Net fee income growth slows at Robert Walters

11th Oct 2011 08:14

Global white-collar recruitment firm Robert Walters said conditions in the UK remain challenging, echoing comments made Monday by its competitor Michael Page.Net fee income (NFI) for the group rose 13%, or 8% on a constant currency (CC) basis, in the third quarter of 2011 to £48.0m from £42.5m a year earlier, but that hid a 4% decline in NFI from the UK operations.Fortunately, the UK is no longer the biggest part of the business, accounting for around a quarter of net fee income. Asia Pacific is now the major bread winner, with NFI up 18% (+10% on CC basis) to £25.4m from £21.5m a year earlier.The nascent Americas and South Africa division saw the fastest growth, with NFI surging 44% to £1.3m from £0.9m last year. Europe, excluding the UK, saw NFI rise 24% (CC:+18%) to £9.2m from £7.4m in the third quarter of last year. The group said it saw strong growth in France and Germany."Net fee income growth, whilst positive, has slowed as markets have become more challenging," admitted Robert Walters, chief executive of the company that bears his name. "Group headcount increased by 4% to 2,001, mainly in Asia and Continental Europe and year to date we have opened five offices, two in new countries," he added. Net cash at the end of September had fallen from the end-June level of £10.7m but was still in excess of £5m.--jh