Guidewire Software Inc (GWRE)

Operating profit margin

		Oct 31, 2024	Jul 31, 2024	Apr 30, 2024	Jan 31, 2024	Oct 31, 2023	Jul 31, 2023	Apr 30, 2023	Jan 31, 2023	Oct 31, 2022	Jul 31, 2022	Apr 30, 2022	Jan 31, 2022	Oct 31, 2021	Jul 31, 2021	Apr 30, 2021	Jan 31, 2021	Oct 31, 2020	Jul 31, 2020	Apr 30, 2020	Jan 31, 2020
Operating income (ttm)	US$ in thousands	-23,512	-52,573	-56,792	-97,912	-108,718	-149,490	-187,794	-192,382	-208,623	-199,447	-167,322	-151,744	-139,357	-105,584	-61,159	-39,933	-30,893	-23,886	-47,145	-37,312
Revenue (ttm)	US$ in thousands	1,039,477	982,300	952,197	919,218	910,947	898,831	870,547	857,475	826,697	794,619	779,718	746,444	722,096	726,143	740,463	744,838	738,408	725,792	694,239	693,064
Operating profit margin		-2.26%	-5.35%	-5.96%	-10.65%	-11.93%	-16.63%	-21.57%	-22.44%	-25.24%	-25.10%	-21.46%	-20.33%	-19.30%	-14.54%	-8.26%	-5.36%	-4.18%	-3.29%	-6.79%	-5.38%

October 31, 2024 calculation

Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $-23,512K ÷ $1,039,477K
= -2.26%

Guidewire Software Inc's operating profit margin has shown a downward trend from January 2020 to October 2024. The operating profit margin started at -5.38% in January 2020 and reached its lowest point of -25.24% in October 2022. From that point, there was a gradual improvement in the operating profit margin, demonstrating a recovery in the company's profitability.

The company's operating profit margin indicates that for each dollar of revenue generated, Guidewire Software Inc has been operating at a loss over the specified time period. The negative percentages signify that the company's operating expenses have exceeded its operating income consistently.

It is important for Guidewire Software Inc to continue monitoring and managing its operating expenses effectively to improve its operating profit margin and work towards achieving profitability in the future.