Guidewire Software, Inc. (NYSE:GWRE) reported its Q4 results, with EPS of $0.03 coming in better than the Street estimate of ($0.01). Revenue was $244.6 million, beating the Street estimate of $229.57 million.
Management guided full 2023-year ARR growth (approximately 13%) a little light of expectations, highlighting changes in deal composition (smaller initial contracts, flatter ramps) and fewer cloud migrations as headwinds to ARR growth and subscription flow through. Management intends to dial back hiring, which offset some pressure on profitability targets.
For the full 2023-year, the company expects revenue to be in the range of $885-895 million, compared to the Street estimate of $882 million.