Groupon Inc (NASDAQ:GRPN) has announced that it will post its results from Q3 2013 on the 7th of November. There are however many speculations floating around that the results will fall below the estimates. Analysts at Ascendiant have said that they expect the revenue to clock in at $625 million which will give an EPS of $0.01, the consensus fot ehre revenue stands at $616 millionwith an EPs ratio of 0.01. These projections look very similar to the results from the previous quarter where the revenue for the company slipped even as the gross billing climbed up by 10%. In the previous quarter domestic revenue for Groupon increased by as much as 45% but the international sales suffered as they went down by as much as 25%. If projections are to be followed then the company can expect similar Q3 results.
A decline in daily deals has led to a dip in consensus revenue estimates of $274 million with an EPS of $0.06. Groupon has high expectations in the coming quarters, the company has recently been through massive restructuring and it has also looked to expand its reach into international markets. The low turnover in the recent times from the company is because of the increase in competition in the market and also because of increased investments. The company has in the past tried to retain its customer base by announcing a buyback plan worth as much as $300 million for its stakeholders.
The company has also made some new acquisitions recently which include some very well known names. The new products like Savored, Groupon payment and Breadcrumb are also expected to help turn around fortunes for the company. Since the Q2 report for the company which was released in August, the company stock has been rising and has climbed up by 46% reaching a high of $12.76 from the earlier value of $8.72. These gains indicate that the company may make more than a hundred million dollars as operating income and could prove to be a much needed boost for the company.
