SEC questions Groupon's IPO filing

Share this content:

The Securities and Exchange Commission has reportedly asked Groupon to define a term the daily deal company used in its official IPO filing, according to The Wall Street Journal.

The term, “adjusted consolidated segment operating income, (CSOI)” is a measure of the company's profits before expenses. Groupon filed to go public June 2.

The term is a means of making the company more attractive to investors, which has been a growing issue given that Groupon has never reported a profit. Despite nearly $650 million in income the first quarter of 2011, the fast-growing company reported a $413.4 million loss for 2010.

Customer acquisition, marketing and employee growth have contributed to the company's growing expenses. However, and the company lost approximately $98 million in Q1 2011, despite an adjusted CSOI that indicates the company is $81.6 million in the black, the Journal reported.

This article is part of the DMNPolitics site, in partnership with Fluent. Click on the footer to see all of our content about the 2016 Election

Loading links....
close

Next Article in DMNotes

Sign up to our newsletters

Follow us on Twitter @dmnews

Latest Jobs: