ZELTIQ Aesthetics, Inc. (ZLTQ) has reported a 74.69 percent plunge in profit for the quarter ended Dec. 31, 2016. The company has earned $10.28 million, or $0.25 a share in the quarter, compared with $40.61 million, or $0.99 a share for the same period last year.

Revenue during the quarter surged 34.37 percent to $105.11 million from $78.22 million in the previous year period. Gross margin for the quarter expanded 509 basis points over the previous year period to 72.06 percent. Total expenses were 84.53 percent of quarterly revenues, down from 97.70 percent for the same period last year. This has led to an improvement of 1317 basis points in operating margin to 15.47 percent.

Operating income for the quarter was $16.26 million, compared with $1.80 million in the previous year period.

However, the adjusted EBITDA for the quarter stood at $23.06 million compared with $5.47 million in the prior year period. At the same time, adjusted EBITDA margin improved 1495 basis points in the quarter to 21.94 percent from 6.99 percent in the last year period.

Mark Foley, president and chief executive officer, said, "We are incredibly pleased to announce another year of record revenue performance, with full-year revenue growth of 39% and fourth quarter revenue surpassing the $100 million mark for the first time in the Company’s history. Additionally, we delivered strong profitability with Q4 net income of $10.3 million, or 9.8% of revenue, and adjusted EBITDA of $23.1 million, or 21.9% of revenue, highlighting the leverage in our business model. Our direct to consumer advertising program continues to exceed our expectations by delivering greater than a dollar of return for each dollar spent while continuing to raise consumer awareness and drive new patients into the aesthetic channel. We continue to be very pleased with the consumable revenue growth and utilization lift this nationwide program has delivered."

Cash flow from investing activities was $5.31 million for the year, up 1,092.36 percent or $4.86 million, when compared with the last year.

The company has spent $1.07 million cash to carry out financing activities during the year as against cash outgo of $0.42 million in the last year period.

Cash and cash equivalents stood at $54.82 million as on Dec. 31, 2016, up 53.50 percent or $19.10 million from $35.71 million on Dec. 31, 2015.

Working capital increases sharply

ZELTIQ Aesthetics, Inc. has recorded an increase in the working capital over the last year. It stood at $92.51 million as at Dec. 31, 2016, up 35.24 percent or $24.10 million from $68.40 million on Dec. 31, 2015. Current ratio was at 2.27 as on Dec. 31, 2016, down from 2.28 on Dec. 31, 2015.