Guidewire Software, Inc. (NYSE:GWRE) Q4 2024 Earnings Conference Call September 5, 2024 5:00 PM ET Company Participants Alex Hughes - Vice President, Investor Relations Mike Rosenbaum - Chief Executive Officer John Mullen - President & Chief Revenue Officer Jeff Cooper - Chief Financial Officer Conference Call Participants Ken Wong - Oppenheimer Michael Turrin - Wells Fargo Alexei Gogolev - JPMorgan Kevin Kumar - Goldman Sachs Dylan Becker - William Blair Rishi Jaluria - RBC Parker Lane - Stifel Joe Vruwink ...

Guidewire Software (GWRE) reported $291.52 million in revenue for the quarter ended July 2024, representing a year-over-year increase of 8%. EPS of $0.62 for the same period compares to $0.74 a year ago. The reported revenue represents a surprise of +2.95% over the Zacks Consensus Estimate of $283.15 million. With the consensus EPS estimate being $0.52, the EPS surprise was +19.23%. While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to d ...

Guidewire Software (GWRE) came out with quarterly earnings of $0.62 per share, beating the Zacks Consensus Estimate of $0.52 per share. This compares to earnings of $0.74 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of 19.23%. A quarter ago, it was expected that this provider of software to the insurance industry would post earnings of $0.13 per share when it actually produced earnings of $0.26, delivering a surprise of 100%. ...

Revenue Performance - Total revenue for fiscal year 2024 was $980.5 million, an increase of 8% from fiscal year 2023[1] - Subscription and support revenue was $549.1 million, an increase of 28% compared to fiscal year 2023[1] - Total revenue for the fourth quarter of fiscal year 2024 was $291.5 million, an increase of 8% from the same quarter in fiscal year 2023[3] - Subscription and support revenue for the fourth quarter was $151.8 million, an increase of 29% year-over-year[3] - Total revenue for the three months ended July 31, 2024, was $291.5 million, a 7.5% increase from $270.0 million in the same period of 2023[12] - Subscription and support revenue increased to $151.8 million, up 29.2% from $117.3 million year-over-year[12] - Total revenue guidance for fiscal year 2025 is between $1,135 million and $1,149 million[5] - Guidewire expects ARR for fiscal year 2025 to be between $995 million and $1,005 million[5] Profitability Metrics - GAAP net loss was $6.1 million for fiscal year 2024, significantly improved from a loss of $111.9 million in fiscal year 2023[2] - Non-GAAP net income was $114.5 million for fiscal year 2024, compared to $29.2 million for fiscal year 2023[2] - Net income for the three months ended July 31, 2024, was $16.8 million, compared to $12.2 million in the same period of 2023, representing a 37.7% increase[12] - Basic net income per share for the three months ended July 31, 2024, was $0.20, compared to $0.15 in the same period of 2023, reflecting a 33.3% increase[12] - Non-GAAP net income for the three months ended July 31, 2024, was $54,014 thousand, down from $62,794 thousand in the same period of 2023, indicating a decrease of 14.1%[15] - GAAP diluted net income per share for the three months ended July 31, 2024, was $0.20, compared to $0.15 for the same period in 2023[16] - Non-GAAP diluted net income per share for the three months ended July 31, 2024, was $0.62, down from $0.74 in the prior year[16] Cash Flow and Assets - Operating cash flow is projected to be between $220 million and $250 million for fiscal year 2025[5] - Cash and cash equivalents increased to $548.0 million, up from $401.8 million year-over-year, representing a 36.4% increase[11] - Total current assets rose to $1.3 billion, a 17.8% increase from $1.1 billion as of July 31, 2023[11] - Net cash provided by operating activities for the three months ended July 31, 2024, was $193,777 thousand, compared to $173,237 thousand for the same period in 2023, marking an increase of 11.9%[14] - Free cash flow for the three months ended July 31, 2024, was $189.3 million, an increase from $167.3 million in the same period of 2023[17] - Total cash, cash equivalents, and restricted cash at the end of the period was $549,184 thousand, up from $406,790 thousand at the end of the previous year, representing a growth of 35%[14] Expenses and Liabilities - Total liabilities increased to $883.6 million, up from $828.4 million year-over-year, reflecting a 6.7% rise[11] - Research and development expenses for the three months ended July 31, 2024, were $75.3 million, a 12.4% increase from $66.8 million in the prior year[12] - Stock-based compensation for the three months ended July 31, 2024, was $37,286 thousand, slightly higher than $36,548 thousand in the same period of 2023, showing an increase of 2%[15] - The company expects stock-based compensation for the first quarter of fiscal year 2025 to be $35 million[18] Future Projections - The company expects a GAAP loss from operations of $(18) million for the first quarter of fiscal year 2025, with non-GAAP income from operations projected at $18 million[18] - The company recognized a gain of $1.8 million from the sale of a strategic investment during the three months ended January 31, 2024[16]

Sundry Photography Guidewire Software: Investment Thesis Since my December 2023 article, "Guidewire Software: Time To Take Some Money Off The Table," the Guidewire Software, Inc. (NYSE:GWRE) share price has increased by 46.44%, while the S&P 500 (SP500) has increased by 22.93%. So, I am reminded again, Mr. Market can show a lack of understanding of factors affecting the intrinsic value of a stock for long periods of time. And in the case of Guidewire Software, I am not overly surprised at Mr. Market's lack ...

Guidewire Software, Inc. (GWRE) is slated to report fourth-quarter fiscal 2024 results on Sept. 5. Management expects revenues in the range of $279-$287 million. The Zacks Consensus Estimate is pegged at $283.2 million, indicating a 4.9% increase from the prior-year quarter. The consensus estimate for the bottom line is pegged at 52 cents, unchanged in the past 60 days. GWRE reported earnings of 74 cents per share in the year-ago period. GWRE has a trailing four-quarter earnings surprise of 109.2%, on avera ...

Guidewire Software (GWRE) shares have been performing well on the trading front with a gain of 36.1% year to date (YTD) compared with the S&P 500 composite and sub-industry's growth of 17.6% and 10.3%, respectively. The stock is still down 3.5% from its 52-week high of $153.85. Improving financial performance is buoying the good run on the trading front. The company's earnings surpassed the Zacks Consensus Estimate in each of the trailing four quarters, with an average surprise of 109.2% Guidewire is a prov ...

Even though momentum is a popular stock characteristic, it can be tough to define. Debate surrounding which are the best and worst metrics to focus on is lengthy, but the Zacks Momentum Style Score, part of the Zacks Style Scores, helps address this issue for us. It's also important to note that Style Scores work as a complement to the Zacks Rank, our stock rating system that has an impressive track record of outperformance. Guidewire Software currently has a Zacks Rank of #2 (Buy). Our research shows that ...

Guidewire Software NYSE: GWRE stock price has increased 150% in the last eighteen months because of the utility it provides insurers. The company operates as a B2B cloud-based SaaS that provides a suite of platforms for property and casualty insurers. The suite can be used piecemeal or as an end-to-end solution for group and self-managed plans. Guidewire Software Today | --- | --- | --- | --- | |----------------------|-------|-------|-------| | | | | | | | | | | | | | | | | | | | | | GWRE | | | | | Guidewir ...

Guidewire is a provider of software solutions for P&C insurers. Its cloud platform boasts a trusted infrastructure with modular and interconnected cloud services to aid insurers in upgrading their core operations. The platform has scalability as well as the ability to embed analytics and core workflows. The company updates its cloud platform thrice a year to keep the system agile and nimble amid a constantly evolving P&C industry. Since the last earnings announcement on Jun 4, its shares have surged 25.5%. ...