YuMe Inc (YUME) swung to a net profit for the quarter ended Mar. 31, 2017. The company has made a net profit of $1.20 million, or $ 0.03 a share in the quarter, against a net loss of $3.60 million, or $0.10 a share in the last year period.     

Revenue during the quarter dropped 7.08 percent to $36.45 million from $39.23 million in the previous year period. Gross margin for the quarter expanded 447 basis points over the previous year period to 52.27 percent. Operating margin for the quarter period stood at positive 2.85 percent as compared to a negative 9.05 percent for the previous year period

Operating income for the quarter was $1.04 million, compared with an operating loss of $3.55 million in the previous year period.

However, the adjusted EBITDA for the quarter stood at $4.28 million compared with $0.49 million in the prior year period. At the same time, adjusted EBITDA margin improved 1049 basis points in the quarter to 11.74 percent from 1.25 percent in the last year period.  

"We are pleased to report strong first quarter results that demonstrate the underlying health of the business. We achieved positive Net Income and Adjusted EBITDA, an unprecedented achievement for YuMe in the seasonally slow first quarter. These results benefitted from strength in our programmatic business combined with our continued focus on operational efficiency,"? said Paul Porrini, chief executive officer, "We are executing well against our financial and strategic goals and are building momentum that we expect will continue throughout 2017."

For fiscal year 2017, Yume Inc forecasts net income to be in the range of $1 million to $3 million.

Days sales outstanding went down to 137 days for the quarter compared with 141 days for the same period last year.

At the same time, days payable outstanding went down to 51 days for the quarter from 59 for the same period last year.