Robert Walters shares lifted by recovery in Asia Pacific, UK hiring

Recruiter Robert Walters RWA on Tuesday noted improvement in hiring activity in Asia Pacific and the UK, and pointed to a very gradual recovery in the broader hiring market, sending its shares up as much as 11%.

The company is tightening operations, including closing unprofitable offices, consolidating its network and cutting costs, as conditions in Europe remain difficult amid political uncertainty and economic concerns linked to U.S. tariffs and inflation.

Despite the uncertainty, clients still need and want to hire, and anecdotally, a growing number of candidates are ready to move jobs, suggesting a modest increase in hiring confidence, CEO Toby Fowlston told Reuters.

In Asia Pacific, the company's largest region, fee income dipped by 2% at constant currency, an improvement from a 9% drop in the prior quarter. In the UK, a 4% fall in fee income was better than the 8% posted during the June quarter.

"While it is still very early days, we expect the shares to respond positively, given the encouraging signs and that they are currently at the lowest level in more than ten years," analysts at Panmure Liberum wrote.

Robert Walters' shares, which have slumped almost 60% so far this year, traded 7.3% higher at 125.5 pence by 0745 GMT.

Despite signs of sustained improvement in select hiring markets, the company warned that overall conditions globally remain fragile, echoing sentiments from its peers, including Hays HAS and SThree STEM.

Robert Walters' total net fee income was 69.6 million pounds ($92.6 million) for the three months ended September 30, down 12% year-over-year.

($1 = 0.7520 pounds)