Nasdaq-listed software-as-a-service (SaaS) company Freshworks reported a net profit of $18.3 million in the third quarter of 2026, compared with a loss of $4.7 million in the same period last year.

Revenue for the quarter stood at $245.4 million, marking a 14% year-on-year growth. Freshworks also said it had crossed $1 billion in annual recurring revenue (ARR) at the end of the third quarter, achieving the milestone ahead of its projection of reaching it by the end of 2026.

“Our momentum upmarket accelerated, with new multi-product EX (employee experience) deals increasing over 35% and partners participating in more than half of our new business. Customers want a unified platform and single data model for service operations, and they are increasingly choosing Freshworks,” said Dennis Woodside, CEO of Freshworks.

According to Freshworks, the number of customers contributing more than $100,000 in ARR stood at 1,821, an increase of 25% year-on-year. The number of customers contributing more than $50,000 in ARR rose 18% to 4,257, while those contributing more than $5,000 in ARR increased 5% to 25,498.

The company said that mid-market and enterprise customers accounted for over 60% of its total ARR.

Freshworks reported a net dollar retention (NDR) rate of 104%, unchanged from the second quarter of 2026, but down from 105% in the third quarter of 2025.

For the fourth quarter of 2026, Freshworks has projected revenue in the range of $253.5 million to $254.5 million, translating into year-on-year growth of around 14%.

For the full year 2026, the company expects revenue to be between $965 million and $966 million, representing growth of around 15%.

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