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Business Segments and Geographic Information
 12 Months Ended
Dec. 31, 2020
Segment Reporting [Abstract]  
Business Segments and Geographic Information
19.
Business Segments and Geographic Information
Our reporting segments are: 1) Data and Analytics Services; and 2) IT Staffing Services.
The Data and Analytics Services segment was acquired through the July 13, 2017 acquisition of the services division of Canada-based InfoTrellis, Inc. This segment is a project-based consulting services business with specialized capabilities in data management and analytics. The business is marketed as Mastech InfoTrellis and utilizes a dedicated sales team with deep subject matter expertise. Mastech InfoTrellis has offices in Atlanta, Toronto, London, Dublin and Singapore, and a global delivery center in Chennai, India. Project-based delivery reflects a combination of
on-site
resources and offshore resources. Assignments are secured on both a time and material and fixed price basis. In October 2020, we acquired AmberLeaf, a Chicago-based customer experience consulting firm. This acquisition expands our capabilities in customer experience strategy and managed services offering for a variety of Cloud-based enterprise application across sales, marketing and customer service organizations.
The IT Staffing Services segment offers staffing services in digital and mainstream technologies and uses digital methods to enhance organizational learning. These services are marketed using a common sales force and delivered via our domestic and global recruitment centers. While the vast majority of our assignments are based on time and materials, we do have the capabilities to deliver our digital learning services on a fixed price basis.
Below are the operating results of our reporting segments:
 
   
Years Ended December 31,
 
   
2020
  
2019
  
2018
 
   
(Amounts in thousands)
 
Revenues:
             
Data and Analytics Services
  $30,226  $26,663  $23,803 
IT Staffing Services
   163,875   166,911   153,361 
   
 
 
  
 
 
  
 
 
 
Total revenues
  $194,101  $193,574  $177,164 
   
 
 
  
 
 
  
 
 
 
Gross Margin %:
             
Data and Analytics Services
   50.5%   46.7%   44.0% 
IT Staffing Services
   22.1%   21.3%   20.9% 
   
 
 
  
 
 
  
 
 
 
Total gross margin %
   26.6%   24.8%   24.0% 
Segment operating income:
             
Data and Analytics Services
  $5,455  $5,495  $5,710 
IT Staffing Services
   11,388   8,001   7,184 
   
 
 
  
 
 
  
 
 
 
Subtotal
   16,843   13,496   12,894 
Amortization of acquired intangible assets
   (2,790)   (2,688)   (2,727) 
Revaluation of contingent consideration liability
   —     6,069   11,056 
Goodwill impairment
   —     —     (9,738) 
Acquisition-related transaction expenses
   (650)   110   140 
Interest expenses and other, net
   (770)   (1,768)   (2,211) 
   
 
 
  
 
 
  
 
 
 
Income before income taxes
  $12,633  $15,219  $9,414 
   
 
 
  
 
 
  
 
 
 
Below is a reconciliation of total assets, depreciation and amortization and capital expenditures by segment:
 
   
Total Assets
   
Depreciation & Amortization
   
Capital Expenditures
 
Amounts in thousands
  
2020
   
2019
   
2018
   
2020
   
2019
   
2018
   
2020
   
2019
   
2018
 
Data and Analytics Services
  $55,792   $41,527   $43,182   $2,245   $2,078   $2,051   $193   $203   $175 
IT Staffing Services
   46,254    49,057    49,402    1,344    1,356    1,131    105    811    596 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
 
Total
  $102,046   $90,584   $92,584   $3,589   $3,434   $3,182   $298   $1,014   $771 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
 
 
Below is geographic information related to our revenues from external customers and fixed assets, net (equipment, enterprise software and leasehold improvements):
 
   
Revenues
   
Equipment, Enterprise
Software and Leasehold
Improvements, net
 
Amounts in thousands
  
2020
   
2019
   
2018
   
2020
   
2019
   
2018
 
United States
  $189,890   $188,710   $172,610   $1,613   $2,095   $1,956 
Canada
   3,603    2,918    3,125    7    8    17 
India and Other
   608    1,946    1,429    351    373    235 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
   
 
 
 
Total
  $194,101   $193,574   $177,164   $1,971   $2,476   $2,208