SHARES in online discount firm Groupon tumbled to an all-time low in trading yesterday as investors deserted the company in reaction to worse than expected sales on Monday night.
Groupon’s share value fell 27 per cent to close at $5.51, less than a fifth of its peak following its highly-publicised initial public offering last November.
Despite a 45 per cent increase in revenue in the second quarter of the year and surprisingly good profit, sales of $568.3m (£362.5m) were flat on the previous quarter.
The company, which was the quickest ever to make $1bn in annual revenue, has failed to maintain the rapid rise that underlined Groupon’s price at its flotation. The company blamed its woes on falling demand in European markets.