Groupon shares fell by as much as 17% on Friday after the company released revenue projections that were weaker than analysts expected.
In its earnings results Thursday, Groupon said it expects 2016 sales of $2.75 billion to $3.05 billion. That fell short of the average estimate for $3.01 billion. The low end of the forecast was less than the weakest analyst estimate of $2.09 billion, according to Bloomberg.
Groupon also reported a first-quarter loss of $49.1 million, or $0.08 per share — four times the loss it recorded a year ago.
The company replaced its CEO in November as it figured out ways to keep people interested in its daily deals and visit its site. It announced plans to increase marketing spending by up to $200 million this year, and cautioned about weaker-than-expected fourth-quarter earnings.
After that announcement, the company’s shares fell 30%.
But the bigger marketing budget may be producing some fruit. Groupon said it added 955,000 active customers in North America, the biggest quarterly increase in two years.
The drop in shares on Friday was the biggest intra-day decline in six months.