Full-Time

Principal Engineer

Product & Application Security

Freshworks

Freshworks

5,001-10,000 employees

Cloud-based CRM and customer engagement suite

Compensation Overview

$241k - $298k/yr

+ Bonus

San Mateo, CA, USA

Hybrid

Three days on-site per week (Tue–Thu) required.

Category
Software Engineering (1)
Required Skills
Kubernetes
Threat modeling
CloudFormation
Role-based Access Control
SOC 2
SAML
AWS
Cryptography
Terraform
Penetration Testing
OAuth

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Requirements
  • 12+ years in software engineering and/or security, with deep, sustained hands-on ownership of application/product security for production SaaS at enterprise scale
  • Track record as a Principal-level (or equivalent) individual contributor whose technical vision and standards shaped an entire engineering organization — you have defined direction that outlived individual projects
  • Deep experience securing multi-tenant, cloud-native SaaS platforms (ideally on AWS), including tenant isolation, authN/authZ, and API security at scale
  • Demonstrated impact eliminating vulnerability classes and setting the security frameworks, reference architectures, or paved roads adopted org-wide
  • Authoritative, current knowledge of application security anchored in OWASP frameworks — Web Top 10, API Security Top 10, ASVS, the LLM Top 10, and the newer OWASP Agentic AI Top 10
  • Secure design patterns, authentication/authorization (OAuth 2.0, OIDC, SAML, SCIM), session management, and cryptography
  • Mastery of threat modeling (e.g., STRIDE), secure code review, and both manual and AI-assisted penetration testing across web, API, and cloud surfaces
  • Deep experience embedding security into CI/CD at scale: SAST, DAST (e.g., Snyk, Snyk Code), SCA, secret scanning, IaC scanning, artifact-repository management (e.g., Sonatype Nexus), and container/Kubernetes security aligned to the OWASP Kubernetes Top Ten
  • Strong coding ability in one or more of Ruby, Java, Go, Python, or JavaScript/TypeScript
  • Deep cloud security expertise (AWS preferred): IAM and role right-sizing, network/egress controls, KMS/secrets management, BYOK/field-level encryption, and infrastructure-as-code (Terraform/CloudFormation)
  • Authoritative grasp of cryptographic and compliance standards relevant to enterprise SaaS — e.g., FIPS 140-2/140-3, PCI, SOC 2, ISO 27001, and Google CASA / TX-RAMP control frameworks
  • Deep understanding of securing AI/LLM and agentic systems — including Claude and other LLM security concerns such as prompt injection, insecure tool use, model/data exposure, and non-human identity
  • Ability to set technical direction for and influence an entire engineering organization — and senior executives (VP/CISO) — through technical credibility and clear communication
  • A genuine service-oriented, "make the secure path the easy path" mindset toward internal developers
  • A multiplier: track record of growing Staff and Senior Staff engineers and building a durable security-champion culture across distributed teams
Responsibilities
  • Own the multi-year technical vision and architecture strategy for product and application security across all Freshworks products (Freshdesk, Freshservice, and the shared Platform), and drive alignment on it across engineering and the CISO organization
  • Define the secure-by-design reference architectures, paradigms, and organization-wide standards (authN/authZ, tenant isolation, data protection, secrets, API security) that thousands of engineers build against
  • Set the strategic security agenda for the AI-first platform — securing the AI Agent Platform, Knowledge/Context Graph, and agentic workflows — anticipating threat classes before they reach production
  • Act as the final technical decision-maker and tie-breaker on the hardest, highest-risk security-architecture trade-offs
  • Lead threat modeling and security design reviews for the most critical, cross-cutting, and highest-risk systems — including identity and access, the integrations/connector framework (300+ apps), and the agent runtime
  • Set the standard for secure code review, manual and AI-assisted penetration testing, and vulnerability analysis; drive root-cause remediation strategies that eliminate whole vulnerability classes across the estate, not one bug at a time
  • Architect and harden multi-tenant security controls: strict tenant isolation, authentication/authorization models, secrets management, data protection, and API gateway security
  • Own the security design for AI/agentic features — prompt injection defense, tool-invocation authorization, non-human identity, and permission-scoped context access
  • Define the organization-wide, AI-assisted left-shift strategy: how SAST, DAST (e.g., Snyk), SCA/dependency scanning, secret detection, and IaC scanning are embedded across every CI/CD pipeline to catch issues before production
  • Set the direction for security tooling, automation, and paved-road frameworks and libraries that make the secure path the default path — including code-component asset inventory (API/SBOM/RBAC/secrets/integrations) and secure-by-default product hardening
  • Own the software supply-chain security strategy: centralized software artifact repository management (e.g., Sonatype Nexus), code artifact repository guardrails, and CI/CD pipeline hardening
  • Establish secure coding standards, golden patterns, and guardrails; operationalize threat modeling and maturity models (SAMM) across the product portfolio; and define the security quality gates the whole org is measured against
  • Serve as the top technical escalation point for the most severe security incidents — leading investigation, containment strategy, and post-incident architectural hardening
  • Set the risk-based prioritization framework for findings from internal testing, bug bounty, third-party pen tests, and researcher disclosures, and drive systemic fixes
  • Shape the strategy for the bug bounty and responsible-disclosure program
  • Act as the recognized top IC authority for product security — mentoring and multiplying Staff and Senior Staff engineers and security champions, and raising the security bar across the entire engineering organization
  • Influence company-level strategy: advise VP Engineering, the CISO organization, and product leadership; represent Freshworks' product-security posture to enterprise customers, auditors, and (where appropriate) the external security community
  • Drive cross-organizational security initiatives to completion through technical credibility and clarity — building consensus across many teams without formal authority
  • You will be expected to provide deep technical direction — and roll up your sleeves — across the full product security roadmap, including:
  • Compliance & trust enablement: internal and external pen testing (PCI vault, VAPT), Google CASA, TX-RAMP control validation, SDLC documentation control reviews, audit evidence, risk assessment prioritization, and new-product-introduction (NPI) security assessments
  • Continuous security assessment & automation: DAST onboarding for public APIs and continuous-deployment integration, SCA bug triage, CI/CD environment assessment, continuous control monitoring, security scorecards, and anomaly-detection rule configuration
  • Shift-security-left: code-component asset inventory (API/SBOM/RBAC/secrets/integrations), supply-chain attack prevention, threat-modeling operationalization, and product-security maturity models (SAMM)
  • Product security features: step-up authentication for sensitive operations, SCIM/secure SAML, OIDC federated SSO, OAuth for APIs and third-party apps, secrets injection, customer data masking, field-level encryption, BYOK, DNSSEC, header hardening (CSP/X-Frame), IMDSv2, egress proxy enforcement, hardcoded-secret cleanup, IAM role right-sizing, SIEM audit-log integration, SSPM tool integration
  • Metrics & Impact: Define the security KPIs the organization is held to: reduction in high/critical findings reaching production, coverage of critical services by threat models, mean time to remediate, and adoption of secure-by-default frameworks
  • Deliver a measurable, sustained reduction in exploitable risk across the entire product portfolio while improving — not slowing — engineering velocity
Desired Qualifications
  • Deep experience securing ITSM, CX/CRM, or service-management products and their data models
  • Recognized external contributions: open-source security projects, published research, CVEs, standards bodies, or conference talks (e.g., Black Hat, DEF CON, OWASP)
  • Industry certifications such as OSCP, OSWE, GWAPT, CISSP, or equivalent (valued, not required)
  • Experience defining or scaling bug bounty / responsible-disclosure programs
  • Deep familiarity with modern AI/ML stacks — LLMs, embeddings, RAG pipelines, and agent frameworks (LangGraph, MCP, A2A)
  • Experience shaping compliance and audit programs (SOC 2, ISO 27001, FedRAMP, GDPR)

Freshworks provides a cloud-based suite of customer engagement and internal operations software. It offers modules for customer support (Freshdesk), sales automation (Freshsales), marketing automation (Freshmarketer), IT service management (Freshservice), and HR management (Freshteam), all on a single SaaS platform with data flowing between apps and a marketplace for third-party integrations. Customers subscribe to tiered plans and deploy quickly. The platform serves small to large businesses across many industries, aiming to help teams collaborate and work more efficiently by unifying customer interactions and internal processes.

Company Size

5,001-10,000

Company Stage

IPO

Headquarters

San Mateo, California

Founded

2010

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Simplify Jobs

Simplify's Take

What believers are saying

  • Q2 2026 revenue rose 16% to $237.4 million, with GAAP profit of $3.2 million.
  • EX ARR reached $567 million in Q2 2026, growing 23% and driving expansion.
  • Freshworks spent $159 million buying back shares, reinforcing confidence and EPS support.

What critics are saying

  • May 5, 2026 layoffs cut 500 jobs, signaling another restructuring after 2024 cuts.
  • CX ARR grew only 3% in Q2 2026, leaving Freshworks reliant on EX momentum.
  • ServiceNow still dominates enterprise ITSM; Freshworks risks being boxed into mid-market wins.

What makes Freshworks unique

  • Freshworks' May 2026 Agent Studio deploys domain-specific AI agents in weeks.
  • Freshservice unifies ITSM, ITAM, ITOM, ESM, and incidents on one shared data layer.
  • Ryan Manning joined August 10, 2026, bringing ServiceNow and BMC Helix product discipline.

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Benefits

Hybrid Work Options

Growth & Insights and Company News

Headcount

6 month growth

-10%

1 year growth

1%

2 year growth

0%
Carahsoft
Aug 17th, 2026
Freshworks named a Leader in the 2026 gartner(r) Magic quadrant(tm) for IT Service Management Platforms.

Freshworks named a Leader in the 2026 gartner(r) Magic quadrant(tm) for IT Service Management Platforms. August 17, 2026 Artificial intelligence (AI) has reset what employees expect from service, infrastructure is harder to see and govern and service management is no longer just about managing tickets, it requires deep infrastructure and asset context to drive reliable outcomes. Carahsoft Technology Corp. is proud to share that Freshworks has been named a Leader for IT Service Management Platforms. Carahsoft Technology Corp. believe this recognition reflects its commitment to building Freshservice into an AI-powered, unified service operations platform for agile enterprises. Organizations that need depth, governance and scale without the operational drag of legacy platforms. IT Service Management (ITSM) platforms boost teams' efficiency by automating processes, streamlining decision making and providing seamless integration with third-party applications. These platforms enhance the end-user experience and help IT services remain agile and aligned with business goals. Leaders as described by Gartner. "Leaders have demonstrated strong execution, broad market reach and high customer awareness, as reflected in Gartner client interactions, growth and market presence. These vendors present a clear vision that addresses key challenges facing I&O teams, such as the influence of product teams, support for agile and DevOps environments, delivering impactful employee experiences and enabling more proactive and responsive ITSM practices in a highly integrated environment. These vendors demonstrate a good understanding of the role both human and AI agents play in this space and address both in their strategies and messaging. They possess the product, marketing and sales capabilities necessary to drive market acceptance." * Gartner, Magic Quadrant for IT Service Management Platforms, Rich Doheny, Jen Lichucki, 27 July 2026 Freshworks is a Leader in this Magic Quadrant. Founded in 2010, it is a public company headquartered in San Mateo, California, U.S. Its operations are global and it targets midsize organizations from all ITSM maturities for its ITSM offering, Freshservice. Freshworks' strategy is aimed at providing an AI-enabled ITSM platform focused on quick configuration and ease of use. Recent product enhancements include integration of its virtual support agent (VSA) into its self-service portal, knowledge gap identification and a new ITAM interface through integration with its Device42 acquisition. Product-development plans include AI-driven change risk scoring, intelligent ticket routing, enhanced asset and service monitoring and executive dashboards. In 2026, Freshworks acquired FireHydrant to extend responsive incident management to DevOps and Site Reliability Engineering (SRE) teams. Strengths: * Strategic platform investments: Freshworks' acquisitions of Device42 and FireHydrant strengthen Freshworks' core platform with deeper discovery and dependency mapping (DDM) and incident-response capabilities. * High brand visibility: Freshworks maintains strong awareness among ITSM platform buyers and frequently shows up on Gartner client shortlists. The company's multichannel marketing efforts, including roadshows, events and social media, make it easier for potential buyers to access information, engage with the brand and evaluate its offerings. * Product enhancements: Freshworks employs a broad reach of channels to capture a high number of customer suggestions for enhancements and regularly incorporates these into its monthly updates. Reach out to its Freshworks team at Carahsoft to learn more about Freshwork's offerings and how they can help your organization! Gartner does not endorse any vendor, product or service depicted in its research publications, and does not advise technology users to select only those vendors with the highest ratings or other designation. Gartner research publications consist of the opinions of Gartner's research organization and should not be construed as statements of fact. Gartner disclaims all warranties, expressed or implied, with respect to this research, including any warranties of merchantability or fitness for a particular purpose. GARTNER is a registered trademark and service mark of Gartner, Inc. and/or its affiliates in the U.S. and internationally. MAGIC QUADRANT is a registered trademark of Gartner, Inc. and/or its affiliates and is used herein with permission. All rights reserved. Carahsoft Technology Corp. is The Trusted Government IT Solutions Provider, supporting Public Sector organizations across Federal, State and Local Government agencies and Education and Healthcare markets. As the Master Government Aggregator for its vendor partners, including Freshworks, Carahsoft Technology Corp. deliver solutions for Geospatial, Cybersecurity, MultiCloud, DevSecOps, Artificial Intelligence, Customer Experience and Engagement, Open Source and more. Working with resellers, systems integrators and consultants, its sales and marketing teams provide industry leading IT products, services and training through hundreds of contract vehicles. Explore the Carahsoft Blog to learn more about the latest trends in Government technology markets and solutions, as well as Carahsoft's ecosystem of partner thought-leaders. Dennis Woodside. CEO, Freshworks Dennis Woodside has been the CEO of Freshworks since 2022 and has worked alongside the founder to build and distribute high value, easy to use software for sales, marketing, IT and customer support teams in 67,000 companies.

Yahoo Finance
Aug 5th, 2026
Freshworks reaches profitability with $237M revenue, EX ARR up 23% to $567M

Freshworks reported Q2 revenue of $237.4 million, up 16% year over year, and achieved GAAP profitability ahead of schedule with $3.2 million in net income. The company reached a 24% non-GAAP operating margin and maintained "rule of 40" performance for the eighth consecutive quarter. Employee experience (EX) annual recurring revenue grew 23% to $567 million, representing 59% of total ARR. Enterprise service management ARR surged 67% to over $50 million. More than 7,000 customers now use Freshworks' AI products, with Freddy AI Copilot attached to over 70% of new deals exceeding $30,000. The company expects approximately 15% full-year revenue growth, $222 million to $228 million in non-GAAP operating income, and roughly $265 million in adjusted free cash flow. Customer experience growth remained modest at 3% as Freshworks focuses on profitability and larger customers.

MarketBeat
Aug 4th, 2026
Freshworks (NASDAQ:FRSH) issues earnings results.

Freshworks (NASDAQ:FRSH) issues earnings results. August 4, 2026 Key points. * Freshworks beat quarterly expectations: The company reported adjusted EPS of $0.17 versus the $0.13 consensus estimate, while revenue reached $237.4 million, up 16% year over year and above expectations. * Profitability and AI adoption improved: Freshworks posted $3.2 million in GAAP net income, with more than 7,000 customers paying for an AI product and Copilot attach rates above 70% on larger new deals. Management maintained FY 2026 EPS guidance of $0.66-$0.68. * Growth remains uneven: Employee experience ARR rose 24% on a constant-currency basis, but customer-experience ARR grew only 4%, prompting the company to prioritize profitability and retention in that segment. Freshworks also repurchased about $159 million of stock during the quarter and ended with $665 million in cash and investments and no debt. * Interested in Freshworks? Here are five stocks we like better. Freshworks (NASDAQ:FRSH - Get Free Report) posted its quarterly earnings results on Tuesday. The company reported $0.17 earnings per share for the quarter, beating the consensus estimate of $0.13 by $0.04, FiscalAI reports. The business had revenue of $237.38 million for the quarter, compared to the consensus estimate of $233.62 million. Freshworks had a return on equity of 4.27% and a net margin of 20.69%.The company's quarterly revenue was up 16.0% compared to the same quarter last year. During the same quarter in the previous year, the business earned $0.18 EPS. Freshworks updated its FY 2026 guidance to 0.660-0.680 EPS and its Q3 2026 guidance to 0.180-0.180 EPS. Here are the key takeaways from Freshworks' conference call: * GAAP profitability arrived ahead of schedule: Freshworks reported $3.2 million in Q2 GAAP net income, alongside 16% year-over-year revenue growth to $237.4 million and a 24% non-GAAP operating margin. Management expects to sustain GAAP profitability while continuing to invest in employee experience (EX) and AI. * EX remains the primary growth engine: EX ARR increased 24% on a constant-currency basis to $567 million, or roughly 59% of total ARR, supported by larger enterprise deals and cross-selling of ITAM, ESM, ITOM and AI. The company reiterated expectations for mid-20s EX ARR growth and more than $600 million in EX ARR exiting 2026. * AI monetization and adoption are gaining traction: More than 7,000 customers now pay for an AI SKU, Copilot attach rates exceeded 70% on new deals above $30,000, and AI Agent Studio had more than 1,000 early-access customers. Freshworks plans to introduce usage-based pricing for Agent Studio in the fall. * Capital efficiency strengthened: Q2 adjusted free cash flow was $57.7 million, and the company repurchased approximately $159 million of stock during the quarter, reducing shares outstanding by 7% year to date. Freshworks ended Q2 with $665 million in cash and investments and no debt. * CX growth remains subdued: CX ARR grew only 4% on a constant-currency basis to $400 million, with full-year growth expected in the low single digits. Management is restructuring the CX organization and focusing on profitability, retention and higher-quality customer acquisition rather than rapid expansion. Freshworks trading up 2.3%. Shares of NASDAQ FRSH traded up $0.27 during trading on Tuesday, reaching $12.04. 8,356,077 shares of the company traded hands, compared to its average volume of 11,424,372. The stock has a market cap of $3.33 billion, a P/E ratio of 19.42 and a beta of 0.86. The firm's fifty day simple moving average is $10.03 and its 200 day simple moving average is $9.18. Freshworks has a 12-month low of $6.79 and a 12-month high of $14.06. Wall Street analyst weigh in. Several research analysts have recently issued reports on the company. Citigroup reaffirmed a "market outperform" rating on shares of Freshworks in a report on Tuesday, June 2nd. Wall Street Zen downgraded shares of Freshworks from a "buy" rating to a "hold" rating in a report on Saturday, May 9th. Morgan Stanley reduced their price target on shares of Freshworks from $15.00 to $13.00 and set an "equal weight" rating for the company in a research report on Monday, May 11th. Weiss Ratings lowered shares of Freshworks from a "sell (d+)" rating to a "sell (d)" rating in a research report on Thursday, May 7th. Finally, Zacks Research cut shares of Freshworks from a "strong-buy" rating to a "hold" rating in a research note on Friday, July 10th. One research analyst has rated the stock with a Strong Buy rating, six have assigned a Buy rating, eight have assigned a Hold rating and one has given a Sell rating to the stock. According to MarketBeat, the stock currently has a consensus rating of "Hold" and a consensus price target of $13.25. Discover more Financial News ETF Screener Tool Financial Markets News Insider transactions at Freshworks. In related news, CAO Philippa Lawrence sold 3,470 shares of the firm's stock in a transaction dated Monday, July 6th. The stock was sold at an average price of $10.13, for a total transaction of $35,151.10. Following the sale, the chief accounting officer directly owned 456,144 shares of the company's stock, valued at $4,620,738.72. This trade represents a 0.75% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Jennifer H. Taylor sold 6,618 shares of Freshworks stock in a transaction that occurred on Thursday, July 2nd. The shares were sold at an average price of $10.44, for a total value of $69,091.92. Following the transaction, the director owned 62,673 shares of the company's stock, valued at approximately $654,306.12. This represents a 9.55% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 27,236 shares of company stock worth $270,331 over the last quarter. 8.54% of the stock is currently owned by insiders. Hedge funds weigh in on Freshworks. Several large investors have recently made changes to their positions in FRSH. Wellington Management Group LLP boosted its stake in shares of Freshworks by 9.2% during the 4th quarter. Wellington Management Group LLP now owns 5,359,784 shares of the company's stock worth $65,657,000 after acquiring an additional 453,627 shares in the last quarter. Geode Capital Management LLC lifted its holdings in Freshworks by 1.9% in the 4th quarter. Geode Capital Management LLC now owns 5,126,112 shares of the company's stock valued at $62,805,000 after purchasing an additional 95,720 shares in the last quarter. State Street Corp boosted its stake in Freshworks by 1.2% during the 4th quarter. State Street Corp now owns 4,904,684 shares of the company's stock worth $60,082,000 after purchasing an additional 56,935 shares during the last quarter. Fuller & Thaler Asset Management Inc. grew its holdings in shares of Freshworks by 11.2% during the fourth quarter. Fuller & Thaler Asset Management Inc. now owns 4,748,985 shares of the company's stock worth $58,175,000 after buying an additional 478,473 shares in the last quarter. Finally, Dimensional Fund Advisors LP raised its position in shares of Freshworks by 8.5% in the third quarter. Dimensional Fund Advisors LP now owns 3,316,920 shares of the company's stock valued at $39,052,000 after buying an additional 260,078 shares during the last quarter. 75.58% of the stock is currently owned by institutional investors and hedge funds. Freshworks company profile. Freshworks, Inc is a global provider of cloud-based customer engagement software designed to help businesses streamline customer support, sales, marketing, and IT service operations. The company's integrated suite of solutions enables organizations of all sizes to deliver seamless experiences across multiple channels, including email, chat, phone, and social media. Freshworks' platform is built on modern, user-friendly interfaces and offers native automation, AI-powered insights, and analytics to improve efficiency and customer satisfaction. The company's flagship product, Freshdesk, serves as a helpdesk solution for customer support teams, while Freshservice addresses IT service management needs. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. Continue following MarketBeat Before you consider Freshworks, you'll want to hear this. MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and Freshworks wasn't on the list. While Freshworks currently has a Hold rating among analysts, top-rated analysts believe these five stocks are better buys. The AI wave will soon hit public markets with Anthropic and OpenAI set to go public later this year. However, you don't have to wait to invest. This report shows seven AI stocks that you can buy today while the big model providers get ready to go public.

MarketBeat
Aug 4th, 2026
Freshworks Q2 earnings call highlights.

Freshworks Q2 earnings call highlights. August 4, 2026 Key points. * Freshworks delivered a strong second quarter: Revenue rose 16% year over year to $237.4 million, while the company achieved GAAP profitability earlier than expected with $3.2 million in net income. Non-GAAP operating margin reached 24%, and Freshworks maintained its "rule of 40" performance for the eighth consecutive quarter. * Employee experience and AI drove growth: EX ARR increased 23% to $567 million, while enterprise service management ARR grew 67% to more than $50 million. More than 7,000 customers paid for AI products, and Freddy AI Copilot was attached to over 70% of new deals above $30,000. * Freshworks maintained an optimistic outlook: The company expects approximately 15% full-year revenue growth, $222 million to $228 million in non-GAAP operating income, and about $265 million in adjusted free cash flow. CX growth remains modest at 3%, as the company prioritizes profitability and focuses on larger customers. * Interested in Freshworks? Here are five stocks we like better. Freshworks NASDAQ: FRSH reported second-quarter 2026 revenue of $237.4 million, up 16% year over year on a reported basis and 15% in constant currency, as the company highlighted continued growth in its employee experience, or EX, business and an earlier-than-expected move to GAAP profitability. Chief Executive Officer and President Dennis Woodside said Freshworks posted a 24% non-GAAP operating margin and achieved the "rule of 40" for the eighth consecutive quarter. The company recorded GAAP net income of $3.2 million, or $0.01 per share, ahead of its prior goal to reach GAAP profitability by the end of 2026. Non-GAAP earnings per share were $0.17. "GAAP profitability is no longer just a goal. It is here," Woodside said, adding that the company expects to sustain GAAP profitability while funding investments in EX and artificial intelligence. EX business remains Freshworks' primary growth engine. EX annual recurring revenue reached $567 million at quarter-end, increasing 23% year over year as reported and 24% on a constant-currency basis. The segment represented about 59% of total ARR. Freshworks expects EX ARR to grow in the mid-20% range and exceed $600 million by the end of 2026. Woodside said the company is gaining traction with larger organizations seeking alternatives to legacy service-management systems. Customers generating more than $100,000 in ARR grew 25% year over year on a reported basis, or 26% in constant currency, and accounted for approximately 40% of total ARR. The company cited Seagate, which selected Freshservice after using a legacy provider for 14 years, and American Oncology Network, which deployed Freshservice for IT and business teams alongside Freddy AI Copilot. Woodside said Freshworks is benefiting from demand among "agile enterprises" with up to 20,000 employees that need enterprise capabilities without the complexity of larger platforms. Freshworks also pointed to expanding adoption of adjacent EX products. Enterprise service management crossed $50 million in ARR, growing 67% year over year, while roughly one-fifth of new EX seats came from outside IT. About one-third of larger new EX customer wins included IT asset management products, and the company said the quarter was its strongest new-logo period to date for that business. Discover more Financial News text messages The company's FireHydrant incident-management business generated its first six-figure expansion deal since being acquired by Freshworks and was among the company's three largest deals of the quarter, according to Woodside. AI products show adoption and monetization progress. Freshworks said more than 7,000 customers are paying for an AI SKU, while the Freddy AI Copilot attach rate on new deals above $30,000 exceeded 70%. Among eligible EX customers, 22% were paying for Copilot during the quarter. Woodside said agents using Freddy AI Copilot handle 50% more tickets, while Freddy AI Agent deflection rates average 50% and can reach 80% in mature deployments. The company launched Freddy AI Agent Studio and MCP Gateway for Freshservice at its Refresh event in May. Hundreds of customers are using the products in early access, and Woodside later said Agent Studio had more than 1,000 customers using it. Freshworks expects to introduce session-based pricing for Agent Studio in the fall. Chief Operating Officer and Chief Financial Officer Tyler Sloat said AI is becoming a larger source of expansion activity, although it can take time for existing customers to adopt Copilot because they have established workflows. EX customers using AI continue to have net dollar retention above the companywide rate, Freshworks said. CX business grows modestly as company focuses on efficiency. Customer experience, or CX, ARR totaled $400 million, up 3% year over year as reported and 4% in constant currency. Freshworks continues to expect low-single-digit CX ARR growth for the full year as it operates the segment with an emphasis on profitability and steady-state growth. More than 90% of Freshdesk customers had migrated to the Freshdesk Omni platform as of the second quarter. Woodside said CX AI agent sessions and conversations on Freshdesk Omni rose 60% sequentially and more than fivefold from a year earlier. Freshworks consolidated its CX organization in India as of July 1, bringing go-to-market, product and engineering teams together. Woodside said the company is focusing new customer acquisition on the higher end of the small-business market and the mid-market, rather than pursuing smaller customers that historically carried higher churn. Margins, cash flow and outlook. Non-GAAP gross margin was 86%, while non-GAAP operating income reached $55.9 million. Adjusted free cash flow was $57.7 million, representing a 24% margin. Net dollar retention was 104% as reported and 105% in constant currency; excluding legacy Device42 customers, constant-currency NDR was 106%. EX NDR excluding those customers was above 111%. Freshworks repurchased approximately 18.3 million shares for $159 million during the quarter and used another $10 million to offset equity dilution through net cash settlement. The company ended the period with $665 million in cash and investments and no debt. * Third-quarter revenue outlook: $244.5 million to $245.5 million, representing approximately 14% year-over-year growth. * Third-quarter non-GAAP operating income outlook: $59 million to $61 million. * Full-year revenue outlook: $963.5 million to $966.5 million, or approximately 15% growth year over year. * Full-year non-GAAP operating income outlook: $222 million to $228 million. * Full-year adjusted free cash flow outlook: approximately $265 million, for a 27.5% margin. Sloat said the full-year revenue outlook incorporates a $2 million foreign-exchange headwind compared with the company's initial expectations for the year. He said Freshworks remains focused on investing first in EX sales capacity and AI research and development, while using excess capital for shareholder returns. About Freshworks (NASDAQ:FRSH). Freshworks, Inc is a global provider of cloud-based customer engagement software designed to help businesses streamline customer support, sales, marketing, and IT service operations. The company's integrated suite of solutions enables organizations of all sizes to deliver seamless experiences across multiple channels, including email, chat, phone, and social media. Freshworks' platform is built on modern, user-friendly interfaces and offers native automation, AI-powered insights, and analytics to improve efficiency and customer satisfaction. The company's flagship product, Freshdesk, serves as a helpdesk solution for customer support teams, while Freshservice addresses IT service management needs. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. Continue following MarketBeat Before you consider Freshworks, you'll want to hear this. MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and Freshworks wasn't on the list. While Freshworks currently has a Hold rating among analysts, top-rated analysts believe these five stocks are better buys. Tesla, Nvidia, and Google helped shape the last era of market growth, but the next wave could come from a new group of companies. Inside this report, you'll find 7 stocks that could play a major role in the next tech-driven market boom.

Business Matters Magazine
Jul 31st, 2026
Atomberg IPO moves closer as startup converts into public company.

Atomberg IPO moves closer as startup converts into public company. By hemlata July 31, 2026 3 Mins Read Atomberg IPO preparations have taken a significant step forward after the consumer appliances startup converted its parent entity into a public company and strengthened its board with the appointment of three independent directors. According to regulatory filings, the company's shareholders approved a special resolution to rename Atomberg Technologies Private Limited as Atomberg Technologies Limited, a move that typically precedes the filing of draft IPO documents with market regulator SEBI. Atomberg IPO preparation enters the next phase. The latest corporate restructuring marks an important milestone in the Atomberg IPO journey. Converting into a public limited company is a standard requirement for businesses planning to raise capital through the stock market. The change also reflects the company's efforts to strengthen its corporate governance framework before filing its Draft Red Herring Prospectus (DRHP). To further reinforce its board, Atomberg has appointed three independent directors: * Subhasis Chaudhuri, former Director of IIT Bombay * Suman Gopalan, former Chief Human Resources Officer at Freshworks * Anand Vora, former Chief Financial Officer at UPL The appointments are expected to enhance governance standards and provide strategic oversight as the company prepares for public listing. Consumer appliances brand expands beyond BLDC fans. Founded in 2012 by Manoj Meena and Sibabrata (Shibam) Das, Atomberg initially built its reputation through energy-efficient BLDC motor-powered ceiling fans. Over the years, the company has expanded into several consumer appliance categories, including mixer grinders, smart locks, water purifiers and other smart home products. Earlier this year, the company also announced a leadership transition, appointing Shibam Das as Chief Executive Officer while Manoj Meena assumed the role of Chairman and Managing Director. Meena also leads Atomberg Innovation, the company's engineering division focused on motors, drives and cooling technologies. Company eyes IPO after strong revenue growth. Although Atomberg has not yet released its FY26 financial results, the company delivered strong business growth during FY25. According to its latest available financials, total income crossed the ₹1,000 crore milestone, while operating revenue increased 20% to ₹958.4 crore, compared with ₹796.9 crore in FY24. The Temasek-backed company also reduced its net loss by 41%, improving its financial profile ahead of a potential public market debut. Improving operational performance is expected to support investor confidence as the company advances its IPO plans. Funding plans continue alongside IPO strategy. Reports suggest Atomberg's engineering subsidiary is also exploring a fresh funding round of ₹150-200 crore, potentially led by General Catalyst, at a valuation estimated between ₹1,500 crore and ₹1,700 crore. The report also indicated that the company is targeting an IPO worth approximately ₹2,000 crore, with Avendus and IIFL Capital reportedly appointed as investment bankers for the proposed issue. While the company has not officially announced the timeline for its DRHP filing, the latest governance changes indicate that the listing process is gathering momentum. Businesses monitoring India's evolving startup ecosystem can also explore how PhonePe is expanding enterprise intelligence through PulsePro and Swiggy's latest quarterly financial performance, both of which reflect the continued growth and maturity of India's technology-led businesses. What comes next for Atomberg IPO. With its conversion into a public company now complete, Atomberg IPO preparations are expected to move towards the filing of its DRHP with SEBI. The appointment of experienced independent directors, improving financial performance and continued expansion across consumer appliance categories position the company for its next phase of growth as it seeks to access public capital markets.