Revenue during the quarter surged 94.18 percent to $5.54 million from $2.85 million in the previous year period. Gross margin for the quarter contracted 3953 basis points over the previous year period to 4.97 percent. Operating margin for the quarter stood at negative 74.72 percent as compared to a negative 68.30 percent for the previous year period.

Operating loss for the quarter was $4.14 million, compared with an operating loss of $1.95 million in the previous year period.

However, the adjusted EBITDA for the quarter stood at negative $3.76 million compared to negative $1.43 million in the prior year second quarter. At the same time, adjusted EBITDA margin stood at negative 67.89 percent for the quarter compared to negative 50.28 percent in the last year period.

"We delivered improved financial performance in 2016, highlighted by substantial revenue growth. Our more diversified revenue stems from our Joint Development Agreement with Samsung which included Non-Recurring Engineering Fees (NRE) to support the development of HybriDIMM, our plug and play storage class memory technology, and unique access to Samsungs enterprise-grade, memory products for resale," said C.K. Hong, Netlists chief executive officer. “During the year we took significant steps toward defending our valuable intellectual property by commencing legal actions against SK hynix at the ITC and in the federal district court based on the infringement of Netlist patents. We are seeking, among other things, a ban on the importation of infringing SK hynix server memory products and look forward to the opportunity to present our case in the ITC at trial in May."