Mastech Digital Reports Consolidated Fourth Quarter Revenue Growth of 10.2%

Core Insights - Mastech Digital, Inc. reported a revenue growth of 10.2% year-over-year for the fourth quarter of 2024, totaling $50.7 million compared to $46.1 million in the same quarter of 2023 [3][7] - The Data and Analytics Services segment achieved a remarkable revenue growth of 26.2% in the fourth quarter of 2024, generating $10.3 million [4][7] - The company extended its share repurchase program for an additional year through February 8, 2026, with 423,000 shares available for repurchase as of December 31, 2024 [9][10] Fourth Quarter 2024 Highlights - Gross profits for the fourth quarter of 2024 were $14.7 million, up from $11.3 million in the same quarter of 2023 [3][7] - GAAP net income for the fourth quarter was $0.3 million or $0.02 per diluted share, a significant improvement from a loss of $5.4 million or ($0.46) per diluted share in the fourth quarter of 2023 [3][7] - Non-GAAP net income for the fourth quarter was $2.8 million, or $0.23 per diluted share, compared to $1.3 million, or $0.11 per diluted share, in the fourth quarter of 2023 [3][7] Full Year 2024 Results - Total revenues for the full year of 2024 were $198.9 million, slightly down from $201.1 million in 2023 [5] - Gross profits for 2024 were $55.6 million, representing 27.9% of total revenues, compared to $51.0 million or 25.4% in 2023 [5] - GAAP net income for 2024 was $3.4 million or $0.28 per diluted share, compared to a loss of $7.1 million or ($0.61) per diluted share in 2023 [5] Segment Performance - The IT Staffing Services segment reported revenues of $40.5 million in the fourth quarter of 2024, a 6.8% increase from $37.9 million in the same quarter of 2023 [4][7] - The Data and Analytics Services segment's gross margin was 49.5% in the fourth quarter of 2024, up from 44.7% in the fourth quarter of 2023 [26] - The IT Staffing Services segment achieved a gross margin of 23.8% in the fourth quarter of 2024, compared to 20.3% in the same quarter of 2023 [26] Financial Position - As of December 31, 2024, the company had cash balances of $27.7 million and no bank debt, with borrowing availability of approximately $22.6 million under its revolving credit facility [8] - The Days Sales Outstanding (DSO) stood at 52 days, well within the targeted range [8]