Groupon(US:GRPN)2025-08-06 20:12Financial Performance - Global revenue for Q2 2025 was $125.7 million, up 1% year-over-year, while global billings increased by 12% to $416.7 million[5] - Net income from continuing operations was $20.6 million, a significant improvement from a net loss of $9.4 million in the prior year[6] - Revenue for Q2 2025 was $125.7 million, a slight increase from $124.6 million in Q2 2024, while revenue for the first half of 2025 was $242.9 million, down from $247.7 million in the same period last year[41] - Gross profit for Q2 2025 was $114.4 million, compared to $112.7 million in Q2 2024, indicating a growth in profitability despite a decrease in overall revenue for the first half of the year[41] - Operating expenses decreased to $101.4 million in Q2 2025 from $108.3 million in Q2 2024, contributing to improved income from operations of $13.1 million compared to $4.4 million in the prior year[41] - Basic net income per share for continuing operations was $0.51 in Q2 2025, compared to a loss of $0.25 per share in Q2 2024, showcasing improved earnings per share[41] - Net income for the three months ended June 30, 2025, was $20,593,000, compared to a loss of $9,412,000 in the same period of 2024, representing a significant turnaround[43] Customer Metrics - Active customers as of June 30, 2025, totaled 15.8 million, reflecting a 2% sequential increase and consistent with the prior year[6] - Active customers in North America increased to 10.8 million in Q2 2025, while international active customers remained stable at 5.0 million[47] - The total number of active customers for the trailing twelve months (TTM) was reported in thousands, indicating a focus on customer metrics[45] Revenue Breakdown - North America Local revenue reached $94.5 million, up 3% year-over-year, with Local billings growing by 20% to $292.4 million[10] - International revenue decreased by 2% to $25.7 million, primarily due to the divestiture of Giftcloud and withdrawal from the Italian market[10] - North America gross billings were $324.8 million, up 16% year-over-year, with unit sales increasing by 8% to 6.3 million[10] - Total gross billings for Q2 2025 amounted to $324,758 million, with a year-over-year growth of 16.4%[46] Cash Flow and Financing - The company reported net cash provided by operating activities from continuing operations of $28,419,000 for the three months ended June 30, 2025, up from $15,300,000 in the same period of 2024[43] - Cash, cash equivalents, and restricted cash at the end of the period on June 30, 2025, totaled $296,694,000, an increase from $206,454,000 on June 30, 2024[44] - The net cash provided by investing activities from continuing operations was $10,761,000 for the three months ended June 30, 2025, compared to $4,303,000 in the same period of 2024[43] - The net cash used in financing activities was $(2,684,000) for the three months ended June 30, 2025, compared to $(1,721,000) in the same period of 2024[43] Expenses and Adjustments - Marketing expenses were $41.4 million, representing 36% of gross profit, compared to 32% in the prior year[6] - The company recorded depreciation and amortization of $4,063,000 for the three months ended June 30, 2025, compared to $7,224,000 in the same period of 2024[43] - Stock-based compensation increased to $8,782,000 for the three months ended June 30, 2025, from $6,418,000 in the same period of 2024[43] - Total adjustments to income for Q2 2025 amounted to $7,299, contributing to the adjusted EBITDA calculation[51] Leadership Changes - The company announced leadership changes, with Jiri Ponrt becoming COO and Rana Kashyap stepping into the CFO role effective September 1, 2025[13] Risks and Strategic Focus - The company has ongoing risks related to international operations, currency fluctuations, and regulatory challenges that could impact future performance[34] - Groupon continues to focus on enhancing its marketplace and customer experience while navigating a competitive environment and potential economic uncertainties[34]