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Guidewire Cloud Conundrum Affects Growth Prospects

Guidewire's Cloud Conundrum: Growth in the Shadows of Slower Near Term Performance Guidewire Software's recent earnings report has left investors and analysts perplexed.

On the surface, the company's 19% annual recurring revenue (ARR) growth seems impressive, but a closer examination reveals a complex web of contradictions.

The company's fiscal fourth quarter revenue increased by 15%, with subscription and support revenue skyrocketing by 32%. However, this growth is largely offset by a decline in license revenue, which fell by 18% to $77.

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