Freshworks Q1 Revenue Rises 16% to $228.6M, Closes First $1M+ ARR Deal
Freshworks delivered Q1 2026 revenue of $228.6 million, up 16% year-over-year, and non-GAAP operating income of $41.0 million (17.9% margin). It landed its two largest-ever deals—including the first $1 million-plus ARR contract—and grew customers with over $100 000 ARR by 29% to 1,646.
1. First Quarter Financial Results
Freshworks reported Q1 2026 total revenue of $228.6 million, up 16% year-over-year (14% constant currency), delivering non-GAAP operating income of $41.0 million (17.9% margin) and narrowing its GAAP operating loss to $8.1 million (3.5% margin). Net cash from operations reached $62.4 million, equivalent to a 27.3% cash flow margin.
2. Record Deals and Customer Growth
The company secured its two largest deals in history, including its first contract exceeding $1 million ARR. Customers contributing more than $100,000 ARR rose 29% year-over-year to 1,646, while net dollar retention held at 106%, driven by demand for Employee Experience and AI Copilot solutions.
3. Q2 and Full Year 2026 Outlook
Freshworks forecasted Q2 2026 revenue of $232.0–$235.0 million (13–15% growth) and full-year 2026 revenue of $958.0–$964.0 million (14–15% growth), with projected non-GAAP operating income of $41.0–$43.0 million in Q2 and $207.0–$215.0 million for the year, and non-GAAP EPS of $0.61–$0.63.