Robert Walters plc (RWA.L), a British recruitment company, on Wednesday reported a decline in net fees in the first quarter. However, growth in recruitment outsourcing and key Asia Pacific markets helped offset weaker specialist recruitment in Europe.
Further, the firm kept full year guidance unchanged, citing improved productivity and a lower cost base.
The company posted group net fees of 65.2 million pounds for the three months to 31 March 2026, down 2 percent year on year. Trading was in line with board expectations and showed sequential improvement versus 2025, with March fees up 5 percent year on year.
Specialist recruitment, which makes up 81 percent of group net fee income, saw fees fall 5 percent year on year.
Permanent placements were down 2 percent, and temporary placements fell 11 percent.
Despite this fall, recruitment outsourcing grew 13 percent, driven by retained clients and a permanent volume contract expansion. Consultancy and talent advisory also maintained momentum.
By region, Asia Pacific net fees rose 4 percent, Japan grew 13 percent, New Zealand was up 12 percent, and Greater China rose 2 percent, while Australia fell 7 percent and Europe declined 16 percent overall.
Spain grew 13 percent and the Netherlands improved sequentially despite being down 10 percent, while France fell 21 percent but was stable versus the second interim period in 2025. Belgium also dropped by 36 percent.
Meanwhile, the UK rose 1 percent as the market stabilized. Rest of World increased 23 percent with the Americas up 11 percent and the Middle East down 15 percent but better sequentially.
Net fee income per fee earner rose 9 percent year-on-year. Permanent placements per permanent fee earner per month increased 6 percent to 0.80. The underlying monthly cost base fell below 23.5 million pounds from 24 million pounds at the end of the fourth quarter 2025.
Total headcount was 2,860 at quarter end, flat versus December and down 10 percent year-on-year. Fee earner headcount reached 1,722, up 3 percent on the quarter but down 9 percent on last year.
Looking ahead to fiscal 2026, the company said that the guidance for net fees remains unchanged. In addition to it, the board expects net cash at year end 2026 to be stable versus 2025.
On the London stock exchange, shares of Robert Walters were trading at 87.60 pence, up 3.55 percent.
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