Brief: SPS Commerce Q2 Revenue USD 187.4 Million Vs. IBES Estimate USD 185.8 Million

SPS Commerce

30/07/2025 21:06

Overview

SPS Commerce Q2 revenue grows 22% yr/yr, beating analyst expectations

Adjusted EBITDA for Q2 rises 27%, surpassing analyst estimates

Company repurchased $20 mln in shares, indicating confidence in growth

Outlook

Company expects Q3 revenue between $191.7 mln and $193.2 mln

SPS Commerce sees FY 2025 revenue between $759 mln and $763 mln

Company anticipates Q3 adjusted EBITDA between $57.9 mln and $59.9 mln

SPS Commerce forecasts FY 2025 net income per share $2.17 to $2.22

Result Drivers

RECURRING REVENUE - Recurring revenue grew 24% from Q2 2024, driven by demand for EDI solutions

PRODUCT PORTFOLIO - CEO Chad Collins attributes growth to a product portfolio that enhances trading partner collaboration

MARKET POSITION - CFO Kim Nelson cites strong operating leverage and resilience as key to capitalizing on growth opportunities

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Revenue
Beat
$187.40 mln
$185.80 mln (10 Analysts)
Q2 Net Income
$19.70 mln
Q2 Adjusted EBITDA
Beat
$56.10 mln
$54.10 mln (10 Analysts)

Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 10 "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the software peer group is "buy"

Wall Street's median 12-month price target for SPS Commerce Inc is $175.00, about 19.9% above its July 29 closing price of $140.10

The stock recently traded at 33 times the next 12-month earnings vs. a P/E of 33 three months ago

Press Release: ID:nGNXQ6fc0

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)