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Groupon Still Delivering Big Group Losses As I Warned Since Before The IPO

By: capt_nemo in ROUND | Recommend this post (0)
Mon, 02 Apr 12 6:35 PM | 32 view(s)
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Submitted by Reggie Middleton on 04/02/2012 10:32 -0400

REITs
The Matrix

Every now and then, there's a company that I simply find as having an unsustainable business model. It's not so much an issue of not respecting the company, it's just that the business (as it is currently operating) cannot be seen as an ongoing concern. The Street.com reports: Groupon Plunges on Revised Results

Groupon shares plunged in extended trading on Friday after revising its reported fourth-quarter and full-year results, its first as a public company. The daily deals site reduced its fourth-quarter revenue by $14.3 million after initially reporting sales of $506.5 million. The revision also resulted in an increase to fourth-quarter operating expenses that reduced the company's operating income by $30 million, net income by $22.6 million and earnings by 4 cents a share. Groupon blamed the change on a shift in the company's fourth-quarter deal mix and higher price offers, which have higher refund rates. Investors baulked at the revision, pushing Groupon's shares down $1.68, or 9.14%, $16.70 in extended trading.

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http://www.zerohedge.com/contributed/2012-14-02/groupon-still-delivering-big-group-losses-i-warned-ipo?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+zerohedge%2Ffeed+%28zero+hedge+-+on+a+long+enough+timeline%2C+the+survival+rate+for+everyone+drops+to+zero%29




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