Flex space operator The Executive Centre clocks 24% revenue growth in 2022 to USD 45 mn

New Delhi: Managed service provider The Executive Centre clocked a 24 per cent annual growth in revenue at USD 45 million during the last calendar year on rising demand for flexible workspace.

Hong Kong-based The Executive Centre (TEC) entered India in 2008 with its first property in Mumbai. It currently has 40 centres, comprising about 15,000 desks spread over 1.4 million square feet across seven major cities.

In an interview with PTI, Nidhi Marwah, Group Managing Director of South Asia and GCC at TEC, said, “2022 has been a watershed year for the flexible workplace industry." "In 2022, the number of flexible workspaces absorbed by companies exceeded most estimates and industry reports, demonstrating that the allure of flexible workspace industry has debunked the myth of the permanency of conventional office spaces," she said.

Marwah said the company opened five new centres in India across Bengaluru, Chennai and Pune, adding 1,000 workstations.

When asked about India revenue, she said it was USD 45 million in 2022, as against USD 36.28 million in the previous year.

Globally, TEC revenue rose to USD 283 million in the last calendar year, from USD 259.3 million in 2021.

TEC India has delivered USD 15 million in EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization), reflecting a 31 per cent annual growth rate.

Marwah noted that demand strengthened across India with average occupancy standing at 92 per cent across centres.

She said the TEC has "consistently maintained sustainable, transformational and thoughtful expansion throughout the pandemic aiming to maintain a balance between 'flight to quality' with 'flight to experience'." For expansion, TEC India has signed six new centres in the first quarter of 2023 and intends to sign more in the coming quarters.

On the global business, TEC Founder and CEO Paul Salnikow said the company's strong 2022 performance demonstrates that global businesses are looking for flexibility to address critical issues amid unprecedented disruption.

The Executive Centre (TEC) has more than 180 centres in 33 cities and 15 markets across the world's fastest growing economies of Asia Pacific and the Middle East.