SPS Commerce Shares Rise Nearly 11% After Strong Q2 Earnings Report
On the last day of July, SPS Commerce (NASDAQ: SPSC) saw its stock surge nearly 11%, driven by a strong second-quarter earnings report. The supply chain software company reported revenue growth of 6% year-over-year to $197.8 million and non-GAAP net income of $46.4 million or $1.27 per share, surpassing analyst expectations. The results were attributed to successful sales initiatives and the integration of AI technology into its operations. CFO Joe Del Preto highlighted momentum in upselling and cross-selling within core business areas while maintaining margin expansion goals. For 2026, SPS provided revenue guidance between $788 million and $793 million, with adjusted net income expected to range from $4.84 to $4.93 per share. Despite a recent divestiture of its 3P Revenue Recovery unit that is projected to reduce second-half revenues by about $10.5 million, the company remains optimistic due to strong recurring revenue and high-margin operations.