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Last checked at 
6 Jul 2022 07:00
6 July 2022
ROBERT WALTERS PLC
(the 'Company' or the 'Group')
Trading update for the second quarter ended 30 June 2022
RECORD QUARTER
Financial and operational highlights
Gross profit (Net fee income) | Q2 2022
| Q2 2021
| % change | % change (constant currency*) |
Group | £112.0m | £89.0m | 26% | 25% |
Asia Pacific | £49.7m | £40.9m | 22% | 20% |
Europe | £31.5m | £23.4m | 35% | 37% |
UK | £20.4m | £18.0m | 13% | 13% |
Other International | £10.4m | £6.7m | 56% | 43% |
* Constant currency is calculated by applying prior period average exchange rates to local currency results for the current and prior years.
§ Record second quarter with Group net fee income up by 25%* (26% actual) year-on-year.
§ Broad-based growth continued across all forms of recruitment - permanent, contract, interim and recruitment process outsourcing.
§ Group further expanded its global footprint with the opening of a first office in Italy (Milan) during the period.
§ 82% (2021: 80%) of the Group's net fee income is now generated by our international businesses.
§ Asia Pacific net fee income up 20%* (22% actual) to £49.7m (2021: £40.9m).
o Strong performance across the region with 11 of 13 markets delivering double-digit increases in net fee income year-on-year.
o Japan and Australia, the region's largest businesses, increased net fee income by 20%* and 11%* respectively. Elsewhere across the region, the strongest rates of net fee income growth came from Taiwan (up 102%*), Indonesia (up 52%*) and New Zealand (up 32%*). Mainland China net fee income held up relatively well despite strict new lockdowns with net fee income declining just 7%* year-on-year.
§ Europe net fee income up 37%* (35% actual) to £31.5m (2021: £23.4m).
o Outstanding performance across the region with all markets delivering net fee income growth in excess of 20%* year-on-year.
o France, the Netherlands and Spain, the region's largest businesses, increased net fee income by 23%*, 43%* and 41%* respectively.
§ UK net fee income up 13% to £20.4m (2021: £18.0m).
o Recruitment activity levels continued to increase across both London and the regions. Permanent recruitment activity remains most active as organisations hired for the long-term. Strong rebound in financial services recruitment.
o Activity levels across Resource Solutions improved through the quarter.
§ Other International (the Americas, South Africa and the Middle East) net fee income up 43%* (56% actual) to £10.4m (2021: £6.7m).
o Record performances in the Middle East, Canada and Chile.
§ Continued investment in headcount. Headcount up by a further 7% quarter-on-quarter to 4,051 (31 March 2022: 3,784).
§ During the quarter, the Group purchased 1,315,348 shares at an average price of £6.05 for £8.0m through the Group's Employee Benefit Trust.
§ Strong balance sheet with net cash of £81.6m as at 30 June 2022 (30 June 2021: £112.8m).
Robert Walters, Chief Executive, commented:
"The jobs market has remained strong, and I am delighted that the Group has delivered a record second quarter performance with net fee income increasing by 25%* year-on-year. Group net fee income for the first half was up 27%*, also a record.
"We have continued to invest in additional headcount to ensure we are able to further capitalise on the current demand for talent that exists across our global footprint and specialist disciplines, with staff numbers increasing by 7% since the end of March.
"This continued strong performance means that profit for the full year is now expected to be slightly ahead of current market expectations."
The Group will publish its half-yearly results for the six months ended 30 June 2022 on 28 July 2022.
- Ends -
Further information
Robert Walters plc Robert Walters, Chief Executive Alan Bannatyne, Chief Financial Officer
| +44 20 7379 3333 |
Williams Nicolson Steffan Williams
| +44 7767 345 563 |
About Robert Walters Group
The Robert Walters Group is a market-leading international specialist professional recruitment group with over 4,000 staff spanning 32 countries. We specialise in the placement of the highest calibre professionals across the disciplines of accountancy and finance, banking, engineering, HR, healthcare, IT, legal, sales, marketing, secretarial and support and supply chain, logistics and procurement. Our client base ranges from the world's leading blue-chip corporates and financial services organisations through to SMEs and start-ups. The Group's outsourcing division, Resource Solutions is a market leader in recruitment process outsourcing and managed services.
www.robertwaltersgroup.com
Forward looking statements
This announcement contains certain forward-looking statements. These statements are made by the directors in good faith based on the information available to them at the time of their approval of this announcement and such statements should be treated with caution due to the inherent uncertainties, including both economic and business risk factors, underlying any such forward-looking information.
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