GURUFOCUS.COM » STOCK LIST » Real Estate » Real Estate » International Workplace Group PLC (OTCPK:IWGFF) » Definitions » Financial Strength

IWGFF (International Workplace Group) Financial Strength : 3 (As of Dec. 2024)


View and export this data going back to 2009. Start your Free Trial

What is International Workplace Group Financial Strength?

International Workplace Group has the Financial Strength Rank of 3. It displays poor financial strength and is likely in financial distress. Usually this is caused by too much debt for the company.

Warning Sign:

International Workplace Group PLC displays poor financial strength. Usually, this is caused by too much debt for the company.

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is rated on a scale of 1 to 10 and is based on these factors:

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.
2. Debt to revenue ratio. The lower, the better.
3. Altman Z-Score.
4. Other debt related ratios.

A higher score indicates a stronger financial position, with companies rated 7 or above considered financially stable and unlikely to face distress. Conversely, a score of 3 or below suggests potential financial difficulties, indicating a higher risk of distress.

International Workplace Group's Interest Coverage for the quarter that ended in Dec. 2024 was 1.07. International Workplace Group's debt to revenue ratio for the quarter that ended in Dec. 2024 was 1.89. As of today, International Workplace Group's Altman Z-Score is 0.43.


Competitive Comparison of International Workplace Group's Financial Strength

For the Real Estate Services subindustry, International Workplace Group's Financial Strength, along with its competitors' market caps and Financial Strength data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


International Workplace Group's Financial Strength Distribution in the Real Estate Industry

For the Real Estate industry and Real Estate sector, International Workplace Group's Financial Strength distribution charts can be found below:

* The bar in red indicates where International Workplace Group's Financial Strength falls into.


;
;

International Workplace Group Financial Strength Calculation

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

International Workplace Group's Interest Expense for the months ended in Dec. 2024 was $-223 Mil. Its Operating Income for the months ended in Dec. 2024 was $239 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2024 was $5,660 Mil.

International Workplace Group's Interest Coverage for the quarter that ended in Dec. 2024 is

Interest Coverage=-1*Operating Income (Q: Dec. 2024 )/Interest Expense (Q: Dec. 2024 )
=-1*239/-223
=1.07

The higher the ratio, the stronger the company's financial strength is.

Warning Sign:

Ben Graham prefers companies' interest coverage to be at least 5. International Workplace Group PLC interest coverage is 1.18, which is low.

2. Debt to revenue ratio. The lower, the better.

International Workplace Group's Debt to Revenue Ratio for the quarter that ended in Dec. 2024 is

Debt to Revenue Ratio=Total Debt (Q: Dec. 2024 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(1335 + 5660) / 3708
=1.89

3. Altman Z-Score.

Z-Score model is an accurate forecaster of failure up to two years prior to distress. It can be considered the assessment of the distress of industrial corporations.

The zones of discrimination were as such:

When Z-Score is less than 1.81, it is in Distress Zones.
When Z-Score is greater than 2.99, it is in Safe Zones.
When Z-Score is between 1.81 and 2.99, it is in Grey Zones.

International Workplace Group has a Z-score of 0.43, indicating it is in Distress Zones. This implies bankrupcy possibility in the next two years.

Warning Sign:

Altman Z-score of 0.43 is in distress zone. This implies bankruptcy possibility in the next two years.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


International Workplace Group  (OTCPK:IWGFF) Financial Strength Explanation

The rank is rated on a scale of 1 to 10. A higher score indicates a stronger financial position, with companies rated 7 or above considered financially stable and unlikely to face distress. Conversely, a score of 3 or below suggests potential financial difficulties, indicating a higher risk of distress.

International Workplace Group has the Financial Strength Rank of 3. It displays poor financial strength and is likely in financial distress. Usually this is caused by too much debt for the company.


International Workplace Group Financial Strength Related Terms

Thank you for viewing the detailed overview of International Workplace Group's Financial Strength provided by GuruFocus.com. Please click on the following links to see related term pages.


International Workplace Group Business Description

Traded in Other Exchanges
Address
Baarerstrasse 52, Zug, CHE, CH-6300
International Workplace Group PLC owns a network of business centers that are leased to a variety of business customers and offer flexible workspace options. It owns and operates brands like Regus, Spaces, Signature, HQ, and No 18. The company operates in three principal geographical segments: the Americas; Europe, the Middle East, and Africa; Asia-Pacific. The Americas segment generates the majority proportion of revenue.

International Workplace Group Headlines

From GuruFocus

Half Year 2023 IWG Plc Earnings Presentation Transcript

By GuruFocus Research 02-14-2024

Full Year 2023 IWG Plc Earnings Call Transcript

By GuruFocus Research 03-26-2024

David Herro Comments on Regus

By Holly LaFon Holly LaFon 10-12-2016

Ben Graham, Seth Klarman and WeWork Madness

By John Kinsellagh John Kinsellagh 10-30-2019

Full Year 2021 IWG Plc Earnings Call Transcript

By GuruFocus Research 02-14-2024

Q3 2020 IWG Plc Trading Update Call Transcript

By GuruFocus Research 02-14-2024

Q1 2022 IWG Plc Trading Statement Call Transcript

By GuruFocus Research 02-14-2024

Q1 2021 IWG Plc Trading Statement Call Transcript

By GuruFocus Research 02-14-2024

Office Space Provider Is a Good Stock to Follow

By Holmes Osborne, CFA Holmes Osborne, CFA 06-27-2017