Filing Flows › Guidewire Software (GWRE) › Q3 FY26
Guidewire Software (GWRE) Q3 FY26 earnings results (third quarter fiscal 2026)
10-Q filed Jun 5, 2026
Guidewire Software (GWRE) reported revenue of $373M for the third quarter fiscal 2026 (Q3 FY26), +27% from a year earlier and +4% from the quarter before. Operating margin was 8.2%, net earnings $16.5M (4.4% of revenue).
Guidewire Software, Q3 FY26: revenue $373M (+27% year over year), operating margin 8.2%, net earnings $16.5M, operating cash flow $61.2M. The chart follows the revenue to costs, profit and cash.
| Q3 FY26 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $373M | +4% | +27% |
| Gross profit | $237M | +2% | +30% |
| Operating profit | $30.6M | -20% | +586% |
| Net earnings | $16.5M | -73% | -64% |
| Operating cash flow | $61.2M | -45% | +89% |
| Free cash flow | $59.4M | -45% | +88% |
What changed
Revenue was $372.5M in Q3 FY26, up 27% year over year and up 4% from the previous quarter. Subscription was the largest line at 62% of revenue. Subscription added $65.7M year over year (up 39%), 83% of the total change. Support declined 18%.
Gross margin was 63.5%, up 1.3 points from Q3 FY25. Operating profit was $30.6M, a 8.2% margin (up 6.7 points year over year). Of the extra revenue versus Q3 FY25, 33% reached operating profit, above the 2% margin then. Operating expenses grew 16% against revenue growth of 27%. The fastest-growing cost line was Research & development (+21%). Net earnings were $16.5M, down 64% year over year. The effective tax rate was 16.6%.
Operating cash flow was $61.2M (up 89% year over year), 371% of net earnings. Non-cash charges added back $7.2M of depreciation and amortization and $44.9M of share-based compensation. Working capital and other items used $7.5M. Capital expenditures of $1.8M left free cash flow of $59.4M.
Questions
What was Guidewire Software's revenue in the third quarter fiscal 2026?
Guidewire Software (GWRE) reported revenue of $373M for the third quarter fiscal 2026 (Q3 FY26), +27% from a year earlier and +4% from the quarter before.
Was Guidewire Software profitable in the third quarter fiscal 2026?
Operating profit was $30.6M (8.2% of revenue) and net earnings $16.5M.
Source: Guidewire Software 10-Q on SEC EDGAR.