Robert Walters (LSE:RWA) reported first-quarter 2026 trading in line with expectations, with group net fees declining 2% on a constant currency basis but showing a clear improvement compared with 2025. Momentum strengthened במהלך the quarter, with a return to year-on-year growth in March. Regional performance varied, with Japan, the U.K., Spain and New Zealand delivering gains, while northern Europe and parts of the Rest of World segment remained weaker. However, the closure of underperforming operations has helped improve the underlying like-for-like trend.
The group’s recruitment outsourcing division recorded its first growth since late 2022, supported by steady client demand, a new high-volume hiring contract, and continued traction in public sector consultancy work. Management has also focused on cost discipline, reallocating resources toward revenue-generating roles, which has boosted net fee income per consultant and overall productivity. The company maintained a stable net cash position and indicated it is better positioned to benefit from any recovery in hiring activity, despite ongoing geopolitical and macroeconomic uncertainty.
From an investment perspective, the outlook remains pressured by weaker financial performance, including declining revenue, margin compression, and losses. Technical indicators reinforce a cautious view, with the share price trading below key moving averages and showing negative momentum. While positive operating and free cash flow, along with a high dividend yield, offer some support, a sharp drop in free cash generation and continued losses keep the overall risk profile elevated.
More about Robert Walters
Robert Walters plc is a global specialist recruitment and outsourcing firm, operating across Asia-Pacific, Europe, the U.K., and other international markets. The company provides permanent and contract recruitment, talent advisory services, and outsourced hiring solutions, serving both private and public sector clients with a diversified, international platform.
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