RCM Technologies Inc. (NASDAQ: RCMT) reported third-quarter revenue fell 21.6%, although gross margin improved. The Pennsauken, New Jersey-based staffing provider reported third-quarter revenue fell 46.2% in its specialty healthcare division; it noted smaller declines in its engineering and IT staffing segments.
| (US$ thousands) | Q3 2020 | Q3 2019 | % change |
| Revenue | $31,561 | $40,250 | -21.6% |
| Gross profit | $8,820 | $10,615 | -16.9% |
| Gross profit margin | 27.9% | 26.4% | |
| Net loss/income | ($244) | $335 | nm |
“We continue to make progress on our Covid plan that we outlined in May,” RCM Executive Chairman Bradley Vizi said. “We are looking forward to delivering sequentially better results in the fourth quarter of 2020, and, despite obvious headwinds, we will continue to focus on further improvement as we head into 2021.”
Revenue by segment
| (US$ thousands) | Q3 2020 | Q3 2019 | % change |
| Engineering | $15,087 | $15,140 | -0.4% |
| Specialty healthcare | $9,015 | $16,765 | -46.2% |
| Information technology | $7,459 | $8,345 | -10.6% |
Share price and market cap
Shares in RCM were down 4.20% to $1.37 as of 12:09 p.m. Eastern time; shares were 34.31% above their 52-week low. RCM had a market cap of $14.6 million.