Groupon Inc (GRPN) shares were down as much as 17% in after hours trading in reaction to its second quarter earnings. The daily Internet deals provider reported Q2 sales of $751.6 million, yielding EPS of a penny per share, excluding non-recurring items. Analysts had been expecting earnings of a penny per share on $762.07 million.
Gross profit was $389.9 million, up 1.3% from $384.7 million in the period a year ago.
Gross billings, which reflect the total dollar value of customer purchases of goods and services, excluding applicable taxes and net of estimated refunds, were sequentially flat at $1.82 billion, although this was up 29% from $1.41 billion a year ago.
For the current quarter, the company said it sees revenue of $720 million to $770 million, and adjusted EPS of $0.00 to 0.02 per share. That is below the Thomson Reuters estimates for $760 million and $0.03 per share.
Shares of Chicago-based Groupon are down $1.13, or 15.97%, to $5.94 in extended trading Tuesday, putting them on track to extend their 2014 slump of 40%. GRPN closed at $7.07 on Tuesday. Its 52-week range is $5.18 to $12.76.