Superworth

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

GrossOperatingNet

Open the interactive chart, with overlays and comparisons

Fiscal year by fiscal year

Fiscal yearNet marginOperating marginGross margin
FY202521.9%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%
FY2020n/an/an/a

Quarter by quarter

QuarterEndedNet margin, 12 monthsChange on a yearOperating margin
Q2 FY2620.5%+27.5 pts3.3%
Q1 FY2620.7%+30.4 pts1.8%
Q4 FY2521.9%+35.1 pts1.6%
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.

CompanyProfit margin
FRSHFreshworks20.5%
QTWOQ210.9%
CCCCCC Intelligent Solutions3.8%
WKWorkiva4.9%
AVPTAvePoint15.3%
AGYSAgilysys13.0%
SPSCSPS Commerce10.1%
KDKyndryl0.6%
ALRMAlarm.com11.1%
BBBLACKBERRY13.1%
PSNParsons2.5%
Peer median10.5%

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.