the comms transaction was aimed at extending netscout 's reach into growth-oriented adjacent markets , including cybersecurity , with a broader range of market-leading products and capabilities ; strengthening its go-to-market resources to better support a larger , more diverse and more global customer base ; and increasing netscout 's scale and elevating its strategic position within key accounts . on august 19 , 2016 , we acquired certain assets and liabilities of avvasi for $ 4.6 million . avvasi 's technology allows service providers to measure , improve and monetize video in their networks . this acquisition builds on netscout 's ongoing investment in enhancing its service assurance capabilities for video traffic over 4g/lte networks . for additional information regarding the avvasi acquisition , see note 7 of our notes to consolidated financial statements . during the second quarter of fiscal year 2017 , as part of our continued integration efforts of the comms transaction , we reorganized our business units . as a result , we account for our operations under one reportable segment . on september 20 , 2016 , netscout 's stockholders approved an amendment to the third amended and restated certificate of incorporation to increase the number of authorized shares of common stock , par value $ 0.001 per share , from 150,000,000 to 300,000,000 shares . the increase in authorized shares of common stock has been reflected in our financial statements . results overview we continued to navigate through challenging market conditions , which have primarily impacted the timing and magnitude of orders with service provider customers . despite the difficult selling environment , we have maintained relatively unchanged revenue , slightly improved our gross profit margins and increased our income from operations and income from operations margin due to the combination of investment and decreased costs related to the comms transaction when compared to the twelve months ended march 31 , 2016. netscout 's financial results for the fiscal year ended march 31 , 2016 include approximately eight and one-half months of contribution from the communications business . we continue to maintain strong liquidity . at march 31 , 2017 , we had cash , cash equivalents and marketable securities of $ 464.7 million . this represents an increase of $ 112.6 million over the previous fiscal year ended march 31 , 2016 . this increase was due to cash flows from operations of $ 227.8 million which was partially offset by $ 80.0 million used to repurchase shares of our common stock under our repurchase program , $ 29.7 million of cash used for capital expenditures and $ 4.6 million used in the avvasi acquisition during the twelve months ended march 31 , 2017. use of non-gaap financial measures we supplement the united states generally accepted accounting principles ( gaap ) financial measures we report in quarterly and annual earnings announcements , investor presentations and other investor communications by reporting the following non-gaap measures : non-gaap total revenue , non-gaap product revenue , non-gaap service revenue , non-gaap income from operations , non-gaap operating margin , non-gaap earnings before interest and other expense , income taxes , depreciation and amortization ( ebitda ) from operations , non-gaap ebidta from operations margin , non-gaap net income , and non-gaap net income per share ( diluted ) . non-gaap revenue ( total , product and service ) eliminates the gaap effects of acquisitions by adding back revenue related to deferred revenue revaluation , as well as revenue impacted by the amortization of acquired intangible assets . non-gaap gross profit includes the foregoing adjustments and also removes expenses related to the amortization of acquired intangible assets , stock-based compensation , certain expenses relating to acquisitions including inventory fair value adjustments , depreciation costs , compensation for post-combination services and business development and integration costs . non-gaap income from operations includes the foregoing adjustments and also removes restructuring charges . non-gaap operating margin is calculated based on the non-gaap financial metrics discussed above . non-gaap ebitda from operations includes the aforementioned items related to non-gaap income from operations and also removes non-acquisition-related depreciation expense . non-gaap net income includes the foregoing adjustments and also removes expenses related to share-based compensation and certain expenses relating to acquisitions including : compensation for post-combination services , business development charges , and depreciation expense , net of related income tax effects . non-gaap diluted net income per share also excludes these expenses as well as the related impact of all these adjustments on the provision for income taxes . 33 these non-gaap measures are not in accordance with gaap , should not be considered an alternative for measures prepared in accordance with gaap ( revenue , gross profit , operating profit , net income ( loss ) and diluted net income ( loss ) per share ) , and may have limitations in that they do not reflect all our results of operations as determined in accordance with gaap . these non-gaap measures should only be used to evaluate our results of operations in conjunction with the corresponding gaap measures . the presentation of non-gaap information is not meant to be considered superior to , in isolation from , or as a substitute for results prepared in accordance with gaap . management believes these non-gaap financial measures enhance the reader 's overall understanding of our current financial performance and our prospects for the future by providing a higher degree of transparency for certain financial measures and providing a level of disclosure that helps investors understand how we plan and measure our business . we believe that providing these non-gaap measures affords investors a view of our operating results that may be more easily compared to our peer companies and also enables investors to consider our operating results on both a gaap and non-gaap basis during and following the integration period of our acquisitions . story_separator_special_tag cost of revenue and gross profit cost of product revenue consists primarily of material components , manufacturing personnel expenses , packaging materials , overhead and amortization of capitalized software , acquired software and core technology . cost of service revenue consists primarily of personnel , material , overhead and support costs . replace_table_token_10_th product . the $ 35 thousand decrease in cost of product revenue was due to a $ 3.0 million decrease in direct material costs and a $ 2.3 million decrease in amortization of legacy netscout intangibles primarily due to the acceleration of amortization of certain intangibles during the twelve months ended march 31 , 2016 for the legacy netscout business . these decreases were partially offset by a $ 5.9 million increase in the incremental costs related to the comms transaction . the twelve months ended march 31 , 2016 only included eight and a half months of such expenses , as the comms transaction closed on july 14 , 2015. the product gross profit percentage increased by six percentage points to 68 % during the fiscal year ended march 31 , 2017 as compared to the same period in the prior year . average headcount in cost of product revenue was 96 and 100 for the fiscal years ended march 31 , 2017 and 2016 , respectively . service . the 20 % , or $ 17.7 million , increase in cost of service revenue was primarily due to a $ 16.0 million increase in the incremental costs related to the comms transaction . the twelve months ended march 31 , 2016 only included eight and a half months of such expenses , as the comms transaction closed on july 14 , 2015. in addition , in the legacy netscout business there was a $ 782 thousand increase in allocated overhead expenses , a $ 591 thousand increase in employee-related expenses due to an increase in headcount and a $ 506 thousand increase in software license expense . these increases were partially offset by a $ 717 thousand decrease in cost of materials used to support customers under service contracts in the legacy netscout business . the service gross profit percentage increased by three percentage points to 75 % for the twelve months ended march 31 , 2017 when compared to the twelve months ended march 31 , 2016. the 37 % , or $ 86.8 million , increase in service gross profit corresponds with the 32 % , or $ 104.6 million , increase in service revenue , partially offset by the 20 % , or $ 17.7 million , increase in cost of services . average headcount in cost of service revenue was 616 and 608 for the fiscal years ended march 31 , 2017 and 2016 , respectively . gross profit . our gross profit increase d 30 % , or $ 189.0 million . this increase is attributable to our increase in revenue of 22 % , or $ 206.7 million , partially offset by a $ 17.7 million , or 5 % , increase in cost of revenue . the gross margin percentage increased four percentage points to 70 % during the fiscal year ended march 31 , 2017 when compared to the same period in the prior year . 39 operating expenses replace_table_token_11_th research and development . research and development expenses consist primarily of personnel expenses , fees for outside consultants , overhead and related expenses associated with the development of new products and the enhancement of existing products . the 12 % , or $ 24.1 million , increase in research and development expenses compared to the same period last year was primarily due to a $ 23.5 million increase in the incremental costs related to the comms transaction . the twelve months ended march 31 , 2016 only included eight and a half months of such expenses , as the comms transaction closed on july 14 , 2015. average headcount in research and development was 1,210 and 1,224 for the fiscal years ended march 31 , 2017 and 2016 , respectively . sales and marketing . sales and marketing expenses consist primarily of personnel expenses , including commissions , overhead and other expenses associated with selling activities and marketing programs such as trade shows , seminars , advertising , and new product launch activities . the 12 % , or $ 35.3 million , increase in total sales and marketing expenses compared to the same period last year was primarily due to a $ 35.9 million increase in the incremental costs related to the comms transaction . the twelve months ended march 31 , 2016 only included eight and a half months of such expenses , as the comms transaction closed on july 14 , 2015. average headcount in sales and marketing was 935 and 930 for the fiscal years ended march 31 , 2017 and 2016 , respectively . general and administrative . general and administrative expenses consist primarily of personnel expenses for executive , financial , legal and human resource employees , overhead and other corporate expenditures . the 1 % , or $ 724 thousand , increase in general and administrative expenses compared to the same period last year was primarily due a $ 15.0 million decrease in business development expenses related to the comms transaction and a $ 3.1 million decrease in the costs related to the comms transaction offset by a $ 6.6 million increase in compensation-related expenses , a $ 3.5 million increase in legal expenses , a $ 1.9 million increase in depreciation expense , a $ 1.6 million increase in allocated overhead expenses , a $ 1.3 million increase in software license expense , a $ 960 thousand increase in consulting and outside services fees and a $ 513 thousand increase in state franchise taxes in the legacy netscout business . average headcount in general and administrative was 283 and 282 for the fiscal years ended march 31 , 2017

cash provided by operating activities was $ 227.8 million during the fiscal year ended march 31 , 2017 , compared to $ 95.3 million of cash provided by operating activities in the fiscal year ended march 31 , 2016 . this $ 132.5 million increase was due in part to a $ 61.7 million increase from net income , a $ 47.5 million net increase from amounts due to and from related parties as a result of the comms transaction , a $ 31.1 million increase from deferred income taxes , a $ 20.8 million increase from depreciation and amortization , a $ 10.8 million increase from share-based compensation expense , a $ 7.4 million increase from deferred revenue , a $ 6.9 million increase from inventories , a $ 4.7 million increase from prepaid expenses and other assets and a $ 1.0 million increase from income taxes payable . these increases were partially offset by a $ 26.5 million decrease from accrued compensation and other expenses and a $ 24.8 million unfavorable impact from accounts receivable and unbilled costs . accounts receivable days sales outstanding was 80 days at march 31 , 2017 compared to 80 days at march 31 , 2016 and 61 days at march 31 , 2015. in addition , there was a $ 6.6 million decrease from deal-related compensation expense and accretion charges and a $ 1.9 million decrease in cash inflows from accounts payable related to the normalization of the accounts payable balances across the larger business during twelve months ended march 31 , 2017 as compared to the twelve months ended march 31 , 2016. fiscal year 2016 compared to fiscal year 2015 cash provided by operating activities was $ 95.3 million during the fiscal year ended march 31 , 2016 , compared to $ 106.9 million of cash provided by operating activities in the fiscal year ended


 Write a concise suspicious activity report of the following text delimited by triple backquotes. Return your response as a formal report which covers the key points highlighting the location,dates,entity names and account holder information in chronological order of the text.
     ```cash provided by operating activities was $ 227.8 million during the fiscal year ended march 31 , 2017 , compared to $ 95.3 million of cash provided by operating activities in the fiscal year ended march 31 , 2016 . this $ 132.5 million increase was due in part to a $ 61.7 million increase from net income , a $ 47.5 million net increase from amounts due to and from related parties as a result of the comms transaction , a $ 31.1 million increase from deferred income taxes , a $ 20.8 million increase from depreciation and amortization , a $ 10.8 million increase from share-based compensation expense , a $ 7.4 million increase from deferred revenue , a $ 6.9 million increase from inventories , a $ 4.7 million increase from prepaid expenses and other assets and a $ 1.0 million increase from income taxes payable . these increases were partially offset by a $ 26.5 million decrease from accrued compensation and other expenses and a $ 24.8 million unfavorable impact from accounts receivable and unbilled costs . accounts receivable days sales outstanding was 80 days at march 31 , 2017 compared to 80 days at march 31 , 2016 and 61 days at march 31 , 2015. in addition , there was a $ 6.6 million decrease from deal-related compensation expense and accretion charges and a $ 1.9 million decrease in cash inflows from accounts payable related to the normalization of the accounts payable balances across the larger business during twelve months ended march 31 , 2017 as compared to the twelve months ended march 31 , 2016. fiscal year 2016 compared to fiscal year 2015 cash provided by operating activities was $ 95.3 million during the fiscal year ended march 31 , 2016 , compared to $ 106.9 million of cash provided by operating activities in the fiscal year ended
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 Suspicious Activity Report : the comms transaction was aimed at extending netscout 's reach into growth-oriented adjacent markets , including cybersecurity , with a broader range of market-leading products and capabilities ; strengthening its go-to-market resources to better support a larger , more diverse and more global customer base ; and increasing netscout 's scale and elevating its strategic position within key accounts . on august 19 , 2016 , we acquired certain assets and liabilities of avvasi for $ 4.6 million . avvasi 's technology allows service providers to measure , improve and monetize video in their networks . this acquisition builds on netscout 's ongoing investment in enhancing its service assurance capabilities for video traffic over 4g/lte networks . for additional information regarding the avvasi acquisition , see note 7 of our notes to consolidated financial statements . during the second quarter of fiscal year 2017 , as part of our continued integration efforts of the comms transaction , we reorganized our business units . as a result , we account for our operations under one reportable segment . on september 20 , 2016 , netscout 's stockholders approved an amendment to the third amended and restated certificate of incorporation to increase the number of authorized shares of common stock , par value $ 0.001 per share , from 150,000,000 to 300,000,000 shares . the increase in authorized shares of common stock has been reflected in our financial statements . results overview we continued to navigate through challenging market conditions , which have primarily impacted the timing and magnitude of orders with service provider customers . despite the difficult selling environment , we have maintained relatively unchanged revenue , slightly improved our gross profit margins and increased our income from operations and income from operations margin due to the combination of investment and decreased costs related to the comms transaction when compared to the twelve months ended march 31 , 2016. netscout 's financial results for the fiscal year ended march 31 , 2016 include approximately eight and one-half months of contribution from the communications business . we continue to maintain strong liquidity . at march 31 , 2017 , we had cash , cash equivalents and marketable securities of $ 464.7 million . this represents an increase of $ 112.6 million over the previous fiscal year ended march 31 , 2016 . this increase was due to cash flows from operations of $ 227.8 million which was partially offset by $ 80.0 million used to repurchase shares of our common stock under our repurchase program , $ 29.7 million of cash used for capital expenditures and $ 4.6 million used in the avvasi acquisition during the twelve months ended march 31 , 2017. use of non-gaap financial measures we supplement the united states generally accepted accounting principles ( gaap ) financial measures we report in quarterly and annual earnings announcements , investor presentations and other investor communications by reporting the following non-gaap measures : non-gaap total revenue , non-gaap product revenue , non-gaap service revenue , non-gaap income from operations , non-gaap operating margin , non-gaap earnings before interest and other expense , income taxes , depreciation and amortization ( ebitda ) from operations , non-gaap ebidta from operations margin , non-gaap net income , and non-gaap net income per share ( diluted ) . non-gaap revenue ( total , product and service ) eliminates the gaap effects of acquisitions by adding back revenue related to deferred revenue revaluation , as well as revenue impacted by the amortization of acquired intangible assets . non-gaap gross profit includes the foregoing adjustments and also removes expenses related to the amortization of acquired intangible assets , stock-based compensation , certain expenses relating to acquisitions including inventory fair value adjustments , depreciation costs , compensation for post-combination services and business development and integration costs . non-gaap income from operations includes the foregoing adjustments and also removes restructuring charges . non-gaap operating margin is calculated based on the non-gaap financial metrics discussed above . non-gaap ebitda from operations includes the aforementioned items related to non-gaap income from operations and also removes non-acquisition-related depreciation expense . non-gaap net income includes the foregoing adjustments and also removes expenses related to share-based compensation and certain expenses relating to acquisitions including : compensation for post-combination services , business development charges , and depreciation expense , net of related income tax effects . non-gaap diluted net income per share also excludes these expenses as well as the related impact of all these adjustments on the provision for income taxes . 33 these non-gaap measures are not in accordance with gaap , should not be considered an alternative for measures prepared in accordance with gaap ( revenue , gross profit , operating profit , net income ( loss ) and diluted net income ( loss ) per share ) , and may have limitations in that they do not reflect all our results of operations as determined in accordance with gaap . these non-gaap measures should only be used to evaluate our results of operations in conjunction with the corresponding gaap measures . the presentation of non-gaap information is not meant to be considered superior to , in isolation from , or as a substitute for results prepared in accordance with gaap . management believes these non-gaap financial measures enhance the reader 's overall understanding of our current financial performance and our prospects for the future by providing a higher degree of transparency for certain financial measures and providing a level of disclosure that helps investors understand how we plan and measure our business . we believe that providing these non-gaap measures affords investors a view of our operating results that may be more easily compared to our peer companies and also enables investors to consider our operating results on both a gaap and non-gaap basis during and following the integration period of our acquisitions . story_separator_special_tag cost of revenue and gross profit cost of product revenue consists primarily of material components , manufacturing personnel expenses , packaging materials , overhead and amortization of capitalized software , acquired software and core technology . cost of service revenue consists primarily of personnel , material , overhead and support costs . replace_table_token_10_th product . the $ 35 thousand decrease in cost of product revenue was due to a $ 3.0 million decrease in direct material costs and a $ 2.3 million decrease in amortization of legacy netscout intangibles primarily due to the acceleration of amortization of certain intangibles during the twelve months ended march 31 , 2016 for the legacy netscout business . these decreases were partially offset by a $ 5.9 million increase in the incremental costs related to the comms transaction . the twelve months ended march 31 , 2016 only included eight and a half months of such expenses , as the comms transaction closed on july 14 , 2015. the product gross profit percentage increased by six percentage points to 68 % during the fiscal year ended march 31 , 2017 as compared to the same period in the prior year . average headcount in cost of product revenue was 96 and 100 for the fiscal years ended march 31 , 2017 and 2016 , respectively . service . the 20 % , or $ 17.7 million , increase in cost of service revenue was primarily due to a $ 16.0 million increase in the incremental costs related to the comms transaction . the twelve months ended march 31 , 2016 only included eight and a half months of such expenses , as the comms transaction closed on july 14 , 2015. in addition , in the legacy netscout business there was a $ 782 thousand increase in allocated overhead expenses , a $ 591 thousand increase in employee-related expenses due to an increase in headcount and a $ 506 thousand increase in software license expense . these increases were partially offset by a $ 717 thousand decrease in cost of materials used to support customers under service contracts in the legacy netscout business . the service gross profit percentage increased by three percentage points to 75 % for the twelve months ended march 31 , 2017 when compared to the twelve months ended march 31 , 2016. the 37 % , or $ 86.8 million , increase in service gross profit corresponds with the 32 % , or $ 104.6 million , increase in service revenue , partially offset by the 20 % , or $ 17.7 million , increase in cost of services . average headcount in cost of service revenue was 616 and 608 for the fiscal years ended march 31 , 2017 and 2016 , respectively . gross profit . our gross profit increase d 30 % , or $ 189.0 million . this increase is attributable to our increase in revenue of 22 % , or $ 206.7 million , partially offset by a $ 17.7 million , or 5 % , increase in cost of revenue . the gross margin percentage increased four percentage points to 70 % during the fiscal year ended march 31 , 2017 when compared to the same period in the prior year . 39 operating expenses replace_table_token_11_th research and development . research and development expenses consist primarily of personnel expenses , fees for outside consultants , overhead and related expenses associated with the development of new products and the enhancement of existing products . the 12 % , or $ 24.1 million , increase in research and development expenses compared to the same period last year was primarily due to a $ 23.5 million increase in the incremental costs related to the comms transaction . the twelve months ended march 31 , 2016 only included eight and a half months of such expenses , as the comms transaction closed on july 14 , 2015. average headcount in research and development was 1,210 and 1,224 for the fiscal years ended march 31 , 2017 and 2016 , respectively . sales and marketing . sales and marketing expenses consist primarily of personnel expenses , including commissions , overhead and other expenses associated with selling activities and marketing programs such as trade shows , seminars , advertising , and new product launch activities . the 12 % , or $ 35.3 million , increase in total sales and marketing expenses compared to the same period last year was primarily due to a $ 35.9 million increase in the incremental costs related to the comms transaction . the twelve months ended march 31 , 2016 only included eight and a half months of such expenses , as the comms transaction closed on july 14 , 2015. average headcount in sales and marketing was 935 and 930 for the fiscal years ended march 31 , 2017 and 2016 , respectively . general and administrative . general and administrative expenses consist primarily of personnel expenses for executive , financial , legal and human resource employees , overhead and other corporate expenditures . the 1 % , or $ 724 thousand , increase in general and administrative expenses compared to the same period last year was primarily due a $ 15.0 million decrease in business development expenses related to the comms transaction and a $ 3.1 million decrease in the costs related to the comms transaction offset by a $ 6.6 million increase in compensation-related expenses , a $ 3.5 million increase in legal expenses , a $ 1.9 million increase in depreciation expense , a $ 1.6 million increase in allocated overhead expenses , a $ 1.3 million increase in software license expense , a $ 960 thousand increase in consulting and outside services fees and a $ 513 thousand increase in state franchise taxes in the legacy netscout business . average headcount in general and administrative was 283 and 282 for the fiscal years ended march 31 , 2017

