Groupon Inc. (NASDAQ: GRPN) reported second quarter adjusted EPS of $0.08 and $568.3 million in revenues after markets closed today. This marks the third quarter of results for the web coupon company. The results compare to the Thomson Reuters consensus estimates for EPS of $0.03 and $573.1 million in revenue.
For the third quarter the company expects revenue to rise 35%-44% year-over-year to $580-$620 million. The current consensus estimate calls for revenues of $604.5 million. Groupon also noted operating income expectations:
Income from operations for the third quarter 2012 is expected to be between $15 million and $35 million, compared with a loss from operations of $0.2 million in the third quarter 2011. This outlook includes approximately $30 million of stock-based compensation. The outlook further assumes no acquisitions or investments, or material changes in foreign exchange rates.
The company’s CEO said:
We had a solid quarter despite challenges in Europe and continued investment in technology and infrastructure. We’ve deepened our relationships with a growing base of merchants and customers worldwide, demonstrating progress as we work to unlock the opportunity in local commerce.
Groupon claims 38 million active customers as of June 30th, up 65% year-over-year, and also said that the coupon site featured more than 100,000 unique merchants for the second straight quarter.
We noted earlier today that 55 million Groupon shares were short, about 27% of the company’s float, and that short covering was undoubtedly helping the share price today. Well, it looks like the shorts knew what they were doing. The revenue miss is hammering shares in after-hours trading.
Shares are down about -13% in after-hours trading, at $6.53. The current 52-week range is $6.35-$31.14. Thomson Reuters had a consensus analyst price target of $17.14 before today’s results were announced.
Paul Ausick
100 Million Americans Are Missing This Crucial Retirement Tool
The thought of burdening your family with a financial disaster is most Americans’ nightmare. However, recent studies show that over 100 million Americans still don’t have proper life insurance in the event they pass away.
Life insurance can bring peace of mind – ensuring your loved ones are safeguarded against unforeseen expenses and debts. With premiums often lower than expected and a variety of plans tailored to different life stages and health conditions, securing a policy is more accessible than ever.
A quick, no-obligation quote can provide valuable insight into what’s available and what might best suit your family’s needs. Life insurance is a simple step you can take today to help secure peace of mind for your loved ones tomorrow.
Click here to learn how to get a quote in just a few minutes.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
Our expert who first called NVIDIA in 2009 is predicting 2025 will see a historic AI breakthrough.
You can follow him investing $500,000 of his own money on our top AI stocks for free.