Groupon Reports Q3 2026 Results with Revenue and EBITDA Missing Guidance
Groupon, Inc. (GRPN) reported third-quarter 2026 financial results that fell short of management's previous guidance. While gross billings rose 6% year-over-year to $439 million, revenue grew only 2% to $125 million. Adjusted EBITDA declined to $14.7 million from $17.5 million in the prior year period, impacted by higher marketing expenditures that failed to deliver expected returns and a rise in customer refunds related to trust and quality initiatives. The company saw significant growth in its Travel segment (up 36%) and 'Things to Do' categories, which helped offset weakness in North American local supply. Management is currently focused on operational rebuilding in core segments and leveraging AI, which has already increased revenue per employee by approximately 50%. Despite the quarterly miss, Groupon provided Q4 revenue guidance of $133 million to $136 million and expects full-year free cash flow to reach at least $40 million.
Tickers: $GRPN
Topics: AI adoption customer metrics earnings report EBITDA free cash flow revenue growth