Freshworks Inc. (FRSH) Earnings
Freshworks Inc. is expected to report next earnings on August 4, 2026 (in NaN days), with a consensus EPS estimate of $0.13. FRSH has beaten EPS estimates in 11 of its last 12 reported quarters (average surprise +20.9% over the last four).
| Report date | EPS est | EPS actual | Surprise | Revenue | Rev. surprise |
|---|---|---|---|---|---|
| May 5, 2026 | $0.11 | $0.11 | +0.0% | $229M | +2.2% |
| Feb 10, 2026 | $0.11 | $0.14 | +27.3% | $223M | +0.8% |
| Nov 5, 2025 | $0.13 | $0.16 | +23.1% | $215M | -1.7% |
| Jul 30, 2024 | $0.06 | $0.08 | +33.3% | $174M | +1.8% |
| May 1, 2024 | $0.08 | $0.10 | +25.0% | $165M | +0.9% |
| Feb 6, 2024 | $0.05 | $0.08 | +60.0% | $160M | +1.0% |
| Oct 31, 2023 | $0.05 | $0.08 | +60.0% | $154M | -3.1% |
| May 2, 2023 | $0.01 | $0.03 | +274.5% | $138M | +2.6% |
| Feb 7, 2023 | $0.00 | $0.01 | +126.8% | $133M | -0.8% |
| Nov 1, 2022 | $-0.06 | $-0.01 | +83.3% | $129M | +2.6% |
| Aug 2, 2022 | $-0.07 | $-0.06 | +14.3% | $121M | +3.0% |
| May 3, 2022 | $-0.05 | $-0.01 | +80.0% | $115M | +5.9% |
Source: company filings + earnings calendar. For informational purposes only — not investment advice.
Earnings call summary
Q1 FY2026 · May 5, 2026
AI summary of management’s prepared remarks and analyst Q&A. For informational purposes only — not investment advice.
Management highlights
• Freshworks had strong Q1 2026 performance with revenue, profitability, and free cash flow exceeding expectations. • EX business showed significant growth with large deals signed, including the largest in company history. • AI progress with Credit AI embedded and Freddie AI Copilot as a fast-growing product. • CX business delivered durable growth with migration to Freshdesk Omni platform. • Workforce changes announced in Q2 to consolidate go-to-market efforts, streamline product development, and apply AI/automation. • Completion of FireHydrant acquisition to advance AI-enabled service ops platform.
Guidance
• Q2 2026 revenue expected to be in range of $232 million to $235 million, growing 13% to 15% year-over-year. Non-GAAP income from operations expected to be in range of $41 million to $43 million. Non-GAAP net income per share expected to be approximately 13 cents. • Full year 2026 revenue expected to be in range of $958 million to $964 million, growing 14% to 15% year over year. Non-GAAP income from operations expected to be in range of $207 million to $215 million. Non-GAAP net income per share expected to be in range of $0.61 to $0.63. • Full year 2026 adjusted free cash flow expected to be approximately $265 million, with $57 million expected in Q2.
Segment performance
EX ARR grew 27% year over year, ending at over $540 million; CX ARR ended Q1 at over $395 million, up 6% year-over-year. EX customers with over $100,000 in ARR grew 29% year-over-year, and those with over $50,000 in ARR grew 22% year-over-year. EX represents the primary growth opportunity, with Q1 revenue growth of 16% year over year, non-GAAP operating margin of 18%, and adjusted free cash flow margin of 24%.
Risks & headwinds
• Ability to sustain growth, innovate, reach long-term revenue goals, meet customer demand, and control costs and improve operating efficiency. • Risks include those related to macroeconomic environment, market volatility, and other factors affecting results, as detailed in earnings release, Form 10-K, and other SEC filings.
Analyst Q&A
Q: On the employee experience, what drove the variance to the high end of implied year-over-year constant currency revenue growth in Q1?
A: Strong momentum on EX business, upmarket move with growth in accounts spending over $100,000, large deals like with a nutrition company and healthcare provider, and platform expansions.
Q: On fresh service wins against largest competitor, how is pipeline building?
A: Pipeline going into the quarter looked fantastic, with strong momentum in larger end of deal cycle and building pipeline muscle.
Q: Why the decision to restructure now and where are optimizations focused?
A: Building agile company to deliver free cash per share growth while fueling EX business. Reasons include rebalancing go-to-market strategy towards EX, investing in product AI resulting in shorter cycle times, and investing in automation/AI to streamline business. Optimizations focused on consolidating go-to-market efforts, streamlining product development, and applying AI/automation.
Q: On financials, any one-time nature in Q1 and thoughts on competitors?
A: No one-time events in Q1, good execution. On competitors, no major changes in competitive dynamics on EX side with primary competitors being ServiceNow and Atlassian, and on CX side being fragmented.
Q: On channel efforts, size of bookings/pipeline generation and impact of expanding EX suite?
A: Most channel partners are regional service providers driving meaningful business, with nascent GSI efforts and interest in expanding base as customers look for choice in EX suite.
Q: On monetization of third-party agents and repeatability of large deals?
A: MCP gateway to be revealed next week for opening platform to third-party agents. Large deals are repeatable with growing customer count of over $100,000 customers and increasing ARPA.