Guidewire Software Inc. (GWRE)
NYSE:GWRE
Want to see GWRE full AI Analyst Report?
Earnings Data
Report Date
Sep 03, 2026After Close (Confirmed)
Period Ending
2026 (Q4)Consensus EPS Forecast
0.93Last Year’s EPS
0.84Same Quarter Last Year
Strong Buy
Based on 13 Analysts Ratings
Earnings Call Summary
Earnings Call Sentiment|Positive
The call presented multiple strong financial beats and upgrades (27% revenue growth, ARR +19% YoY, improved margins, increased revenue and cash flow guidance), meaningful product momentum (cloud wins, PricingCenter, ProNavigator), and tangible productivity gains from AI tooling (3,000-attendee developer summit; ~35% migration improvement). The primary negatives were quarter-to-quarter timing/close volatility driven by a small number of large deals, modest services margin pressure from subcontractor usage, and early-stage uncertainty around LLM token costs. On balance, the positives (financial beats, upgraded guidance, product/customer traction, and operational productivity gains) materially outweigh the limited operational and timing risks noted.Company Guidance
Strong ARR Growth
ARR finished Q3 at $1.147B, up ~19% year-over-year and within guidance; company reiterates FY ARR outlook of $1.229B–$1.237B (18%–19% growth). Management highlighted fully-ramped ARR growing faster than ARR, supporting durable growth.
Revenue and Profitability Beat
Total revenue for Q3 was $373M, up 27% YoY and above the high end of outlook. Gross profit was $247M, up 29% YoY. Non-GAAP operating profit was $78M for the quarter, and management raised full-year operating income guidance (non-GAAP $314M–$324M, GAAP $124M–$134M).
Subscription & Services Revenue Momentum
Subscription & support revenue grew to $245M in Q3, up 35% YoY. Services revenue was $72M, up 32% YoY and ahead of expectations, driven by high demand for Guidewire-led services and field engineering programs.
High and Improving Gross Margins
Overall gross margin for Q3 was 66%. Subscription & support gross margin improved to 74% (from 71% a year ago). Services gross margin improved to 14% (from 13% a year ago). Full-year gross margin guidance: ~67% overall, subscription & support ~74%, services ~14%.
Product & Cloud Wins
Closed 11 cloud deals in Q3 including 2 net-new core system wins and 5 ProNavigator deals. Notable transactions: 7-year extension and DWP expansion with Auto Club of Southern California (InsuranceSuite on Guidewire Cloud + ProNavigator sale), large net-new win with Bradesco Seguros (Brazil), a U.K. ClaimCenter win and a large U.S. PolicyCenter deployment.
New Product Traction — PricingCenter & ProNavigator
Three PricingCenter wins (Sweden, Poland, first U.S. PricingCenter win with Oklahoma Farm Bureau) and five ProNavigator adoptances during the quarter. Management said these newer products have surpassed expectations and are contributing meaningfully to pipeline and attach opportunities.
Upgraded Full-Year Revenue & Cash Flow Guidance
Raised FY total revenue guidance to $1.46B–$1.47B (midpoint ~22% growth vs. prior assumptions). Services revenue guidance ~ $270M. Operating cash flow guidance raised to $365M–$380M. CapEx expected $30M–$35M.
Strong Cash Position and Share Repurchase
Ended Q3 with $1.15B in cash, cash equivalents and investments; operating cash flow of $61M in the quarter. Repurchased 1.7M shares at an average price of $147.07; $241M remains on repurchase authorization.
Developer Ecosystem & Productivity Gains from AI Tools
Developer Summit in Bangalore hosted ~3,000 attendees (2x prior year). Management cited substantial productivity gains from Agentic/LLM tooling (Claude Code integrations) and stated field results including ~35% improvement in migration timelines (on-prem to cloud) with a pathway toward further gains.
GWRE Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed
GWRE Earnings-Related Price Changes
Report Date | Price 1 Day Before | Price 1 Day After | Percentage Change |
|---|---|---|---|
Jun 04, 2026 | $151.17 | $136.06 | -10.00% |
Mar 05, 2026 | $160.84 | $168.87 | +4.99% |
Dec 03, 2025 | $215.76 | $211.07 | -2.17% |
Sep 04, 2025 | $216.99 | $260.71 | +20.15% |
Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.
FAQ
When does Guidewire Software Inc. (GWRE) report earnings?
Guidewire Software Inc. (GWRE) is schdueled to report earning on Sep 03, 2026, After Close (Confirmed).
What is Guidewire Software Inc. (GWRE) earnings time?
Guidewire Software Inc. (GWRE) earnings time is at Sep 03, 2026, After Close (Confirmed).
Where can I see when companies are reporting earnings?
You can see which companies are reporting today on our designated earnings calendar.
What companies are reporting earnings today?
You can see a list of the companies which are reporting today on TipRanks earnings calendar.
What is GWRE EPS forecast?
GWRE EPS forecast for the fiscal quarter 2026 (Q4) is 0.93.
