Distributor InnerWorkings, Inc. has released its financial results for the final three months and full year ending December 31, 2016. The Chicago, Illinois-based company reports gross revenue of $270.4 million in fourth quarter 2016—up slightly from fourth quarter 2015’s $270.3 million—and a six-percent increase in 2016 gross revenue—$1.09 billion.
“2016 was another record year of profitable growth and new client wins,” says Eric D. Belcher, chief executive officer of InnerWorkings. “The success of our strategy in developing global scale across a full suite of marketing execution solutions has yielded improving margins and we expect this trend to continue in 2017.”
Fourth quarter 2016 produced gross profits of $68.7 million, a 10-percent increase over the same period the year before, and net income of $5 million. For the full year, the company produced a gross profit of $263.5 million, a 10-percent increase over 2015. Net income for 2016 was $4.4 million, which the company says was “heavily impacted by the accounting adjustment related to the increase in the value of contingent consideration for prior acquisitions.”
Jeffrey P. Pritchett, chief financial officer of InnerWorkings, says, “We ended the year on a very strong note, exceeding our revenue and non-GAAP diluted earnings per share guidance for 2016, even after raising our expectations in November. We enter 2017 well positioned to execute against our plan, with a robust backlog of new contractual revenue and a very strong balance sheet.”
Looking ahead to 2017, InnerWorkings expects annual revenue to range between $1.155 billion and $1.185 billion—growth of between six and nine percent over 2016—and earnings growth of between 10 to 15 percent.
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