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What: Shares of insurance software specialist Guidewire (NYSE: GWRE) are climbing higher today, up by as much as 12% after the company announced earnings and guided next quarter's sales above Street forecasts.

So what: Revenue in the fourth quarter was $67.6 million, up 33% from a year ago. Adjusted net income came out to $6.4 million, or $0.10 per share. CEO Marcus Ryu said the company is well positioned as the insurance industry inevitably abandons legacy systems with next-generation software.

Now what: Guidewire provided guidance on the conference call with analysts, expecting fiscal 2013 to see revenue between $276 million and $288 million, a head above the market's expectations of $270.2 million. The next quarter should also be solid, with an expected revenue range of $59 million to $62 million. On the flip side, the profit estimates fell short, with full-year adjusted earnings pegged between $0.23 and $0.30 per share, shy of the $0.34 consensus. Investors are clearly focusing on the bright side today.

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Fool contributor Evan Niu holds no position in any company mentioned. Click here to see his holdings and a short bio. The Motley Fool has a disclosure policy.
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