Robert Walters Q3 profits surge

(Sharecast News) - Recruitment group Robert Walters said third-quarter profits had surged as all forms of recruitment delivered growth through the period. Robert Walters said group profits were up 22% at £112.0m, with Asia-Pacific revenues up 21%, European revenues rising 33% and international revenues shooting up 78%. UK revenues contracted by 6% to £17.6m.

The London-listed group, which highlighted that 84% of its net fee income was now generated from its international businesses, also stated that headcount was up 5% in the three months ended 30 September.

Chief executive Robert Walters said: "The macro-economic backdrop became more uncertain as the quarter progressed. Nevertheless, job flow remained largely strong, candidate shortages remained acute, wage inflation continued to grow; and Group net fee income increased by 18% year-on-year.

"84% of the group's net fee income is now generated by our international businesses. Asia Pacific and Europe, the group's largest regions, continued to produce good growth and its also been encouraging to see our smaller businesses across the Americas and Middle East delivering strong results. The more volatile political and economic backdrop in the UK has impacted local market confidence, resulting in a decline in UK net fee income year-on-year."

Robert Walters added that profit for the full year was expected to be in line with current market expectations.

Separately, Robert Walters announced that Leslie Van de Walle had been appointed to the role of non-executive chairman, effective 1 November, succeeding interim chair Tanith Dodge.

Van de Walle joins Robert Walters from Euromoney Institutional Investor, which is currently at an advanced stage of being acquired by private equity investors.

As of 0910 BST, Robert Walters shares were up 5.16% at 515.30p.

Reporting by Iain Gilbert at Sharecast.com