Times aren’t as good as originally thought for Groupon Inc., CNNMoney.com reported.

The daily deal website yesterday updated its initial public offering (IPO) filing to show that it incurred a $420 million operating loss for 2010 and a $117.1 million loss in the first quarter of 2011.

That follows an original filing in early June that showed an operating income of $60.6 million for all of 2010 and $81.6 million for the first quarter of 2011.

The discrepancy comes from a nonstandard accounting practice called “adjusted consolidated segment operating income (ACSOI),” which took out Groupon’s steep costs for marketing and acquiring new numbers. The original IPO document used ACSOI, and the IPO documen filed yesterday used standard accounting procedures.

Groupon CEO Andrew Mason defended the use of ACSOI, saying the marketing expenses are an up-front investment to acquire new subscribers that will end when the company stops its period of rapid expansion.

Wednesday’s filing also revealed record sales of $878 million in the second quarter, but still reported a $102.7 million loss.

Groupon’s subscriber count is now at 116 million, up from 83 million at the end of last quarter. Among those subscribers, 23 million have purchased a coupon from the site at least once.