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Guidewire Software Profit Rises, Shares Surge 13%

By RTTNews Staff Writer   ✉  | Published:  | Google News Follow Us  | Join Us
rttnewslogo20mar2024

Guidewire Software Inc. (GWRE) Tuesday reported an increase in profit for the second quarter, as revenues surged reflecting growth across all three segments. Following the news, Guidewire shares surged 13 percent in the after hours trade on the Nasdaq.

Guidewire Software, which develops software for insurance companies, said revenues for the quarter grew 31 percent to $72.2 million from $55.1 million last year. License revenues for the quarter improved 20 percent, maintenance revenue rose 35 percent, and services revenues advanced 43 percent, year-over-year.

Analysts polled by Thomson Reuters expected revenues of $64.26 million for the quarter.

Chief Executive Marcus Ryu said, "Solid broad based bookings in the first half of the year led to revenue in the second quarter that was above the high end of our guidance range, and this outperformance was further accentuated by several customers who made payments earlier than their third quarter due dates."

California-based Guidewire Software's profit for the second quarter rose to $5.5 million or $0.09 per share from $3.7 million or $0.06 per share last year. Excluding special items, adjusted earnings for the period rose to $0.21 per share from $0.16 per share last year.

Analysts expected earnings of $0.02 per share for the quarter. Analysts' estimates typically exclude special items.

GWRE closed Tuesday's trading at $31.53, up $0.65 or 2.10%. In after hours, the stock gained $4.02 or 12.75%.

For comments and feedback contact: editorial@rttnews.com

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