IT staffing and services provider Mastech Digital Inc. (NYSEAMERICAN: MHH) reported second-quarter revenue rose 12.8%. The firm cited strong demand in its IT staffing segment and billable consultants increased by 8% during the quarter and 18% so far this year — offsetting the decline during 2020.
Mastech also cited a strong pipeline of opportunities in its “data and analytics services” division.
“We continued to see further recovery in our data and analytics services segment during the second quarter and our IT staffing services segment saw a strong increase in new engagements,” President and CEO Vivek Gupta said.
| (US$ thousands) | Q2 2021 | Q2 2020 | % change |
| Revenue | $53,658 | $47,583 | 12.8% |
| Gross profit | $14,315 | $12,656 | 13.1% |
| Gross margin | 26.7% | 26.6% | |
| Net income | $3,738 | $2,969 | 25.9% |
Paul Burton, chief executive of Mastech’s data and analytics services segment, believes the marketplace is on the verge of a meaningful recovery.
“Customer conversations are becoming less cautionary and more aggressive about investing in projects that have been on the back burner for the last 12 to 18 months,” Burton said.
Revenue by segment
| (US$ thousands) | Q2 2021 | Q2 2020 | % change |
| Data and analytics services | $8,950 | $6,772 | 32.2% |
| IT staffing services | $44,708 | $40,811 | 9.5% |
Share price and market cap
Shares in Mastech were down 3.97% to $18.14 as of 1:20 p.m. Eastern time; they were 29.57% above their 52-week low, according to FT.com. The company had a market cap of $215.9 million.