Volt Information Sciences Inc. (NYSEAMERICAN: VOLT) reported revenue rose 7.1% year over year in its fiscal second quarter ended May 2; the increase was 5.9% on an adjusted basis. President and CEO Linda Perneau said the company experienced its strongest revenue growth in a decade.
| (US$ thousands) | Q2 2021 | Q2 2020 | % change | % change on adjusted basis |
| Net revenue | $222,092 | $207,275 | 7.1% | 5.9% |
| Gross margin | $36,479 | $32,237 | 13.2% | |
| Gross margin percentage | 16.4% | 15.6% | ||
| Net income/loss | $1,879 | ($5,425) | nm |
“Despite experiencing significant weather-related impacts in February of this year and the first seven weeks of operations in the prior-year quarter being pre-Covid, we reported sequential and year-over-year improvement in our operating results,” Perneau said.
Revenue by segment
| (US$ thousands) | Q2 2021 | Q2 2020 | % change | % change on adjusted basis |
| North American staffing | $184,295 | $173,386 | 6.3% | 6.3% |
| International staffing | $27,880 | $24,303 | 14.7% | 4.3% |
| North American MSP | $9,832 | $9,745 | 0.9% | 0.9% |
North American staffing revenue growth was attributed to new client wins and expansion of business within existing clients, according to the company. The increase in international staffing revenue was driven by increased managed service business, direct-hire revenue in the UK and staffing business in France. North American MSP revenue growth was caused by increased demand in its payroll services business.
The number of business days was the same in the second quarter as in the year-ago quarter. Adjusted revenue excludes businesses exited and the effect of foreign currency translation as well as the impact of clients migrating from a traditional staffing model to a managed service model.
Share price and market cap
Shares in Volt were down 5.97% to $3.94 as of 1:03 p.m. Eastern time; shares were 12.64% below their 52-week high, according to FT.com. The company had a market cap of $91.1 million.