IWG Q1 revenues grow amid global network expansion

(Sharecast News) - Serviced offices provider International Workplace Group said on Tuesday that revenues had continued to grow in the first quarter, supported by continued expansion of its global network and a sharp increase in signings and openings.

IWG said system‑wide revenue rose 9% year‑on‑year to $1.17bn, while group revenues were up 4% at $958m. Company‑owned revenue grew 2% year‑on‑year, with RevPAR up 6%, while managed and franchised fee income jumped 70% to $39m.

The FTSE 250-listed firm said network coverage continued to scale rapidly, with 382 signings in the period compared with 224 a year earlier, and 222 openings versus 165 in Q1 2025.

IWG added that capital returns were progressing in line with strategy, with $75m returned to shareholders so far this year.

Looking ahead, IWG maintained its full year guidance, including an adjusted EBITDA range of $585m to $625m, company‑owned revenue growth of at least 4% with flat costs, and recurring managed fee income of $80m. It also reiterated its commitment to maintaining an investment‑grade credit rating.

Chief executive Mark Dixon said: "Potential customers are requiring more flexibility in their Real Estate strategy to address the uncertainty arising from the impact of conflicts and the growing influence of AI. This is resulting in record levels of Enterprise customer enquiries as our coverage and network enable us to provide unique, flexible, global solutions.

"Signings and openings continue to grow, allowing the flywheel of our business model to deliver greater cashflow while requiring less capital to grow than historically. This combination has enabled a return of over $230m to shareholders since our Investor Day in New York in December 2023 as we continue our journey of capital returns."

As of 0945 BST, IWG shares were down 2.55% at 183.50p.

Reporting by Iain Gilbert at Sharecast.com

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International Workplace Group