Groupon Reports Third Quarter 2025 Results
Groupon, Inc. has released its financial results for the third quarter of 2025, showcasing a mix of growth and challenges. The company reported a 7% increase in global revenue and an 11% rise in global billings, reflecting the ongoing transformation of its marketplace. However, the company also faced a significant net loss from continuing operations.
Financial Highlights
For the third quarter ended September 30, 2025, Groupon reported:
- Global revenue of $122.8 million, up 7% year-over-year.
- Global billings of $416.1 million, up 11% year-over-year.
- Net loss from continuing operations of $117.8 million, compared to net income of $14.5 million in the prior year period.
- Adjusted EBITDA of $17.5 million, up from $14.8 million in the prior year period.
- Operating cash flow from continuing operations was negative $20.5 million.
- Free cash flow was negative $24.6 million.
- Cash and cash equivalents stood at $238.5 million as of September 30, 2025.
Business and Operational Highlights
Groupon's North America segment showed strong performance with:
- Revenue of $96.0 million, up 11% year-over-year.
- Local revenue of $91.6 million, up 12% year-over-year.
- Gross billings of $319.1 million, up 16% year-over-year.
- Active customers in North America increased to 11.0 million, up 8% year-over-year.
Internationally, the company faced some challenges:
- Revenue of $26.8 million, down 3% year-over-year.
- Local revenue of $23.2 million, down 1% year-over-year, primarily due to the divestiture of Giftcloud.
- Gross billings of $97.0 million, down 1% year-over-year.
- Active customers internationally decreased to 5.1 million, down 4% year-over-year.
Strategic Initiatives and Corporate Developments
Groupon has been focusing on its marketplace transformation, adding nearly 300,000 net new active customers in the quarter. The company also highlighted the strong performance of its "Things To Do" vertical, which outpaced industry growth during the summer season.
Management's Perspective
Dusan Senkypl, CEO of Groupon, commented on the results, stating, "Our Q3 results mark another strong quarter with 11% Global billings growth and 18% growth in our core Local category, demonstrating continued execution of our marketplace transformation. The momentum across customer acquisition, supply-side excellence, and platform modernization gives us confidence in our path to become the trusted destination for discovering high-quality local experiences at unbeatable value."
Future Outlook
For detailed guidance and future projections, Groupon has directed investors to its earnings commentary posted on its investor relations website. The company remains focused on its strategic initiatives to drive growth and improve profitability.
Original SEC Filing: Groupon, Inc. [ GRPN ] - 8-K - Nov. 06, 2025