Manhattan Associates (MANH) Citi’s 2026 Global TMT Conference summary

Business transformation and platform evolution

• Transitioned from on-premise to cloud-based SaaS over the past 12 years, now recognized as a leader in supply chain software by major analysts.

• Launched AI products in Q1, with rapid adoption—10% of the install base using them by end of Q2.

• Unified supply chain platform enables global optimization across labor, space, inventory, transportation, and customer satisfaction, moving away from siloed solutions.

• Unified platform allows seamless customer experience across channels, consolidating order, payment, and pricing data.

AI product adoption and financial impact

• AI agents can be deployed instantly due to a versionless, API-driven architecture, eliminating the need for data lakes and reducing latency.

• 100% conversion rate from AI pilot to subscription, with pilots lasting 90 days and proving ROI.

• Customers now use an average of 10–30 agents, expanding from single warehouse pilots to chain-wide deployments.

• Pricing model is tiered based on AI usage volume, with flexibility for customers to scale up as needed.

• AI subscriptions provide immediate uplift to revenue and RPO, with margins consistent with other cloud revenue.

Editions strategy and customer conversion

• Introduced platform editions (Essentials, Enterprise, Enterprise Premier) to address a broader market, allowing customers to scale features as their needs grow.

• Editions enable expansion into less complex sites and facilitate conversion of on-prem customers to cloud.

• Dedicated conversion team has helped 25% of maintenance-paying on-prem customers move or start moving to cloud, with automation and fixed-price, fixed-timeline conversions reducing complexity and risk.

• Continuous feature and AI enhancements in the cloud product accelerate the value gap over on-prem solutions.