WeWork Reports First Financial Report Since Going Public

American commercial real estate company WeWork reported its first quarterly report this week since becoming a public company.

The company reported that total revenue for the third quarter was $661 million, an increase of 11% from the previous quarter. WeWork also reported a net loss of $4.54 a share, representing an improvement from the loss of $5.51 per share in the year-ago quarter.

By the end of September, WeWork said physical memberships grew to 432,000 with a 56% occupancy rate.

No analysts covered WeWork for the third quarter, so there are no estimates to compare the results against.

The company went public through a SPAC merger in October, almost two years after its botched IPO.

WeWork shares closed up more than 3% on Monday after the company announced the Q3 results. The company was valued at roughly $9 billion, which was a big drop from 2019, when it was privately valued at $47 billion by SoftBank Group.

It was during this time that concerns mounted over the company’s finances and its founder and then CEO Adam Neumann.

Neumann had yet to speak publicly about the company’s near failure, but last week he sat down with Andrew Ross Sorkin at the New York Times DealBook Online Summit and discussed what happened.
Neuman expressed regret for his employees who were laid off but denied walking away with hundreds of millions of dollars.

“I have had a lot of time to think, and there have been multiple lessons and multiple regrets,” Neuman told Sorkin in the exclusive interview.
Neumann admitted the valuation “went to his head.”

“You lose focus on really the core of your business and why this business was what it meant to be,” he told the Times.

Disclaimer: We have no position in any of the companies mentioned and have not been compensated for this article.