Financial Data and Key Metrics Changes - Consolidated revenues for Q2 2024 totaled $49.5 million, down from $52.2 million in Q2 2023, indicating a year-over-year decline, although the rate of decline has been progressively reduced over the last several quarters [6][7] - GAAP net income for Q2 2024 was $1.4 million or $0.12 per diluted share, compared to a net loss of $2.2 million or a $0.19 loss per diluted share in Q2 2023 [8] - Non-GAAP net income for Q2 2024 was $2.2 million or $0.19 per diluted share, compared to $1.3 million or $0.11 per diluted share in Q2 2023 [8] Business Line Data and Key Metrics Changes - Data and Analytics Services segment reported revenue of $8.9 million in Q2 2024, slightly up from $8.8 million in Q2 2023, with a sequential quarterly growth of 10% [7] - IT Staffing Services segment revenues totaled $40.7 million in Q2 2024, down from $43.4 million in Q2 2023, but showed a sequential growth of 5% [7] - Consolidated gross margins improved to 28.2% in Q2 2024 from 26.1% in Q2 2023, setting a new quarterly record for the company [8][13] Market Data and Key Metrics Changes - The company reported a favorable economic environment encouraging increased IT spending from clients, with improvements in project delivery and resource utilization contributing to financial results [10][11] - The Days Sales Outstanding measurement was 53 days at quarter end, favorable to the target of 60 days [9] Company Strategy and Development Direction - The company aims to maintain gross margins at or above 28%, focusing on controlling SG&A expenses and improving project delivery [19][13] - There is a strategic emphasis on expanding existing client accounts and acquiring new clients to enhance revenue potential [12][26] Management Comments on Operating Environment and Future Outlook - Management expressed confidence in the macroeconomic environment and client willingness to increase IT spending, indicating a positive outlook for future quarters [10][11] - The company has achieved two consecutive quarters of positive performance, suggesting a trend towards recovery and growth [14] Other Important Information - The company had cash balances of $20.6 million at the end of Q2 2024, with no bank debt outstanding and borrowing availability of $23.8 million under the revolving credit facility [9][28] - There was no share repurchase activity during the quarter due to an extended blackout period, but management expressed interest in resuming the program once the blackout is lifted [28][29] Q&A Session Summary Question: What is the number of consultants you end the quarter with? - The company ended the quarter with 1,035 consultants after adding 31 during Q2 [15][16] Question: How is the trend going this quarter? - Management indicated that July showed an increase in headcount, suggesting a positive trend [16] Question: How much have the new consultants changed operations? - Management clarified that SG&A expenses are not directly related to the consultants, as they have focused on tightening overall spending [17][18] Question: What is the outlook for gross margins going forward? - Management aims to maintain gross margins at around 28%, with some variability due to factors like medical claims [19][21] Question: Can Data and Analytics get back over the 50% gross margin this year? - Management expressed the intention to reach that level but acknowledged the difficulty in predicting it [20][21] Question: Can you discuss client activity changes and industry differentiation? - Management noted that clients are becoming more comfortable with the economic environment, leading to increased spending, and highlighted the company's industry-focused solutions [25][26] Question: Was there any share repurchase activity during the quarter? - There was no share repurchase activity due to a blackout period, but management is keen to resume once possible [28][29]

Exhibit 99.1 FOR IMMEDIATE RELEASE: Mastech Digital Reports 6% Sequential Revenue Growth for the Second Quarter of 2024 Consolidated Gross Profit Margins of 28.2% Set a New Quarterly Record for Mastech Digital PITTSBURGH, PA – August 7, 2024 - Mastech Digital, Inc. (NYSE American: MHH), a leading provider of Digital Transformation IT Services, announced today its financial results for the second quarter ended June 30, 2024. Second Quarter 2024 Highlights: • Total consolidated revenues increased by $2.7 mill ...

The conference call can be accessed through a listen-only dial-in number or through a live webcast. To listen to the conference call, please dial 877-407-3980. The webcast will be available at http://www.mastechdigital.com via the Investors section. Investors should log on 10 minutes prior to the start of the program. Logo: https://mma.prnewswire.com/media/1039524/2514173/Mastech_Digital_Logo.jpg About Mastech Digital, Inc. A replay of the call will be available for 7 days following its conclusion. Domestic ...

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 ...

Financial Data and Key Metrics Changes - Q1 2024 revenues totaled $46.8 million, a 15% year-over-year decline from $55.1 million in Q1 2023, but an improvement over the 20% decline in Q4 2023 [73] - GAAP net income for Q1 2024 was a loss of $161,000, or $0.01 loss per diluted share, compared to net income of $261,000, or $0.02 per diluted share in Q1 2023 [41] - Non-GAAP net income for Q1 2024 was $800,000, or $0.06 per diluted share, down from $1.4 million, or $0.12 per diluted share in the same quarter last year [41] - Consolidated gross margins improved to 25.9% in Q1 2024 from 24.5% in Q1 2023 and 24.6% in Q4 2023 [40] Business Line Data and Key Metrics Changes - IT Staffing Services segment revenues were $38.8 million in Q1 2024, down from $45.7 million in Q1 2023, but showed a sequential growth of 2% [58] - Data and Analytics segment reported revenues of $8.1 million in Q1 2024, down from $9.4 million in Q1 2023, with bookings totaling $9.6 million, surpassing last year's Q1 bookings by $1.2 million [39][74] - Data and Analytics gross margins improved to 46.4% in Q1 2024 from 38.5% in Q1 2023 and 44.7% in Q4 2023 [59] Market Data and Key Metrics Changes - The company noted a general increase in client spending patterns across various industries, particularly in the banking sector, which had previously held back on IT services [14][27] - The IT staffing industry is seen as a lead indicator for economic recoveries, with a 6% increase in billing consultant headcount during Q1 2024 [45] Company Strategy and Development Direction - The company is focusing on improving project execution and delivery performance to enhance gross margins, with a target gross margin of 45% [7] - Management indicated a positive outlook for the macroeconomic environment, with clients beginning to open up their budgets for larger IT projects after a period of reduced spending [61][27] Management Comments on Operating Environment and Future Outlook - Management expressed optimism about the domestic economy, noting that clients are more comfortable starting new assignments and addressing pent-up IT needs [61] - The sentiment among clients has shifted positively, with indications that they are willing to invest in larger projects that had been previously postponed [27][29] Other Important Information - The company had $19.4 million in cash balances and no bank debt as of March 31, 2024, with borrowing availability of $24.2 million under its revolving credit facility [87] - The company repurchased over 9,000 shares at an average price of $8.70 during Q1 2024 [50] Q&A Session Summary Question: What is the outlook for revenue in Q2? - Management indicated that revenue in Q2 should be better than Q1 due to increased headcount and activity levels [46] Question: How has client sentiment changed this year? - Management noted that clients are now more willing to sign larger projects and are beginning to release pent-up IT demand after several quarters of holding back [27][29] Question: What is the company's approach to stock buybacks? - The company remains keen on the share buyback program and is open to facilitating block purchases if opportunities arise [80]

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 ...

Financial Data and Key Metrics Changes - Fourth quarter 2023 revenues totaled $46.1 million, representing a 20% year-over-year revenue decline, with both business segments contributing to this decline [100] - Non-GAAP net income for Q4 2023 was $1.3 million or $0.11 per diluted share, compared to $2.8 million or $0.23 per diluted share in Q4 2022 [78] - GAAP net income for Q4 2023 was a loss of $5.4 million or negative $0.46 per diluted share, compared to a profit of $1.5 million or $0.13 per diluted share in Q4 2022, including a $5.3 million goodwill impairment charge [102] - Full year 2023 revenues were $201.1 million, down 17% year-over-year [79] - GAAP diluted earnings per share for 2023 was a loss of $0.61, compared to a profit of $0.72 in 2022 [80] - Gross margins for the full year 2023 totaled 25.4%, compared to 26.1% in 2022 [104] Business Segment Data and Key Metrics Changes - IT Staffing Services segment revenues in Q4 2023 totaled $37.9 million, down from $48.1 million in Q4 2022, with a modest sequential revenue increase over Q3 2023 [4][5] - Data and Analytics Services segment reported revenues of $8.2 million in Q4 2023, down from $9.1 million in Q4 2022, as customers reduced resources on existing projects [76] - Gross margins in the Data and Analytics Services segment improved to 44.7% in Q4 2023, compared to 37% in Q4 2022 [72] Market Data and Key Metrics Changes - The company experienced a decline in billable consultant base, but at a slower rate compared to previous quarters in 2023 [4] - Q4 order bookings totaled $19 million, marking one of the best performances since acquiring the Data and Analytics Services segment [101] Company Strategy and Development Direction - The company engaged Pimenta, Inc. as a strategic advisory consultant to provide direction for improving business performance and growth [109][94] - Management is optimistic about positioning the business for improved financial performance in 2024, despite the challenges faced in 2023 [85] Management Comments on Operating Environment and Future Outlook - Management noted that macroeconomic headwinds significantly impacted financial performance, with concerns over recession, inflation, and geopolitical events affecting client spending [107] - Positive indicators of increased customer demand were observed in both business segments, with expectations for sequential revenue growth in Q1 2024 [41][108] Other Important Information - The company remains debt-free with $21.1 million in cash and an additional $22.5 million available under its revolving credit facility [105] - Day sales outstanding improved to 53 days from 59 days a year earlier, indicating effective management of accounts receivable [81] Q&A Session Summary Question: Status of share buyback program - Management confirmed commitment to the share buyback program, having bought back approximately 60,000 shares in Q4 2023, and indicated plans for more purchases in Q1 2024 [16][112] Question: Update on Engineering Staffing Services - Management reported a month-on-month increase in headcount for Engineering Staffing Services and emphasized focus on expanding opportunities in this area [28][30] Question: Goals and strategies leading to CEO resignation - Management clarified that misalignment in goals and strategies led to the CEO's resignation, with a focus on scaling the business quickly [24][45] Question: Pricing environment and bill rates - Management noted that while pricing pressures existed, they were able to increase bill rates due to strong client relationships and quality of service [34][62]