•
Oct 31, 2020

Guidewire Q1 2021 Earnings Report

Guidewire reported a solid start to the fiscal year with first quarter ARR, revenue, and operating income exceeding the high-end of its guidance ranges.

Key Takeaways

Guidewire's first quarter fiscal year 2021 shows an 8% increase in total revenue compared to the same quarter last year. ARR was $513 million. GAAP loss from operations was $31.6 million, while non-GAAP income from operations was $2.8 million.

Total revenue increased by 8% year-over-year to $169.8 million.

Subscription and support revenue increased by 18% to $58.0 million.

License revenue increased by 20% to $65.3 million.

ARR reached $513 million as of October 31, 2020.

Total Revenue
$170M
Previous year: $157M
+8.1%
EPS
$0.17
Previous year: $0.13
+30.8%
ARR
$513M
Gross Profit
$78.8M
Previous year: $76.2M
+3.5%
Cash and Equivalents
$294M
Previous year: $179M
+64.1%
Free Cash Flow
-$20.2M
Previous year: -$27.8M
-27.3%
Total Assets
$2.34B
Previous year: $2.2B
+6.4%

Guidewire

Guidewire

Guidewire Revenue by Segment

Forward Guidance

Guidewire is issuing the following outlook for the second quarter of fiscal year 2021 based on current expectations:

Positive Outlook

  • ARR between $518 million and $521 million
  • Total revenue between $168 million and $172 million

Challenges Ahead

  • Operating income (loss) between $(41) million and $(37) million
  • Non-GAAP operating income (loss) between $(5) million and $(1) million

Revenue & Expenses

Visualization of income flow from segment revenue to net income