Groupon makes a loss in first quarter

Group buying giant Groupon has made a loss in its first quarter trading as a publically listed company.

For the full year 2011, revenues rose by 419% to $US1.6 billion, up from $US312.9 million in 2010. But the company reported a loss of eight cents per share, or $US42.7 million.

But analysts pointed to marked improvement, with the company making a loss of $US1.08 per share a year earlier. Adjusted, the loss was just two cents per share.

While Groupon did not give a specific reason for the loss, some have pointed to the fact the company is reducing marketing efforts which may affect profits.


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