Second-quarter revenue at Mastech Digital Inc. (NYSEAMERICAN: MHH) fell 16.0% year over year to $52.2 million with declines in both its IT staffing and “data and analytics services” business lines.

Clients cut spending, the company noted, prompting revenue to fall 14.6% in its IT staffing business and 22.0% in its data and analytics segment.

“The possibility of a recession continued to weigh in on clients’ spending dynamics during the second quarter of 2023 — particularly in the financial services industry,” Mastech President and CEO Vivek Gupta said in a press release. “As a result, both of our business segments experienced revenue declines in the second quarter of 2023.”

While the company is now seeing a modest improvement in demand from some of its clients, Mastech is also working to reduce its cost structure, Gupta said.

Share price and market cap

Shares in Mastech were down 5.08% to $10.65 at 11:43 a.m. Eastern time today; they were 25.26% above their 52-week low, according to FT.com. The company had a market cap of $130.7 million.