Indian unit of Freshworks reports 75% uptick in FY19 profits

Indian unit of Freshworks reports 75% uptick in FY19 profits
Girish Mathrubootham, co-founder and CEO of Freshworks
6 Mar, 2020

The Indian unit of customer engagement software firm Freshworks closed the last financial year with profits of Rs 30.1 crore, up by 75% from a year ago on a standalone basis, according to local regulatory filings.

Freshworks Technologies said its net profit rose to Rs 29.98 crore in the financial year ended March 2019, from Rs 20.91 crore a year earlier, on a consolidated basis.

The company’s total expenses rose to Rs 363.58 crore from Rs 226.33 crore, employee benefits expense rose by about 57% to Rs 269.82 crore and total revenue increased to Rs 409.25 crore from Rs 259.27 crore year-on-year.

The San Mateo-based company made two acquisitions in less than a year -- the second one comes on the heels of a nearly 60% year-on-year growth in billings for the company globally.

Last week, it acquired Bellevue, Washington-based AnsweriQ, which provides machine learning (ML) and artificial intelligence (AI) capabilities for enterprises.

In May last year, it bought Silicon Valley-based Natero, another AI-enabled provider of predictive analytics, customer intelligence and workflow management solutions.

In November, it raised $150 million in its largest funding round since the firm’s inception. Within days, it opened its third India office in Hyderabad.

The company is currently undergoing a rapid growth phase with oncoming demand for its suite of customer engagement products, chief human resources officer Suman Gopalan had said at the Hyderabad office unveiling.