UK's Robert Walters abandons profit view in tough hiring market (updated)
14/01/2025 07:22
(Adds details and background in paragraphs 2-4 and 6)
Jan 14 (Reuters) - Robert Walters RWA.L said on
Tuesday it no longer expects a profit for the year, after the
British recruiter reported a 14% drop in fourth-quarter income
from fees at constant currency due to challenging conditions in
global hiring markets.
"We now expect a broadly breakeven position at the profit
before tax level for the full year," Chief Executive Toby
Fowlston said in a statement.
Robert Walters, which specialises in hiring for the legal,
accountancy and technology sectors, had earlier forecast a
profitable year, while market expectations were for an annual
pre-tax profit of 2.2 million pounds.
Recruitment firms have been battling sluggish hiring market
conditions over the past year as lower unemployment levels, and
financial and economic upheaval in key markets such as France,
Germany, and the UK, have sapped the confidence of employers and
job seekers alike.
The company said its net fee income was 75.5 million pounds
($92.19 million) for the three months ended Dec. 31, compared
with 91.4 million pounds a year earlier.
On Monday, peer PageGroup PAGE.L warned on profit for the
second time in six months and highlighted deteriorating
conditions across major markets.
($1 = 0.8190 pounds)
(Reporting by Shashwat Awasthi and Prerna Bedi; Editing by
Subhranshu Sahu)
((Shashwat.Awasthi@tr.com))