Amazon.com, LivingSocial’s most well-known, major investors, has filed a quarterly report stating that the daily deal company reported $110 million of revenue in the first quarter of 2012; twice as much revenue as this time last year.
The report also states that LivingSocial had a net income of $156 million last quarter; which is defined as “the recognition of non-operating, non-cash gains on previously held equity positions in companies that LivingSocial acquired during the quarter.”
As reported by the Washington Business Journal several events may have affected LivingSocial’s numbers, such as the shutdown of the acquired Jump on It (Sydney) and Let’s Bonus (Barcelona). LivingSocial’s first quarter loss was also smaller than last year; it decreased by $11 million, from $103 million last year to $92 million this year. The company had only posted $41 million in revenue last year in the first quarter.
Looking at the bigger picture, despite details, LivingSocial brought it MUCH more money this year than it did last year, and lost significantly less. In its annual report Amazon reported that LivingSocial lost $558 million in 2011 while only bringing in $245 million. Financial experts familiar with LivingSocial have said that the loss was “exaggerated” because it included money spent on marketing and several acquisitions.
In comparison to the $245 million in revenue brought in last year, #110 in the first quarter is looking pretty good for the #2 daily dealer in the U.S.
Source: Washington Business Journal