Edwyn
| Metric | 2020 | 2021 | 2022 | 2023 | 2024 |
|---|---|---|---|---|---|
| Revenue | $1,417 | $967 | $599 | $515 | $493 |
| Gross Profit | $677 | $737 | $523 | $451 | $444 |
| Operating Income | -$277 | -$5 | -$168 | -$18 | $9 |
| Net Income | -$288 | $119 | -$238 | -$55 | -$59 |
Over the five-year period, Groupon’s revenue shows a steep decline from a high of approximately 1,417 million USD in 2020 to about 493 million USD in 2024. The year-over-year drop from 2020 to 2021 was nearly 32%, with subsequent declines of around 38% from 2021 to 2022 and continued, albeit smaller, decreases in 2023 and 2024. Despite the revenue contractions, gross profit margins have held relatively steady with minor fluctuations, suggesting some efficiency in managing cost of goods sold. However, the volatility in operating income and net income is notable. In 2021, Groupon registered a turnaround with a positive net income of 119 million USD despite a nearly breakeven operating income, but this improvement was short-lived as losses emerged in 2022 and continued through 2023. The significant shifts, particularly the >20% revenue declines and the swing from a loss to a brief gain in 2021, point to a challenging operating environment. The operating income improved notably in 2024, turning positive at 9 million USD, which might indicate enhanced operational discipline or cost restructuring efforts. However, persistent net losses in 2022, 2023, and 2024 raise concerns about the company’s ability to translate improved operational performance into overall profitability. In the context of the competitive online marketplace and dynamic advertising landscape, Groupon’s declining revenue growth combined with intermittent profitability suggests cautious optimism; while efforts to control costs and improve operations appear effective, sustaining long-term financial health will require reversing the downward trend in top-line revenue.
This analysis is for informational purposes only and does not constitute financial advice or recommendations for any investment decisions. Please consult with a qualified financial professional for personalized guidance.