International Workplace Group (IWG) Q3 2025 TU earnings summary

Executive summary

• Achieved system-wide revenue growth of 4% year over year in Q3 2025, reaching $1.1 billion, with strong network expansion and higher occupancy.

• Managed and franchised segment drove 36% system-wide revenue growth and 83% increase in recurring management fees year over year.

• Company-owned segment maintained occupancy and RevPAR, supporting stable revenue.

• Opened 62% more centers on a net basis than Q3 2024, with 335 new locations signed in Q3 and 831 in the first nine months.

• Over $100 million returned to shareholders in 2025, with ongoing share buybacks.

Financial highlights

• System-wide revenue reached $1,125 million in Q3 2025, up 4% year over year.

• Managed and franchised system revenue grew 36% year over year in Q3 and 29% year to date to $574 million.

• Recurring management fees rose 83% year over year to $11 million in Q3, with $30 million for the first nine months.

• Company-owned Q3 revenue was $806 million, flat year over year, with 1% growth in open center revenue.

• Net financial debt at $813 million as of 30 September 2025, up from $754 million at 30 June 2025.

Outlook and guidance

• Guidance for 2025 reaffirmed: higher center growth and signings than 2024, no change to adjusted EBITDA or net debt guidance.

• Share buyback of at least $130 million and free cash flow to shareholders of at least $140 million in 2025.

• On track to deliver at least $1 billion EBITDA in the medium term.

• Expect further acceleration in system revenue growth into 2026.