International Workplace Group (IWG), the company behind brands including Regus, Spaces, HQ, Signature, and Instant Offices, just reported higher revenue for the first quarter of 2026, driven by continued expansion of its global flexible workspace network.
System-wide revenue reached $1.166 billion, up 9% year over year, while group revenue rose 4% to $958 million for the three months ending March 31, 2026.
Network Expansion Accelerates Across Global Markets
The company reported faster growth in its physical footprint, with 382 new signings in Q1 2026 compared to 224 in the same period last year. Openings also increased to 222 from 165.
IWG said demand for flexible workspace continues to grow, particularly among enterprise clients seeking more adaptable real estate strategies amid economic uncertainty and the increasing impact of AI on work structures.
Managed and Franchised Income Jumps
Managed and franchised fee income rose sharply to $39 million, up 70% year over year. Company-owned revenue increased 2%, supported by a 6% rise in revenue per available room (RevPAR).
The company also returned $75 million to shareholders during the quarter, as part of its broader capital return strategy, bringing total returns since its 2023 Investor Day to more than $230 million.
Outlook for 2026 Maintained
IWG maintained its full-year 2026 guidance, expecting adjusted EBITDA between $585 million and $625 million. It also forecast at least 4% growth in company-owned revenue and steady progress in managed fee income.
