DLH Holdings Corp. (NASD: DLHC), an Atlanta-based provider of healthcare and logistics staffing and solutions to the federal government, reported revenue rose 7.8% in its fiscal second quarter ended March 31, due primarily to contracts awarded in 2014 and expansion of existing contracts.

Gross margin also improved, but the company reported a net loss.

Results include a $600,000 non-cash, non-operating charge in connection with settlement of retroactive payment claim.

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“We are very pleased with our operating performance this quarter, with improvement in all key metrics compared to the prior year period,” said President and CEO Zach Parker. “We believe that our delivery of productivity based, cost effective solutions resonates with our customers’ requirements, now more than ever given the growing healthcare needs of their beneficiaries. We continue to have a strong backlog and have qualified a robust pipeline of new business opportunities, principally in healthcare, with emphasis on telehealth and pharmacy operations management. Delivering strong financial performance and value continues to be our primary focus.”

Share price and market cap

Shares in DLH rose 2.21% to $2.31 in early afternoon trading; DLH has a market cap of approximately $22.25 million, according to Yahoo!