Robert Walters faces £14.9m loss as revenue plunges 12% in 2025
Recruitment firm Robert Walters has reported a challenging financial year for 2025, with revenue dropping by 12% to £781.1m. The company also recorded an operating loss of £14.9m, a sharp turnaround from the £5.2m profit seen in 2024. Cost-cutting measures and strategic restructuring have now become a priority for the business.
The company's struggles led to a series of tough decisions. Operations in Brazil and Canada were shut down, while its US presence was scaled back to focus on more promising markets. Redundancy costs reached £4.4m, reducing the average workforce by 15%.
Despite the overall downturn, the UK showed signs of recovery in the second half of the year. Consultancy net fees grew by 20%, and talent advisory fees nearly doubled. However, this was not enough to offset wider losses.
To strengthen its financial position, Robert Walters cancelled its final dividend, a move the board justified as necessary to protect the balance sheet amid economic uncertainty. Net cash also fell to £26.2m from £52.5m, partly due to the 2024 dividend payout and weaker cash flows.
Looking ahead, the firm expects net fees in 2026 to remain slightly below 2025 levels. It has also raised its cost savings target to at least £12m, with full benefits expected by 2027.
The company's financial results reflect a difficult period, marked by lower revenue, an operating loss, and reduced cash reserves. With restructuring underway and cost-cutting measures in place, Robert Walters aims to stabilise its position in the coming years. The focus now shifts to recovery and efficiency improvements across its remaining markets.
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