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Groupon’s 2024 Earnings: Mixed Results and Optimistic Outlook

Groupon’s 2024 Earnings: Mixed Results and Optimistic Outlook

Groupon ( (GRPN) ) has released its Q4 earnings. Here is a breakdown of the information Groupon presented to its investors.

Groupon, Inc. is a leading online marketplace that connects consumers with local merchants offering deals on services and experiences, primarily operating in the e-commerce sector. The company is known for its unique approach to local commerce, providing a platform for businesses to reach a wide audience through discounted offers.

In its latest earnings report, Groupon announced a mixed performance for the fiscal year 2024. The company reported a slight decline in full-year revenue to $492.6 million, down 4% from the previous year. Despite this, Groupon achieved a positive free cash flow of $40.6 million, marking a significant milestone as it navigates post-pandemic recovery.

Key financial metrics highlighted in the report include a full-year net loss of $56.5 million, compared to a net loss of $52.9 million in 2023. However, adjusted EBITDA showed improvement, rising to $69.3 million from $55.5 million the previous year. The company also ended the year with a strong cash position of $228.8 million. Notably, North America saw a rebound in local billings, growing by 8% in the fourth quarter, indicating a positive trend in the region.

Internationally, Groupon faced challenges with a decline in revenue, primarily due to the exit of its Local business in Italy. Excluding Italy, international revenue saw a marginal decline of 1%, while local revenue increased by 1%. The company continues to focus on strengthening its international presence despite these hurdles.

Looking ahead, Groupon’s management remains optimistic about accelerating growth in 2025, leveraging the momentum gained in North America. The company aims to build on its transformation strategy to further enhance its market position and financial performance.

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