Guidewire Software, Inc. · NYSE:GWRE
Guidewire Software — Q2 FY2026 Earnings Presentation
23 slides from Guidewire Software's earnings presentation, Mar 5, 2026
Slide 1: Q2 Fiscal 2026 Earnings
Q2 Fiscal 2026 Earnings March 5, 2026
Slide 2: Safe Harbor
Safe Harbor This presentation contains “forward-looking statements” within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995, including but not limited to, statements regarding our financial outlook, strategic initiatives, and future business momentu
Slide 3: Statement Regarding Use of Non-GAAP Financial Measures and Other Metrics
Statement Regarding Use of Non-GAAP Financial Measures and Other Metrics This presentation contains the following non-GAAP financial measures: non-GAAP gross profit, non-GAAP gross margin, non-GAAP subscription and support gross margin, non-GAAP operating margin, non-GAAP income (loss) from operatio
Slide 4: Our mission
Our mission is to power insurance agility with the platform P&C insurers trust to engage, innovate, and grow efficiently 4
Slide 5: The P&C industry is large, global, concentrated, and complex
The P&C industry is large, global, concentrated, and complex Property & Casualty ~$3.0T DWP Insurance ● Durable industry with $3T in global direct written premium (DWP) and steadily ~90 Tier 1 ~$2.0T APAC Insurers DWP > $5B DWP AMER growing in-line with GDP ~250 Tier 2 ~$0.6T ● Led by many segments
Slide 6: Guidewire is the P&C industry's leading core platform
Guidewire is the P&C industry’s leading core platform ● Insurance is a highly regulated, trust-based industry Guidewire Cloud Platform that evolves deliberately and depends on precision, Marketplace resilience, compliance, and accuracy at scale By Line of Business Guidewire Extensions Partner Extens
Slide 7: Our 25 year commitment to P&C has created a durable business
Our 25 year commitment to P&C has created a durable business ARR $1,121 (in $millions) 1,000 750 500 250 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 Note: Rolling 4 quarter recurring revenue used as proxy for ARR through Q3'17. Quarterly ARR uses FX rate at t
Slide 8: We have multiple growth drivers that are accelerated by AI
We have multiple growth drivers that are accelerated by AI Core Expansion at Net-New Geographic and New Existing Customers Customers Line of Business Application Expansion Portfolio PricingCenter Continued migrations Cloud referenceability Acceleration in strategic UnderwritingCenter Insurer core sy
Slide 9: Q2'FY26 financial results reflect continued momentum
Q2’FY26 financial results reflect continued momentum Revenue Gross Margin Operating Margin ARR Total Revenue Subscription and Operating Margin Support Gross Margin (GAAP) $1.121B $359M $38M +22% YoY +24% YoY 73% 75% +227% YoY and 11% of revenue (GAAP) (non-GAAP) +7 pts YoY +6 pts YoY +6 pts YoY Subs
Slide 10: Q2'FY26 one-time financial disclosure underscoring our momentum and durability
Q2’FY26 one-time financial disclosure underscoring our momentum and durability Fully Ramped ARR1 Fully Ramped ARR grew to $1.42 billion in Q2’FY26, and FRARR growth continues to outpace ARR growth Large Deal Contract Duration2 LTM weighted average contract duration of new InsuranceSuite Cloud deals
Slide 11: Notable Q2'FY26 Wins
One of Canada’s largest private insurers chose to modernize to ClaimCenter due to proven track record and strong customer referenceability, representing a great new customer win Aviva UK, the UK’s largest insurer, is migrating the full suite to the cloud and expanding DWP significantly as it looks t
Slide 12: Strong and durable revenue growth
Strong and durable revenue growth ARR Subscription & Support Revenue (in $millions) (in $millions) 22% 33% 19% 14% 28% 33% 12 Note: Annual ARR Growth based on in-year constant currency FX rates. Quarterly year-over-year ARR growth based on in-period as reported ARR.
Slide 13: Profitability increasing with scale, efficiency, and discipline
Profitability increasing with scale, efficiency, and discipline (in $millions) Note: Please see Appendix for a reconciliation of Non-GAAP financial measures to the most comparable GAAP measures for periods shown above. 13
Slide 14: Maintaining strategic flexibility while accelerating share buybacks
Maintaining strategic flexibility while accelerating share buybacks Updated capital allocation framework Cash Generation Strong Balance Sheet Excess Cash Priorities $368M $1.35B Share Repurchases Plan to execute repurchase FY26 Cash Flow Q2 Cash & Investments authorization by fiscal year end from Op
Slide 15: Raising Full Year Outlook
Raising Full Year Outlook Previous FY’26 Outlook Updated FY’26 Outlook Annual Recurring Revenue (ARR) $1,220M - $1,230M $1,229M - $1,237M Subscription and Support Revenue ~$948M* $962M - $966M Total Revenue $1,403M - $1,419M $1,438M - $1,448M GAAP Operating Income $72M - $88M $100M - $110M Non-GAAP
Slide 16: Appendix
Appendix Classification: Public | Internal | Confidential
Slide 17: Condensed Consolidated Statement of Operations - GAAP
Guidewire Software, Inc. and Subsidiaries Condensed Consolidated Statement of Operations - GAAP (unaudited, in thousands except share and per share data) Description Q1 2025 Q2 2025 Q3 2025 Q4 2025 Q1 2026 Q2 2026 FY 2023 FY 2024 FY 2025 Revenue: Subscription and support $ 169,742 $ 177,838 $ 181,82
Slide 18: Condensed Consolidated Statement of Operations - GAAP (EPS and shares)
Guidewire Software, Inc. and Subsidiaries Condensed Consolidated Statement of Operations - GAAP (unaudited, in thousands except share and per share data) Description Q1 2025 Q2 2025 Q3 2025 Q4 2025 Q1 2026 Q2 2026 FY 2023 FY 2024 FY 2025 Earnings per share: Basic $ 0.11 $ (0.45) $ 0.55 $ 0.62 $ 0.37
Slide 19: Condensed Consolidated Statement of Operations - Non-GAAP Adjustments
Guidewire Software, Inc. and Subsidiaries Condensed Consolidated Statement of Operations - Non-GAAP Adjustments (unaudited, in thousands) Description Q1 2025 Q2 2025 Q3 2025 Q4 2025 Q1 2026 Q2 2026 FY 2023 FY 2024 FY 2025 Amortization of intangibles $ 485 $ 485 $ 485 $ 800 $ 808 $ 1,057 $ 3,360 $ 1,
Slide 20: Condensed Consolidated Statement of Operations - Other Reconciliations
Guidewire Software, Inc. and Subsidiaries Condensed Consolidated Statement of Operations - Other Reconciliations (unaudited) Description Q1 2025 Q2 2025 Q3 2025 Q4 2025 Q1 2026 Q2 2026 FY 2023 FY 2024 FY 2025 Reconciliation of GAAP to Non-GAAP earnings per share: GAAP diluted earnings per share $ 0.
Slide 21: Condensed Consolidated Statement of Operations - Key Metrics
Guidewire Software, Inc. and Subsidiaries Condensed Consolidated Statement of Operations - Key Metrics (unaudited, in thousands) Description Q1 2025 Q2 2025 Q3 2025 Q4 2025 Q1 2026 Q2 2026 FY 2023 FY 2024 FY 2025 Subscription revenue $ 152,858 $ 161,659 $ 166,464 $ 186,455 $ 207,459 $ 222,724 $ 352,
Slide 22: Non-GAAP Gross Profit Reconciliations
Guidewire Software, Inc. and Subsidiaries Condensed Consolidated Statement of Operations - Non-GAAP Gross Profit Reconciliations (unaudited, in thousands except percentage) Description Q1 2025 Q2 2025 Q3 2025 Q4 2025 Q1 2026 Q2 2026 FY 2023 FY 2024 FY 2025 Gross profit reconciliation: GAAP gross pro
Slide 23: Non-GAAP Reconciliations
Guidewire Software, Inc. and Subsidiaries Condensed Consolidated Statement of Operations - Non-GAAP Reconciliations (unaudited, in thousands) Description Q1 2025 Q2 2025 Q3 2025 Q4 2025 Q1 2026 Q2 2026 FY 2023 FY 2024 FY 2025 Income (loss) from operations reconciliation: GAAP income (loss) from oper