FRESHWORKS INC-CL A (FRSH)

Sales intelligence platform ZoomInfo will be reporting results tomorrow after market close. Here’s what to look for.

The software company posted better-than-feared earnings, and the stock soared.

Shares of business software provider Freshworks (NASDAQ: FRSH) jumped 27.9% in the morning session after the company reported strong third-quarter earnings and provided an optimistic full-year EPS forecast, which blew past analysts' expectations. Revenue and EPS also outperformed Wall Street's estimates. Freshworks is doubling down on investments in top performing solutions such as its Employee Experience solutions which grew 40% year on year. On the side, it is also investing in new AI-driven capabilities such as Freddy Copilot and Freddy's self-service offerings. To achieve a healthy balance of growth and profitability, Freshworks announced a 13% workforce reduction, which will also help reallocate resources into its new growth projects. Overall, this was a good quarter.

FRSH earnings call for the period ending September 30, 2024.

Business software provider Freshworks (NASDAQ: FRSH) reported Q3 CY2024 results exceeding the market’s revenue expectations, with sales up 21.5% year on year to $186.6 million. The company expects next quarter’s revenue to be around $189.3 million, close to analysts’ estimates. Its non-GAAP profit of $0.11 per share was also 41.5% above analysts’ consensus estimates.