SPS Commerce (SPSC) Q1 Earnings and Revenues Top Estimates

Core Insights - SPS Commerce reported quarterly earnings of $1 per share, exceeding the Zacks Consensus Estimate of $0.84 per share, and compared to earnings of $0.86 per share a year ago [1] - The company achieved a revenue of $181.55 million for the quarter, surpassing the Zacks Consensus Estimate by 1.12%, and up from $149.58 million year-over-year [3] Earnings Performance - The earnings surprise for the quarter was 19.05%, with the company having surpassed consensus EPS estimates in all four of the last quarters [2] - The company also delivered a surprise of 2.30% in the previous quarter, with actual earnings of $0.89 compared to an expected $0.87 [2] Future Outlook - Current consensus EPS estimate for the upcoming quarter is $0.92 on revenues of $185.7 million, and for the current fiscal year, it is $3.83 on revenues of $761.07 million [8] - The estimate revisions trend for SPS Commerce is mixed, resulting in a Zacks Rank 3 (Hold), indicating expected performance in line with the market [7] Industry Context - The Business - Services industry, to which SPS Commerce belongs, is currently in the top 34% of Zacks industries, suggesting a favorable outlook compared to the bottom 50% [9] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [6]