Both revenue and net income losses grow at Groupon as company reports Q2 earnings
The daily deal company that rejected a $6 billion takeover bid by Google in 2012, Groupon, is still around. And still losing money.
The company continues to report growing revenue, but still can’t make a buck. Think Amazon, except more annoying.
“We had another record quarter in terms of demand, with worldwide billings increasing 29% and reaching their highest level ever,” said Eric Lefkofsky, CEO of Groupon. “Our marketplace continues to gain traction and add to our growth; we reached another all-time high in mobile, and with the launch of Gnome, we believe we’re making great strides in connecting local commerce.”
Revenue increased 23 percent to $751.6 million in the second quarter of 2014, compared with $608.7 million in the same quarter of 2013. But the company reported an operating loss in the quarter of $7.854 million versus a profit of $27.4 million a year ago, and a net income loss of $20,922 million, up from a loss of $5.551 million in 2013.
Groupon still has $868.1 million in cash and cash equivalents, and has entered into a 3-year, $250 million revolving credit facility – so we will be hearing from Groupon for a while longer it appears.