SPS Commerce Inc. $(SPSC)$, a leader in retail supply chain cloud services, reported its financial results for the second quarter ended June 30, 2025. The company achieved its 98th consecutive quarter of topline growth with revenue reaching $187.4 million, reflecting a 22% increase from $153.6 million in the second quarter of 2024. Recurring revenue also saw a significant rise, growing 24% year-over-year. Net income for the quarter was reported at $19.7 million or $0.52 per diluted share, compared to $18.0 million or $0.48 per diluted share in the same period last year. Non-GAAP income per diluted share rose to $1.00, up from $0.80 in the second quarter of 2024. Additionally, adjusted EBITDA increased by 27% to $56.1 million compared to the previous year. Looking forward, SPS Commerce provided guidance for the third quarter of 2025, projecting revenue in the range of $191.7 million to $193.2 million, representing 17% to 18% year-over-year growth. The company anticipates net income per diluted share to be between $0.50 and $0.54, with a non-GAAP income per diluted share expected to range from $0.96 to $1.00. Adjusted EBITDA is forecasted to fall between $57.9 million and $59.9 million. Chad Collins, CEO of SPS Commerce, highlighted the company's unique position as the only full-service EDI solution on the market, emphasizing its ability to help suppliers maintain EDI compliance with retailers' changing requirements and fostering stronger collaboration between trading partners.
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