Filing Flows › Guidewire Software (GWRE) › Q4 FY25
Guidewire Software (GWRE) Q4 FY25 earnings results (fourth quarter fiscal 2025)
10-K filed Sep 11, 2025
Guidewire Software (GWRE) reported revenue of $357M for the fourth quarter fiscal 2025 (Q4 FY25), +22% from a year earlier and +21% from the quarter before. Operating margin was 8.3%, net earnings $52.0M (14.6% of revenue).
Guidewire Software, Q4 FY25: revenue $357M (+22% year over year), operating margin 8.3%, net earnings $52.0M, operating cash flow $245M. The chart follows the revenue to costs, profit and cash.
| Q4 FY25 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $357M | +21% | +22% |
| Gross profit | $232M | +27% | +24% |
| Operating profit | $29.6M | +562% | +187% |
| Net earnings | $52.0M | +13% | +210% |
| Operating cash flow | $245M | +657% | +26% |
| Free cash flow | $241M | +663% | +26% |
What changed
Revenue was $356.6M in Q4 FY25, up 22% year over year and up 21% from the previous quarter. Subscription was the largest line at 52% of revenue.
Gross margin was 65.0%, up 1.1 points from a year earlier. Operating profit was $29.6M, a 8.3% margin (up 4.8 points year over year). Of the extra revenue versus a year earlier, 30% reached operating profit, above the 4% margin then. Operating expenses grew 15% against revenue growth of 22%. The fastest-growing cost line was Sales & marketing (+20%). Net earnings were $52.0M, up 210% year over year. The effective tax rate was -26.8%. Non-operating items added $11.4M, 28% of pre-tax earnings, so the bottom line overstates operating performance.
Operating cash flow was $244.8M (up 26% year over year), 471% of net earnings. Non-cash charges added back $6.2M of depreciation and amortization and $42.2M of share-based compensation. Working capital and other items added $144.5M. Capital expenditures of $3.4M left free cash flow of $241.4M.
Questions
What was Guidewire Software's revenue in the fourth quarter fiscal 2025?
Guidewire Software (GWRE) reported revenue of $357M for the fourth quarter fiscal 2025 (Q4 FY25), +22% from a year earlier and +21% from the quarter before.
Was Guidewire Software profitable in the fourth quarter fiscal 2025?
Operating profit was $29.6M (8.3% of revenue) and net earnings $52.0M.
Source: Guidewire Software 10-K on SEC EDGAR.