Groupon Earnings: Why Investors Are Scooping Up Shares Now
Groupon Inc.’s (NASDAQ:GRPN) first quarter loss narrowed, beating estimates. Groupon, Inc. operates a shopping website that shares information on local goods, services, and cultural events for businesses and consumers across the World. The Company provides information on attractions to see, do, eat and shop.
Investing Insights: What’s the Future of Microsoft’s Stock?
Groupon Earnings Cheat Sheet for the First Quarter
Results: Loss narrowed to $4.5 million (loss of 2 cents per diluted share) from $146.5 million (loss of 48 cents per share) in the same quarter a year earlier.
Revenue: Rose 89.3% to $559.3 million from the year-earlier quarter.
Actual vs. Wall St. Expectations: Groupon Inc. beat the mean analyst estimate of a loss of 4 cents per share. It beat the average revenue estimate of $530.8 million.
Quoting Management: “We are pleased to report a record quarter that demonstrates our progress in unlocking the opportunity in local commerce for merchants and customers worldwide,” said Andrew Mason, CEO of Groupon.
The company topped expectations last quarter after falling short of forecasts in the fourth quarter of the last fiscal year with a loss of 8 cents versus a mean estimate of net income of 3 cents per share.
Looking Forward: Expectations for the company’s performance in the upcoming quarter are lower than they were ninety days ago. Over the past three months, the average estimate for the second quarter has fallen from a profit of 7 cents per share to a loss of 3 cents. Over the past ninety days, the average estimate for the fiscal year has fallen from 31 cents per share to a loss of 5 cents.
(Company fundamentals provided by Xignite Financials. Earnings estimates provided by Zacks)
Don’t Miss These Additional Hot Stories: