Snapshot
Guidewire Software, Inc. reported $333M of revenue in Q1 2026, up 26.5% year over year, with diluted EPS of $0.36 and an operating margin of 5.6%.
- Revenue
- $333M
- YoY growth
- +26.5%
- Diluted EPS
- $0.36
- Operating margin
- 5.6%
$333M
Revenue
+26.5%
YoY growth
$0.36
Diluted EPS
5.6%
Operating margin
01 Key takeaways
What management said
- •Statements today include forward-looking ones regarding our financial results, products, customer demand, operations, the impact of local, national, and geopolitical events on our business, and other matters.
- •Following a record Q4, we saw continued momentum with another eight cloud deals in Q1.
- •All this momentum was driven by the factors we've shared before: our cloud maturity, track record of customer success, and a resilient global P&C insurance market that continues to modernize.
- •Both new applications represent significant market opportunities that address the industry's need to overcome very fragmented and manual processes that negatively impact their speed-to-market loss ratios and growth.
- •By integrating ProNavigator into Guidewire applications, we can now deliver instant, context-aware guidance and answers to the people using our applications.
- •This sort of in-context guidance is a first step in generative AI deployment to insurance workflows and can upskill every user of Guidewire application.
- •Q1 saw record sales activity for a first quarter and a clean beat across ARR revenue and profitability expectations.
- •Total revenue is $333 million, up 27% year-over-year, reflecting strong performance across all segments.
- •We continue to see strong subscription and support revenue growth as customers migrate to cloud and new insurers adopt our cloud products.
- •In the first quarter, subscription and support revenue grew 31% to $222 million.
- •In general, we expect license revenue to decline as we continue to migrate customers to cloud and drive subscription revenue growth.
- •As a reminder, revenue related to multi-year term license contracts are generally recognized upfront, and as a result, no additional license revenue is recognized until the committed term expires.
SourcesCompany financials · earnings call
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