Digital Realty Trust (DLR) swung to a net profit for the quarter ended Dec. 31, 2016. The company has made a net profit of $95.08 million, or $ 0.49 a share in the quarter, against a net loss of $15.98 million, or $0.28 a share in the last year period.

Revenue during the quarter grew 15.26 percent to $576.79 million from $500.44 million in the previous year period.

Cost of revenue rose 6.80 percent or $12.51 million during the quarter to $196.36 million. Gross margin for the quarter expanded 269 basis points over the previous year period to 65.96 percent.

Total expenses were $425.66 million for the quarter, down 7.30 percent or $33.51 million from year-ago period. Operating margin for the quarter expanded 1795 basis points over the previous year period to 26.20 percent.

Operating income for the quarter was $151.12 million, compared with $41.27 million in the previous year period. However, the adjusted EBITDA for the quarter stood at $312.14 million compared with $288.18 million in the prior year period. At the same time, adjusted EBITDA margin contracted 347 basis points in the quarter to 54.12 percent from 57.59 percent in the last year period.

Revenue from real estate activities during the quarter increased 13.73 percent or $63 million to $521.69 million.

Income from operating leases during the quarter rose 9.08 percent or $33.24 million to $399.06 million. Revenue from tenant reimbursements was $87.81 million for the quarter, down 3.50 percent or $3.18 million from year-ago period.

Income from management fees during the quarter dropped 8.62 percent or $0.16 million to $1.72 million. Revenue from other real estate activities during the quarter was at $33.10 million.

Other income during the quarter was $55.09 million, up 31.97 percent or $13.35 million from year-ago period.

During the fourth quarter, we signed total bookings representing $33 million of annualized GAAP rental revenue, including a $7 million contribution from interconnection," said chief executive officer A. William Stein. "We capped off a very successful year in the fourth quarter of 2016. Data center demand remains robust, driven by a diverse set of customers across the digital economy. We made substantial progress towards our strategic initiatives in 2016 and we look forward to building on this momentum in 2017, coming together as one team, oriented around our customers".

Total assets grew 6.47 percent or $741.32 million to $12,192.58 million on Dec. 31, 2016. On the other hand, total liabilities were at $7,060.29 million as on Dec. 31, 2016, up 2.10 percent or $145.52 million from year-ago.

Return on assets moved up 86 basis points to 1.25 percent in the quarter. Return on equity was at 1.51 percent in the quarter against a negative 0.89 percent in the last year period.