UK NFI down 11% in Q3 2019 for Robert Walters
Robert Walters has released a trading update for the third quarter of 2019.
Group net fee income up 2% to £105.6m (4% actual) against significant political uncertainty in a number of the Group's markets, specifically including Brexit, US-
Full year profit before tax is now expected to be in line with the prior year. 76% (2018: 72%) of the Group's net fee income now derived from overseas businesses.
In the UK, net fee income was down 11% to £24.8m. Client and candidate confidence continued to be generally weak in the UK across both the recruitment and recruitment outsourcing markets. Certain sectors have proved resilient, particularly across the IT market nationwide, whilst in the regions, Birmingham and Milton Keynes delivered solid growth.
In Asia Pacific, net fee income was up 3% to £44.8m (9% actual). In
Europe net fee income was up 9% (10% actual) to £26.9m. A blend of permanent, contract and interim recruitment revenue streams continues to be a key strength. There was a good performance in
Other International (the
Robert Walters, chief executive, commented, "The Group delivered net fee income growth of 2% (4% actual) during the third quarter as trading conditions softened across a number of markets. The ongoing uncertainty surrounding Brexit, the US-China trade tariff standoff and
"As a result of these macro uncertainties, the Group now anticipates delivering annual profits in line with the prior year. Whilst visibility is limited, the Group's international footprint and diverse blend of revenue streams covering permanent, contract, interim and recruitment process outsourcing ensures we are well positioned to respond to any market opportunities as and when they arise whilst also having the agility to closely manage our cost base."
The Group will publish a trading update for the fourth quarter ending 31st December 2019 on 9th January 2020.
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