Cray Inc. announced unaudited consolidated earnings results for the fourth quarter and full year ended December 31, 2016. For the quarter, the company's total revenue was $346,574,000 compared to $267,471,000 a year ago. Net income for the fourth quarter of 2016 was $51.8 million, or $1.27 per diluted share, compared to net income of $20.3 million, or $0.50 per diluted share in the fourth quarter of 2015. Non-GAAP net income was $56.3 million or $1.38 per diluted share for the fourth quarter of 2016, compared to non-GAAP net income of $32.2 million, or $0.79 per diluted share for the same period of 2015. Income from operations was $62.454 million compared with income from operations of $30.183 million a year ago. Income before income taxes was $62.751 million compared with income before income taxes of $30.508 million a year ago. Non-GAAP operating income was $65.5 million compared with operating income of $33.6 million a year ago.

For the full year, the company reported total revenue of $629.8 million, which compares with $724.7 million for 2015. Net income for 2016 was $10.6 million, or $0.26 per diluted share, compared to $27.5 million, or $0.68 per diluted share for 2015. Non-GAAP net income, which adjusts for selected unusual and non-cash items, was $19.9 million, or $0.49 per diluted share for 2016, compared to $53.0 million, or $1.30 per diluted share for 2015. Income from operations was $9.139 million compared with income from operations of $41.004 million a year ago. Income before income taxes was $9.921 million compared with income before income taxes of $42.777 million a year ago. Non-GAAP operating income was $21.1 million compared with operating income of $55.3 million a year ago.

Revenue in the first quarter of 2017 is expected to be approximately $55 million.

GAAP and non-GAAP gross margins for the year 2017 are expected to be in the low-mid 30% range. GAAP gross profit is expected to be about $1 million lower than non-GAAP gross profit.