Freshworks profit margin FRSH
Gross, operating and net profit as a share of revenue over the last twelve months, from 2021.
- Net margin, 12 months
- 20.5%
- Operating margin, 12 months
- 3.3%
- Net margin on a year earlier
- +27.5 pts
- Peer median
- 10.5%
Over the twelve months to Jun 30, 2026, Freshworks kept 20.5% of its revenue as net profit, with an operating margin of 3.3% and a gross margin of 85.0%.
Five years earlier its net margin was −3.2%.
The median for 10 infrastructure software stocks of a similar size is 10.5%.
Profit margin over time
Fiscal year by fiscal year
| Fiscal year | Net margin | Operating margin | Gross margin |
|---|---|---|---|
| FY2025 | 21.9% | 1.6% | 85.0% |
| FY2024 | −13.2% | −19.2% | 84.3% |
| FY2023 | −23.0% | −28.5% | 82.7% |
| FY2022 | −46.6% | −46.9% | 80.8% |
| FY2021 | −51.7% | −55.2% | 79.0% |
| FY2020 | n/a | n/a | n/a |
Quarter by quarter
| Quarter | Ended | Net margin, 12 months | Change on a year | Operating margin |
|---|---|---|---|---|
| Q2 FY26 | 20.5% | +27.5 pts | 3.3% | |
| Q1 FY26 | 20.7% | +30.4 pts | 1.8% | |
| Q4 FY25 | 21.9% | +35.1 pts | 1.6% | |
| Q3 FY25 | −3.7% | +11.1 pts | −6.2% | |
| Q2 FY25 | −7.0% | +8.7 pts | −10.4% | |
| Q1 FY25 | −9.8% | +9.2 pts | −15.5% | |
| Q4 FY24 | −13.2% | +9.8 pts | −19.2% | |
| Q3 FY24 | −14.8% | +14.1 pts | −22.6% | |
| Q2 FY24 | −15.7% | +19.5 pts | −23.7% | |
| Q1 FY24 | −18.9% | +24.4 pts | −24.7% | |
| Q4 FY23 | −23.0% | +23.6 pts | −28.5% | |
| Q3 FY23 | −28.9% | +24.5 pts | −33.5% |
Against its peers
Companies in Software - Infrastructure nearest Freshworks' size, closest first, today.
| Company | Profit margin |
|---|---|
| FRSHFreshworks | 20.5% |
| QTWOQ2 | 10.9% |
| CCCCCC Intelligent Solutions | 3.8% |
| WKWorkiva | 4.9% |
| AVPTAvePoint | 15.3% |
| AGYSAgilysys | 13.0% |
| SPSCSPS Commerce | 10.1% |
| KDKyndryl | 0.6% |
| ALRMAlarm.com | 11.1% |
| BBBLACKBERRY | 13.1% |
| PSNParsons | 2.5% |
| Peer median | 10.5% |
Where Freshworks ranks
What the profit margin tells you
Profit as a share of revenue at three levels: gross (after making the product), operating (after running the business) and net (after everything, including tax and interest).
Compare within an industry. 10% is superb for a retailer and poor for a software company.
More on Freshworks
Valuation data, not investment advice. Prices as of . Reported figures come from the company's filings with the SEC.