Knotel CEO defends against critics and promises profitability

February 5, 2020
Share this Post: 

Amol Sarva, the CEO of coworking space provider, Knotel, has shot back at critics about the performance of its New York arm and says that "profitability is very much in sight" for the company.

Recently, it was reported in the US that Knotel had laid off a number of people in New York in the face of high vacancy rates and a drop in leasing activity in the city.

In a recent conference call with journalists, Sarva sought to allay concerns about the departures.

“24 folks left our New York team but 10 joined,” he said. “Our payroll will be the same in February as it was in December.”

He also gave a rare look at some of the company’s financial metrics. Contracted annual revenue had jumped from $100 million a year ago to $350 million, he said.

Sarva didn’t disclose details of the group’s bottom line but said “profitability is very much in sight” and the business expected to be “cash flow break-even” this year.

In London, where Knotel launched in April 2018 and has since grown its footprint to 470,000 sq ft, the business was on track to be cash flow break-even in the first half of this year, he added.

The group’s expansion has been fueled by a $400 million funding round last year that gave the flexible office provider ‘unicorn’ status.

It added 1.1m sq ft of space to its portfolio in the second half of 2019, helping take the company’s total footprint to more than 5m sq ft.

Read more here

February 5, 2020

Subscribe to our mailing list to get news updates!

Enter your email address and get updates from Online Marketplaces.

Related News

Cian Going Public On Nyse
Russian Market Leader Cian Files for IPO on the NYSE

Russian market-leading real estate vertical Cian has filed with the SEC for an initial public offering on the NYSE with...

Read More
Onthemarket Coaching
OnTheMarket Offering Free Leadership Coaching to Agents

OnTheMarket has announced a partnership with business coaching firm Property Academy which will see some of the British portal's agent...

Read More
Mygate Homes And Housing Partnership
REA-Owned Housing.com Ties Up Listings Syndication Deal With MyGate Homes in India

Indian property portal Housing.com has announced a listings syndication deal with the newly launched FSBO marketplace MyGate Homes. The deal...

Read More
Daniel Bignold Ceo Of Propps
Ten Questions With Daniel Bignold, Founder & CEO of Propps

Like most markets right now, the Australian real estate market is super competitive. There are big bidding battles with all...

Read More

Popular News