Regus profits as companies prefer to keep renting offices

Big companies are continuing the recessionary trend of renting office space by the day rather than splashing out on expensive, fixed costs, the boss of temporary office space provider Regus said today.

Mark Dixon, the firm's chief executive, said: "More and more large and medium-sized companies are approaching us for flexible office space. They're starting to expand again after the recession, but are much more cautious about taking on big extra costs."

Regus posted a 42% fall in profit for 2009, to £86.9 million as Dixon admitted it had been a "difficult" year. But he pointed out that 2010 was looking better already.

"We have already grown the business more in the first three months of this year than the whole of 2009," he said.

This year Regus is opening new, ready-to-use offices for rent in Senegal, Estonia and Mauritius. Its dividend is up 33% to 2.4p.