Guidewire Software Announces Second Quarter Fiscal 2012 Financial Results

Guidewire Software, Inc. (NYSE: GWRE), a provider of core system software to property and casualty insurers, announced its financial results for the quarter ended January 31, 2012.

"We are pleased with the company's performance during the second quarter of fiscal 2012, which contributed to revenue and profitability that were above our expectations. We continue to see momentum across all three of our main application offerings, including sales to both new and existing customers," said Marcus Ryu, Chief Executive Officer of Guidewire Software. "We believe we are still in the early stages of property and casualty insurers replacing their decades-old software, and Guidewire is well positioned to respond to this growing demand with our integrated software suite of next-generation policy, billing and claims applications." Second Quarter Fiscal 2012 Financial Highlights Revenue Total revenue for the second fiscal quarter ended January 31, 2012 was $55.1 million, an increase of 30% from the comparable period in fiscal 2011.

License revenue for the second quarter of fiscal 2012 was $25.7 million, up 29% from the year ago period, maintenance revenue was $6.8 million, up 31% from the year ago period, and services revenue was $22.6 million, up 32% from the year ago period.

Trailing 12-month total revenue at the end of the second fiscal quarter was $202.9 million, up 26% on a year-over-year basis. Profitability GAAP operating income was $5.4 million for the second quarter of fiscal 2012, consistent with the comparable period in fiscal 2011.

Non-GAAP operating income was $11.6 million for the second quarter of fiscal 2012, an increase of 69% from the comparable period in fiscal 2011.

Adjusted EBITDA was $12.3 million for the second quarter of fiscal 2012, an increase of 69% from the comparable period in fiscal 2011.

GAAP net income was $3.7 million for the second quarter of fiscal 2012, compared to net income of $5.4 million for the comparable period in fiscal 2011. GAAP net income per share was $0.06, based on diluted weighted average shares outstanding of 25.6 million, compared to $0.11 for the comparable period in fiscal 2011, based on diluted weighted average shares outstanding of 16.4 million.

Non-GAAP net income was $7.8 million for the second quarter of fiscal 2012, an increase of 13% from the comparable period in fiscal 2011. Non-GAAP net income per diluted share was $0.16, based on diluted weighted average shares outstanding of 48.8 million, compared to $0.17 for the second quarter of fiscal 2011, based on diluted weighted average shares outstanding of 41.7 million. Balance Sheet The company had $169.6 million in cash and cash equivalents at January 31, 2012, an increase from $31.2 million at October 31, 2011. The increase in cash was primarily due to our successful initial public offering, which raised $119.3 million in net proceeds, after underwriting discounts and expenses, through the sale of 10.2 million shares of our common stock. Conference Call Information