Xo Group (XOXO) has reported 89.69 percent plunge in profit for the quarter ended Mar. 31, 2017. The company has earned $0.31 million, or $0.01 a share in the quarter, compared with $3.02 million, or $0.12 a share for the same period last year. On the other hand, adjusted net income for the quarter stood at $0.31 million, or $0.01 a share compared with $2.07 million or $0.08 a share, a year ago. 

Revenue during the quarter went up marginally by 0.26 percent to $35.76 million from $35.67 million in the previous year period. Gross margin for the quarter contracted 50 basis points over the previous year period to 94.66 percent. Operating margin for the quarter stood at negative 0.98 percent as compared to a positive 10.08 percent for the previous year period.

Operating loss for the quarter was $0.35 million, compared with an operating income of $3.59 million in the previous year period.

However, the adjusted operating loss for the quarter stood at $0.35 million compared to operating profit of $3.59 million in prior year period.

"This quarter, we further improved the performance of our products, grew our transaction business, and began to strengthen our local sales and service operation to capitalize on the increased usage of our local vendor marketplace. We are excited for the significant opportunity ahead," said Mike Steib, chief executive officer.

Days sales outstanding were almost stable at 49 days for the quarter, when compared with the last year period.