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View All NewsRCM Technologies Q4 revenue up 16%
March 07, 2018
Fourth-quarter revenue rose 15.5% at RCM Technologies Inc. (NASD GM: RCMT), a Pennsauken, NJ-based staffing provider. However, gross margin narrowed, and the company reported a $3.5 million goodwill impairment charge associated with its IT segment.
| (US$ thousands) | Q4 2017 | Q4 2016 | % change |
| Revenue | $51,057 | $44,198 | 15.5% |
| Gross profit | $12,804 | $12,106 | 5.8% |
| Gross profit margin | 25.1% | 27.4% | |
| Net income/loss | $251 | ($261) | nm |
Quote
“Our fourth-quarter engineering segment revenues grew by 12.8% as compared to fourth quarter 2016,” said President and CEO Rocco Campanelli. “Additionally, we made a small acquisition of an engineering firm in Belgrade, Serbia, that we believe has significant potential for growth and diversification expansion for both our engineering and IT segments.”
Revenue by segment
| (US$ thousands) | Q4 2017 | Q4 2016 | % change |
| Engineering | $21,236 | $18,834 | 12.8% |
| Specialty Healthcare | $22,104 | $16,318 | 35.5% |
| Information Technology | $7,717 | $9,046 | -14.7% |
Full-year results
| (US$ thousands) | 2017 | 2016 | % change |
| Revenue | $186,737 | $176,448 | 5.8% |
| Gross profit | $48,387 | $47,030 | 2.9% |
| Gross profit margin | 25.9% | 26.7% | -- |
| Net income | $2,010 | $1,758 | 14.3% |
Share price and market cap
Shares in RCM fell 2.44% to $6.00 as of 12:44 p.m. Eastern time today. The company had a market cap of $72.07 million.