WeWork India shares soar 8% after Jefferies says firm poised to capitalise on sector expansion

Shares of co-working space provider WeWork India rose as much as 7.8% to hit an intraday high of ₹662.80 on the National Stock Exchange. On the BSE, WeWork India shares rose as much as 7.8% to hit an intraday high of ₹661.95 after global investment firm Jefferies came out with a positive report on the company.

India’s flexible workspace market is entering a high-growth phase, and WeWork India is positioned firmly at the forefront, Jefferies said in a note. Already the largest flexible workspace operator in the country by revenues, WeWork India is expected to ride the sector’s rapid expansion over the next few years.

Industry data shows that flexible workspace stock is growing at a robust 17% CAGR, nearly twice the growth rate of traditional office stock, highlighting the structural shift toward hybrid and flexible office solutions. Despite already significant adoption in major metros, analysts at Jefferies see ample room for deeper penetration, driven by evolving corporate preferences, cost optimisation needs and the rise of distributed teams.

WeWork’s premium positioning continues to be a key differentiator in the competitive landscape. Its focus on superior design, technology-enabled operations and enterprise-grade services has allowed the operator to command higher average revenue per member (ARPM) and better margins than rivals, Jefferies noted.

Backed by strong demand trends and operational leverage, WeWork India is projected to deliver healthy financial growth over the medium term. Analysts expect the company to post a 22% CAGR in IGAAP revenues and a 28% CAGR in EBITDA over FY25–28, reflecting both expansion in inventory and improved profitability.

Earlier this month, WeWork India reported a consolidated profit after tax (PAT) of ₹6.4 crore for the second quarter of the 2025-26 financial year (Q2FY26), compared to ₹203.7 crore in the year-ago period.

The premium flexible workspace operator’s revenue from operations surged 22.41% year-on-year (YoY) to ₹574.7 crore during the quarter under review, compared to ₹469.5 crore in the same period of FY25, it said in a regulatory filing.

It presented a well-diversified member base, with the top 10 of its clients contributing 23.2% to its revenue from core operations in the second quarter of FY26.

As of 12:29 pm, WeWork India shares traded 3.62% higher at ₹637, outperforming the NIFTY50 index which was down 0.62%.

WeWork India shares made a tepid debut on the stock exchanges last month. The stock listed at ₹650 apiece, reflecting a premium of 0.31% over the IPO issue price of ₹648 per share.