Groupon announced its earnings for Q2 2012, with revenue improving 45% to $568 million, even after significant foreign exchange rate moves against it. Gross billings increased 38% to $1.29 billion, while operating income increased to $46.5 million.
Groupon’s North American revenues grew 66% while its international revenue growth was close to 30%. It also managed to bring its customer acquisition and marketing costs down significantly.
Mobile usage has continued to increase and adoption of its merchant tools also continues to rise, which should help it in its mission to become the “operating system” for local merchants.
Groupon ended the second quarter with its cash and cash equivalents standing at $1.12 billion.
Q2 2012 was the first quarter for Groupon with material direct revenue, generated through the sales of its own products and services. We expect that to become a sizable portion of its total revenue mix in the coming years.
Andrew Mason, CEO of Groupon, 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’s stock crashed nearly 20% after it reported these numbers, and stands much below its IPO price.
via Groupon – SEC