On Wednesday, Groupon, Inc. (NASDAQ: GRPN) announced its financial results for the first quarter ended March 31, 2018. Shares of the company surged 13% in premarket trading today.
Both the adjusted earnings and revenue for the quarter beat estimates, even though revenue decreased from the same period last year.
Revenue for the first quarter, according to the company, dropped 7% to $626.5 million, however, it still beat analysts’ estimates of $604.2 million.
Net loss for the quarter narrowed from $24.4 million, or 4 cents per share, for the same period last year, to $6.9 million, or 1 cent per share. Adjusted earnings per share for the first quarter was reported to be 3 cents per share, compared with the analysts’ estimates of a breakeven.
“We're off to a solid start in 2018, highlighted by strong bottom line growth and continued execution against our strategy and key priorities. More than a million new customers enrolled in our voucherless Groupon+ program during the quarter and are beginning to experience the next generation of Groupon,” Rich Williams, the CEO of the company, said in the statement on Wednesday.
“In addition, we signed a number of new partnerships that connect more high quality local offers with our customer scale and solidify our position as a true platform in local. We're also excited about the strong momentum in our international business, thanks to significant progress on our product, supply and marketing initiatives,” Rich said.
For the full year 2018, the company expected its adjusted EBITDA to be in the range of $280 million and $290 million, compared with the previous range of $260 million and $270 million.