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Guidewire Software (GWRE) Q4 Earnings: Taking a Look at Key Metrics Versus Estimates

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Guidewire Software (GWRE - Free Report) reported $411.09 million in revenue for the quarter ended July 2026, representing a year-over-year increase of 15.3%. EPS of $0.99 for the same period compares to $0.84 a year ago.

The reported revenue compares to the Zacks Consensus Estimate of $402.23 million, representing a surprise of +2.2%. The company delivered an EPS surprise of +5.32%, with the consensus EPS estimate being $0.94.

While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.

Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.

Here is how Guidewire Software performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
  • Annual recurring revenue: $1.24 billion versus the five-analyst average estimate of $1.23 billion.
  • Revenue- Subscription and support: $266.74 million versus the six-analyst average estimate of $262.88 million. The reported number represents a year-over-year change of +32.1%.
  • Revenue- License: $77.09 million compared to the $72.9 million average estimate based on six analysts. The reported number represents a change of -17.7% year over year.
  • Revenue- Services: $67.27 million versus the six-analyst average estimate of $66.68 million. The reported number represents a year-over-year change of +10.2%.
  • Gross profit- License: $76.56 million versus the five-analyst average estimate of $72.11 million.
  • Gross profit- Services: $-4.15 million versus the four-analyst average estimate of $2.71 million.
  • Gross profit- Subscription and support: $197.27 million versus $188.56 million estimated by four analysts on average.

View all Key Company Metrics for Guidewire Software here>>>

Shares of Guidewire Software have returned +20.2% over the past month versus the Zacks S&P 500 composite's +2.5% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.

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