WeWork to close offices in cost-cutting drive
WeWork is closing down offices in a bid to cut costs, with the office company failing to post a profit more than a year after going public.
The group announced on Thursday that it would shut about 40 “underperforming” offices in the US. Taken together, the closures will cut almost 5 per cent of WeWork’s total desk space and hit revenues.
But WeWork said that shutting offices would help to reduce costs, as the company announced a third-quarter net loss of $629mn. Revenues for the period surged 24 per cent year on year to $817mn.
This story originally appeared on: Financial Times - Author:George Hammond
