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Jul 31, 2024

Guidewire Q4 2024 Earnings Report

Guidewire's Q4 2024 earnings demonstrated strong ARR growth and profitability.

Key Takeaways

Guidewire announced its Q4 and Fiscal Year 2024 financial results, reporting an 8% increase in total revenue for the quarter, driven by a 29% increase in subscription and support revenue. The company's ARR grew to $864 million. Guidewire issued a business outlook for Q1 2025 and Fiscal Year 2025.

Total revenue for Q4 2024 was $291.5 million, up 8% year-over-year.

Subscription and support revenue increased by 29% to $151.8 million.

GAAP net income was $16.8 million, or $0.20 per share.

ARR reached $864 million.

Total Revenue
$292M
Previous year: $270M
+8.0%
EPS
$0.62
Previous year: $0.74
-16.2%
ARR
$864M
Previous year: $763M
+13.2%
Gross Profit
$186M
Previous year: $164M
+13.9%
Cash and Equivalents
$548M
Previous year: $402M
+36.4%
Free Cash Flow
$209M
Previous year: $170M
+22.9%
Total Assets
$2.23B
Previous year: $2.03B
+9.8%

Guidewire

Guidewire

Guidewire Revenue by Segment

Forward Guidance

Guidewire is issuing the following outlook for the first quarter of fiscal year 2025 based on current expectations:

Positive Outlook

  • ARR between $869 million and $874 million
  • Total revenue between $251 million and $257 million
  • Non-GAAP operating income between $18 million and $24 million
  • ARR between $995 million and $1,005 million
  • Total revenue between $1,135 million and $1,149 million

Challenges Ahead

  • Operating loss between $18 million and $12 million
  • Operating income (loss) between $(4) million and $10 million
  • Non-GAAP operating income between $157 million and $171 million
  • Operating cash flow between $220 million and $250 million
  • No other negatives were mentioned in the earnings report.

Revenue & Expenses

Visualization of income flow from segment revenue to net income