Revenue growth was disappointing at Volt Information Sciences Inc. (NYSE MKT: VISI) in the company’s fiscal third quarter, President and CEO Michael Dean said. However, the company is continuing to benefit from a focus on higher margin business and gross margin improved. Dean said the quarter also showed improvements in several key metrics.

Net revenue fell 12.3% in Volt’s fiscal third quarter ended July 30. In addition, the New York-based IT and engineering staffing and MSP provider reported net loss increased.

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“We continued to add to our book of business with important new client relationships established in the quarter,” said President and CEO Michael Dean. “However, third quarter revenues of $289.9 million fell short of our expectations. Initiatives are underway to improve our revenue performance in future periods and I am confident we can successfully meet our challenges to achieve sustainable profitable growth.”

Segment revenue

North America staffing services revenue fell 8.2% from the year-ago quarter, primarily driven by lower demand from customers in both professional and commercial job families, largely associated within the aerospace industry and a significant change in a transportation manufacturing client’s contingent labor strategy.

International staffing services revenue — which includes the company’s contingent staffing, direct placement and managed programs businesses in Europe and Asia — fell 10.9%, or 7.2% on a constant currency basis. Volt said the decline was partially a result of softening economic demand in the UK.

A 66% decline in “corporate and other revenue,” which primarily consists of the company’s North American managed service business, was primarily driven by the impact from the sale of Maintech, in March. On a same store basis, excluding businesses sold or exited, the decline was 10.9%.

Share price and market cap

Shares in Volt were unchanged in early afternoon trading at $2.90. The company had a market cap of $62.8 million, according to Google.