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Guidewire Software (Guidewire Software) EBIT

: $-65.4 Mil (TTM As of Jan. 2024)
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Guidewire Software's earnings before interest and taxes (EBIT) for the three months ended in Jan. 2024 was $8.7 Mil. Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Jan. 2024 was $-65.4 Mil.

EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Guidewire Software's annualized ROC % for the quarter that ended in Jan. 2024 was -5.69%. Guidewire Software's annualized ROC (Joel Greenblatt) % for the quarter that ended in Jan. 2024 was 33.11%.

EBIT is also linked to Joel Greenblatt's definition of earnings yield. Guidewire Software's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Jan. 2024 was -0.76%.


Guidewire Software EBIT Historical Data

The historical data trend for Guidewire Software's EBIT can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Guidewire Software Annual Data
Trend Jul14 Jul15 Jul16 Jul17 Jul18 Jul19 Jul20 Jul21 Jul22 Jul23
EBIT
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 29.79 -6.39 -85.57 -210.27 -127.38

Guidewire Software Quarterly Data
Apr19 Jul19 Oct19 Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24
EBIT Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -6.53 -54.55 17.44 -36.91 8.66

Competitive Comparison

For the Software - Application subindustry, Guidewire Software's EV-to-EBIT, along with its competitors' market caps and EV-to-EBIT data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Guidewire Software EV-to-EBIT Distribution

For the Software industry and Technology sector, Guidewire Software's EV-to-EBIT distribution charts can be found below:

* The bar in red indicates where Guidewire Software's EV-to-EBIT falls into.



Guidewire Software EBIT Calculation

EBIT, sometimes also called Earnings Before Interest and Taxes, is a measure of a firm's profit that includes all expenses except interest and income tax expenses. It is the difference between operating revenues and operating expenses. When a firm does not have non-operating income, then Operating Income is sometimes used as a synonym for EBIT and operating profit.

EBIT for the trailing twelve months (TTM) ended in Jan. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was $-65.4 Mil.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Guidewire Software  (NYSE:GWRE) EBIT Explanation

1. EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition.

Guidewire Software's annualized ROC % for the quarter that ended in Jan. 2024 is calculated as:

ROC % (Q: Jan. 2024 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Oct. 2023 ) + Invested Capital (Q: Jan. 2024 ))/ count )
=-49.64 * ( 1 - -39.1% )/( (1187.44 + 1237.967)/ 2 )
=-69.04924/1212.7035
=-5.69 %

where

Invested Capital(Q: Oct. 2023 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=1919.597 - 19.21 - ( 712.947 - max(0, 262.375 - 976.798+712.947))
=1187.44

Invested Capital(Q: Jan. 2024 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=2013.52 - 21.999 - ( 777.623 - max(0, 307.076 - 1060.63+777.623))
=1237.967

Note: The Operating Income data used here is four times the quarterly (Jan. 2024) data.

2. Joel Greenblatt's definition of Return on Capital:

Guidewire Software's annualized ROC (Joel Greenblatt) % for the quarter that ended in Jan. 2024 is calculated as:

ROC (Joel Greenblatt) %(Q: Jan. 2024 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Oct. 2023  Q: Jan. 2024
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=34.624/( ( (105.682 + max(-107.755, 0)) + (103.436 + max(-115.035, 0)) )/ 2 )
=34.624/( ( 105.682 + 103.436 )/ 2 )
=34.624/104.559
=33.11 %

where Working Capital is:

Working Capital(Q: Oct. 2023 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(93.083 + 0 + 61.537) - (19.21 + 171.103 + 72.062)
=-107.755

Working Capital(Q: Jan. 2024 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(128.242 + 0 + 63.799) - (21.999 + 195.083 + 89.994)
=-115.035

When net working capital is negative, 0 is used.

Note: The EBIT data used here is four times the quarterly (Jan. 2024) EBIT data.

3. It is also linked to Joel Greenblatt's definition of Earnings Yield:

Guidewire Software's Earnings Yield (Joel Greenblatt) % for today is calculated as:

Earnings Yield (Joel Greenblatt) %=EBIT (TTM)/Enterprise Value (Q: Jan. 2024 )
=-65.36/8649.940
=-0.76 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Guidewire Software EBIT Related Terms

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Guidewire Software (Guidewire Software) Business Description

Traded in Other Exchanges
Address
970 Park Pl., Suite 200, San Mateo, CA, USA, 94403
Guidewire Software provides software solutions for property and casualty insurers. Flagship product InsuranceSuite is an on-premises system of record and comprises ClaimCenter, a claims management system; PolicyCenter, a policy management system including policy definitions, quotas, issuance, maintenance, and renewal; and BillingCenter, for billing management, payment plans, and agent commissions. The company also offers InsuranceNow, a cloud-based offering, as well as a variety of other add-on applications.
Executives
Jeffrey Elliott Cooper officer: Interim CFO C/O GUIDEWIRE SOFTWARE, INC., 970 PARK PL, SUITE 200, SAN MATEO CA 94403
James Winston King officer: Chief Admin Officer, Gen Couns C/O GUIDEWIRE SOFTWARE, INC., 970 PARK PL, SUITE 200, SAN MATEO CA 94403
Priscilla Hung officer: PRESIDENT & COO C/O GUIDEWIRE SOFTWARE, INC., 970 PARK PL, SUITE 200, SAN MATEO CA 94403
John P Mullen officer: President & CRO C/O GUIDEWIRE SOFTWARE, INC., 970 PARK PL, SUITE 200, SAN MATEO CA 94403
Michael George Rosenbaum director, officer: Chief Executive Officer C/O GUIDEWIRE SOFTWARE, INC., 970 PARK PL, SUITE 200, SAN MATEO CA 94403
David S Bauer director C/O GUIDEWIRE SOFTWARE, INC., 2850 S DELAWARE STREET, S-400, SAN MATEO CA 94403
Brown Andrew William Fraser director C/O GUIDEWIRE SOFTWARE, INC., 970 PARK PL, SUITE 200, SAN MATEO CA 94403
Marcus Ryu director 2850 S DELAWARE STREET, SUITE 400, SAN MATEO CA 94403
Michael C Keller director C/O GUIDEWIRE SOFTWARE, INC., 2850 S. DELAWARE ST. STE 400, SAN MATEO CA 94403
Michael Polelle officer: Chief Delivery Officer 2850 S DELAWARE STREET, SUITE 400, SAN MATEO CA 94403
Rajani Ramanathan director C/O GUIDEWIRE SOFTWARE, INC., 2850 S DELAWARE STREET, S-400, SAN MATEO CA 94403
Odowd Frank E Jr officer: Chief Sales Officer GUIDEWIRE SOFTWARE, INC., 2850 S. DELAWARE ST. STE 400, SAN MATEO CA 94403
Paul Lavin director C/O GUIDEWIRE SOFTWARE, INC., 2850 S. DELAWARE STREET, SUITE 400, SAN MATEO CA 94403
Steven P. Sherry officer: Chief Sales Officer GUIDEWIRE SOFTWARE, INC., 2850 S. DELAWARE STREET, SUITE 400, SAN MATEO CA 94403
Margaret Dillon director C/O GUIDEWIRE SOFTWARE, INC., 2850 DELAWARE ST. STE 400, SAN MATEO CA 94403