Freshworks’ Revenue Q4 Increased By 44% To $105.5 Million

Freshworks Inc, a software as a service (SaaS) company announced that total Freshworks’ revenue for the quarter ending December 31 increased 44 percent year over year to $105.5 million.

In comparison to 2020, total revenue for the full year was $371 million, up 49%. “We had a fantastic finish to the year, surpassing $100 million in quarterly revenue and experiencing 44 percent year-over-year growth in the fourth quarter,” said Girish Mathrubootham, the company’s founder and CEO.

The number of clients that contributed more than $5,000 in Annual Recurring Revenue increased by 28% year over year, according to the firm.

According to the corporation, the net dollar retention rate was 114 percent in the fourth quarter of 2020, compared to 117 percent in the third quarter of 2021 and 111 percent in the third quarter of 2021.

Freshworks forecasts overall sales of $107 million to $109 million in the first quarter of 2022, according to the company. It also forecasts a $12.5 million to $10.5 million non-GAAP loss from operations.

Freshworks expects total revenue of $486.5 million to $495 million for the full year of 2022, and a non-GAAP loss from operations of $56.5 million to $48.5 million, according to the company.

The Company said the fourth quarter’s GAAP (Generally Accepted Accounting Principles – United States) loss from operations was $56.4 million, up from $3.4 million the year before.

In the same period, the non-GAAP loss from operations was $10.7 million, compared to $2.3 million in the fourth quarter of 2020.

The Chennai-based company stated in a statement that net cash provided by operating activities was $4.8 million, compared to $13.5 million in the fourth quarter of 2020.