Freshworks posts $194.6 Mn revenue in Q4, projects $809 Mn for CY25

SaaS firm Freshworks registered a 21.6% year-on-year growth in the fourth quarter of the last calendar year (2024). Meanwhile, the company narrowed its losses by 21.8% during the same period.

Freshworks operating revenue grew to $194.5 million in the quarter ending December 2024 from $160 million in Q4 CYFY23, its regulatory filing accessed from NASDAQ shows.

For the context, the company has registered a 20.8% year-on-year growth during the full year, raising its scale from $596 million in CY23  to $720 million in CY24.

Freshworks provides marketing, sales, support, and IT solutions through a portfolio of products: Freshservice, Freshdesk, Freshmarketer, Freshchat, and Freshsales to global companies.

Moving over to the cost side, Freshworks’s sales and marketing formed 46% of the overall expenditure which modestly increased by 1.8% to $90.6 million in Q4 CY24. The company’s spending on research, employees, and general overhead took the overall cost to $216.4 million in Q4 CY24.

The decent increase in growth and controlled cost mechanism helped Freshworks to reduce its losses by 21.8% to $21.9 million in Q4 CY24 from $28 million in Q4 CY23.

As per the press release, the company onboarded New Balance, Rawlings Sporting Goods, Sophos, Onfido, Mesa Airlines, and several others in the last quarter. Additionally, Freshworks appointed Srinivasan Raghavan as Chief Product Officer and Venkitesh Subramanian as Senior Vice President of Product Management, Customer Experience.

The company anticipates generating revenue between $190 million and $193 million in the first quarter of CY25, with total annual revenue projected to reach $809 million for the full year.