UK's Robert Walters forecasts dip in 2026 net fee income (updated)
15/01/2026 07:31
Shares down 8.4% at 125 pence at 0803 AM GMT Q4 net fees income down 14% Forecasts 2026 net fee income slightly below last year Adds shares in paragraph 2, analyst comment in paragraph 6 and 7, more details and background throughout Jan 15 (Reuters) - Robert Walters RWA.L shares fell steeply on Thursday after the recruitment company forecast a drop in its fee income for its 2026 fiscal year, showing how hiring markets remain challenging. Its shares were down about 8.4% at 125 pence at 0803 GMT, making it one of the biggest losers across UK stocks. The company reported a 14% decline in fourth-quarter income from fees. "Whilst our capacity to execute our plans to the levels required is better than it was a year ago, the timing of any overall top line inflection clearly remains somewhat dependent on how recovery develops in global hiring markets," said CEO Toby Fowlston in a statement. Global recruitment companies continue to face sluggish hiring, as companies delay new appointments and job-seekers hesitate to move amid economic uncertainty. Brokerage Panmure Liberum raised its full-year loss forecast for Robert Walters, citing a quarterly net fee shortfall and an uncertain outlook. "While the performance was worse than we expected, it was a similar trend to prior quarters," the brokerage said. Europe, which accounts for 30% of Robert Walters' fee income, had a 23% decline in net fees in the fourth quarter, as regulatory changes and political uncertainty weighed on demand. This was a bigger drop than the 17% decline for the same period in the prior year. The company, which employs 3,300 people and has operations in 31 countries, has seen its shares fall about 59% over the past 12 months as of Wednesday’s market close. Robert Walters is scheduled to report its 2025 results in March. (Reporting by Ankita Bora and Rishab Shaju in Bengaluru; Editing by Nivedita Bhattacharjee and Jane Merriman) ((Ankita.Bora@thomsonreuters.com))