Q1 FY27 highlights: WOTSO flexspace posts record $9.45M quarterly revenue
In its Q1 FY27 flexspace update, WOTSO delivered record quarterly revenue of $9.45M, up 14% on the prior corresponding period of $8.3M. The result represents an annualised run rate of $37.8M, according to the update dated 30 October 2026.
Occupancy was 79% across 8,563 total desks, at a revenue per available desk per month (RevPAD) of $365. Maturing locations continued to fill while newer locations progressed through ramp-up.
Key metrics for the quarter included:
- 79% total occupancy
- 8,563 total desks, with 6,785 occupied desks
- $365 RevPAD
- 41 open locations
- Contribution margin of $791,000
The pattern of filling mature sites alongside ramping newer ones is the central dynamic behind the quarter’s earnings leverage.
When big ASX news breaks, our subscribers know first
Performance by state and location
State-by-state results
The table below reproduces the unaudited state breakdown from the update.
| State | Occupancy | Q1 FY27 Revenue | YoY Revenue Growth | Contribution Margin |
|---|---|---|---|---|
| NSW | **76%** | **$4,344,000** | **10%** | **$18,000*** |
| ACT | **88%** | **$1,427,000** | **13%** | **$292,000** |
| QLD | **88%** | **$2,195,000** | **12%** | **$498,000** |
| SA | **66%** | **$375,000** | **14%** | **$4,000** |
| TAS | **91%** | **$391,000** | **15%** | **$77,000** |
| NZ | **65%** | **$283,000** | **21%** | **($16,000)** |
| WA | **84%** | **$222,000** | **21%** | **$42,000** |
| VIC | **40%** | **$132,000** | **300%** | **($126,000)** |
| CookSpace | **92%** | **$81,000** | n/a | **$7,000** |
*The NSW contribution margin reflects WOTSO currently paying 80% of the rent payable under the North Strathfield lease pending the outcome of litigation with the landlord. CookSpace is measured by kitchens, so its revenue is not included in the RevPAD calculation.
Standouts
Several markets stood out in the quarter:
- QLD: 88% occupancy, RevPAD of $504 and a contribution margin of $498,000
- TAS: 91% occupancy and RevPAD of $505
- ACT: 88% occupancy and a contribution margin of $292,000
Newer markets were still ramping. VIC revenue rose to $132,000 from $33,000 (300% growth off a small base), with 40% occupancy and a contribution margin of ($126,000). NZ revenue grew 21%, with a contribution margin of ($16,000).
WOTSO’s owned New Zealand properties, including a Wellington site acquired for NZ$2.3M, sit alongside leased locations and give the network a cost base that lease-only operators cannot match.
The Unopened New Location Total, which covers pre-opening operating losses for locations in the pipeline, was ($5,000). Contribution from sites still ramping is the lever to watch as occupancy builds.
How flexspace metrics work: RevPAD and occupancy explained
Occupancy is the proportion of available desks occupied by members during the quarter. RevPAD is revenue per available desk per month, excluding CookSpace.
Contribution margin is total revenue less operating expenses, pre AASB-16, the accounting standard governing leases.
Read together, occupancy shows how well space is being used, while RevPAD shows the revenue each available desk generates. The update’s historical chart shows Q1 annualised revenue rising from $15.75M in FY21 to $37.8M in FY27.
Expansion pipeline and what happens next
The update lists signed leases across four locations:
- Dandenong South (VIC): opened September 2026 with 89 desks, leased.
- Norwest (NSW): preparing for the opening in October 2026, leased.
- Mulgrave (VIC): to follow later in FY27, leased.
- Murray Bridge (SA): to follow later in FY27, leased.
The signed leases give visibility on growth, while pre-opening losses of ($5,000) in the quarter are a near-term cost of the pipeline.
Don’t Miss the Next Real Estate Breakout
Get FREE breaking ASX news delivered to your inbox within minutes of release, complete with in-depth analysis. Join 20,000+ investors already receiving real-time alerts from Big News Blast. Click the “Free Alerts” button now to stay ahead of the market the moment news breaks.