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Source：Co-creation Information Network Editor：Digital Culture Time：2025-06-27 08:53:26

WeWork has released its second quarter earnings for this year. They are anal sex videosnot great.

The coworking space company reported a $397 million net loss on Tuesday, sending its stock plummeting by over 20 percent. WeWork's loss may sound shocking, but it's actually an improvement over its abysmal results from the same time last year. The company lost $635 million in 2022's second quarter — $238 million more than this year.

"Excess supply in commercial real estate, increasing competition in flexible space and macroeconomic volatility drove higher member churn and softer demand than we anticipated, resulting in a slight decline in memberships," said WeWork's interim CEO David Tolley. 

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Searching for a silver lining to this ominous cloud, Tolley noted that the company has delivered "solid year-over-year revenue growth." However, said growth was merely an increase from $815 million to $844 million, far from enough to pull WeWork into stable profitability.

SEE ALSO: WeWork's Adam Neumann got $1.7 billion. 2,400 employees just got fired.

As such, the company has a lot riding on the next year. WeWork admitted that "substantial doubt exists about [its] ability to continue as a going concern," citing its losses, projected expenses, increased membership turnover, and current liquidity levels. Unless its profitability improves significantly, it may not survive.

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"The Company’s ability to continue as a going concern is contingent upon successful execution of management’s plan to improve liquidity and profitability over the next 12 months," WeWork said in a press release.

WeWork listed several strategies it's implementing to save itself, such as reducing spending, focusing on bringing in new clients while keeping the ones they have, re-negotiating its leases for better terms, and getting some cash in via selling assets or leaning on equity.

"The company’s transformation continues at pace, with a laser focus on member retention and growth, doubling down on our real estate portfolio optimization efforts, and maintaining a disciplined approach to reducing operating costs," said Tolley.

SEE ALSO: ‘WeCrashed’ review: Leto and Hathaway wear insufferable well in WeWork drama

Alongside its concerning results, WeWork also announced the appointment of four new members to its board of directors, while simultaneously mumbling about the departure of three. 

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"These new director appointments bring a fresh perspective and renewed commitment to the Board and our company," said Tolley. "The deep financial expertise and robust business experience that each of our new directors bring to the table will add immense value as we double down on sustainably reducing costs, continuing to grow memberships and revenue, and strengthening our balance sheet."

WeWork has churned through CEOs at a remarkable clip since co-founder Adam Neumann stepped down from the role in 2019. Its last CEO Sandeep Mathrani stepped down in May, with Tolley temporarily filling the role while WeWork searches for a permanent solution.

Unfortunately, it doesn't look as though anyone is eager to step in and captain the seemingly sinking ship.

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