Revenue during the quarter grew 4.48 percent to $16.12 million from $15.43 million in the previous year period. Gross margin for the quarter contracted 197 basis points over the previous year period to 34.94 percent. Operating margin for the quarter stood at negative 8.48 percent as compared to a negative 13.28 percent for the previous year period.

Operating loss for the quarter was $1.37 million, compared with an operating loss of $2.05 million in the previous year period.

However, the adjusted EBITDA for the quarter stood at negative $0.52 million compared to negative $1.40 million in the prior year second quarter. At the same time, adjusted EBITDA margin stood at negative 3.21 percent for the quarter compared to negative 9.11 percent in the last year period.

"Two years ago, iPass was essentially a reseller of Wi-Fi. Today, we have made our mark as a software company. iPass is solving the exploding demand for mobile data with our intelligent connection management," said Gary Griffiths, president and chief executive officer. "We live in a world that always needs to be connected, yet no single network - 3/4G, LTE, Wi-Fi - is ubiquitous. Intelligent connection management is the Holy Grail in a connected world, and iPass has climbed to the top in this important technology. Since launching iPass Unlimited a year ago, our message is as simple as ABC: "Always Be Connected". Through a combination of Unlimited Wi-Fi, product development, network expansion and strategic partnerships, our customers consumed 39% more Wi-Fi hours in 2016 over the previous year. And that usage continues to grow, as evident in December 2016, with throughput 73% greater than the same period in 2015. The message resonates with our customers, whether it translates into higher productivity, the peace of knowing their data and personal information are secure, or greater cost predictability. That message has helped us drive Annual Contract Value on an impressive growth trajectory. Growing topline revenue has and will continue to be our singular focus. In 2016, we achieved annual revenue growth year over year for the first time in nearly a decade, and we have high expectations for 2017".

For the first-quarter, Ipass projects revenue to be in the range of $14.50 million to $15 million. Ipass projects revenue to be in the range of $69 million to $73 million for financial year 2017. Ipass expects net loss to be in the range of $4.60 million to $4.10 million for the first-quarter. For fiscal year 2017, Ipass expects net loss to be in the range of $8.10 million to $5.60 million.

The company has spent $0.58 million cash to meet investing activities during the year as against cash inflow of $0.74 million in the last year.

Cash flow from financing activities was $1.84 million for the year as against cash outgo of $0.64 million in the last year period.

Cash and cash equivalents stood at $16.07 million as on Dec. 31, 2016, down 20.80 percent or $4.22 million from $20.29 million on Dec. 31, 2015.

Working capital declines
iPass Inc has witnessed a decline in the working capital over the last year. It stood at $16.65 million as at Dec. 31, 2016, down 13.19 percent or $2.53 million from $19.18 million on Dec. 31, 2015. Current ratio was at 2.25 as on Dec. 31, 2016, down from 2.37 on Dec. 31, 2015.