Core Insights - Groupon reported a positive financial performance for the second quarter of 2024, with North America Local revenues increasing by 7% compared to the previous year [2][3] - The company achieved an operating cash flow of $15 million and free cash flow of $11 million for the second quarter, contributing to a trailing twelve-month operating cash flow of $46 million and free cash flow of $30 million [2][3] - Revenue for the second quarter exceeded the high-end of the company's guidance, indicating strong performance [2] Financial Performance - North America Local revenues grew by 7% year-over-year [2] - Second quarter operating cash flow was reported at $15 million, while free cash flow was $11 million [2] - Trailing twelve-month operating cash flow reached $46 million, with free cash flow at $30 million [2] Management Commentary - The CEO of Groupon, Dusan Senkypl, expressed optimism about the company's financial results, highlighting improvements in free cash flow and local sales compared to the previous year [3] - Despite ongoing challenges, including site reliability, the CEO is confident in the company's ability to drive growth and fulfill its mission [3]

Groupon Reports Second Quarter 2024 Results North America Local revenues grew 7% compared to prior year Positive Second Quarter operating cash flow of $15 million and Free Cash Flow of $11 million Positive Trailing twelve month operating cash flow of $46 million and Free Cash Flow of $30 million Second Quarter revenue above the high-end of guidance • Global revenue of $124.6 million • Global billings of $373.6 million • Net loss of $9.4 million • Adjusted EBITDA of $16.5 million • Exited Q2 with $178.1 mill ...

North America Performance - Gross billings for North America increased by $3.1 million to $278.969 million for the three months ended June 30, 2024, compared to the same period in 2023, primarily driven by favorable refund rates and increased demand for the Local category [174]. - Total units sold in North America decreased by 0.1 million to 5.882 million for the three months ended June 30, 2024, while trailing twelve months (TTM) active customers decreased by 0.4 million to 10.235 million [174][173]. - For the six months ended June 30, 2024, gross billings increased by $9.9 million to $551.901 million, attributed to favorable refund rates in the Local category and increased demand for the Travel category [175]. - Revenue for North America for the three months ended June 30, 2024, was $124.615 million, a decrease from $129.109 million in the same period in 2023 [165]. - Gross profit for North America for the three months ended June 30, 2024, was $112.667 million, slightly down from $112.965 million in the prior year [165]. - Adjusted EBITDA for North America increased to $16.479 million for the three months ended June 30, 2024, compared to $15.197 million in the same period in 2023 [165]. - Active customers in North America for the trailing twelve months ended June 30, 2024, decreased by 3.5% to 10.235 million from 10.604 million in the prior year [173]. - North America revenue increased by $2.5 million (2.6%) and gross profit increased by $5.8 million (7.0%) for the three months ended June 30, 2024 compared to the prior year, primarily due to favorable refund rates and increased demand for the Local category [178]. - Total revenue for the six months ended June 30, 2024 was $192.491 million, a 4.0% increase from $185.093 million in the prior year [178]. - Contribution profit for North America decreased by $9.2 million (13.5%) for the three months ended June 30, 2024, primarily due to increased marketing expenses [182]. - Marketing expenses for North America increased by $15.03 million (104.0%) for the three months ended June 30, 2024, reflecting increased investment in performance marketing campaigns [182]. - Total cost of revenue for North America decreased by $3.3 million (25.6%) for the three months ended June 30, 2024, primarily due to a decrease in payroll costs [178]. - Gross margin for North America improved to 35.3% for the three months ended June 30, 2024, compared to 34.7% in the prior year [182]. International Performance - International gross billings decreased by $23.0 million (19.5%) for the three months ended June 30, 2024, attributed to an overall decline in demand across all categories [187]. - TTM active customers in the international segment decreased by 1.3 million (18.8%) for the trailing twelve months ended June 30, 2024 compared to the prior year [186]. - International segment revenue decreased by $45.0 million for the six months ended June 30, 2024, reflecting a decline in demand across all categories [188]. - The Local category in the international segment saw a decrease in gross billings of $14.756 million (16.8%) for the three months ended June 30, 2024 [185]. - International revenue for the three months ended June 30, 2024, decreased by $7.0 million, primarily due to an overall decline in demand across all categories [191]. Financial Metrics - Total revenue for the three months ended June 30, 2024, decreased by 21.1% to $26,258 million compared to $33,275 million in the same period of 2023 [190]. - Gross profit for the three months ended June 30, 2024, decreased by 20.4% to $23,788 million compared to $29,872 million in the same period of 2023 [190]. - Marketing expenses for the three months ended June 30, 2024, decreased by 9.9% to $7,043 million compared to $7,820 million in the same period of 2023 [193]. - Total operating expenses for the three months ended June 30, 2024, decreased by 8.1% to $108,309 million compared to $117,841 million in the same period of 2023 [195]. - Other income (expense), net for the three months ended June 30, 2024, was $(4,483) million compared to $(4,805) million in the same period of 2023 [200]. - Provision for income taxes for the three months ended June 30, 2024, was $9,287 million, compared to $2,323 million in the same period of 2023 [203]. - Contribution profit for the three months ended June 30, 2024, decreased by 24.1% to $16,745 million compared to $22,052 million in the same period of 2023 [193]. - The effective tax rate for the three months ended June 30, 2024, was (7,429.6)% compared to (24.0)% in the same period of 2023 [203]. - The gross margin for the three months ended June 30, 2024, was 27.7%, compared to 28.3% in the same period of 2023 [190]. - For the three months ended June 30, 2024, the company reported a net loss of $9.4 million compared to a net loss of $12.0 million in the same period of 2023, representing a 21.7% improvement [210]. - Adjusted EBITDA for the three months ended June 30, 2024, was $16.5 million, up from $15.2 million in the same period of 2023, indicating an 8.6% increase [210]. - The company generated free cash flow of $10.8 million for the three months ended June 30, 2024, compared to a negative free cash flow of $44.6 million in the same period of 2023, showing a significant turnaround [220]. - Cash provided by operating activities for the six months ended June 30, 2024, was $5.2 million, a substantial improvement from cash used in operating activities of $118.6 million in the prior period [222]. - The company’s cash balance totaled $178.1 million as of June 30, 2024, providing sufficient liquidity to support ongoing operational needs [216]. - Gross billings for the six months ended June 30, 2024, were reported at $754.8 million, reflecting a slight increase from $752.9 million in the same period of 2023 [215]. Capital and Tax Management - The company received $80.0 million in gross proceeds from a fully backstopped Rights Offering, which involved the purchase of 7,079,646 shares at $11.30 per share [225]. - The company prepaid $43.1 million to terminate all commitments under its Credit Agreement, utilizing a portion of the proceeds from the Rights Offering [226]. - The effective tax rates for the three and six months ended June 30, 2024, were influenced by pretax losses in jurisdictions with valuation allowances against deferred tax assets [204]. - The company expects its consolidated effective tax rate to continue to differ significantly from the U.S. federal income tax rate due to its tax obligations in profitable jurisdictions and valuation allowances in loss jurisdictions [204]. - As of June 30, 2024, the company had $53.0 million in cash held by international subsidiaries, primarily in various foreign currencies [228]. - For the three and six months ended June 30, 2024, approximately 21.1% and 22.3% of the company's revenue was derived from the International segment [235]. - The net working capital deficit from subsidiaries subject to foreign currency translation risk was $7.2 million as of June 30, 2024, with a potential increase of $0.7 million from a hypothetical 10% adverse change in foreign currency exchange rates [237]. - The company issued the 2026 Notes with a principal amount of $230.0 million, maturing on March 15, 2026, and is exploring options for refinancing [227]. - The company has $5.4 million in lease obligations as of June 30, 2024, with limited exposure to interest rate risk due to fixed-rate debt [238]. - The company anticipates that inflationary pressures may adversely impact its operating costs and overall financial condition [239]. - There were no off-balance sheet arrangements as of June 30, 2024 [231]. - Contractual obligations and commitments as of June 30, 2024, did not materially change from the previous year [230]. - The company intends to reinvest earnings from non-U.S. subsidiaries in those operations or remit them in a tax-efficient manner [228]. - Management's estimates and assumptions in financial reporting are based on historical experience and reasonable assumptions, which may differ from actual results [231].

Wall Street analysts forecast that Groupon (GRPN) will report quarterly loss of $0.01 per share in its upcoming release, pointing to a year-over-year increase of 90%. It is anticipated that revenues will amount to $121.7 million, exhibiting a decline of 5.7% compared to the year-ago quarter.The current level reflects no revision in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised their initial projections ov ...

Groupon (GRPN) ended the recent trading session at $17.46, demonstrating a +1.04% swing from the preceding day's closing price. This move outpaced the S&P 500's daily loss of 0.51%. At the same time, the Dow added 0.2%, and the tech-heavy Nasdaq lost 0.93%.Shares of the online daily deal service have appreciated by 16.05% over the course of the past month, outperforming the Retail-Wholesale sector's loss of 2.37% and the S&P 500's loss of 0.26%.Analysts and investors alike will be keeping a close eye on the ...

Groupon Announces Date for Second Quarter 2024 Financial ResultsJuly 24, 2024 7:45 AM EDT | Source: GrouponChicago, Illinois--(Newsfile Corp. - July 24, 2024) - Groupon, Inc. (NASDAQ: GRPN) announced today that it intends to release the company's second quarter 2024 financial results after the market closes on Tuesday, July 30, 2024. The company will also host a conference call to discuss those results at 5:00pm ET.A webcast of the conference call can be accessed live at investor.groupon.com. ...

In the latest market close, Groupon (GRPN) reached $16.74, with a -1.18% movement compared to the previous day. The stock trailed the S&P 500, which registered a daily loss of 0.71%. On the other hand, the Dow registered a loss of 0.93%, and the technology-centric Nasdaq decreased by 0.81%.Heading into today, shares of the online daily deal service had gained 15.63% over the past month, outpacing the Retail-Wholesale sector's loss of 0.03% and the S&P 500's gain of 1.08% in that time.Market participants wil ...

Company Performance - Groupon's stock closed at $16.68, with a slight increase of +0.18% from the previous trading session, underperforming the S&P 500 which gained 0.28% [1] - Over the past month, Groupon's stock has risen by 11.97%, outperforming the Retail-Wholesale sector's gain of 1.3% and the S&P 500's gain of 3.78% [1] - The upcoming financial results are expected to show an EPS of -$0.01, a significant improvement of 90% compared to the same quarter last year, while revenue is projected at $121.7 million, down 5.74% from the prior-year quarter [1] Fiscal Year Projections - For the entire fiscal year, earnings are projected at $0.65 per share and revenue at $521.41 million, reflecting increases of +225% and +1.26% respectively from the prior year [2] - Recent revisions to analyst forecasts for Groupon are important as they indicate shifting business dynamics, with positive changes suggesting analyst optimism about the company's profitability [2] Analyst Ratings and Valuation - Groupon currently holds a Zacks Rank of 1 (Strong Buy), with a historical average annual return of +25% for 1 ranked stocks since 1988 [3] - The company's Forward P/E ratio is 25.81, indicating a premium compared to the industry's average Forward P/E of 22.12 [3] - The Internet - Commerce industry, part of the Retail-Wholesale sector, ranks in the top 21% of all industries, with a current Zacks Industry Rank of 51 [3]

Company Performance - Groupon (GRPN) closed at $14.55, marking a +0.97% move from the prior day, outperforming the S&P 500 which gained 0.1% [1] - Over the previous month, Groupon shares gained 1.62%, lagging behind the Retail-Wholesale sector's gain of 3.31% and the S&P 500's gain of 4.08% [1] - The upcoming earnings report is forecasted to show an EPS of -$0.16, a 60% decline from the same quarter last year, with revenue expected at $121.6 million, indicating a 5.82% decline [1] Analyst Estimates - For the full year, Zacks Consensus Estimates project earnings of $0.30 per share and revenue of $526.72 million, representing changes of +157.69% and +2.29% from the prior year [2] - Recent changes to analyst estimates reflect evolving short-term business trends, with upward revisions indicating analysts' positivity towards Groupon's operations [2] - The Zacks Rank system, which ranges from 1 (Strong Buy) to 5 (Strong Sell), currently ranks Groupon as 1 (Strong Buy) [3] Valuation and Industry Ranking - Groupon has a Forward P/E ratio of 48.03, which is a premium compared to the industry average of 13.92 [3] - The Internet - Commerce industry, part of the Retail-Wholesale sector, has a Zacks Industry Rank of 60, placing it in the top 24% of over 250 industries [3] - Research indicates that the top 50% rated industries outperform the bottom half by a factor of 2 to 1 [3]

In the latest trading session, Groupon (GRPN) closed at $15.30, marking a +1.73% move from the previous day. The stock's change was more than the S&P 500's daily loss of 0.41%. Meanwhile, the Dow lost 0.12%, and the Nasdaq, a tech-heavy index, lost 0.71%.The the stock of online daily deal service has fallen by 5.05% in the past month, lagging the Retail-Wholesale sector's gain of 2.65% and the S&P 500's gain of 3.53%.Market participants will be closely following the financial results of Groupon in its upcom ...