    1,083
    
    
    
    1,974Total cash paid for shares purchased under publicly-announced buy-back program
    
    $
    15,000
    
    
    $
    25,000
    
    
    $
    15,446
    
    
    $
    21,023
    
    
    $
    76,469
    
    
    $
    25,621
    
    
    $
    38,286
    
    
    $
    63,907Total cash paid for shares withheld for taxes due upon vesting of restricted stock
    
    
    938
    
    
    
    84
    
    
    
    94
    
    
    
    119
    
    
    
    1,235
    
    
    
    1,960
    
    
    
    129
    
    
    
    2,089Total cash paid for shares repurchased
    
    $
    15,938
    
    
    $
    25,084
    
    
    $
    15,540
    
    
    $
    21,142
    
    
    $
    77,704
    
    
    $
    27,581
    
    
    $
    38,415
    
    
    $
    65,996