International recruitment firm Robert Walters (RWA: LSE) provided a trading update for the second quarter ended 30 June 2019. Group net fee income rose by 7% and by 5% in constant currency.

Group net fee income by region was as follows. 

Net fee income growth was driven by growth overseas with Asia Pacific, Europe and Other International reporting growth in the second quarter. 76% (2018: 73%) of the group's net fee income is now derived from overseas businesses.  

UK net fee income was down 8% in constant currency. The group reported client and candidate confidence was weaker during the quarter as a result of the political landscape in the country. Furthermore, Robert Walters cited tough year-on-year comparatives. Overall, despite the decrease in the second quarter, the UK delivered positive net fee income growth for the first half of the year with pockets of buoyancy across financial services, technology and the regions.

In Asia, the group reported a record performance in Japan. Robert Walters reported that its emerging markets continued to perform well. Hong Kong was impacted by recent political unrest, however the group reported encouraging signs of momentum in Singapore and Malaysia. Robert Walters also reported single digit growth in Australia and a record performance in New Zealand.

In Europe, a blend of permanent, contract and interim recruitment revenue streams continues to be a key strength. The group reported good growth across the region with France, Germany, Netherlands and Portugal all growing in excess of 15% year-on-year.

Within France, the group's largest business in the region, Robert Walters reported a rebound during the quarter following the impact of the gilets jaunes (yellow jackets) demonstrations during the first quarter.

In the Other International region (the Americas, Middle East and South Africa), net fee income up 18% (23% actual) with North America delivering a strong performance.  

Robert Walters, Chief Executive, commented, "Our international businesses have continued to perform well and now represent 76% of Group net fee income,” Walters said. “The UK has been impacted by Brexit-related uncertainty, however the group's diverse geographic footprint and blend of revenue streams ensures we are well positioned for the future. Walters added, "Current trading remains in line with market expectations for the full year."

The group will publish its half-yearly results for the six months ended 30 June 2019 on 25 July 2019.

As of last trade, Robert Walters traded at £601.50, up 0.25% on the day and 26.63% above the 52 week low of £475.00 set on 11 December 2018. Based on its current share price the company has a market value of £455.59 million.