India, May 6 -- Nasdaq-listed SaaS major Freshworks slipped into the red in the first quarter of 2026, posting a net loss of $4.8 Mn from a net profit of $191.4 Mn reported in the previous quarter (Q4 2025). On a YoY basis, loss jumped 3.6X from $1.3 Mn.

The company's revenue stood at $228.6 Mn during the quarter under review, up 16% from $196.3 Mn in the year-ago quarter. On a sequential basis, revenue grew 2.7% from $222 Mn.

The company also announced that it will trim 11% of its workforce, representing around 500 employees, in a push to adopt AI in product and engineering along with automation of routine work across the board.

The layoffs are expected to affect the company's teams globally and cost $8 Mn in one-time restructuring ch...