Guidewire Software Inc (GWRE)
Pretax margin
| Jul 31, 2024 | Jul 31, 2023 | Jul 31, 2022 | Jul 31, 2021 | Jul 31, 2020 | ||
|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) | US$ in thousands | -26,838 | -134,094 | -229,715 | -104,281 | -24,331 |
| Revenue | US$ in thousands | 982,300 | 899,523 | 794,619 | 726,143 | 725,792 |
| Pretax margin | -2.73% | -14.91% | -28.91% | -14.36% | -3.35% |
July 31, 2024 calculation
Pretax margin = EBT ÷ Revenue
= $-26,838K ÷ $982,300K
= -2.73%
Guidewire Software Inc's pretax margin has shown a downward trend over the years, indicating a decrease in profitability before taxes.
As of July 31, 2020, the pretax margin stood at -3.35%, which worsened to -14.36% by July 31, 2021. The margin further deteriorated to -28.91% by July 31, 2022, reflecting significant challenges in generating profits before tax expenses.
However, there seems to have been a slight improvement by July 31, 2023, with the pretax margin at -14.91%. This improvement could suggest some strategic adjustments or cost management initiatives undertaken by the company.
By July 31, 2024, the pretax margin further improved to -2.73%, signaling a potential rebound in the company's profitability. It is essential for Guidewire Software Inc to continue monitoring and addressing factors impacting its pretax margin to sustain and enhance its financial performance in the future.
Peer comparison
Jul 31, 2024