Robert Walters (RWA) Q3 2025 TU earnings summary

Executive summary

• Q3 net fee income declined 12% year on year, showing slight sequential improvement over Q2, with Asia Pacific and UK improving while Europe remained challenging.

• Specialist Recruitment fees fell 10% year on year, with permanent placements down 7% and temporary down 16%; Recruitment Outsourcing fees dropped 22% due to non-renewal of client contracts, but a major volume hiring partnership expanded post-quarter.

• Group net fee income per fee earner rose 7% year on year, driven by favorable job mix and stable fee rates.

• Cost reduction initiatives continued, reducing the monthly cost base to around GBP 24 million, with ongoing finance function transformation and relocation of non-fee earner activities to Global Business Services hubs.

• Headcount reduced by 3% quarter-on-quarter and 13% year-on-year.

Financial highlights

• Q3 2025 group net fee income was GBP 69.6 million, down from GBP 79.9 million in Q3 2024.

• Year-to-date group net fee income was GBP 209.6 million, down 15% from GBP 246.0 million year-on-year.

• Net cash at quarter end was GBP 26.6 million as of 30 September 2025, down from GBP 30.1 million at 30 June 2025.

• Group cost base reduced to around GBP 24 million per month, with progress toward GBP 10 million annualized structural cost savings by 2027.

• Specialist recruitment permanent placements per fee earner per month increased by 8% year on year to 0.92.

Outlook and guidance

• Board will review potential reinstatement of capital returns to shareholders at full year results in March 2026.

• Any recovery in hiring markets is expected to develop gradually, with global conditions remaining fragile and continued focus on cost discipline.