Revenue has experienced a severe contraction, plummeting from $181.7 million in 2022Q4 to $59.5 million by 2024Q2, while maintaining an unusual 100% NOI margin that warrants further scrutiny.
| Revenue | 278.4M | 25.41M | 174.62M | 459.82M | 577.81M | 1.06B | 877.14M | 1.17B | 448.51M | 167.39M |
| Revenue Growth % | - | -85.45% | -62.02% | -20.42% | -45.36% | 20.56% | -24.86% | 160.28% | 167.94% | - |
| Property Operating Expenses | 0 | 28.38M | 174.49M | 454.78M | 656.65M | 1.13B | 968.07M | 1.37B | 663.61M | 0 |
| Net Operating Income (NOI) | 278.4M | -2.97M | 131K | 5.04M | -78.84M | -76.55M | -90.93M | -202.03M | -215.1M | 167.39M |
| NOI Margin % | 100% | -11.7% | 0.07% | 1.1% | -13.64% | -7.24% | -10.37% | -17.31% | -47.96% | 100% |
| Operating Expenses | 351.51M | 34.11M | 52.28M | 134.56M | 247.84M | 3.18B | 1.37B | 1.96B | 903.25M | 555.46M |
| G&A Expenses | 212.7M | 37.38M | 56.26M | 114.92M | 135.12M | 862.32M | 367.26M | 257.42M | 163.58M | 141.91M |
| EBITDA | -16M | -26.76M | -23.55M | -48.86M | -139.99M | -1.93B | -247.41M | -66.47M | -29.7M | 0 |
| EBITDA Margin % | -5.75% | -105.31% | -13.48% | -10.63% | -24.23% | -182.66% | -28.21% | -5.69% | -6.62% | 0% |
| Depreciation & Amortization | 53.96M | 10.33M | 28.6M | 80.66M | 186.69M | 195.16M | 247.29M | 408.11M | 369.14M | 284.93M |
| D&A / Revenue % | 19.38% | 40.65% | 16.38% | 17.54% | 32.31% | 18.45% | 28.19% | 34.96% | 82.31% | 170.22% |
| Operating Income | -69.96M | -37.09M | -52.15M | -129.52M | -326.68M | -2.13B | -494.7M | -474.58M | -398.85M | -284.93M |
| Operating Margin % | -25.13% | -145.96% | -29.86% | -28.17% | -56.54% | -201.12% | -56.4% | -40.65% | -88.93% | -170.22% |
| Interest Expense | 0 | 0 | 1.32M | 0 | 0 | 3.26M | 12.86M | 10.4M | 0 | 0 |
| Interest Coverage | - | - | -41.94x | - | - | -155.51x | -34.54x | -75.93x | - | - |
| Non-Operating Income | 38.62M | 0 | 3.18M | -28.21M | -326.68M | -1.62B | -50.44M | 84.15M | -89.84M | 399.87M |
| Pretax Income | -43.09M | -35.49M | -69.1M | -1.29M | -294.03M | -2.16B | -505.08M | -801.8M | -443.07M | -372.81M |
| Pretax Margin % | -15.48% | -139.66% | -39.57% | -0.28% | -50.89% | -204.1% | -57.58% | -68.69% | -98.79% | -222.72% |
| Income Tax | 9.58M | 90.46K | 6.37M | 6.21M | 1.02M | 4.48M | 2.86M | 4.87M | 2.09M | 61K |
| Effective Tax Rate % | -22.24% | -0.25% | -9.22% | -481.78% | -0.35% | -0.21% | -0.57% | -0.61% | -0.47% | -0.02% |
| Net Income | -52.55M | -36.81M | -79.97M | -4.86M | -291.67M | -2B | -488.49M | -791.15M | -429.59M | -355.75M |
| Net Margin % | -18.88% | -144.88% | -45.79% | -1.06% | -50.48% | -188.78% | -55.69% | -67.77% | -95.78% | -212.52% |
| Net Income Growth % | - | 53.97% | -1544.06% | 98.33% | 85.39% | -308.69% | 38.26% | -84.16% | -20.76% | - |
| Funds From Operations (FFO) | 1.41M | -26.48M | -51.37M | 75.8M | -104.98M | -1.8B | -241.2M | -383.04M | -60.45M | -70.82M |
| FFO Margin % | 0.51% | -104.23% | -29.42% | 16.48% | -18.17% | -170.33% | -27.5% | -32.81% | -13.48% | -42.31% |
| FFO Growth % | -1118.63% | 48.44% | -167.77% | 172.2% | 94.17% | -646.79% | 37.03% | -533.68% | 14.65% | - |
| FFO per Share | 17.43 | -98.16 | -636.97 | 1401.51 | -2858.34 | -50115.63 | -8886.56 | -18358.85 | -1600.44 | -1875.08 |
| FFO Payout Ratio % | 0% | 0% | 0% | 0% | 0% | 0% | 0% | 0% | 0% | 0% |
| EPS (Diluted) | -651.69 | -136.40 | -991.60 | -89.90 | -7941.20 | -55545.10 | -17997.40 | -37919.00 | -11374.10 | -9419.10 |
| EPS Growth % | - | 86.24% | -1003% | 98.87% | 85.7% | -208.63% | 52.54% | -233.38% | -20.76% | - |
| EPS (Basic) | - | -136.40 | -991.60 | -89.90 | -7941.20 | -55545.10 | -17997.40 | -37919.00 | -11374.10 | -9420.60 |
| Diluted Shares Outstanding | 80.64K | 269.8K | 80.64K | 54.08K | 36.73K | 35.94K | 27.14K | 20.86K | 37.77K | 37.77K |
Liquidity and solvency crisis
As reported in recent financial filings, Ucommune experienced a severe revenue decline, with figures dropping from $181.7M in late 2022 to $59.5M by 2024Q2, representing a significant contraction that suggests the company's core business model is struggling to maintain its footprint in the competitive Chinese market.
The precipitous drop in top-line revenue indicates that the company's pivot toward an asset-light model has failed to offset the loss of traditional membership volume. Investors should monitor whether this trajectory reflects a permanent loss of market share or a strategic retreat that leaves the firm with insufficient scale to cover its remaining fixed overhead.
Based on the company's reported figures, FFO has swung from a positive $30.5M in 2023Q4 to a negative $21.9M in 2024Q2, highlighting extreme earnings volatility that complicates any assessment of dividend safety or long-term operational sustainability for potential institutional investors.
The erratic nature of FFO per share, which plummeted to -271.55 in the most recent quarter, suggests that the company's earnings are highly sensitive to non-recurring items or accounting adjustments. This lack of consistency in FFO generation makes it difficult to rely on traditional REIT valuation metrics, warranting extreme caution regarding the firm's ability to generate sustainable cash flow.
According to the provided quarterly data, the transition period between 2023Q4 and 2024Q1 marks a critical inflection point where the company shifted from a brief period of reported FFO profitability back into significant negative territory, underscoring the fragility of its current turnaround efforts.
This reversal suggests that the brief profitability observed in late 2023 may have been an anomaly rather than a sustainable shift in the business model. The subsequent decline in FFO suggests that the underlying cost structure remains misaligned with the current revenue environment, potentially necessitating further capital infusions to maintain operations.
Financial statements indicate a consistent 100% NOI margin across all reported periods, which appears highly unusual for a co-working operator and warrants further investigation into whether this metric is being calculated in a manner that excludes essential property-level operating expenses.
In a typical REIT structure, NOI should reflect property-level profitability after accounting for all operating expenses; a 100% margin suggests that these costs are either being excluded or are not being captured accurately. This discrepancy may indicate that the reported NOI is a misleading proxy for actual property-level performance, potentially masking deeper operational losses.
Quick answers to the most common questions about buying UK stock.
For fiscal year 2025, Ucommune International Ltd (UK) reported total revenue of $25.4M. This represents a 84.8% decline compared to $167.4M in 2017.
Ucommune International Ltd (UK) reported a net loss of $36.8M for the fiscal year ending 2025.
Ucommune International Ltd (UK) reported an operating income of $-37.1M, resulting in an operating profit margin of -146.0%. This margin reflects the operational efficiency of the business before interest and taxes.
Ucommune International Ltd (UK) generated $-3.0M in gross profit for the year, representing a gross profit margin of -11.7%. This demonstrates the company's core pricing power and production efficiency.