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Freshworks (Freshworks) 3-Year ROIIC % : -56.94% (As of Dec. 2023)


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What is Freshworks 3-Year ROIIC %?

3-Year Return on Invested Incremental Capital (3-Year ROIIC %) measures the change in earnings as a percentage of change in investment over 3-year. Freshworks's 3-Year ROIIC % for the quarter that ended in Dec. 2023 was -56.94%. High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.

The industry rank for Freshworks's 3-Year ROIIC % or its related term are showing as below:

FRSH's 3-Year ROIIC % is ranked worse than
83.17% of 2603 companies
in the Software industry
Industry Median: 1.55 vs FRSH: -56.94

Freshworks 3-Year ROIIC % Historical Data

The historical data trend for Freshworks's 3-Year ROIIC % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Freshworks 3-Year ROIIC % Chart

Freshworks Annual Data
Trend Dec19 Dec20 Dec21 Dec22 Dec23
3-Year ROIIC %
- - - -96.20 -56.94

Freshworks Quarterly Data
Dec19 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
3-Year ROIIC % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only - - - -56.94 -

Competitive Comparison of Freshworks's 3-Year ROIIC %

For the Software - Application subindustry, Freshworks's 3-Year ROIIC %, along with its competitors' market caps and 3-Year ROIIC % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Freshworks's 3-Year ROIIC % Distribution in the Software Industry

For the Software industry and Technology sector, Freshworks's 3-Year ROIIC % distribution charts can be found below:

* The bar in red indicates where Freshworks's 3-Year ROIIC % falls into.



Freshworks 3-Year ROIIC % Calculation

Freshworks's 3-Year ROIIC % for the quarter that ended in Dec. 2023 is calculated as:

3-Year ROIIC %=3-Year Incremental Net Operating Profit After Taxes (NOPAT)**/3-Year Incremental Invested Capital**
=( -188.9589888 (Dec. 2023) - -60.3428448 (Dec. 2020) )/( 396.863 (Dec. 2023) - 171.002 (Dec. 2020) )
=-128.616144/225.861
=-56.94%***

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

** Annual data of NOPAT and Invested Capital was used to calculate 3-Year ROIIC %.
*** Please be aware that the ROIIC (Return on Invested Capital) calculations are based on company-level data using the primary share class. The calculated data provided is for demonstration purposes and may slightly differ from the results displayed in the title due to potential variations caused by currency exchange rate differences throughout the year.


Freshworks  (NAS:FRSH) 3-Year ROIIC % Explanation

Return on Incremental Invested Capital (ROIIC) is an extension of Return on Investment Capital (ROIC). ROIC % tells investors how efficiently that profitability is earned per dollar of company capital. ROIIC narrows the focus even further and shows how profitable each additional unit of capital investment could be. ROIIC % is a more powerful metric than ROIC because it measures how much money the company can generate going forward on future capital investments.

High ROIIC is generally an indication that your business is capital efficient or has a higher operating leverage.

Be Aware

It's important to keep in mind that when tracking ROIIC, the metric is better suited to forecasting the trend of future returns rather than measuring current return on investment.


Freshworks 3-Year ROIIC % Related Terms

Thank you for viewing the detailed overview of Freshworks's 3-Year ROIIC % provided by GuruFocus.com. Please click on the following links to see related term pages.


Freshworks (Freshworks) Business Description

Traded in Other Exchanges
Address
2950 S. Delaware Street, Suite 201, San Mateo, CA, USA, 94403
Freshworks Inc provides software as a service platform that enables small and medium-sized businesses to support customers through e-mail, phone, website, and social networks. It offers solutions that serve the needs of users in the CX and ITSM categories and has also expanded its offering with Sales and Marketing automation products. These product offerings enable organizations to acquire, engage, and better serve their customers and employees. The group derives revenue from North America, Europe, the Middle East and Africa, Asia Pacific, and Other regions.
Executives
Jennifer H Taylor director C/O FRESHWORKS INC., 2950 S DELAWARE STREET, SUITE 201, SAN MATEO CA 94403
Johanna Flower director C/O FRESHWORKS INC., 2950 S DELAWARE STREET, SUITE 201, SAN MATEO CA 94403
Roxanne S Austin director 200 N SEPULVEDA BLVD, PO BOX 956 MS ES/001/A102, EL SEGUNDO CA 90245
Barry L. Padgett director CONCUR TECHNOLOGIES, INC., 18400 NE UNION HILL RD., REDMOND WA 98052
Srinivasagopalan Ramamurthy officer: Chief Product Officer C/O LIFELOCK, INC., 60 EAST RIO SALADO PARKWAY, SUITE 400, TEMPE AZ 85281
Zachary Nelson director C/O NETWORK ASSOCIATES, INC, 3965 FREEDOM CIRCLE, SANTA CLARA CA 95054
Rathnagirish Mathrubootham director, officer: Chief Executive Officer C/O FRESHWORKS INC., 2950 S DELAWARE STREET, SUITE 201, SAN MATEO CA 94403
Tyler Sloat officer: Chief Financial Officer C/O FRESHWORKS INC, 2950 S DELAWARE STREET, SUITE 201, SAN MATEO CA 94403
Pradeep Rathinam officer: Chief Revenue Officer C/O FRESHWORKS INC., 2950 S. DELAWARE ST., SUITE 201, SAN MATEO CA 94403
Francis J. Pelzer director CONCUR TECHNOLOGIES, INC., 18400 NE UNION HILL RD., REDMOND WA 98052
Stacey Epstein officer: Chief Marketing Officer C/O FRESHWORKS INC., 2950 S DELAWARE STREET, SUITE 201, SAN MATEO CA 94403
Westbridge Crossover Fund, Llc 10 percent owner C/O CITCO (MAURITIUS) LIMITED, 4TH FLOOR, TOWER A, 1 CYBERCITY, EBENE O4 00000
Sandeep Singhal 10 percent owner 301, 3RD FLOOR, CAMPUS 6A, RMZ ECOWORLD, SARJAPUR-MARATHAHALLI, OUTER RING ROAD, BANGALORE K7 560103
Sumir Chadha 10 percent owner 520 S. EL CAMINO REAL, SUITE 900, SAN MATEO CA 94402
Westbridge Capital Management, Llc 10 percent owner APEX HOUSE, BANK STREET, TWENTYEIGHT CYBERCITY, EBENE O4 72201