Dennis Woodside, chief executive and president of Freshworks
Chennai: Freshworks has crossed $1 billion in annual recurring revenue (ARR) after the quarter closed, it said. Its income from operations for the third quarter stood at $28 million, with an operating margin of 11.5%, compared to a $7.5 million loss and a margin of -3.5 %, in the corresponding period of 2025. The company’s total revenues for the quarter grew 14%, standing at $245.4 million. The company has been targeting $1 billion ARR by the end of the year and $1.3 billion ARR in about two years, and moving its focus towards mid-sized enterprises. Number of customers contributing more than $100,000 in ARR increased 25% to 1,821, while customers contributing more than $50,000 in ARR was 4,257, an increase of 18%. GAAP net income per share was $0.07 and non-GAAP net income per share was $0.22. “We delivered a 30% non-GAAP operating margin and grew adjusted free cash flow by 29%. Our momentum upmarket accelerated, with new multi-product EX deals increasing over 35% and partners participating in more than half of our new business.
“Our upmarket strategy delivered another strong quarter,” said Dennis Woodside, chief executive and president of Freshworks. Customers want a unified platform and single data model for service operations, and they are increasingly choosing Freshworks,” he said. GAAP refers to the US accounting standard.