Posted By Global Banking and Finance Review
Posted on January 14, 2025
(Reuters) - Robert Walters 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 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)
