**Summary of Workspace Group PLC Half-Year Results (to 30 September 2025)**
**Overview**
Workspace Group PLC, Londons leading owner and operator of sustainable, flexible workspaces, reported its half-year results for the period ending 30 September 2025. The companys performance was in line with expectations, with steady progress on its **Fix, Accelerate, and Scale** strategy despite a challenging market environment.
**Key Highlights**
1. **Performance and Strategy**
Occupancy was lower in the first half, but actions taken are positively impacting customer retention and conversion.
Focus on stabilising and rebuilding occupancy to drive income growth and mitigate costs of vacant space.
Strategic partnership with Qube to lease 32,000 sq. ft. at The Old Dairy, expanding into adjacent industries and the addressable market.
2. **Financial Performance**
**Underlying net rental income** remained flat at £58.6m.
**Trading profit after interest** decreased by 6.4% to £30.6m.
**Loss before tax** of £71.1m, primarily due to a £95.6m decrease in property valuation.
**Interim dividend** maintained at 9.4p per share.
3. **Portfolio and Disposals**
**Like-for-like occupancy** down 2.5% to 80.0%.
**Like-for-like rent per sq. ft.** up 0.1% to £47.55.
**Disposals** of £52.4m completed, on track to achieve £200m within two years.
4. **Strategic Progress**
**Fix**Improved enquiry-to-letting conversion to 17% in October 2025 and 12-month retention rate at 85%.
**Accelerate**Completed £52.4m in disposals and 12,000 sq. ft. of unit refurbishments.
**Scale**Acquired a minority stake in Qube for £3m, supporting future growth.
5. **Operational and Sustainability Efforts**
Delivered £2m in annualised cost efficiencies.
Appointed a Head of Revenue to strengthen customer retention and conversion.
Portfolio is 61.4% EPC A and B rated, with a 3% reduction in energy use intensity.
6. **Financial Position**
**Robust balance sheet** with £167m in cash and undrawn facilities.
**Loan-to-value (LTV)** at 36%, providing headroom for future investments.
7. **Outlook**
Focus on increasing market share and operational agility in a softer economy.
Continued emphasis on self-help measures to maximise income and deliver attractive returns for investors.
**Conclusion**
Workspace Group PLC is navigating a challenging market with a clear strategy to stabilise occupancy, optimise its portfolio, and scale through partnerships. Despite short-term pressures, the company remains confident in its long-term prospects, supported by its size, customer network, and sustainable practices.
| Metric | September 2025 | September 2024 | Change |
|---|---|---|---|
| Net Rental Income (£m) | £58.7 | £60.5 | -3.0% |
| Trading Profit After Interest (£m) | £30.6 | £32.7 | -6.4% |
| (Loss)/Profit Before Tax (£m) | (£71.1) | £10.2 | N/A |
| EPRA Net Tangible Assets per Share (£) | £7.21 | £7.74 | -6.8% |
| Property Valuation (£m) | £2,276 | £2,368 | -4.0% |
| Loan to Value (LTV) | 36% | 34% | N/A |
| Undrawn Bank Facilities and Cash (£m) | £167 | £260 | N/A |
| Average Cost of Debt (%) | 3.8% | 3.6% | N/A |