What guidance did Guidewire Software's management provide for the next earnings period?

What is Guidewire Software's gross profit margin?

What factors drove the changes in Guidewire Software's revenue and profit?

Did Guidewire Software beat or miss consensus estimates last quarter?

What is Guidewire Software's latest dividend and current dividend yield?

What were the key takeaways from Guidewire Software’s earnings call?

What does Guidewire Software do and what are its main business segments?

What is the market's earnings forecast for Guidewire Software next quarter?

- **Record Q1 Growth**: ARR up 22% YoY to $1.06B, driven by 8 cloud deals including major insurers. Services revenue beat expectations with 68M.
- **New Product Breakthroughs**: PricingCenter/UnderwritingCenter launched to modernize manual workflows, with early customer traction.
- **AI-Driven Efficiency**: Generative AI integration (via ProNavigator) enables real-time guidance, reducing underwriting cycle times.
- **Financial Strength**: FY26 ARR raised to $1.22B-$1.23B, reflecting confidence in cloud migration pipeline and new product adoption.
- **Sustainable Momentum**: 50% of new deals expanded existing implementations, signaling long-term customer commitment.

**【CEO Summary Section】**
- **Q1 Momentum**: ARR grew 22% YoY to $1.063B, driven by 8 cloud deals, including major wins with The Hartford, Sompo, and a UK mutual insurer. 6 of these deals included data/analytics offerings.
- **New Product Launches**: Introduced PricingCenter and UnderwritingCenter to address fragmented pricing and underwriting workflows. Generative AI integration (e.g., ProNavigator acquisition) enables in-context guidance for actuaries and underwriters.
- **AI Strategy**: Leveraging extensible cloud platform to embed generative AI in core applications, starting with PolicyCenter and expanding to new products.
- **Customer Expansion**: 50% of new deals expanded existing implementations, reflecting trust in Guidewire's cloud platform.

**【CFO Financial Commentary】**
- **Top Line**: Q1 revenue $333M (+27% YoY), with subscription/support up 31% to $222M. Services revenue $68M beat expectations due to high utilization.
- **Profitability**: Non-GAAP operating income $63M (+83% YoY). Subscription/support gross margin 73%, services margin 23%.
- **Updated Outlook**: FY26 ARR guidance raised to $1.22B-$1.23B (prev $1.20B-$1.21B). Revenue $1.40B-$1.42B (prev $1.38B-$1.40B). ProNavigator adds $4M ARR and $2M revenue.
- **Cash Flow**: $1.4B cash on hand. FY26 operating cash flow $355M-$375M.

**【Q&A Highlights】**
- **Product Adoption Timing**: Pricing/UnderwritingCenters expected to follow a faster adoption path than core PolicyCenter, with early customer interest.
- **Services Growth**: Higher services revenue reflects investment in AI implementation and new product enablement, with 2026 services revenue guidance raised to $245M.
- **AI Integration**: Generative AI will improve implementation efficiency (e.g., reducing onboarding time) and enable new use cases like dynamic pricing model deployment.
- **Geographic Mix**: Balanced demand across North America (5 deals) and international (3 deals), with strength in Europe and APAC.
- **ARR Seasonality**: Q3 ARR growth may face headwinds from multi-year license renewals, but FY26 guide reflects strong pipeline visibility.

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