Britain’s IWG Sets Out Share Buyback Program

Britain’s IWG (IWG.L), the world’s largest shared office group, unveiled early on Tuesday a 100 million-pound ($121.5 million) share buyback program and also hiked its dividend after revenue jumped in the first half on the back of “invigorated” sales efforts and the introduction of new products.

Total group sales jumped by 10.3% at constant currency to 1.30 billion pounds during the six months that ended June 30, from 1.16 billion pounds a year ago, the Luxembourg-based company which owns the Regus brand said in its earnings statement.

Open center revenue, which the firm calls a “good” barometer of its long term business performance and accounts for a vast majority of the group turnover, jumped by 15.1%. About 27% of total revenue in the first half was generated by a range of the company’s “other services.”

“Our revenue performance has continued to benefit from a more focused and invigorated sales effort and our continued investment in developing new products and services,” Chief Executive Officer Mark Dixon said in the statement. “Increasing revenue from other services is a significant competitive advantage and a core pillar of our business model.”

Earnings per share from continuing operations also increased to 4.2 pence, from 3.9 pence a year earlier, with calculations incorporating the new accounting standard, IFRS 17, for periods under review.

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