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SPS Commerce (NASDAQ: SPSC) details Q2 2026 results and full-year outlook

Filing Impact
(High)
Filing Sentiment
(Neutral)
Form Type
8-K

Rhea-AI Filing Summary

SPS Commerce reported Q2 2026 revenue of $197.8 million, up 6% from Q2 2025, with recurring revenue also growing 6%. GAAP net income declined to $6.9 million, or $0.19 per diluted share, from $19.7 million, and includes a $23.5 million loss on sale of its 3P Revenue Recovery business. Non-GAAP income was $46.4 million, or $1.27 per diluted share. Adjusted EBITDA rose 19% year over year to $66.6 million, yielding a 34% margin versus 30% a year earlier. Share repurchases totaled $51.2 million in the quarter.

Following the June 30 divestiture, the company expects about $10.5 million less revenue in the second half of 2026, while projecting a neutral impact on Adjusted EBITDA. Q3 2026 guidance calls for revenue of $196.3–$198.3 million, GAAP EPS of $0.72–$0.76 and Adjusted EBITDA of $67.4–$69.4 million. Full-year 2026 revenue is forecast at $788.4–$793.4 million, implying 5–6% growth over 2025, with non-GAAP EPS of $4.84–$4.93 and Adjusted EBITDA of $264.6–$269.1 million, or a 34% margin at the midpoint, about 300 basis points above 2025.

Positive

  • Adjusted EBITDA rose to $66.6 million in Q2 2026, with margin expanding to 34% from 30% in Q2 2025.
  • Full-year 2026 guidance targets $264.6–$269.1 million in Adjusted EBITDA and a 34% margin at the midpoint, about 300 basis points above 2025, with revenue projected to grow 5–6%.
  • Net cash provided by operating activities for the first half of 2026 reached $121,659 thousand, supporting $98,358 thousand of year-to-date share repurchases.

Negative

  • Q2 2026 GAAP net income fell to $6.9 million from $19.7 million in Q2 2025, with margin at 3% versus 11% and including a $23.5 million loss on sale of business.
  • The divestiture of the 3P Revenue Recovery business is expected to reduce second-half 2026 revenue by approximately $10.5 million.

Filing Explained

At June 30, cash was $173,167 thousand and treasury stock was $(276,922) thousand after six-month repurchases of $98,358 thousand.

The July 30 Form 8-K reports the company’s second-quarter results; its balance sheet and cash-flow tables show the capital-return mechanics at June 30, 2026: $98,358 thousand of six-month common-stock repurchases, $173,167 thousand of cash, and $(276,922) thousand of treasury stock.

Form 8-K reports specified material events within four business days, and this filing does so through Item 2 results disclosure and an Item 9.01 exhibit; the repurchases are reported as cash used in financing, not as a stated share count or completed reduction in shares outstanding.

For the six months ended June 30, 2026, operating cash flow was $121,659 thousand, sale proceeds were $8,768 thousand, and net cash increased $21,812 thousand from $151,355 thousand at December 31, 2025 to $173,167 thousand.

The repurchase-program line item supplies dollars but no shares repurchased or remaining authorization, so a later filing would be needed to size the program’s remaining capacity or exact share-count effect.

Item 2.02 Results of Operations and Financial Condition Financial
Disclosure of earnings results, typically an earnings press release or preliminary financials.
Item 9.01 Financial Statements and Exhibits Exhibits
Financial statements, pro forma financial information, and exhibit attachments filed with this report.
Q2 2026 revenue $197.8 million Revenue for the quarter ended June 30, 2026; 6% above Q2 2025
Q2 2026 net income $6.9 million GAAP net income for the quarter ended June 30, 2026
Q2 2026 Adjusted EBITDA $66.6 million Adjusted EBITDA for Q2 2026; 19% higher than Q2 2025
Q2 2026 Adjusted EBITDA margin 34% Adjusted EBITDA margin in Q2 2026 versus 30% in Q2 2025
Net cash from operating activities H1 2026 $121,659 thousand Net cash provided by operating activities for six months ended June 30, 2026
FY 2026 revenue guidance $788.4–$793.4 million Full-year 2026 revenue guidance range; 5–6% growth over 2025
FY 2026 Adjusted EBITDA margin guidance 34% Full-year 2026 Adjusted EBITDA margin at guidance midpoint, about 300 bps above 2025
Loss on sale of business Q2 2026 $23,454 thousand Loss on sale of the 3P Revenue Recovery business recorded in Q2 2026
Adjusted EBITDA financial
"Adjusted EBITDA for the second quarter of 2026 increased 19% to $66.6 million"
Adjusted EBITDA is a way companies measure how much money they make from their core operations, like running a business, by removing certain costs or income that aren’t part of regular business activities. It helps investors see how well a company is doing without distractions from unusual expenses or gains, making it easier to compare companies or track performance over time.
Non-GAAP income per share financial
"Non-GAAP income per diluted share is expected to be in the range of $1.20 to $1.23"
Non-GAAP income per share is a company’s earnings per share after removing or adjusting one-time items, accounting quirks, or other expenses that management says obscure underlying profits. Investors use it like a cleaned-up scorecard — it aims to show the business’s ongoing performance more clearly than the raw, rule-bound GAAP (Generally Accepted Accounting Principles) number, but should be compared with GAAP EPS because companies choose which items to exclude.
loss on sale of business financial
"Loss on sale of business | 23,454 | — | 23,454 | —"
Deferred revenue financial
"Deferred revenue | 80,867 | 75,590 | Deferred revenue, non-current | 4,720"
Cash a company has already received for goods or services it has promised but not yet delivered; it's recorded as a liability because the company still owes that product, service, or future revenue recognition. For investors, deferred revenue signals upcoming work or deliveries that will convert into reported sales over time and affects short-term obligations, cash flow quality, and how quickly a firm can grow recognized revenue—think of it like prepaid subscriptions or gift cards a business must honor later.
3P Revenue Recovery business financial
"As a result of the divestiture of the 3P Revenue Recovery business on June 30, 2026"
Q2 2026 revenue $197.8 million up from $187.4 million in Q2 2025
Q2 2026 net income $6.9 million down from $19.7 million in Q2 2025
Q2 2026 Adjusted EBITDA $66.6 million up from $56.1 million in Q2 2025
Q2 2026 non-GAAP diluted EPS $1.27 up from $1.00 in Q2 2025
Guidance

Q3 2026 revenue expected at $196.3–$198.3 million; FY 2026 revenue at $788.4–$793.4 million with Adjusted EBITDA margin about 34%.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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FAQ

What were SPS Commerce’s (SPSC) Q2 2026 revenues and growth?
SPS Commerce reported $197.8 million in Q2 2026 revenue, representing 6% year-over-year growth. Recurring revenue also increased 6% compared with Q2 2025, and management cited up-sell and cross-sell momentum across its core business.

How did SPS Commerce’s (SPSC) GAAP and non-GAAP earnings perform in Q2 2026?
GAAP net income was $6.9 million, or $0.19 per diluted share, down from $0.52 a year earlier. Non-GAAP income was $46.4 million, or $1.27 per diluted share, up from $1.00 in Q2 2025, reflecting strong adjusted profitability.

What was SPS Commerce’s (SPSC) Q2 2026 Adjusted EBITDA and margin?
Q2 2026 Adjusted EBITDA was $66.6 million, a 19% increase over Q2 2025. Adjusted EBITDA margin reached 34%, compared with 30% a year earlier, highlighting improved operating efficiency despite modest single-digit revenue growth.

What guidance did SPS Commerce (SPSC) give for Q3 2026?
For Q3 2026, SPS Commerce expects revenue of $196.3–$198.3 million. GAAP EPS is forecast at $0.72–$0.76, non-GAAP EPS at $1.20–$1.23, and Adjusted EBITDA between $67.4 million and $69.4 million.

What is SPS Commerce’s (SPSC) full-year 2026 outlook for revenue and margins?
Full-year 2026 revenue is projected at $788.4–$793.4 million, implying 5–6% growth over 2025. Adjusted EBITDA is guided to $264.6–$269.1 million, with an expected margin of 34%, about 300 basis points higher than 2025.

How will the 3P Revenue Recovery divestiture affect SPS Commerce (SPSC) in 2026?
The June 30, 2026 divestiture of the 3P Revenue Recovery business is expected to reduce second-half 2026 revenue by about $10.5 million. Management expects the transaction to be neutral to Adjusted EBITDA in the second half of 2026.
FALSE000109269900010926992026-07-302026-07-30

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
July 30, 2026
Date of report (Date of earliest event reported)
SPS COMMERCE, INC.

sps logo (1).jpg
(Exact Name of Registrant as Specified in its Charter)
Delaware001-3470241-2015127
(State of Incorporation)(Commission File Number)(I.R.S. Employer Identification No.)
333 South Seventh Street, Suite 1000
Minneapolis, Minnesota
55402
(Address of Principal Executive Offices)(Zip Code)

(612) 435-9400 
(Registrant's Telephone Number, Including Area Code)
Not Applicable
(Former Name or Former Address, if Changed Since Last Report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
☐Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Securities registered pursuant to Section 12(b) of the Act:
Title of each classTrading Symbol(s)Name of each exchange on which registered
Common stock, par value $0.001 per shareSPSCThe Nasdaq Stock Market LLC
(Nasdaq Global Market)
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act
☐ 


Item 2.02. Results of Operations and Financial Condition.
On July 30, 2026, SPS Commerce, Inc. (the “Company”) issued a press release disclosing its results of operations and financial condition for our three and six months ended June 30, 2026. A copy of the press release is attached hereto as Exhibit 99.1.

Cautionary Statement Regarding Forward-Looking Information

Certain statements in this Current Report on Form 8-K may contain forward-looking statements within the meaning of the safe harbor provisions under the Private Securities Litigation Reform Act of 1995 including, but not limited to, the Company’s plans to repurchase shares of its common stock, the timing and amount of any share repurchases under the program, if any, the effects of the repurchase program on future results of operations or financial condition, and the timing and impact of the leadership transitions. These statements involve known and unknown risks, uncertainties and other factors which may cause the results of the Company to be materially different than those expressed or implied in such statements. Certain of these risk factors and others are included in documents the Company files with the Securities and Exchange Commission, including but not limited to, the Company’s Annual Report on Form 10-K for the year ended December 31, 2025, as well as subsequent reports filed with the Securities and Exchange Commission. In addition, these forward-looking statements are subject to factors and uncertainties related to the leadership transitions, including disruptions and uncertainties related thereto, the ability of a successor to have the desired level of experience and expertise, the potential impact on the Company’s business and future strategic direction resulting from the officer transitions, and the Company’s ability to retain other key members of senior management. Other unknown or unpredictable factors also could have material adverse effects on the Company’s future results. The forward-looking statements included in this report are made only as of the date hereof. The Company cannot guarantee future results, levels of activity, performance or achievements. Accordingly, you should not place undue reliance on these forward-looking statements. Finally, the Company expressly disclaims any intent or obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise.

Item 9.01. Financial Statements and Exhibits.
(d)    Exhibits
Exhibit No.Exhibit
99.1
Press Release dated July 30, 2026
104Cover Page Interactive Data File (embedded within the Inline XBRL document)


SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.


SPS COMMERCE, INC.
Date: July 30, 2026By:
/s/ JOSEPH DEL PRETO
Joseph Del Preto
Executive Vice President and Chief Financial Officer







spscommercelogoa.jpg


SPS Commerce Reports Strong Second Quarter 2026 Financial Results
Second quarter 2026 revenue and Adjusted EBITDA exceed high end of guidance range
Company provides updated full year 2026 guidance following recently completed divestiture

MINNEAPOLIS, July 30, 2026 (GLOBE NEWSWIRE) -- SPS Commerce, Inc. (NASDAQ: SPSC), the leading intelligent supply chain network, today announced financial results for the second quarter ended June 30, 2026.
Financial Highlights
Second Quarter 2026 Financial Highlights
•Revenue was $197.8 million in the second quarter of 2026, compared to $187.4 million in the second quarter of 2025, reflecting 6% growth.
•Recurring revenue grew 6% from the second quarter of 2025.
•Net income was $6.9 million or $0.19 per diluted share, compared to net income of $19.7 million or $0.52 per diluted share in the second quarter of 2025.
•Non-GAAP income was $46.4 million or $1.27 per diluted share, compared to non-GAAP income of $38.0 million or $1.00 per diluted share in the second quarter of 2025.
•Adjusted EBITDA for the second quarter of 2026 increased 19% to $66.6 million compared to the second quarter of 2025.
•Share repurchases in the second quarter of 2026 totaled $51.2 million.



“SPS Commerce is executing its growth and innovation roadmap. MAX, our agentic capabilities embedded within SPS' supply chain network, has already delivered tangible value to beta users, equating to hundreds of thousands of dollars in savings to individual customers in just a matter of three months. We are excited about MAX’s launch to all SPS Fulfillment customers later this summer,” said Chad Collins, CEO of SPS Commerce. “No other company can match the unique combination of AI capabilities, 25 years of proprietary data, deep domain expertise, and expansive network access to drive this kind of tangible value, collaboration, and operational efficiencies that SPS offers today.”

“Solid second-quarter performance reflects up-sell and cross-sell momentum across our core business,” said Joe Del Preto, CFO of SPS Commerce. “We continue to demonstrate operational rigor, exceeding our margin expansion goals while simultaneously rolling out our AI strategy across the SPS network.”



Guidance

As a result of the divestiture of the 3P Revenue Recovery business on June 30, 2026, guidance factors in a reduction of approximately $10.5 million in revenue to the second half of 2026. The divestiture is expected to be neutral to Adjusted EBITDA in the second half of 2026.

Third Quarter 2026 Guidance
•Revenue is expected to be in the range of $196.3 million to $198.3 million.
•Net income per diluted share is expected to be in the range of $0.72 to $0.76, with fully diluted weighted average shares outstanding of 36.8 million shares.
•Non-GAAP income per diluted share is expected to be in the range of $1.20 to $1.23.
•Adjusted EBITDA is expected to be in the range of $67.4 million to $69.4 million.
•Non-cash, share-based compensation expense is expected to be $16.4 million, depreciation expense is expected to be $5.4 million, and amortization expense is expected to be $8.5 million.

Fiscal Year 2026 Guidance
•Revenue is expected to be in the range of $788.4 million to $793.4 million, representing 5% to 6% growth over 2025.
•Net income per diluted share is expected to be in the range of $2.24 to $2.33, with fully diluted weighted average shares outstanding of 36.9 million shares.
•Non-GAAP income per diluted share is expected to be in the range of $4.84 to $4.93.
•Adjusted EBITDA is expected to be in the range of $264.6 million to $269.1 million, reflecting an Adjusted EBITDA margin of 34% at the midpoint, an increase of approximately 300 basis points compared to full year 2025.
•Non-cash, share-based compensation expense is expected to be $69.8 million, depreciation expense is expected to be $23.4 million, and amortization expense is expected to be $35.6 million.

The forward-looking measures and the underlying assumptions involve significant known and unknown risks and uncertainties, and actual results may vary materially. The Company does not present a reconciliation of the forward-looking non-GAAP financial measures, including Adjusted EBITDA, Adjusted EBITDA margin, and non-GAAP income per share, to the most directly comparable GAAP financial measures because it is impractical to forecast certain items without unreasonable efforts due to the uncertainty and inherent difficulty of predicting, within a reasonable range, the occurrence and financial impact of and the periods in which such items may be recognized.
Quarterly Conference Call
To access the call, please dial 1-833-816-1382, or outside the U.S. 1-412-317-0475 at least 15 minutes prior to the 3:30 p.m. CT start time. Please ask to join the SPS Commerce Q2 2026 conference call. A live webcast of the call will also be available at http://investors.spscommerce.com under the Events and Presentations menu. The replay will also be available on our website at http://investors.spscommerce.com.

About SPS Commerce
SPS Commerce (NASDAQ: SPSC) is the leading intelligent supply chain network, connecting trading partners around the globe to optimize supply chain operations with all retail partners. Our AI-powered network connects 300,000+ trading relationships worldwide and moves more than 750M transactions and over $650B in gross merchandise value each year. From retailers and brands to manufacturers, distributors, and logistics providers, SPS is trusted by seven of the top ten largest retailers, and over two-thirds of today’s fastest growing brands. Our multi-solution portfolio orchestrates the data, decisions, and relationships that keep the world's supply chains moving forward. With nearly 3,000 employees and global offices, SPS Commerce is headquartered in Minneapolis, Minnesota. For more information, visit www.spscommerce.com.



SPS COMMERCE, SPS, SPS logo and INFINITE RETAIL POWER are marks of SPS Commerce, Inc. and registered in the U.S. Patent and Trademark Office, along with other SPS marks. Such marks may also be registered or otherwise protected in other countries. 

SPS-F

Use of Non-GAAP Financial Measures
To supplement our condensed consolidated financial statements, we provide investors with Adjusted EBITDA, Adjusted EBITDA Margin, and non-GAAP income per share, all of which are non-GAAP financial measures. We believe that these non-GAAP financial measures provide useful information to our management, Board of Directors, and investors regarding certain financial and business trends relating to our financial condition and results of operations.

Our management uses these non-GAAP financial measures to compare our performance to that of prior periods for trend analyses and planning purposes. Adjusted EBITDA is also used for purposes of determining executive and senior management incentive compensation. We believe these non-GAAP financial measures are useful to an investor as they are widely used in evaluating operating performance. Adjusted EBITDA and Adjusted EBITDA Margin are used to measure operating performance without regard to items such as depreciation and amortization, which can vary depending upon accounting methods and the book value of assets, and to present a meaningful measure of corporate performance exclusive of capital structure and the method by which assets were acquired.

These non-GAAP financial measures should not be considered a substitute for, or superior to, financial measures calculated in accordance with GAAP. These non-GAAP financial measures exclude significant expenses and income that are required by GAAP to be recorded in our condensed consolidated financial statements and are subject to inherent limitations. Investors should review the reconciliations of non-GAAP financial measures to the comparable GAAP financial measures that are included in this press release.
Adjusted EBITDA Measures:
Adjusted EBITDA consists of net income adjusted for income tax expense, depreciation and amortization expense, stock-based compensation expense, realized gain from investments and foreign currency transactions, investment income, loss on sale of business, and other adjustments as necessary for a fair presentation. Other adjustments for the three and six months ended June 30, 2026, included the expense impact from disposals of other equipment, remeasurement of an acquired earn-out liability, and one-time divestiture exit and disposal costs. Net income is the most directly comparable GAAP measure of financial performance.
Adjusted EBITDA Margin consists of Adjusted EBITDA divided by revenue. Margin, the comparable GAAP measure of financial performance, consists of net income divided by revenue.
Non-GAAP Income Per Share Measure:
Non-GAAP income per share consists of net income adjusted for stock-based compensation expense, amortization expense related to intangible assets, realized gain from investments and foreign currency transactions, loss on sale of business, and other adjustments as necessary for a fair presentation, including for the three and six months ended June 30, 2026, the expense impact from disposals of other equipment, remeasurement of an acquired earn-out liability, and one-time divestiture exit and disposal costs, and the corresponding tax impacts of the adjustments to net income, divided by the weighted average number of shares of common and diluted stock outstanding during each period. Net income per share, the most directly comparable GAAP measure of financial performance, consists of net income divided by the weighted average number of shares of common and diluted stock outstanding during each period. To quantify the tax effects, we recalculated income tax expense excluding the direct book and tax effects of the specific items constituting the non-GAAP adjustments. The difference between this recalculated income tax expense and GAAP income tax expense is presented as the income tax effect of the non-GAAP adjustments.


Forward-Looking Statements
This press release may contain forward-looking statements, including information about management's view of SPS Commerce's future expectations, plans and prospects, including our views regarding future execution within our business, the opportunity we see in the retail supply chain world and our performance for the third quarter and full year of 2026, within the safe harbor provisions under The Private Securities Litigation Reform Act of 1995. These statements involve known and unknown risks, uncertainties and other factors which may cause the results of SPS Commerce to be materially different than those expressed or implied in such statements. Certain of these risk factors and others are included in documents SPS Commerce files with the Securities and Exchange Commission, including but not limited to, SPS Commerce's Annual Report on Form 10-K for the year ended December 31, 2025, as well as subsequent reports filed with the Securities and Exchange Commission. Other unknown or unpredictable factors also could have material adverse effects on SPS Commerce's future results. The forward-looking statements included in this press release are made only as of the date hereof. SPS Commerce cannot guarantee future results, levels of activity, performance or achievements. Accordingly, you should not place undue reliance on these forward-looking statements. Finally, SPS Commerce expressly disclaims any intent or obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise.


SPS COMMERCE, INC.
CONSOLIDATED BALANCE SHEETS
(Unaudited; In thousands, except shares)

June 30,
2026
December 31,
2025
ASSETS
Current assets
Cash and cash equivalents
$
173,167 
$
151,355 
Accounts receivable
71,681 
75,295 
Allowance for credit losses
(7,994)
(7,129)
Accounts receivable, net
63,687 
68,166 
Deferred costs
64,001 
66,693 
Other assets
29,541 
49,090 
Total current assets
330,396 
335,304 
Property and equipment, net
44,142 
43,117 
Operating lease right-of-use assets
4,985 
5,025 
Goodwill
539,411 
541,719 
Intangible assets, net
172,446 
215,815 
Other assets
Deferred costs, non-current
20,296 
20,719 
Deferred income tax assets
514 
493 
Other assets, non-current
13,239 
7,667 
Total assets
$
1,125,429 
$
1,169,859 
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities
Accounts payable
$
9,484 
$
13,757 
Accrued compensation
39,470 
47,577 
Accrued expenses
14,901 
13,074 
Deferred revenue
80,867 
75,590 
Operating lease liabilities
1,540 
4,353 
Total current liabilities
146,262 
154,351 
Other liabilities
Deferred revenue, non-current
4,720 
5,288 
Operating lease liabilities, non-current
4,766 
2,839 
Deferred income tax liabilities
30,928 
33,201 
Other liabilities, non-current
271 
287 
Total liabilities
186,947 
195,966 
Commitments and contingencies
Stockholders' equity
Common stock
40 
40 
Treasury stock
(276,922)
(177,949)
Additional paid-in capital
763,354 
722,737 
Retained earnings
456,031 
429,438 
Accumulated other comprehensive loss
(4,021)
(373)
Total stockholders’ equity
938,482 
973,893 
Total liabilities and stockholders’ equity
$
1,125,429 
$
1,169,859 






SPS COMMERCE, INC.
CONSOLIDATED STATEMENTS OF INCOME
(Unaudited; in thousands, except per share amounts)

Three Months Ended
June 30,
Six Months Ended
June 30,
2026
2025
2026
2025
Revenues
$
197,815 
$
187,400 
$
389,936 
$
368,949 
Cost of revenues
59,028 
59,826 
118,245 
116,740 
Gross profit
138,787 
127,574 
271,691 
252,209 
Operating expenses
Sales and marketing
43,936 
43,434 
88,670 
85,068 
Research and development
16,957 
17,271 
34,874 
34,710 
General and administrative
36,646 
30,890 
73,020 
61,908 
Amortization of intangible assets
9,381 
9,509 
18,701 
18,097 
Loss on sale of business
23,454 
— 
23,454 
— 
Total operating expenses
130,374 
101,104 
238,719 
199,783 
Income from operations
8,413 
26,470 
32,972 
52,426 
Other income, net
1,997 
773 
3,402 
2,980 
Income before income taxes
10,410 
27,243 
36,374 
55,406 
Income tax expense
3,546 
7,510 
9,781 
13,477 
Net income
$
6,864 
$
19,733 
$
26,593 
$
41,929 
Net income per share
Basic
$
0.19 
$
0.52 
$
0.72 
$
1.10 
Diluted
$
0.19 
$
0.52 
$
0.72 
$
1.10 
Weighted average common shares used to compute net income per share
Basic
36,533 
37,965 
36,953 
37,978 
Diluted
36,577 
38,099 
37,026 
38,132 






















SPS COMMERCE, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited; in thousands)

Six Months Ended
June 30,
2026
2025
Cash flows from operating activities
Net income
$
26,593 
$
41,929 
Reconciliation of net income to net cash provided by operating activities
Deferred income taxes
(4,412)
(5,914)
Depreciation and amortization of property and equipment
11,984 
9,948 
Amortization of intangible assets
18,701 
18,097 
Provision for credit losses
4,621 
4,111 
Stock-based compensation
36,769 
28,865 
Loss on sale of business
23,454 
— 
Other, net
(1,445)
274 
Changes in assets and liabilities, net of effects of acquisitions
Accounts receivable
(2,139)
(13,713)
Deferred costs
2,797 
(412)
Other assets and liabilities
11,871 
(2,258)
Accounts payable
(3,236)
2,082 
Accrued compensation
(9,551)
(11,006)
Accrued expenses
1,419 
(1,833)
Deferred revenue
5,087 
3,012 
Operating leases
(854)
(876)
Net cash provided by operating activities
121,659 
72,306 
Cash flows from investing activities
Purchases of property and equipment
(15,738)
(12,815)
Proceeds from sale, net
8,768 
— 
Acquisition of business, net
— 
(142,628)
Net cash used in investing activities
(6,970)
(155,443)
Cash flows from financing activities
Repurchases of common stock
(98,358)
(59,558)
Net proceeds from exercise of options to purchase common stock
866 
2,406 
Net proceeds from employee stock purchase plan activity
4,321 
5,426 
Net cash used in financing activities
(93,171)
(51,726)
Effect of foreign currency exchange rate changes
294 
1,449 
Net increase (decrease) in cash and cash equivalents
21,812 
(133,414)
Cash and cash equivalents at beginning of period
151,355 
241,017 
Cash and cash equivalents at end of period
$
173,167 
$
107,603 




SPS COMMERCE, INC.
NON-GAAP RECONCILIATIONS
(Unaudited; in thousands, except Margin, Adjusted EBITDA Margin, and per share amounts)

Adjusted EBITDA
Three Months Ended
June 30,
Six Months Ended
June 30,
2026
2025
2026
2025
Net income
$
6,864 
$
19,733 
$
26,593 
$
41,929 
Income tax expense
3,546 
7,510 
9,781 
13,477 
Depreciation and amortization of property and equipment
6,150 
4,991 
11,984 
9,948 
Amortization of intangible assets
9,381 
9,509 
18,701 
18,097 
Stock-based compensation expense
18,696 
14,998 
36,769 
28,865 
Realized gain from investments and foreign currency transactions
(402)
(107)
(522)
(473)
Investment income
(1,211)
(688)
(2,362)
(2,537)
Loss on sale of business
23,454 
— 
23,454 
— 
Other
154 
106 
165 
1,119 
Adjusted EBITDA
$
66,632 
$
56,052 
$
124,563 
$
110,425 

Adjusted EBITDA Margin
Three Months Ended
June 30,
Six Months Ended
June 30,
2026
2025
2026
2025
Revenue
$
197,815
$
187,400
$
389,936
$
368,949
Net income
6,864
19,733
26,593
41,929
Margin
3 
%
11 
%
7 
%
11 
%
Adjusted EBITDA
66,632
56,052
124,563
110,425
Adjusted EBITDA Margin
34 
%
30 
%
32 
%
30 
%

Non-GAAP Income per Share
Three Months Ended
June 30,
Six Months Ended
June 30,
2026
2025
2026
2025
Net income
$
6,864 
$
19,733 
$
26,593 
$
41,929 
Stock-based compensation expense
18,696 
14,998 
36,769 
28,865 
Amortization of intangible assets
9,381 
9,509 
18,701 
18,097 
Realized gain from investments and foreign currency transactions
(402)
(107)
(522)
(473)
Loss on sale of business
23,454 
— 
23,454 
— 
Other
154 
106 
165 
1,119 
Income tax effects of adjustments
(11,770)
(6,285)
(17,649)
(13,570)
Non-GAAP income
$
46,377 
$
37,954 
$
87,511 
$
75,967 
Shares used to compute net income and non-GAAP income per share
Basic
36,533 
37,965 
36,953 
37,978 
Diluted
36,577 
38,099 
37,026 
38,132 
Net income per share, basic
$
0.19 
$
0.52 
$
0.72 
$
1.10 
Non-GAAP adjustments to net income per share, basic
1.08 
0.48 
1.65 
0.90 
Non-GAAP income per share, basic
$
1.27 
$
1.00 
$
2.37 
$
2.00 
Net income per share, diluted
$
0.19 
$
0.52 
$
0.72 
$
1.10 
Non-GAAP adjustments to net income per share, diluted
1.08 
0.48 
1.65 
0.89 
Non-GAAP income per share, diluted
$
1.27 
$
1.00 
$
2.36 
$
1.99 

The annual per share amounts may not cross-sum due to rounding.

Source: View Original Filing on SEC EDGAR

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