Square (NYSE: SQ) saw its stock close 14% higher on the day the mobile payment and financial services specialist released its fourth-quarter and full 2016 results. 

For the quarter, Square's net revenue increased by 21% on a year-over-year basis to $452 million, on the back of gross payment volume that rose by 34% to almost $14 billion. Adjusted net revenue was $192 million, 43% higher than the same quarter of fiscal 2015. Net loss narrowed to $15 million ($0.04 per share), from the $48 million of 2015's fourth quarter.

Those top- and bottom-line figures came in above the average analyst estimates of nearly $188 million in adjusted net revenue, and net loss of $0.09 per share.  

For the full year, Square booked net revenue of nearly $1.46 billion, a 39% improvement over the 2015 tally, with adjusted net revenue coming in at $687 million (a 52% improvement). Gross payment volume leaped 39% to $50 billion. This helped the company reduce its annual net loss to $172 million ($0.50) from the previous year's $212 million ($1.24). 

In the press release unveiling the figures, the company attributed the notable growth in payment volume to "our ability to efficiently add new sellers to Square and provide them with the tools they need to grow."

Square added that it "increased operating efficiency and continued to make improvements in transaction losses."

The company also proffered guidance for its current quarter and the entirety of 2017. For the year, it believes its net revenue will come in between $2.09 billion and $2.15 billion, and adjusted revenue will land in the $880 million to $900 million range. The per-share loss for the year should amount to $0.20 to $0.24.

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Eric Volkman has no position in any stocks mentioned.

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