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International Workplace Group (IWG) investor relations material

International Workplace Group H1 2025 earnings summary

Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
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H1 2025 earnings summary19 Aug, 2025

Executive summary

  • Record system-wide revenue of $2.2 billion in H1 2025, up 2% year-over-year, driven by 26% growth in the Managed & Franchised segment and network expansion to over 1 million rooms and 4,260+ locations.

  • Adjusted EBITDA grew 6% year-over-year to $262 million, with gross margin expanding up to 116 basis points to 24%.

  • $59 million returned to shareholders in H1 2025 via dividends and buybacks, 3.5x more than the prior five years combined.

  • Interim dividend of $0.45 per share declared, with buyback program for 2025 increased to at least $130 million.

  • Focused investments in people, marketing, and technology to accelerate growth, especially in the management franchise segment.

Financial highlights

  • Group revenue was $1.85 billion, with system-wide revenue up 2% to $2.2 billion; gross profit of $481 million and gross margin at 26%.

  • Net income attributable to the company was $11 million, with basic EPS of 1.1¢.

  • Free cash flow from business operations reached $106 million.

  • Recurring management fee income rose 163% to $19 million in H1 2025.

  • Net debt/EBITDA remained stable at 1.5x, with net debt at $754 million and no refinancing needs until 2029.

Outlook and guidance

  • Adjusted EBITDA for 2025 expected at the lower end of $525–565 million due to increased investment in growth.

  • Cash flow before corporate activities expected to be at least $140 million, a 40% increase over prior guidance.

  • Net debt expected to remain flat through December 2025; commitment to BBB credit rating and deleveraging to 1.0x net debt/EBITDA.

  • Buyback programme increased to $130 million for 2025, with further increases planned.

  • Medium-term EBITDA target of at least $1 billion reaffirmed, with focus on accelerating performance into 2026.

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Q3 2025 TU4 Nov, 2025
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Frequently asked questions

International Workplace Group plc/IWG plc, provides workspace solutions to a broad range of organizations, including large enterprises and government institutions, in the United Kingdom and internationally. IWG plc operates through three segments: Chief Executive Officer's Office (CEO), Central Europe (CE), and All Other Segments. It also provides property maintenance services that include multi-let buildings management; compound management; portfolio asset management; office cleaning and supply; project management for both new build and fit-out projects; and refurbishment projects; as well as contractual works, such as commissioning, major repairs and maintenance, small project and electronic servicing.

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