According to a recent report, the insurance software market is expected to grow by $7.3 billion during 2021-2015 at a CAGR of 8%. San Mateo-based, Guidewire Software (NYSE: GWRE) is a leading player in the market that recently announced its third-quarter results. The company continues to build onto its partner network to drive market growth.

Guidewire’s Financials
Revenues for the third quarter fell 2.5% to $163.97 million, ahead of the market’s forecast of $158.19 million. It reported a net loss of $3.2 million, compared with a net income of $7.7 million for the previous year. Non-GAAP net loss was $0.16 per share, compared with a net income of $0.09 per share a year ago. The market was looking for loss per share of $0.24.

By segment, license revenues fell 19% to $50.9 million and services revenue fell 11% to $48.2 million. Subscription and support revenues grew 28% to $64.8 million.

Annual recurring revenue (ARR) grew from $514 million last year to $538 for the April-ended quarter.

For the fourth quarter, Guidewire expects revenues of $218-$224 million. It expects to end the year with revenues of $732-$738 million. The market was looking for revenues of $222.3 million for the quarter and revenues of $729.5 million for the year.

Guidewire’s Partner Expansion
Guidewire continued to build onto its partner network during the quarter. Members who are part of the Guidewire PartnerConnect Solution program provide software, technology, and data solutions as well as insurance support services to customers. These Solution Partners help drive business value and innovation for insurers by developing and delivering integrations, extensions, apps, and other complementary solutions for Guidewire products.

Last month, Genpact announced the release of its Ready for Guidewire add-on that connects ClaimCenter users to Genpact Claims Manager for digital inspection and adjudication services. Niche services provider CCG IQ also announced its add-on for Guidewire that empowers insurers to make more informed settlement decisions regarding specialty claims for HVAC systems and electrically powered equipment.

Overall, Guidewire ended the quarter with more than 1,600 consultants from 31 partner companies who have earned advanced certifications required for Guidewire InsuranceSuite Cloud implementations. Big names like Cognizant and Deloitte qualified for the cloud specialization within its PartnerConnect program as key systems integrators. The Guidewire marketplace now has more than 700 applications from Guidewire and 120 partners for its customers.

Its stock is trading at $112.42 with a market capitalization of $9.3 billion. It hit a 52-week high of $134.22 in January this year and a 52-week low of $91.77 in May.