Revenue during the quarter grew 12.22 percent to $130.17 million from $116 million in the previous year period. Gross margin for the quarter expanded 89 basis points over the previous year period to 59.56 percent. Total expenses were 89.86 percent of quarterly revenues, up from 87.04 percent for the same period last year. That has resulted in a contraction of 282 basis points in operating margin to 10.14 percent.

Operating income for the quarter was $13.20 million, compared with $15.03 million in the previous year period.

However, the adjusted EBITDA for the quarter stood at $25.93 million compared with $25.60 million in the prior year period. At the same time, adjusted EBITDA margin contracted 214 basis points in the quarter to 19.92 percent from 22.07 percent in the last year period.

Founder and chief executive officer Jon Oringer said, "We made a tremendous amount of progress in 2016. We improved and expanded the content we offer; we greatly enhanced the technology on which our customers access our products; we have meaningfully diversified our offerings with video, music and editorial imagery; and we have strengthened our business in international markets. Our operational progress manifested into 18% annual revenue growth and 18% adjusted EBITDA growth when adjusting for the impact of foreign currency movements. Moving forward, our focus and vision is to expand our business from a marketplace to a platform, and we are confident that this will mean accessing a larger addressable market, accelerating growth and increasing shareholder value."

For fiscal year 2017, Shutterstock, Inc. expects revenue to be in the range of $545 million to $560 million. It expects operating income to be in the range of $47 million to $52 million for the same period.