MASTECH DIGITAL DL-,01

Mastech missed both EPS (USD 0.11 vs. expected USD 0.16) and revenue (USD 41.1 million vs. expected USD 50.8 million) in the first quarter, after which the stock fell 12.13% in premarket trading. The company attributes the revenue decline to strategic pullbacks from lower‑margin business areas and continued market headwinds, but recorded a slight improvement in gross margin. Mastech continues to invest in AI and data platforms and reaffirms its annual and multi‑year guidance, including annual EPS of USD 0.68 (2026) and USD 1.06 (2027) as well as revenue forecasts of USD 168 million (2026) and USD 194.21 million (2027). » Mere på de.investing.com

Management reorganized into Talent and Data and AI segments, exiting lower-margin roles to improve revenue quality while the Data and AI segment grew new bookings ~90% year-over-year. EDGE efficiency gains will be reinvested, with about $2 million annualized redirected to AI engineering, proprietary tools and go-to-market efforts, driving higher SG&A from Q2. A multi-year win with a top-10 healthcare payer validates the modernization strategy; company holds $33.6 million cash, no bank debt and authorized a $5 million buyback program. Management expects prolonged procurement rigor and elongated decision cycles through 2026 while pursuing cross-sell expansion and sustaining record-high bill rates. » Mere på finance.yahoo.com

Mastech reported Q1 EPS of $0.11 versus $0.16 expected and revenue of $41.08 million versus a projected $50.08 million. The stock fell 6.21% in pre-market trading and is trading near its 52-week low. Revenue declines were concentrated in the Talent (-11.8%) and Data and AI (-21.3%) segments, while gross margin edged up slightly. Management plans to invest in AI engineering and modern data platforms and intends to leverage wins in the healthcare sector for growth, but did not provide a concrete forecast. » Mere på de.investing.com