Chinese social networking company Renren.com has published its unaudited financial report for the second quarter of 2012, reporting USD3.6 million net operating revenue from its group buying service site Nuomi.com.
According to the report, Renren.com gained total net operating revenue of USD44.8 million by the end of June 2012, a year-on-year increase of 47.5%. Meanwhile, it still made net losses of 24.9 million. Over the same period of last year, the company gained net profit of USD800,000.
The report also revealed that Nuomi.com, the group buying website under Renren.com, had net operating revenue of USD3.6 million during the reporting period, a year-on-year increase of 227% and an increase of 44% compared with the previous quarter. Its operating expense was USD10.8 million and it made net losses of USD7.2 million. The major reason for the losses of Nuomi.com was high operating expense and the money was mainly spent on its sales team and advertising.
During the same period of 2011, Nuomi.com's net operating revenue was USD1.1 million and its net losses were USD4.2 million. In the first quarter of 2012, the website's net operating revenue was USD2.5 million and its net losses were USD8.1 million.