Amazon Says LivingSocial Loss Narrowed to $93 Million
Amazon.com Inc. (AMZN), a backer of LivingSocial Inc., said the daily-deal startup narrowed its loss in the second quarter after revenue more than doubled.
LivingSocial, the main competitor to Groupon Inc. (GRPN) in the online coupon market, delivers discounts on restaurants, hotels, events, and other goods and services.
The company posted revenue of $138 million in the three months ended June 30, compared with $59 million a year earlier, according to a regulatory filing. It reported a net loss of $93 million, compared with a loss of $198 million a year earlier.
Brendan Lewis, a spokesman for Washington-based LivingSocial, declined to comment on Amazon’s filing.
Amazon, which owns a 29 percent stake in LivingSocial, said the book value of the investment was $271 million in the second quarter, compared with $298 million in the previous three months.
The Internet deal market may generate $4.17 billion in U.S. sales in 2015, up from $1.97 billion last year, according to research firm BIA/Kelsey in Chantilly, Virginia.
LivingSocial is expanding beyond daily deals. In April, it acquired Onosys, which specializes in technology that helps restaurants receive orders over the Web and mobile phones.
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