FRSH: Freshworks repurchased $231.7M of stock in nine months to Sept 30
Q3 revenue $244M-ish; US revenue $105.0M, 43% of total; $27.2M buyback in Q3 at $9.94 avg, $168.3M left on program.
What this filing says
Freshworks filed its quarterly report for the period ended September 30, 2026. Under its 2026 buyback program, the company bought back about 26.8 million Class A shares for $231.7 million over the nine months, leaving $168.3 million of authorization. For a shareholder, the buybacks reduce the share count, though the text also shows the company's cash flow relies heavily on stock-based compensation.
Key figures
- Shares repurchased, nine months
- 26,780,535 shares
- Repurchase cost, nine months
- $231.7 million
- Remaining buyback authorization
- $168.3 million
- Shares outstanding as of Oct 29, 2026
- 240,386,572 shares
- U.S. revenue, nine months
- $302.2 million
- Stock-based compensation, nine months 2025
- $149.5 million
Positive for shareholders
- The 2026 buyback program has $168.3 million left for future repurchases, and average buyback prices were lower than in the prior program.
Negative for shareholders
- Stock-based compensation of $149.5 million in the nine months of 2025 added to the share count and cost.
- The text shows a net loss of $7.7 million for the nine months of 2025.
Written by Quantisnow AI from this filing. Not financial advice.
Key terms
- Share repurchase program:
- An authorization from the board letting the company buy back its own shares in the open market.
- Deferred contract acquisition costs:
- Upfront sales commissions and similar costs the company capitalizes and spreads over the life of a customer contract.
- Annual recurring revenue (ARR):
- The yearly value of subscription contracts the company expects to renew, used as a measure of its recurring business.
FAQ
How much has Freshworks spent on buybacks under the 2026 program?
The filing states $27.2 million was spent in the third quarter and $231.7 million in the nine months, out of a $400.0 million authorization.
Did the 2024 buyback program finish?
Yes, the filing says the 2024 Share Repurchase Program was completed during the year ended December 31, 2025.
Historical context for FRSH
Across the 28 sessions after earlier FRSH headlines, the stock closed higher 12 times and lower 15 times, with a median move of 2.4% in either direction. This shows timing only: many things move a stock in a session, and these figures do not show that any headline caused a move.
| Session | Earlier headline | FRSH | SPY |
|---|---|---|---|
| Nov 4, 2026 | Freshworks Reports Record Third Quarter 2026 Results | -6.3% | +1.7% |
| Oct 26, 2026 | Freshworks and Carahsoft Announce Freshworks’ Achievement of FedRAMP® In-Process Authorization for Its AI-Powered Unified Service Operations Platform, Freshservice | -0.8% | +0.7% |
| Oct 12, 2026 | Freshworks to Extend Freshservice into AI and Software Spend Governance with Agreement to Acquire Torii | +0.0% | -0.1% |
| Oct 8, 2026 | Freshworks to Announce Third Quarter 2026 Financial Results on November 3, 2026 | +0.3% | -0.4% |
| Sep 14, 2026 | KeyBanc Capital Markets initiated coverage on Freshworks with a new price target | +6.3% | -0.4% |
| Sep 4, 2026 | Freshworks Announces Inducement Grant under Listing Rule 5635(C)(4) of the Nasdaq Stock Market | -4.7% | -0.4% |
- Market cap
- 30-day
- Sector
- Technology
- Industry
- Computer Software: Prepackaged Software
- Listed since
- 2021
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