Business
Third Quarter Trading Update
Third Quarter Trading Update.
About this update from International Workplace Group Plc
[{"type":"text","content":"\n \nRNS Number : 4136G IWG PLC 06 November 2018 \n\n \n \nTHIRD QUARTER TRADING UPDATE - 6 November 2018\n \nIWG plc, the global operator of leading co-work and workspace companies, today issues its trading update for the period ended 30 September 2018.\n \nHighlights \n· Strong Q3 open centre revenue growth of 13.2% at constant currency\n· Improvement in Q3 mature revenue growth, up 3.9% at constant currency and a further improvement on Q2\n· Mature occupancy improved 70bp to 74.3% in Q3\n· Underlying cash generation for the year-to-date of £120.3m\n· Net debt of £433.9m after net growth investment of £204.9m year-to-date\n· 204 new locations added year-to-date, including 75 new Spaces and bringing this format to 154 locations in total\n· Visibility on 2018 net growth capital expenditure unchanged at £230m, representing c. 6.7m sq. ft., c. 22% more space than added in 2017, and 275 locations\n· Improved franchising momentum, with 115 committed locations to date and a strong pipeline \n· The Board remains confident that the Group will deliver a full year result in line with management's expectations\n \nImproved third quarter performance\n \nIn the three months ended 30 September 2018, revenue growth across all our open centres (excluding closed centres) increased 13.2 % at constant currency. For the total Group (including closed centres), Q3 revenue increased to £637.9m compared with £585.7m in the same period last year, an increase of 10.2% at constant currency, representing a sixth quarterly sequential improvement in the rate of growth. This improvement was reasonably broad-based including good performances in the US, EMEA and Asia Pacific. The UK remains disappointing but actions to improve the business are firmly in place.\n \nOur mature business revenue increased 3.9% at constant currency to £565.1m for the three months ended 30 September 2018, (Q3 2017: £549.8m). As anticipated, the improved sales activity has translated into a further improvement in our revenue performance in the third quarter, with high single-digit growth in the Americas and...