Filing Flows › Guidewire Software (GWRE) › Q1 FY26
Guidewire Software (GWRE) Q1 FY26 earnings results (first quarter fiscal 2026)
10-Q filed Dec 4, 2025
Guidewire Software (GWRE) reported revenue of $333M for the first quarter fiscal 2026 (Q1 FY26), +27% from a year earlier and -7% from the quarter before. Operating margin was 5.6%, net earnings $31.3M (9.4% of revenue).
Guidewire Software, Q1 FY26: revenue $333M (+26% year over year), operating margin 5.6%, net earnings $31.3M, operating cash flow −$67.4M. The chart follows the revenue to costs, profit and cash.
| Q1 FY26 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $333M | -7% | +27% |
| Gross profit | $210M | -10% | +32% |
| Operating profit | $18.5M | -38% | — |
| Net earnings | $31.3M | -40% | +243% |
| Operating cash flow | −$67.4M | -128% | — |
What changed
Revenue was $332.6M in Q1 FY26, up 27% year over year and down 7% from the previous quarter. Subscription was the largest line at 62% of revenue. Subscription added $54.6M year over year (up 36%), 78% of the total change. Support declined 13%.
Gross margin was 63.0%, up 2.7 points from a year earlier. Operating profit was $18.5M, a 5.6% margin (up 7.4 points year over year). Operating expenses grew 17% against revenue growth of 27%. The fastest-growing cost line was Sales & marketing (+25%). Net earnings were $31.3M, up 243% year over year. The effective tax rate was -27.8%. Non-operating items added $6.0M, 25% of pre-tax earnings, so the bottom line overstates operating performance.
Operating cash flow was −$67.4M. Non-cash charges added back $6.4M of depreciation and amortization and $43.3M of share-based compensation. Working capital and other items used $148.4M. Capital expenditures of $4.9M exceeded it, leaving free cash flow of −$72.3M.
Questions
What was Guidewire Software's revenue in the first quarter fiscal 2026?
Guidewire Software (GWRE) reported revenue of $333M for the first quarter fiscal 2026 (Q1 FY26), +27% from a year earlier and -7% from the quarter before.
Was Guidewire Software profitable in the first quarter fiscal 2026?
Operating profit was $18.5M (5.6% of revenue) and net earnings $31.3M.
Source: Guidewire Software 10-Q on SEC EDGAR.