SPS Commerce Q1 Revenue Rises 6% to $192.1M; Deploys $47.1M in Buybacks
SPS Commerce posted Q1 revenue of $192.1 million, up 6% year-over-year, with adjusted EBITDA of $57.9 million and $47.1 million deployed to share repurchases. Management guided Q2 revenue of $194.5–196.5 million and full-year revenue of $796.0–802.0 million while flagging a trough in Amazon recovery in late 2026.
1. Q1 Financial Results and Shareholder Returns
SPS Commerce reported Q1 revenue of $192.1 million, up 6% year-over-year, delivering net income of $19.7 million and adjusted EPS of $1.10. The company held $154 million in cash and equivalents and deployed $47.1 million to repurchase shares.
2. Forward Guidance
For Q2 2026, management expects revenue of $194.5–196.5 million, adjusted EBITDA of $60.9–62.4 million and EPS of $0.53–0.56. Full-year revenue is projected at $796.0–802.0 million, with adjusted EBITDA of $262.8–267.3 million and EPS of $2.66–2.69.
3. Growth Initiatives and Amazon Headwinds
Recurring revenue grew 7%, driven by an 8% uptick in the Fulfillment segment, while AI-based solutions like the MAX agent helped protect up to 8% of customer revenue. Contrastingly, the Amazon recovery business faces up to 4,000 3P supplier exits, a decline of 400 3P customers in Q1, and a trough expected by late 2026.