Table of Contents (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2024 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File Number 001-34099 MASTECH DIGITAL, INC. (Exact name of registrant as specified in its charter) UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q PENNSYLVANIA 26-2753540 (State or other jurisdiction of incorpor ...

PITTSBURGH, PA – May 8, 2024—Mastech Digital, Inc. (NYSE American: MHH), a leading provider of Digital Transformation IT Services, announced today its financial results for the first quarter ended March 31, 2024. First Quarter 2024 Highlights: First Quarter Results: Revenues for the first quarter of 2023 totaled $46.8 million, compared to $55.1 million during the corresponding quarter of 2023. Gross profits in the first quarter of 2024 were $12.1 million, compared to $13.5 million in the same quarter of 202 ...

The IT Staffing Services Segment Increases its Billable Consultant Base by 6% during the Quarter   PITTSBURGH, May 8, 2024 /PRNewswire/ -- Mastech Digital, Inc. (NYSE American: MHH), a leading provider of Digital Transformation IT Services, announced today its financial results for the first quarter ended March 31, 2024.   First Quarter 2024 Highlights: Total consolidated revenues declined by 15% to $46.8 million, compared to revenues of $55.1 million in the first quarter of 2023. However, total consolidat ...

PITTSBURGH, April 23, 2024 /PRNewswire/ -- Mastech Digital, Inc. (NYSE American: MHH), a leading provider of Digital Transformation IT Services, has scheduled a conference call to discuss the results for the first quarter ended March 31, 2024. The conference call will occur on Wednesday, May 8th at 9:00 a.m. Eastern Time and will be hosted by  Mr. Vivek Gupta, CEO, and Mr. Jack Cronin, CFO. The conference call can be accessed through a listen-only dial-in number or through a live webcast. To listen to the c ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K (Mark One) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2023 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File Number 001-34099 MASTECH DIGITAL, INC. (Exact name of registrant as specified in its charter) PENNSYLVANIA 26-2753540 (State or other jurisdiction of incorporation ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2023 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File Number 001-34099 | Securities registered pursuant to Section 12(b) of the Act: | | | | --- | --- | --- | | Trading | | Name of each exchange | | Title of ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2023 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File Number 001-34099 MASTECH DIGITAL, INC. (Exact name of registrant as specified in its charter) PENNSYLVANIA 26-2753540 (State or other jurisdiction of incorpora ...

Revenue Performance - For the three months ended March 31, 2023, total revenues were $55,063,000, a decrease of 7.2% from $59,755,000 in the same period of 2022[43]. - The Data and Analytics Services segment generated $9,395,000 in revenue, down from $10,152,000, reflecting a decline of 7.5% year-over-year[42]. - The IT Staffing Services segment reported revenues of $45,668,000, a decrease of 7.4% from $49,603,000 in the prior year[43]. - Revenue from the United States was $53,755,000, down from $58,347,000, representing a decline of 7.3% year-over-year[44]. - Total revenues for Q1 2023 were $55.1 million, an 8% decrease from $59.8 million in Q1 2022, with a 7% decline in Data and Analytics Services and an 8% decline in IT Staffing Services[100]. Client Concentration - The top ten clients accounted for approximately 56% of total revenues in Q1 2023, compared to 51% in Q1 2022, indicating increased client concentration[44]. - The company's top ten clients represented approximately 56% of total revenues in Q1 2023, up from 51% in Q1 2022, indicating a higher revenue concentration[100]. Gross Profit and Margins - Gross profits for Q1 2023 were $13.5 million, down 15% from $15.9 million in Q1 2022, with a gross margin percentage of 24.5% compared to 26.7% in the prior year[103]. - Gross margin for Data and Analytics Services segment decreased to 38.5% in Q1 2023 from 45.2% in Q1 2022, attributed to lower utilization and project margins[104]. - IT Staffing Services segment gross margin fell to 21.6% in Q1 2023 from 22.9% in Q1 2022, primarily due to a $0.4 million reduction in permanent placement fees[105]. Operating Expenses - Total SG&A expenses increased to $12.9 million in Q1 2023, representing 23.5% of total revenues, compared to $12.6 million or 21.1% in Q1 2022[106]. - General and administrative expenses rose by $1.6 million in Q1 2023, driven by higher executive compensation and legal expenses[109]. Tax and Income - The total provision for income taxes for Q1 2023 was $218,000, a decrease of 76.1% from $915,000 in Q1 2022[71]. - Domestic income before income taxes for Q1 2023 was $2,080,000, down 37.2% from $3,315,000 in Q1 2022[70]. - Income tax expense for Q1 2023 was $218,000, with an effective tax rate of 45.5%, up from $915,000 and 28.2% in Q1 2022, due to valuation allowances related to foreign NOLs[108]. Cash Flow and Liquidity - Cash provided by operating activities was $3.1 million in Q1 2023, compared to $1.6 million in Q1 2022, with net income of $0.3 million[113]. - As of March 31, 2023, the company had cash balances of $9.1 million and $31.5 million of borrowing capacity under its credit facility[110]. - Accounts receivable "days sales outstanding" (DSOs) improved to 61 days as of March 31, 2023, down three days from the previous year[111]. - Cash used in investing activities was ($7,000) in Q1 2023, compared to ($646,000) in Q1 2022, reflecting a decrease in capital expenditures[114]. Shareholder Actions - The Company authorized a share repurchase program of up to 500,000 shares on February 8, 2023, with no shares repurchased in Q1 2023[74]. - During Q1 2023, the Company granted 19,924 restricted share units and 100,000 stock options at a strike price of $11.53[57]. - Stock-based compensation expense for Q1 2023 was $835,000, up from $526,000 in Q1 2022, reflecting an increase of 58.6%[58]. - The Company issued 17,804 shares in Q1 2023 compared to 90,933 shares in Q1 2022, indicating a decrease of 80.5%[58]. - As of March 31, 2023, there were 492,565 shares available for purchase under the Employee Stock Purchase Plan[61]. Debt and Liabilities - As of March 31, 2023, the Company had total lease liabilities of $3,444,000, down from $3,798,000 as of December 31, 2022[50]. - The Company had outstanding borrowings under the term loan of $0 as of March 31, 2023, down from $1.1 million at December 31, 2022[69]. - The Company prepaid $7.6 million of the outstanding term loan in August 2022, bringing the balance to zero by January 3, 2023[64]. - The Company deferred $4.6 million of the employer's share of social security tax under the CARES Act, with no balance reflected in the Consolidated Balance Sheets as of March 31, 2023[53]. Audit and Compliance - The Company’s Canadian subsidiary is currently under audit by Revenue Canada for the years 2018 and 2019[73]. - The company adopted ASU 2021-08 on January 1, 2023, with no material impact on financial statements, reflecting ongoing compliance with accounting standards[82]. Economic Conditions - Economic uncertainty continued to impact demand for IT Staffing Services in Q1 2023, with reduced client investment in new projects[94].

Mastech Digital, Inc. (NYSE:MHH) Q1 2023 Results Earnings Conference Call May 3, 2023 9:00 AM ET Company Participants Jennifer Lacey - Manager, Legal Affairs Jack Cronin - Chief Financial Officer Vivek Gupta - President and Chief Executive Officer Michael Fleishman - Chief Executive Officer, Data and Analytics Services Conference Call Participants Lisa Thompson - Zacks Investment Research Marc Riddick - Sidoti & Company Ross Davisson - Banneton Capital Operator Greetings. And welcome to the Mastech Digital ...

Part I [Business](index=3&type=section&id=Item%201.%20Business) Mastech Digital provides Digital Transformation IT Services through Data and Analytics and IT Staffing segments, serving a global client base - The company operates through two reportable segments: Data and Analytics Services and IT Staffing Services, deriving nearly **100% of its revenue** from these services[11](index=11&type=chunk) - Mastech Digital has grown through strategic acquisitions, including Hudson IT's staffing business (2015), InfoTrellis's data and analytics division (2017), and AmberLeaf's customer experience consulting firm (2020)[21](index=21&type=chunk)[23](index=23&type=chunk)[25](index=25&type=chunk) [Operating Segments](index=5&type=section&id=Item%201.%20Business%23Operating%20Segments) Operations are divided into Data and Analytics Services for data modernization and IT Staffing Services for skilled personnel - The Data and Analytics Services segment, branded Mastech InfoTrellis, focuses on data modernization, including data management, engineering, data science, customer experience consulting, and cloud services. It targets large corporations with project sizes ranging from **$500,000 to multi-million dollar Center of Excellence contracts**[32](index=32&type=chunk)[36](index=36&type=chunk)[41](index=41&type=chunk) Data and Analytics Services - 2022 Revenue by Industry | Industry Vertical | Revenue Percentage | | :--- | :--- | | Financial Services | 37% | | Manufacturing | 21% | | Retail | 16% | | Healthcare | 16% | | Government | 5% | | Other | 5% | - The IT Staffing Services segment provides contract staffing for digital technologies (cloud, mobile, analytics) and mainstream IT roles. It utilizes a flexible sales model, including a centralized telesales approach and a local branch service model, to serve a diverse client base[13](index=13&type=chunk)[48](index=48&type=chunk)[57](index=57&type=chunk) IT Staffing Services - Billable Consultants by Industry (as of Dec 31, 2022) | Industry Vertical | Consultant Percentage | | :--- | :--- | | Financial Services | 53% | | Healthcare | 9% | | Government | 8% | | Telecom | 7% | | Technology | 6% | | Retail | 5% | | Other | 12% | [Company Profile](index=11&type=section&id=Item%201.%20Business%23Company%20Profile) Mastech Digital employs 1,695 professionals and 324 subcontractors, leveraging an established client base in competitive markets - As of December 31, 2022, the company had a total of **1,695 employees**, with **1,071 in North America** and **624 offshore**, supplemented by **324 subcontracted professionals**[61](index=61&type=chunk) - The company competes with major firms like Cognizant, TCS, Deloitte, and Accenture in Data and Analytics, and a wide range of firms in the fragmented IT Staffing market[66](index=66&type=chunk) - Key strengths include an established client base, operational excellence via global delivery models, minority-owned business certification, an attractive financial profile, and deep expertise in high-demand digital transformation skills[68](index=68&type=chunk)[69](index=69&type=chunk)[73](index=73&type=chunk) [Government Regulation](index=14&type=section&id=Item%201.%20Business%23Government%20Regulation) Operations are subject to U.S. immigration laws, with H1-B visa changes posing risks to talent supply and profitability - As of December 31, 2022, approximately **27% of the company's workforce** was working under Mastech Digital sponsored H1-B temporary work permits[81](index=81&type=chunk) - Potential legislative changes to the H1-B visa program could negatively impact revenues and profits by affecting the number of available visas or increasing the prevailing wage requirements for H1-B employees[81](index=81&type=chunk) [Risk Factors](index=14&type=section&id=Item%201A.%20Risk%20Factors) The company faces operational, regulatory, economic, and stock-related risks, including client concentration, cybersecurity, and H1-B visa changes - A significant portion of revenue comes from a limited number of clients. In 2022, the top ten clients accounted for approximately **53% of total revenues**, making the company vulnerable to the loss of a major client[100](index=100&type=chunk) - The company experienced a cybersecurity breach in Q3 2022, which impacted two clients and resulted in a pre-tax loss reserve of **$450,000**[122](index=122&type=chunk) - Approximately **27% of the workforce** is on company-sponsored H1-B visas, making the business highly sensitive to changes in U.S. immigration regulations[133](index=133&type=chunk) - The company's ownership is highly concentrated, with co-founders Sunil Wadhwani and Ashok Trivedi beneficially owning approximately **59% of the outstanding common stock** as of December 31, 2022[154](index=154&type=chunk) [Unresolved Staff Comments](index=28&type=section&id=Item%201B.%20Unresolved%20Staff%20Comments) The company reports no unresolved staff comments from the SEC - None[158](index=158&type=chunk) [Properties](index=28&type=section&id=Item%202.%20Properties) The company leases all principal properties, including headquarters in Moon Township, PA, and key operational offices globally Principal Leased Properties as of December 31, 2022 | Location | Principal Use | Occupying Business Segment | Approximate Square Footage | | :--- | :--- | :--- | :--- | | Moon Township, PA | Corporate headquarters & operations | IT Staffing | 11,500 | | Chicago, IL | Executive, sales and recruiting | IT Staffing | 2,300 | | Atlanta, GA | Sales and marketing | Data and Analytics | 2,700 | | Toronto, Canada | HR, sales, marketing and delivery | Data and Analytics | 3,800 | | NOIDA, India | Sales and recruiting office | IT Staffing | 39,900 | | Chennai, India | Sales and delivery center | Data and Analytics | 35,400 | [Legal Proceedings](index=28&type=section&id=Item%203.%20Legal%20Proceedings) The company is involved in various lawsuits, but management expects no material adverse effect on financial position - Management believes that the disposition of ongoing legal proceedings will not have a material adverse effect on the company's financial condition[160](index=160&type=chunk) [Mine Safety Disclosures](index=28&type=section&id=Item%204.%20Mine%20Safety%20Disclosures) This item is not applicable to the company - Not applicable[161](index=161&type=chunk) Part II [Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities](index=28&type=section&id=Item%205.%20Market%20for%20the%20Registrant%27s%20Common%20Equity%2C%20Related%20Stockholder%20Matters%20and%20Issuer%20Purchases%20of%20Equity%20Securities) Mastech Digital's common stock trades on NYSE American (MHH); the company does not pay recurring dividends but authorized a share repurchase program - The company's common stock trades on the NYSE American under the symbol **MHH**[163](index=163&type=chunk) - A share repurchase program for up to **500,000 shares** of common stock over a two-year period was authorized by the Board of Directors on February 8, 2023[165](index=165&type=chunk) - Under the 2019 Employee Stock Purchase Plan, **23,789 shares** were purchased in 2022 at an average price of **$11.53 per share**[166](index=166&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=29&type=section&id=Item%207.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) In 2022, total revenues grew 9% to **$242.2 million**, but consolidated gross margin decreased to **26.1%**, while liquidity remained strong with **$7.1 million** cash [Results of Operations](index=30&type=section&id=Item%207.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations%23Results%20of%20Operations) In 2022, revenues increased 9% to **$242.2 million**, but gross margin percentage declined to **26.1%**, impacted by higher SG&A expenses Revenues & Gross Margin by Segment (2020-2022) | Revenues (in millions) | 2022 | 2021 | 2020 | | :--- | :--- | :--- | :--- | | Data and Analytics Services | $40.6 | $38.3 | $30.2 | | IT Staffing Services | $201.6 | $183.7 | $163.9 | | **Total Revenues** | **$242.2** | **$222.0** | **$194.1** | | **Gross Margin %** | | | | | Data and Analytics Services | 41.5% | 48.4% | 50.5% | | IT Staffing Services | 23.0% | 22.3% | 22.1% | | **Total Gross Margin %** | **26.1%** | **26.8%** | **26.6%** | - In 2022, total revenues increased **9%** year-over-year, but gross margin percentage decreased by **70 basis points** to **26.1%**, primarily due to lower utilization and margin pressure in the Data and Analytics segment[182](index=182&type=chunk)[184](index=184&type=chunk) - SG&A expenses in 2022 included a **$0.4 million** reserve for a cyber-security breach and **$1.0 million** in severance expenses, which were not present in 2021[187](index=187&type=chunk) - In 2021, SG&A expenses included a credit of **$2.9 million** from the revaluation of a contingent consideration liability related to the AmberLeaf acquisition[187](index=187&type=chunk)[196](index=196&type=chunk) [Liquidity and Capital Resources](index=35&type=section&id=Item%207.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations%23Liquidity%20and%20Capital%20Resources) The company ended 2022 with **$6.0 million** net cash and **$32 million** borrowing capacity, generating **$12.6 million** from operations Cash Flow Activities (2020-2022) | Cash Flows Activities (in millions) | 2022 | 2021 | 2020 | | :--- | :--- | :--- | :--- | | Operating activities | $12.6 | $5.2 | $21.2 | | Investing activities | ($0.8) | ($2.1) | ($9.6) | | Financing activities | ($10.4) | ($4.1) | ($6.7) | - In 2022, the company reduced its outstanding bank debt by **$12 million** and ended the year with **$7.1 million** in cash and cash equivalents[198](index=198&type=chunk) - Accounts receivable 'days sales outstanding' (DSO) was **59 days** at year-end 2022, an improvement from **61 days** at year-end 2021[199](index=199&type=chunk) [Critical Accounting Policies and Estimates](index=37&type=section&id=Item%207.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations%23Critical%20Accounting%20Policies%20and%20Estimates) Management identifies critical accounting policies including Revenue Recognition, Accounts Receivable, Goodwill Impairment, Business Combinations, and Income Taxes - Revenue on fixed-price contracts is recognized over time using a cost-based input method, requiring management judgment on total estimated costs to completion[218](index=218&type=chunk) - Goodwill is tested for impairment annually on October 1st or more frequently, comparing fair value (estimated using discounted cash flows) to carrying value[225](index=225&type=chunk) - The contingent consideration liability from the AmberLeaf acquisition was revalued to **zero** in 2021, resulting in a **$2.9 million** credit to SG&A expenses[242](index=242&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=42&type=section&id=Item%207A.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company's primary market risks relate to interest rate changes on variable debt and foreign currency fluctuations from international subsidiaries - A hypothetical **10% increase** in interest rates on the company's variable debt would result in an approximate **$10,000** increase in annual interest expense[250](index=250&type=chunk) - A hypothetical **10% change** in overall foreign currency rates in 2022 would have had an approximate **$65,000** impact on the consolidated financial statements[252](index=252&type=chunk) [Financial Statements and Supplementary Data](index=42&type=section&id=Item%208.%20Financial%20Statements%20and%20Supplementary%20Data) This section presents the company's audited consolidated financial statements, including the independent auditor's unqualified opinion and critical audit matters [Report of Independent Registered Public Accounting Firm](index=45&type=section&id=Item%208.%20Financial%20Statements%20and%20Supplementary%20Data%23Report%20of%20Independent%20Registered%20Public%20Accounting%20Firm) UHY LLP issued an unqualified opinion on the financial statements, identifying goodwill valuation as a Critical Audit Matter - The auditor's opinion states that the financial statements present fairly, in all material respects, the consolidated financial position of the company[263](index=263&type=chunk) - The valuation of the **$32.5 million** goodwill balance was identified as a Critical Audit Matter, requiring significant auditor judgment to evaluate management's forecasts[269](index=269&type=chunk)[270](index=270&type=chunk) [Consolidated Financial Statements](index=47&type=section&id=Item%208.%20Financial%20Statements%20and%20Supplementary%20Data%23Consolidated%20Financial%20Statements) The consolidated financial statements show total assets of **$108.9 million** in 2022, with net income of **$8.7 million** and **$12.6 million** cash from operations Consolidated Balance Sheet Highlights (in thousands) | | Dec 31, 2022 | Dec 31, 2021 | | :--- | :--- | :--- | | Total current assets | $53,174 | $53,905 | | Goodwill, net | $32,510 | $32,510 | | Intangible assets, net | $15,773 | $18,760 | | **Total assets** | **$108,879** | **$114,068** | | Total current liabilities | $19,557 | $26,844 | | Total long-term debt | $0 | $8,700 | | **Total liabilities** | **$22,876** | **$39,640** | | **Total shareholders' equity** | **$86,003** | **$74,428** | Consolidated Statement of Operations Highlights (in thousands, except EPS) | | 2022 | 2021 | 2020 | | :--- | :--- | :--- | :--- | | Revenues | $242,238 | $222,012 | $194,101 | | Gross profit | $63,183 | $59,444 | $51,539 | | Income from operations | $12,199 | $17,610 | $13,403 | | **Net income** | **$8,712** | **$12,221** | **$9,861** | | **Diluted EPS** | **$0.72** | **$1.02** | **$0.83** | [Notes to Consolidated Financial Statements](index=52&type=section&id=Item%208.%20Financial%20Statements%20and%20Supplementary%20Data%23Notes%20to%20Consolidated%20Financial%20Statements) Notes detail accounting policies, revenue disaggregation, the AmberLeaf acquisition, goodwill, credit facility terms, stock-based compensation, and segment data - The top ten clients accounted for **53% of total revenues** in 2022, with one client, CGI, representing **22.2% of total revenues**[359](index=359&type=chunk) - The October 2020 acquisition of AmberLeaf had a total fair value of consideration of **$12.5 million**, with **$2.9 million** in contingent consideration later written down to zero in 2021[366](index=366&type=chunk) - As of December 31, 2022, the company had **$1.1 million** outstanding on its term loan and **$31.8 million** of unused borrowing capacity on its revolver[382](index=382&type=chunk) - Total stock-based compensation expense was **$2.2 million** in 2022, with **$7.4 million** of unrecognized expense related to non-vested stock options remaining[409](index=409&type=chunk) [Changes in and Disagreements with Accountants on Accounting and Financial Disclosure](index=77&type=section&id=Item%209.%20Changes%20in%20and%20Disagreements%20with%20Accountants%20on%20Accounting%20and%20Financial%20Disclosure) The company reports no changes in or disagreements with its accountants on accounting and financial disclosure - None[438](index=438&type=chunk) [Controls and Procedures](index=77&type=section&id=Item%209A.%20Controls%20and%20Procedures) Management concluded that the company's disclosure controls and internal control over financial reporting were effective as of December 31, 2022 - Management concluded that the Company's disclosure controls and procedures were effective as of the end of the period covered by this report[440](index=440&type=chunk) - Management concluded that the Company's internal control over financial reporting was effective as of December 31, 2022, based on the COSO-2013 framework[443](index=443&type=chunk) [Other Information](index=78&type=section&id=Item%209B.%20Other%20Information) The company reports no other information - None[445](index=445&type=chunk) Part III [Directors, Executive Officers and Corporate Governance](index=79&type=section&id=Item%2010.%20Directors%2C%20Executive%20Officers%20and%20Corporate%20Governance) Information on directors, executive officers, and corporate governance is incorporated by reference from the 2023 proxy statement - Required information is incorporated by reference from the Company's definitive proxy statement for the Annual Meeting of Shareholders scheduled for May 10, 2023[449](index=449&type=chunk) [Executive Compensation](index=79&type=section&id=Item%2011.%20Executive%20Compensation) Information regarding executive and director compensation is incorporated by reference from the 2023 proxy statement - Required information is incorporated by reference from the Proxy Statement under headings such as 'Compensation Discussion And Analysis' and 'Summary Compensation Table'[451](index=451&type=chunk) [Security Ownership of Certain Beneficial Owners and Management and Related Shareholder Matters](index=79&type=section&id=Item%2012.%20Security%20Ownership%20of%20Certain%20Beneficial%20Owners%20and%20Management%20and%20Related%20Shareholder%20Matters) Information on security ownership and equity compensation plans is incorporated by reference from the 2023 proxy statement - Required information is incorporated by reference from the Proxy Statement under the headings 'Equity Compensation Plan Information' and 'Security Ownership of Certain Beneficial Owners and Management'[452](index=452&type=chunk)[453](index=453&type=chunk) [Certain Relationships and Related Transactions, and Director Independence](index=79&type=section&id=Item%2013.%20Certain%20Relationships%20and%20Related%20Transactions%2C%20and%20Director%20Independence) Information on related person transactions and director independence is incorporated by reference from the 2023 proxy statement - Required information is incorporated by reference from the Proxy Statement under the headings 'Board Committees and Meetings' and 'Policies and Procedures for Approving Related Person Transactions'[454](index=454&type=chunk) [Principal Accountant Fees and Services](index=79&type=section&id=Item%2014.%20Principal%20Accountant%20Fees%20and%20Services) Information regarding principal accountant fees and services is incorporated by reference from the 2023 proxy statement - Required information is incorporated by reference from the Proxy Statement under the heading 'Independent Registered Public Accountants'[455](index=455&type=chunk) Part IV [Exhibits and Financial Statement Schedules](index=80&type=section&id=Item%2015.%20Exhibits%20and%20Financial%20Statement%20Schedules) This section lists financial statements, schedules, and exhibits filed as part of the Form 10-K, including consolidated financial statements Schedule II — Valuation and Qualifying Accounts (in thousands) | Allowance for Doubtful Accounts | Balance at beginning of period | Charged to expense | Recoveries/ (Write offs) | Balance at end of period | | :--- | :--- | :--- | :--- | :--- | | Year ended Dec 31, 2022 | $375 | $50 | $19 | $444 | | Year ended Dec 31, 2021 | $413 | $130 | ($168) | $375 | | Year ended Dec 31, 2020 | $338 | $— | $75 | $413 | [Signatures](index=86&type=section&id=Signatures) The report is duly signed by the company's President, CEO, CFO, and Board of Directors as of March 27, 2023