US Market News
2月前
Sea Limited Reports First Quarter 2026 ResultsMay 12, 2026 6:30 AM
Business Wire Sea Limited (NYSE: SE) (“Sea” or the “Company”) today announced its financial results for the first quarter ended March 31, 2026. In the first quarter of 2026, Sea’s GAAP revenue was US$7.1 billion, up 46.6% year-on-year. The Company also achieved gross profit of US$3.1 billion, up 40.7% year-on-year, and net income of US$438.2 million, up 6.7% year-on-year. Adjusted EBITDA1 increased by 9.3% year-on-year to reach US$1.0 billion. “We have had a strong start to the year. 2026 is a year where we are leaning in to deepen our competitive moats, while maintaining financial discipline. Our strong revenue growth reflects the effectiveness of these investments, and we are already seeing unit economics start to improve for some of these initiatives. We believe this is the right approach to maximize long-term value, given the significant runway for growth still ahead of us in our markets,” said Forrest Li, Sea’s Chairman and Chief Executive Officer. On Shopee, he said, “Shopee delivered another record-setting quarter, achieving new highs in GMV, gross order volume, and revenue while maintaining financial discipline. Looking ahead, we are confident in the strength of our Shopee ecosystem and our ability to execute our strategies. We are on track to deliver our 2026 guidance: to grow Shopee’s annual GMV by around 25% year-on-year, with full year adjusted EBITDA no lower than 2025 in absolute dollar terms.” On Monee, Mr. Li said, “Monee continues to grow healthily while maintaining stable asset quality. Expansion into more user segments, off-Shopee use cases, and early markets like Brazil are giving us a much larger addressable opportunity across our portfolio. We remain confident that Monee will be a significant long-term profit contributor for Sea.” On Garena, Mr. Li said, “Garena had a stellar start to 2026, delivering its best quarter since 2021. This performance was driven by the continued strength of Free Fire, alongside a record contribution from Arena of Valor. The sustained success of both games demonstrates our unique ability to operate games well across genres, in multiple markets, and over long periods of time. We will remain focused on delivering fresh experiences and building the long-term value of our game portfolio.” On the growing role of AI, he said, “We have taken a practical, results-oriented approach, embedding AI into our operations to drive better outcomes for our users and greater efficiency across our platform. Across our ecosystem, we see the AI era as creating significant opportunities for a company like ours – with established scale, rich cross-vertical data, and deep local expertise.” First Quarter 2026 Business Highlights Shopee Gross orders totaled 4.0 billion for the quarter, increasing by 29.3% year-on-year. GMV was US$37.3 billion for the quarter, increasing by 30.2% year-on-year. GAAP revenue was US$5.1 billion, up 45.1% year-on-year. GAAP revenue included US$4.5 billion of GAAP marketplace revenue, which consists of core marketplace revenue and value-added services revenue and increased by 44.4% year-on-year. Core marketplace revenue, mainly consisting of transaction-based fees and advertising revenues, was up 61.0% year-on-year to US$3.8 billion. Value-added services revenue, mainly consisting of revenues related to logistics services, was down 8.1% year-on-year to US$691.6 million as a result of higher revenue net-off against shipping subsidies. Adjusted EBITDA1 was US$223.2 million, as compared to US$264.4 million for the first quarter of 2025. Monee GAAP revenue was US$1.2 billion, up 57.8% year-on-year. Adjusted EBITDA1 was US$275.2 million, up 14.0% year-on-year. Monee revenue and operating income are primarily attributed to the consumer and SME credit business. As of March 31, 2026, consumer and SME loans principal outstanding was US$9.9 billion, up 71.3% year-on-year. This consists of US$8.8 billion on-book and US$1.1 billion off-book loans principal outstanding2. Non-performing loans past due by more than 90 days as a percentage of consumer and SME loans principal outstanding, which includes both on-book and off-book loans principal outstanding2, was 1.1%, stable quarter-on-quarter. Garena Bookings3 were US$931.4 million, up 20.1% year-on-year. GAAP revenue was US$696.6 million, up 40.6% year-on-year. Adjusted EBITDA1 was US$573.6 million, up 25.2% year-on-year. Adjusted EBITDA represented 61.6% of bookings for the first quarter of 2026, as compared to 59.1% for the first quarter of 2025. Quarterly active users were 666.5 million, as compared to 661.8 million for the first quarter of 2025. Quarterly paying users were 72.6 million, up 12.4% year-on-year. Paying user ratio was 10.9%, as compared to 9.8% for the first quarter of 2025. Average bookings per user were US$1.40, as compared to US$1.17 for the first quarter of 2025. Share Repurchase Program During the first quarter of 2026, pursuant to our US$1.0 billion share repurchase program, we have repurchased 1.8 million shares for an aggregate amount of US$168.4 million. 1 For a discussion of the use of non-GAAP financial measures, see “Non-GAAP Financial Measures”. 2 Off-book loans principal outstanding mainly refers to channeling arrangements, which is lending by other financial institutions on our platform. 3 GAAP revenue for Garena plus change in Garena’s deferred revenue. This operating metric is used as an approximation of cash spent by our users in the applicable period that is attributable to Garena. Unaudited Summary of Financial Results (Amounts are expressed in thousands of US dollars “$” except for per share data) For the Three Months ended March 31, 2025 2026 $ $ YOY% Revenue Service revenue 4,434,537 6,485,133 46.2% Sales of goods 406,563 612,356 50.6% 4,841,100 7,097,489 46.6% Cost of revenue Cost of service (2,231,118) (3,364,865) 50.8% Cost of goods sold (373,789) (587,042) 57.1% (2,604,907) (3,951,907) 51.7% Gross profit 2,236,193 3,145,582 40.7% Other operating income 34,901 27,600 (20.9%) Sales and marketing expenses (929,699) (1,414,192) 52.1% General and administrative expenses (307,189) (403,830) 31.5% Provision for credit losses (281,944) (465,504) 65.1% Research and development expenses (295,858) (296,669) 0.3% Total operating expenses (1,779,789) (2,552,595) 43.4% Operating income 456,404 592,987 29.9% Non-operating income, net 89,208 61,788 (30.7%) Income tax expense (136,315) (213,999) 57.0% Share of results of equity investees 1,528 (2,554) (267.1%) Net income 410,825 438,222 6.7% Earnings per share attributable to Sea Limited’s ordinary shareholders: Basic 0.68 0.70 2.9% Diluted 0.65 0.67 3.1% Change in deferred revenue of Garena 279,820 234,876 (16.1%) Adjusted EBITDA for Garena (1) 458,206 573,566 25.2% Adjusted EBITDA for Shopee (1) 264,417 223,174 (15.6%) Adjusted EBITDA for Monee (1) 241,439 275,243 14.0% Adjusted EBITDA for Other Services (1) (9,110) (28,136) 208.8% Unallocated expenses (2) (8,443) (9,554) 13.2% Total adjusted EBITDA (1) 946,509 1,034,293 9.3% (1) For a discussion of the use of non-GAAP financial measures, see “Non-GAAP Financial Measures”. (2) Unallocated expenses within total adjusted EBITDA are mainly related to general and corporate administrative costs such as professional fees and other miscellaneous items that are not allocated to segments. These expenses are excluded from segment results as they are not reviewed by the Chief Operating Decision Maker (“CODM”) as part of segment performance. Three Months Ended March 31, 2026 Compared to Three Months Ended March 31, 2025 Revenue Our total GAAP revenue increased by 46.6% to US$7.1 billion in the first quarter of 2026 from US$4.8 billion in the first quarter of 2025. The table below sets forth our revenue breakdown. Amounts are expressed in thousands of US dollars (“$”). For the Three Months ended March 31, 2025 2026 YOY% $ $ Service revenue Shopee 3,118,931 4,503,110 44.4% Monee 787,117 1,241,782 57.8% Garena 495,589 696,564 40.6% Other Services(1) 32,900 43,677 32.8% Sales of goods 406,563 612,356 50.6% Total revenue 4,841,100 7,097,489 46.6% (1) Other services are a combination of multiple business activities that do not meet the quantitative threshold to qualify as reportable segments. Shopee: GAAP revenue increased by 44.4% to US$4.5 billion in the first quarter of 2026 from US$3.1 billion in the first quarter of 2025, primarily driven by the growth of GMV. Monee: GAAP revenue increased by 57.8% to US$1.2 billion in the first quarter of 2026 from US$787.1 million in the first quarter of 2025, primarily driven by the growth of our credit business as our lending activities increased. Garena: GAAP revenue increased by 40.6% to US$696.6 million in the first quarter of 2026 from US$495.6 million in the first quarter of 2025. This increase was primarily due to the increase in our active user base as well as the deepened paying user penetration. Sales of goods: GAAP revenue increased by 50.6% to US$612.4 million in the first quarter of 2026 from US$406.6 million in the first quarter of 2025. Cost of Revenue Our total cost of revenue increased by 51.7% to US$4.0 billion in the first quarter of 2026 from US$2.6 billion in the first quarter of 2025. The table below sets forth our cost of revenue breakdown. Amounts are expressed in thousands of US dollars (“$”). For the Three Months ended March 31, 2025 2026 YOY% $ $ Cost of service Shopee 1,934,323 2,992,543 54.7% Monee 106,433 142,527 33.9% Garena 181,004 216,470 19.6% Other Services(1) 9,358 13,325 42.4% Cost of goods sold 373,789 587,042 57.1% Total cost of revenue 2,604,907 3,951,907 51.7% (1) Other services are a combination of multiple business activities that do not meet the quantitative threshold to qualify as reportable segments. Shopee: Cost of revenue increased by 54.7% to US$3.0 billion in the first quarter of 2026 from US$1.9 billion in the first quarter of 2025, primarily driven by an increase in logistics costs as orders volume grew, as well as investment in our logistics capabilities for better user experience. Monee: Cost of revenue increased by 33.9% to US$142.5 million in the first quarter of 2026 from US$106.4 million in the first quarter of 2025, primarily driven by costs associated with our credit business, which include collection expenses and bank transaction fees, and server and hosting expenses. Garena: Cost of revenue increased by 19.6% to US$216.5 million in the first quarter of 2026 from US$181.0 million in the first quarter of 2025, primarily from third-party payment channel costs, which was largely in line with the increase in Garena revenue. Cost of goods sold: Cost of goods sold increased by 57.1% to US$587.0 million in the first quarter of 2026 from US$373.8 million in the first quarter of 2025. Other Operating Income Our other operating income was US$27.6 million and US$34.9 million in the first quarter of 2026 and 2025, respectively. Other operating income mainly consists of rebates from our logistics services providers. Sales and Marketing Expenses Our total sales and marketing expenses increased by 52.1% to US$1.4 billion in the first quarter of 2026 from US$929.7 million in the first quarter of 2025. The table below sets forth breakdown of the sales and marketing expenses of our major reporting segments. Amounts are expressed in thousands of US dollars (“$”). For the Three Months ended March 31, 2025 2026 YOY% Sales and Marketing Expenses $ $ Shopee 777,492 1,091,757 40.4% Monee 96,261 231,868 140.9% Garena 28,906 44,830 55.1% General and Administrative Expenses Our general and administrative expenses increased by 31.5% to US$403.8 million in the first quarter of 2026 from US$307.2 million in the first quarter of 2025. Provision for Credit Losses Our provision for credit losses increased by 65.1% to US$465.5 million in the first quarter of 2026 from US$281.9 million in the first quarter of 2025. Research and Development Expenses Our research and development expenses were US$296.7 million in the first quarter of 2026, as compared to US$295.9 million in the first quarter of 2025, relatively flat year-on-year. Non-operating Income or Losses, Net Non-operating income or losses mainly consist of interest income, interest expense, investment gain (loss), foreign exchange gain (loss) and gain (loss) on debt extinguishment. We recorded a net non-operating income of US$61.8 million in the first quarter of 2026, as compared to a net non-operating income of US$89.2 million in the first quarter of 2025. The non-operating income in the first quarter of 2026 was primarily due to interest income of US$67.1 million. Income Tax Expense We had a net income tax expense of US$214.0 million and US$136.3 million in the first quarter of 2026 and 2025, respectively. Net Income or Loss As a result of the foregoing, our net income increased by 6.7% to US$438.2 million in the first quarter of 2026 from US$410.8 million in the first quarter of 2025. Basic and Diluted Earnings or Loss Per Share Attributable to Sea Limited’s Ordinary Shareholders Basic earnings per share attributable to Sea Limited’s ordinary shareholders was US$0.70 in the first quarter of 2026, compared to basic earnings per share attributable to Sea Limited’s ordinary shareholders of US$0.68 in the first quarter of 2025. Diluted earnings per share attributable to Sea Limited’s ordinary shareholders was US$0.67 in the first quarter of 2026, compared to diluted earnings per share attributable to Sea Limited’s ordinary shareholders of US$0.65 in the first quarter of 2025. Webcast and Conference Call Information The Company’s management will host a conference call today to review Sea’s business and financial performance. Details of the conference call and webcast are as follows: Date and time: 7:30 AM U.S. Eastern Time on May 12, 2026 7:30 PM Singapore / Hong Kong Time on May 12, 2026 Webcast link: https://events.q4inc.com/attendee/902549222 A replay of the conference call will be available at the Company’s investor relations website (www.sea.com/investor/home). An archived webcast will be available at the same link above. About Sea Limited Sea Limited (NYSE: SE) is a global technology company founded in Singapore in 2009. Its mission is to better the lives of consumers and small businesses with technology. Sea operates three core businesses across e-commerce, digital financial services, and digital entertainment, known as Shopee, Monee, and Garena respectively. Shopee is the largest e-commerce platform in Southeast Asia and Taiwan and is a leading e-commerce platform in Brazil. Monee is a leading digital financial services provider in Southeast Asia with a growing presence in Latin America. Garena is a leading global online games developer and publisher. Forward-Looking Statements This announcement contains forward-looking statements. These statements are made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as “may,” “could,” “will,” “expect,” “anticipate,” “aim,” “future,” “intend,” “plan,” “believe,” “estimate,” “likely to,” “potential,” “confident,” “guidance,” and similar statements. Among other things, statements that are not historical facts, including statements about Sea’s beliefs and expectations, the business, financial and market outlook, and projections from its management in this announcement, as well as Sea’s strategic and operational plans, contain forward-looking statements. Sea may also make written or oral forward-looking statements in its periodic reports to the U.S. Securities and Exchange Commission (the “SEC”), in its annual report to shareholders, in press releases, and other written materials, and in oral statements made by its officers, directors, or employees to third parties. Forward-looking statements involve inherent risks and uncertainties. A number of factors could cause actual results to differ materially from those contained in any forward-looking statement, including but not limited to the following: Sea’s goals and strategies; its future business development, financial condition, financial results, and results of operations; the expected growth in, and market size of, the e-commerce, digital financial services, and digital entertainment industries in the markets where it operates, including segments within those industries; expected changes or guidance in its revenue, costs or expenditures; its ability to continue to source, develop and offer new and attractive online games and to offer other engaging Garena content; the expected growth of its Shopee, Monee and Garena businesses; its expectations regarding growth in its user base, level of engagement, and monetization; its ability to continue to develop new technologies and/or upgrade its existing technologies; growth and trends of its markets and competition in its industries; government policies and regulations relating to its industries, including the effects of any government orders or actions on its businesses; general economic, political, social and business conditions in its markets; and the impact of widespread health developments. Further information regarding these and other risks is included in Sea’s filings with the SEC. All information provided in this press release and in the attachments is as of the date of this press release, and Sea undertakes no obligation to update any forward-looking statement, except as required under applicable law. Non-GAAP Financial Measures To supplement our consolidated financial statements, which are prepared and presented in accordance with U.S. GAAP, we use the following non-GAAP financial measures to help evaluate our operating performance: “Adjusted EBITDA” for our Garena segment represents operating income (loss) plus (a) depreciation and amortization expenses, and (b) the net effect of changes in deferred revenue and its related cost for our Garena segment. We believe that the segment adjusted EBITDA helps to identify underlying trends in our operating results, enhancing their understanding of the past performance and future prospects. “Adjusted EBITDA” for our Shopee segment, Monee segment and other services segment represents operating income (loss) plus depreciation and amortization expenses. We believe that the segment adjusted EBITDA helps to identify underlying trends in our operating results, enhancing their understanding of the past performance and future prospects. “Total adjusted EBITDA” represents the sum of adjusted EBITDA of all our segments combined, plus unallocated expenses. We believe that the total adjusted EBITDA helps to identify underlying trends in our operating results, enhancing their understanding of the past performance and future prospects. These non-GAAP financial measures have limitations as analytical tools. None of the above financial measures should be considered in isolation or construed as an alternative to revenue, net loss/income, or any other measure of performance or as an indicator of our operating performance. These non-GAAP financial measures presented here may not be comparable to similarly titled measures presented by other companies. Other companies may calculate similarly titled measures differently, limiting their usefulness as comparative measures to Sea’s data. We compensate for these limitations by reconciling the non-GAAP financial measures to their nearest U.S. GAAP financial measures, all of which should be considered when evaluating our performance. We encourage you to review our financial information in its entirety and not rely on any single financial measure. The tables below present selected financial information of our reporting segments, the non-GAAP financial measures that are most directly comparable to GAAP financial measures, and the related reconciliations between the financial measures. Amounts are expressed in thousands of US dollars (“$”) except for number of shares & per share data. For the Three Months ended March 31, 2026 Shopee Monee Garena Other
Services(1) Unallocated
expenses(2) Consolidated $ $ $ $ $ $ Operating income (loss) 138,904 265,614 363,636 (32,288) (142,879) 592,987 Net effect of changes in deferred
revenue and its related cost - - 205,983 - - 205,983 Depreciation and Amortization 84,270 9,629 3,947 4,152 - 101,998 Share-based compensation - - - - 133,325 133,325 Adjusted EBITDA 223,174 275,243 573,566 (28,136) (9,554) 1,034,293 For the Three Months ended March 31, 2025 Shopee Monee Garena Other
Services(1) Unallocated
expenses(2) Consolidated $ $ $ $ $ $ Operating income (loss) 195,002 228,612 220,031 (11,006) (176,235) 456,404 Net effect of changes in deferred
revenue and its related cost - - 233,436 - - 233,436 Depreciation and Amortization 69,415 12,827 4,739 1,896 - 88,877 Share-based compensation - - - - 167,792 167,792 Adjusted EBITDA 264,417 241,439 458,206 (9,110) (8,443) 946,509 (1) A combination of multiple business activities that do not meet the quantitative thresholds to qualify as reportable segments are grouped together as “Other Services”. (2) Unallocated expenses are mainly related to share-based compensation, and general and corporate administrative costs such as professional fees and other miscellaneous items that are not allocated to segments. These expenses are excluded from segment results as they are not reviewed by the CODM as part of segment performance. UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS Amounts expressed in thousands of US dollars (“$”) except for number of shares & per share data For the Three Months ended March 31, 2025 2026 $ $ Revenue Service revenue 4,434,537 6,485,133 Sales of goods 406,563 612,356 Total revenue 4,841,100 7,097,489 Cost of revenue Cost of service (2,231,118 ) (3,364,865 ) Cost of goods sold (373,789 ) (587,042 ) Total cost of revenue (2,604,907 ) (3,951,907 ) Gross profit 2,236,193 3,145,582 Operating income (expenses) Other operating income 34,901 27,600 Sales and marketing expenses (929,699 ) (1,414,192 ) General and administrative expenses (307,189 ) (403,830 ) Provision for credit losses (281,944 ) (465,504 ) Research and development expenses (295,858 ) (296,669 ) Total operating expenses (1,779,789 ) (2,552,595 ) Operating income 456,404 592,987 Interest income 88,823 67,143 Interest expense (9,081 ) (1,639 ) Investment (loss) gain, net (522 ) 22,690 Net gain on debt extinguishment 10,602 898 Foreign exchange loss (614 ) (27,304 ) Income before income tax and share of results of equity investees 545,612 654,775 Income tax expense (136,315 ) (213,999 ) Share of results of equity investees 1,528 (2,554 ) Net income 410,825 438,222 Net income attributable to non-controlling interests (7,775 ) (10,285 ) Net income attributable to Sea Limited’s ordinary shareholders 403,050 427,937 Earnings per share: Basic 0.68 0.70 Diluted 0.65 0.67 Weighted average shares used in earnings per share computation: Basic 590,286,824 611,583,932 Diluted 634,637,711 636,172,778 UNAUDITED INTERIM CONDENSED CONSOLIDATED BALANCE SHEETS Amounts expressed in thousands of US dollars (“$”) As of December 31, As of March 31, 2025 2026 $ $ ASSETS Current assets Cash and cash equivalents 4,158,920 4,035,175 Restricted cash 2,216,733 2,220,176 Accounts receivable, net of allowance for credit losses of
$3,354 and $4,288, as of December 31, 2025 and March
31, 2026 respectively 378,047 423,341 Prepaid expenses and other assets 1,979,004 2,079,298 Loans receivable, net of allowance for credit losses of
$812,760 and $947,832, as of December 31, 2025 and
March 31, 2026 respectively 7,405,741 7,866,080 Inventories, net 222,578 229,333 Short-term investments 6,413,261 6,505,463 Amounts due from related parties 475,211 577,066 Total current assets 23,249,495 23,935,932 Non-current assets Property and equipment, net 1,306,837 1,273,424 Operating lease right-of-use assets, net 1,425,198 1,564,858 Intangible assets, net 12,210 9,257 Long-term investments 1,888,829 2,173,463 Prepaid expenses and other assets 185,643 267,706 Loans receivable, net of allowance for credit losses of
$29,212 and $35,631, as of December 31, 2025 and March
31, 2026 respectively 558,336 609,387 Restricted cash 43,814 43,741 Deferred tax assets 596,155 609,878 Goodwill 104,462 102,583 Total non-current assets 6,121,484 6,654,297 Total assets 29,370,979 30,590,229 UNAUDITED INTERIM CONDENSED CONSOLIDATED BALANCE SHEETS Amounts expressed in thousands of US dollars (“$”) As of December 31, As of March 31, 2025 2026 $ $ LIABILITIES AND SHAREHOLDERS’ EQUITY Current liabilities Accounts payable 467,807 539,137 Accrued expenses and other payables 3,156,750 2,936,177 Deposits payable 3,798,250 4,063,283 Escrow payables and advances from customers 3,096,764 3,154,556 Amounts due to related parties 273,149 416,517 Borrowings 283,181 263,952 Operating lease liabilities 368,115 387,293 Convertible notes 1,050,071 995,808 Deferred revenue 1,967,678 2,117,734 Income tax payable 218,785 294,556 Total current liabilities 14,680,550 15,169,013 Non-current liabilities Accrued expenses and other payables 108,300 72,436 Borrowings 510,396 702,838 Operating lease liabilities 1,118,682 1,234,507 Deferred revenue 129,513 234,228 Deferred tax liabilities 39,510 60,126 Unrecognized tax benefits 135,700 135,700 Total non-current liabilities 2,042,101 2,439,835 Total liabilities 16,722,651 17,608,848 UNAUDITED INTERIM CONDENSED CONSOLIDATED BALANCE SHEETS Amounts expressed in thousands of US dollars (“$”) As of December 31, As of March 31, 2025 2026 $ $ Shareholders’ equity Class A Ordinary shares 283 283 Class B Ordinary shares 23 23 Treasury stock (14,527 ) (149,331 ) Additional paid-in capital 19,105,403 19,245,787 Accumulated other comprehensive loss (4,824 ) (102,901 ) Statutory reserves 17,553 17,727 Accumulated deficit (6,577,408 ) (6,158,421 ) Total Sea Limited shareholders’ equity 12,526,503 12,853,167 Non-controlling interests 121,825 128,214 Total shareholders’ equity 12,648,328 12,981,381 Total liabilities and shareholders’ equity 29,370,979 30,590,229 UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS Amounts expressed in thousands of US dollars (“$”) For the Three Months ended March 31, 2025 2026 $ $ Net cash generated from operating activities 756,931 1,057,905 Net cash used in investing activities (1,114,732) (1,603,988) Net cash generated from financing activities 274,387 479,945 Effect of foreign exchange rate changes on cash, cash
equivalents and restricted cash 17,825 (54,237) Net decrease in cash, cash equivalents and restricted cash (65,589) (120,375) Cash, cash equivalents and restricted cash at beginning of the
period 4,081,585 6,419,467 Cash, cash equivalents and restricted cash at end of the period 4,015,996 6,299,092 Net cash used in investing activities amounted to US$1,604 million for the three months ended March 31, 2026. This was primarily attributable to an increase in loans receivable of our credit business of US$1,061 million, net purchases of investments of US$432 million mainly consisting of time deposits and sovereign and corporate debt securities, as well as purchase of property and equipment of US$139 million to support the existing operations. Net cash generated from financing activities amounted to US$480 million for the three months ended March 31, 2026. This was primarily attributable to an increase in bank deposits of US$495 million and net proceeds from other funding sources related to credit business of US$180 million, offset by the cash used in repurchase of ordinary shares of US$164 million and cash used in repurchase of convertible notes of US$54 million. UNAUDITED SEGMENT INFORMATION The Company has three reportable segments, namely Shopee, Monee and Garena. The Chief Operating Decision Maker (“CODM”), comprising our senior management team, evaluates each segment's financial performance by reviewing revenue, significant operating expenses, and segment operating income or loss. To allocate resources for each segment, the CODM evaluates these results, along with certain key operating metrics of each segment. This assessment is done regularly by monitoring each segment's actual financial and operating performance against projections as part of the Company's business planning and budgeting process. Amounts are expressed in thousands of US dollars (“$”). For the Three Months ended March 31, 2026 Shopee Monee Garena Other
Services(1) Total $ $ $ $ $ Revenue 5,113,649 1,241,782 696,564 45,494 7,097,489 Less(2) Cost of revenue (3,578,167) (142,527) (216,470) - Sales and marketing expenses (1,091,757) (231,868) (44,830) - Provision for credit losses - (461,300) - - Other operating expenses(3) (304,821) (140,473) (71,628) (77,782) Operating segment income (loss) 138,904 265,614 363,636 (32,288) 735,866 Unallocated expenses(4) (142,879) Operating income 592,987 Non-operating income, net 61,788 Income tax expense (213,999) Share of results of equity investees (2,554) Net income 438,222 For the Three Months ended March 31, 2025 Shopee Monee Garena Other
Services(1) Total $ $ $ $ $ Revenue 3,524,186 787,117 495,589 34,208 4,841,100 Less(2) Cost of revenue (2,307,199) (106,433) (181,004) - Sales and marketing expenses (777,492) (96,261) (28,906) - Provision for credit losses - (277,562) - - Other operating expenses(3) (244,493) (78,249) (65,648) (45,214) Operating segment income (loss) 195,002 228,612 220,031 (11,006) 632,639 Unallocated expenses(4) (176,235) Operating income 456,404 Non-operating income, net 89,208 Income tax expense (136,315) Share of results of equity investees 1,528 Net income 410,825 (1) A combination of multiple business activities that do not meet the quantitative thresholds to qualify as reportable segments are grouped together as “Other Services”. (2) The significant expenses categories and other income amounts align with the segmental-level information that is regularly provided to the CODM. (3) Other operating expenses for Shopee and Garena include general and administrative expenses, research and development expenses and provision for credit losses, net of other operating income. Other operating expenses for Monee include general and administrative expenses and research and development expenses, net of other operating income. (4) Unallocated expenses are mainly related to share-based compensation, and general and corporate administrative costs such as professional fees and other miscellaneous items that are not allocated to segments. These expenses are excluded from segment results as they are not reviewed by the CODM as part of segment performance. View source version on businesswire.com: https://www.businesswire.com/news/home/20260511833139/en/ For enquiries, please contact:
Investors / analysts: ir@sea.com
Media: media@sea.com Original: Sea Limited Reports First Quarter 2026 Results
US Market News
4月前
Sea Limited Reports Fourth Quarter and Full Year 2025 ResultsMarch 3, 2026 6:30 AM
Business Wire
Sea Limited (NYSE: SE) (“Sea” or the “Company”) today announced its financial results for the fourth quarter and full year ended December 31, 2025.
In the fourth quarter of 2025, Sea’s GAAP revenue was US$6.9 billion, up 38.4% year-on-year. The Company also achieved gross profit of US$3.0 billion, up 36.0% year-on-year, and net income of US$410.9 million, up 72.9% year-on-year. Adjusted EBITDA1 increased by 33.2% year-on-year to reach US$787.1 million.
For the full year of 2025, Sea’s GAAP revenue was US$22.9 billion, up 36.4% year-on-year, with gross profit growing 42.2% year-on-year to US$10.2 billion. Net income reached US$1.6 billion, as compared to net income of US$447.8 million for the full year of 2024. The Company’s adjusted EBITDA1 was US$3.4 billion, up 75.2% year-on-year.
“2025 has been a great year for Sea. All our businesses scaled well, exceeding our initial growth expectations. This broad-based robust growth is healthy and sustainable, underpinned by the growing scale of users that we serve. In 2025, Shopee served around 400 million active buyers and 20 million sellers. Monee gained over 20 million unique first-time borrowers. And Garena connected on average with more than 100 million players daily throughout the year,” said Forrest Li, Sea’s Chairman and Chief Executive Officer.
Regarding 2026, he said, “We were successful in 2025 because we chose the right set of strategies and we executed them well. 2026 will be a continuation of this approach. Our strategies will be consistent, and execution remains key. We will double down on operational excellence, and work towards delivering another year of strong growth and healthy profits.”
In particular, Mr. Li commented on Shopee's achievements in 2025 and its 2026 outlook, “The strong set of 2025 results is a validation of the effectiveness of our strategic choices for Shopee. We believe our strong growth momentum and healthy profitability will continue into the year ahead. For 2026, we aim to grow Shopee’s annual GMV by around 25% year-on-year, with its full year adjusted EBITDA no lower than that of 2025 in absolute dollar terms. We believe this is the right strategy to optimize Shopee’s long-term profitability.”
Fourth Quarter 2025 Business Highlights
Shopee
Gross orders totaled 4.0 billion for the quarter, increasing by 30.5% year-on-year.
GMV was US$36.7 billion for the quarter, increasing by 28.6% year-on-year.
GAAP revenue was US$5.0 billion, up 35.8% year-on-year.
GAAP revenue included US$4.3 billion of GAAP marketplace revenue, which consists of core marketplace revenue and value-added services revenue and increased by 35.8% year-on-year.
Core marketplace revenue, mainly consisting of transaction-based fees and advertising revenues, was up 50.2% year-on-year to US$3.6 billion.
Value-added services revenue, mainly consisting of revenues related to logistics services, was down 7.5% year-on-year to US$735.0 million as a result of higher revenue net-off against shipping subsidies.
Adjusted EBITDA1 was US$202.5 million, up 33.0% year-on-year.
Monee
GAAP revenue was US$1.1 billion, up 54.3% year-on-year.
Adjusted EBITDA1 was US$263.1 million, up 24.7% year-on-year.
Monee revenue and operating income are primarily attributed to the consumer and SME credit business. As of December 31, 2025, consumer and SME loans principal outstanding was US$9.2 billion, up 80.4% year-on-year. This consists of US$8.2 billion on-book and US$1.0 billion off-book loans principal outstanding2.
Non-performing loans past due by more than 90 days as a percentage of consumer and SME loans principal outstanding, which includes both on-book and off-book loans principal outstanding2, was 1.1%, stable quarter-on-quarter.
Garena
Bookings3 were US$672.4 million, up 23.8% year-on-year.
GAAP revenue was US$701.0 million, up 35.1% year-on-year.
Adjusted EBITDA1 was US$363.8 million, up 25.6% year-on-year.
Adjusted EBITDA represented 54.1% of bookings for the fourth quarter of 2025, as compared to 53.3% for the fourth quarter of 2024.
Quarterly active users were 633.3 million, up 2.5% year-on-year.
Quarterly paying users were 58.0 million, up 15.0% year-on-year. Paying user ratio was 9.2%, as compared to 8.2% for the fourth quarter of 2024.
Average bookings per user were US$1.06, as compared to US$0.88 for the fourth quarter of 2024.
Full Year 2025 Business Highlights
Shopee
Gross orders totaled 13.9 billion, increasing by 27.2% year-on-year.
GMV was US$127.4 billion, increasing by 26.8% year-on-year.
GAAP revenue was US$16.6 billion, up 33.4% year-on-year.
GAAP revenue included US$14.5 billion of GAAP marketplace revenue, up 33.9% year-on-year.
Adjusted EBITDA1 was US$880.6 million, as compared to US$155.8 million for the full year of 2024.
Monee
GAAP revenue was US$3.8 billion, up 60.1% year-on-year.
Adjusted EBITDA1 was US$1.0 billion, up 42.9% year-on-year.
Garena
Bookings3 were US$2.9 billion, up 37.3% year-on-year.
GAAP revenue was US$2.4 billion, up 26.1% year-on-year.
Adjusted EBITDA1 was US$1.7 billion, up 38.1% year-on-year.
Adjusted EBITDA represented 56.1% of bookings for the full year of 2025, as compared to 55.8% for the full year of 2024.
Share Repurchase Program
During the fourth quarter of 2025, pursuant to our US$1.0 billion share repurchase program, we have repurchased 116.2 thousand shares for an aggregate amount of US$14.5 million.
1 For a discussion of the use of non-GAAP financial measures, see “Non-GAAP Financial Measures”.
2 Off-book loans principal outstanding mainly refers to channeling arrangements, which is lending by other financial institutions on our platform.
3 GAAP revenue for Garena plus change in Garena's deferred revenue. This operating metric is used as an approximation of cash spent by our users in the applicable period that is attributable to Garena.
Unaudited Summary of Financial Results
(Amounts are expressed in thousands of US dollars “$” except for per share data)
For the Three Months
ended December 31,
For the Full Year
ended December 31,
2024
2025
2024
2025
$
$
YOY%
$
$
YOY%
Revenue
Service revenue
4,478,639
6,211,237
38.7%
15,261,263
20,913,061
37.0%
Sales of goods
471,797
640,631
35.8%
1,558,603
2,025,408
30.0%
4,950,436
6,851,868
38.4%
16,819,866
22,938,469
36.4%
Cost of revenue
Cost of service
(2,305,709)
(3,268,483)
41.8%
(8,164,387)
(10,812,039)
32.4%
Cost of goods sold
(439,267)
(585,005)
33.2%
(1,450,391)
(1,882,693)
29.8%
(2,744,976)
(3,853,488)
40.4%
(9,614,778)
(12,694,732)
32.0%
Gross profit
2,205,460
2,998,380
36.0%
7,205,088
10,243,737
42.2%
Other operating income
53,256
27,506
(48.4%)
180,443
121,328
(32.8%)
Sales and marketing expenses
(1,049,726)
(1,402,710)
33.6%
(3,472,686)
(4,492,203)
29.4%
General and administrative expenses
(366,259)
(387,233)
5.7%
(1,267,706)
(1,357,791)
7.1%
Provision for credit losses
(235,764)
(393,118)
66.7%
(776,937)
(1,372,616)
76.7%
Research and development expenses
(301,216)
(277,588)
(7.8%)
(1,206,050)
(1,157,149)
(4.1%)
Total operating expenses
(1,899,709)
(2,433,143)
28.1%
(6,542,936)
(8,258,431)
26.2%
Operating income
305,751
565,237
84.9%
662,152
1,985,306
199.8%
Non-operating income, net
28,222
61,876
119.2%
116,631
295,553
153.4%
Income tax expense
(89,198)
(209,614)
135.0%
(321,168)
(651,081)
102.7%
Share of results of equity investees
(7,183)
(6,622)
(7.8%)
(9,788)
(18,884)
92.9%
Net income
237,592
410,877
72.9%
447,827
1,610,894
259.7%
Earnings per share attributable to Sea
Limited’s ordinary shareholders:
Basic
0.41
0.66
61.0%
0.77
2.65
244.2%
Diluted
0.39
0.63
61.5%
0.74
2.52
240.5%
Change in deferred revenue of
Garena
24,120
(28,669)
(218.9%)
238,077
540,929
127.2%
Adjusted EBITDA for Garena (1)
289,730
363,791
25.6%
1,199,166
1,656,131
38.1%
Adjusted EBITDA for Shopee (1)
152,209
202,457
33.0%
155,775
880,623
465.3%
Adjusted EBITDA for Monee (1)
210,979
263,070
24.7%
712,242
1,018,084
42.9%
Adjusted EBITDA for Other Services (1)
(5,121)
(32,731)
539.2%
(30,305)
(80,726)
166.4%
Unallocated expenses (2)
(56,876)
(9,449)
(83.4%)
(74,998)
(36,967)
(50.7%)
Total adjusted EBITDA (1)
590,921
787,138
33.2%
1,961,880
3,437,145
75.2%
(1) For a discussion of the use of non-GAAP financial measures, see “Non-GAAP Financial Measures”.
(2) Unallocated expenses within total adjusted EBITDA are mainly related to general and corporate administrative costs such as professional fees and other miscellaneous items that are not allocated to segments. These expenses are excluded from segment results as they are not reviewed by the Chief Operating Decision Maker (“CODM”) as part of segment performance.
Three Months Ended December 31, 2025 Compared to Three Months Ended December 31, 2024
Revenue
Our total GAAP revenue increased by 38.4% to US$6.9 billion in the fourth quarter of 2025 from US$5.0 billion in the fourth quarter of 2024. The table below sets forth our revenue breakdown. Amounts are expressed in thousands of US dollars (“$”).
For the Three Months
ended December 31,
2024
2025
YOY%
$
$
Service revenue
Shopee
3,192,530
4,336,128
35.8%
Monee
733,326
1,131,855
54.3%
Garena
519,064
701,025
35.1%
Other Services(1)
33,719
42,229
25.2%
Sales of goods
471,797
640,631
35.8%
Total revenue
4,950,436
6,851,868
38.4%
(1) Other services are a combination of multiple business activities that do not meet the quantitative threshold to qualify as reportable segments.
Shopee: GAAP revenue increased by 35.8% to US$4.3 billion in the fourth quarter of 2025 from US$3.2 billion in the fourth quarter of 2024, primarily driven by the growth of GMV.
Monee: GAAP revenue increased by 54.3% to US$1.1 billion in the fourth quarter of 2025 from US$733.3 million in the fourth quarter of 2024, primarily driven by the growth of our credit business as our lending activities increased.
Garena: GAAP revenue increased by 35.1% to US$701.0 million in the fourth quarter of 2025 from US$519.1 million in the fourth quarter of 2024. This increase was primarily due to the increase in our active user base as well as the deepened paying user penetration.
Sales of goods: GAAP revenue increased by 35.8% to US$640.6 million in the fourth quarter of 2025 from US$471.8 million in the fourth quarter of 2024.
Cost of Revenue
Our total cost of revenue increased by 40.4% to US$3.9 billion in the fourth quarter of 2025 from US$2.7 billion in the fourth quarter of 2024. The table below sets forth our cost of revenue breakdown. Amounts are expressed in thousands of US dollars (“$”).
For the Three Months
ended December 31,
2024
2025
YOY%
$
$
Cost of service
Shopee
2,034,565
2,913,122
43.2%
Monee
99,770
127,023
27.3%
Garena
159,065
214,227
34.7%
Other Services(1)
12,309
14,111
14.6%
Cost of goods sold
439,267
585,005
33.2%
Total cost of revenue
2,744,976
3,853,488
40.4%
(1) Other services are a combination of multiple business activities that do not meet the quantitative threshold to qualify as reportable segments.
Shopee: Cost of revenue increased by 43.2% to US$2.9 billion in the fourth quarter of 2025 from US$2.0 billion in the fourth quarter of 2024, primarily driven by an increase in logistics costs as orders volume grew.
Monee: Cost of revenue increased by 27.3% to US$127.0 million in the fourth quarter of 2025 from US$99.8 million in the fourth quarter of 2024, primarily driven by server and hosting expenses, and other costs associated with our credit business, which include collection expenses and bank transaction fees.
Garena: Cost of revenue increased by 34.7% to US$214.2 million in the fourth quarter of 2025 from US$159.1 million in the fourth quarter of 2024, primarily from payment channel costs, which was largely in line with the increase in Garena revenue, as well as an increase in royalty payments to game developers.
Cost of goods sold: Cost of goods sold increased by 33.2% to US$585.0 million in the fourth quarter of 2025 from US$439.3 million in the fourth quarter of 2024.
Other Operating Income
Our other operating income was US$27.5 million and US$53.3 million in the fourth quarter of 2025 and 2024, respectively. Other operating income mainly consists of rebates from our logistics services providers.
Sales and Marketing Expenses
Our total sales and marketing expenses increased by 33.6% to US$1.4 billion in the fourth quarter of 2025 from US$1.0 billion in the fourth quarter of 2024. The table below sets forth breakdown of the sales and marketing expenses of our major reporting segments. Amounts are expressed in thousands of US dollars (“$”).
For the Three Months
ended December 31,
2024
2025
YOY%
Sales and Marketing Expenses
$
$
Shopee
853,919
1,071,160
25.4%
Monee
121,036
237,449
96.2%
Garena
44,528
50,671
13.8%
General and Administrative Expenses
Our general and administrative expenses increased by 5.7% to US$387.2 million in the fourth quarter of 2025 from US$366.3 million in the fourth quarter of 2024.
Provision for Credit Losses
Our provision for credit losses increased by 66.7% to US$393.1 million in the fourth quarter of 2025 from US$235.8 million in the fourth quarter of 2024.
Research and Development Expenses
Our research and development expenses decreased by 7.8% to US$277.6 million in the fourth quarter of 2025 from US$301.2 million in the fourth quarter of 2024.
Non-operating Income or Losses, Net
Non-operating income or losses mainly consist of interest income, interest expense, investment gain (loss), foreign exchange gain (loss) and gain (loss) on debt extinguishment. We recorded a net non-operating income of US$61.9 million in the fourth quarter of 2025, as compared to a net non-operating income of US$28.2 million in the fourth quarter of 2024. The non-operating income in the fourth quarter of 2025 was primarily due to interest income of US$70.2 million.
Income Tax Expense
We had a net income tax expense of US$209.6 million and US$89.2 million in the fourth quarter of 2025 and 2024, respectively.
Net Income or Loss
As a result of the foregoing, our net income increased by 72.9% to US$410.9 million in the fourth quarter of 2025 from US$237.6 million in the fourth quarter of 2024.
Basic and Diluted Earnings or Loss Per Share Attributable to Sea Limited’s Ordinary Shareholders
Basic earnings per share attributable to Sea Limited’s ordinary shareholders was US$0.66 in the fourth quarter of 2025, compared to basic earnings per share attributable to Sea Limited’s ordinary shareholders of US$0.41 in the fourth quarter of 2024.
Diluted earnings per share attributable to Sea Limited’s ordinary shareholders was US$0.63 in the fourth quarter of 2025, compared to diluted earnings per share attributable to Sea Limited’s ordinary shareholders of US$0.39 in the fourth quarter of 2024.
Full Year Ended December 31, 2025 Compared to Full Year Ended December 31, 2024
Revenue
Our total GAAP revenue increased by 36.4% to US$22.9 billion for the full year ended December 31, 2025 from US$16.8 billion for the full year ended December 31, 2024. The table below sets forth our revenue breakdown. Amounts are expressed in thousands of US dollars (“$”).
For the Full Year
ended December 31,
2024
2025
YOY%
$
$
Service revenue
Shopee
10,862,263
14,545,894
33.9%
Monee
2,367,739
3,791,641
60.1%
Garena
1,910,589
2,408,765
26.1%
Other Services(1)
120,672
166,761
38.2%
Sales of goods
1,558,603
2,025,408
30.0%
Total revenue
16,819,866
22,938,469
36.4%
(1) Other services are a combination of multiple business activities that do not meet the quantitative threshold to qualify as reportable segments.
Shopee: GAAP revenue increased by 33.9% to US$14.5 billion for the full year ended December 31, 2025 from US$10.9 billion for the full year ended December 31, 2024, primarily driven by the growth of GMV.
Monee: GAAP revenue increased by 60.1% to US$3.8 billion for the full year ended December 31, 2025 from US$2.4 billion for the full year ended December 31, 2024, primarily driven by the growth of our credit business as our lending activities increased.
Garena: GAAP revenue increased by 26.1% to US$2.4 billion for the full year ended December 31, 2025 from US$1.9 billion for the full year ended December 31, 2024. This increase was primarily due to the increase in our active user base as well as the deepened paying user penetration.
Sales of goods: GAAP revenue increased by 30.0% to US$2.0 billion for the full year ended December 31, 2025 from US$1.6 billion for the full year ended December 31, 2024.
Cost of Revenue
Our total cost of revenue increased by 32.0% to US$12.7 billion for the full year ended December 31, 2025 from US$9.6 billion for the full year ended December 31, 2024. The table below sets forth our cost of revenue breakdown. Amounts are expressed in thousands of US dollars (“$”).
For the Full Year
ended December 31,
2024
2025
YOY%
$
$
Cost of service
Shopee
7,165,351
9,502,668
32.6%
Monee
348,424
475,024
36.3%
Garena
610,586
791,378
29.6%
Other Services(1)
40,026
42,969
7.4%
Cost of goods sold
1,450,391
1,882,693
29.8%
Total cost of revenue
9,614,778
12,694,732
32.0%
(1) Other services are a combination of multiple business activities that do not meet the quantitative threshold to qualify as reportable segments.
Shopee: Cost of revenue increased by 32.6% to US$9.5 billion for the full year ended December 31, 2025 from US$7.2 billion for the full year ended December 31, 2024, primarily driven by an increase in logistics costs as orders volume grew.
Monee: Cost of revenue increased by 36.3% to US$475.0 million for the full year ended December 31, 2025 from US$348.4 million for the full year ended December 31, 2024, primarily driven by server and hosting expenses, interest expenses due to the growth in customer deposits under our banking business, and other costs associated with our credit business, which include collection expenses and bank transaction fees.
Garena: Cost of revenue increased by 29.6% to US$791.4 million for the full year ended December 31, 2025 from US$610.6 million for the full year ended December 31, 2024, primarily from payment channel costs, which was largely in line with the increase in Garena revenue, as well as an increase in royalty payments to game developers and higher royalties associated with the use of third-party intellectual properties.
Cost of goods sold: Cost of goods sold increased by 29.8% to US$1.9 billion for the full year ended December 31, 2025 from US$1.5 billion for the full year ended December 31, 2024.
Other Operating Income
Our other operating income was US$121.3 million for the full year ended December 31, 2025 from US$180.4 million for the full year ended December 31, 2024. Other operating income mainly consists of rebates from our logistics services providers.
Sales and Marketing Expenses
Our total sales and marketing expenses increased by 29.4% to US$4.5 billion for the full year ended December 31, 2025 from US$3.5 billion for the full year ended December 31, 2024. The table below sets forth the breakdown of the sales and marketing expenses of our major reporting segments. Amounts are expressed in thousands of US dollars (“$”).
For the Full Year
ended December 31,
2024
2025
YOY%
Sales and Marketing Expenses
$
$
Shopee
2,966,084
3,546,753
19.6%
Monee
298,386
614,228
105.9%
Garena
117,556
174,104
48.1%
General and Administrative Expenses
Our general and administrative expenses increased by 7.1% to US$1.4 billion for the full year ended December 31, 2025 from US$1.3 billion for the full year ended December 31, 2024.
Provision for Credit Losses
Our provision for credit losses increased by 76.7% to US$1.4 billion for the full year ended December 31, 2025 from US$776.9 million for the full year ended December 31, 2024.
Research and Development Expenses
Our research and development expenses were US$1.2 billion for the full year ended December 31, 2025, flat year-on-year.
Non-operating Income or Losses, Net
Non-operating income or losses mainly consist of interest income, interest expense, investment gain (loss), and foreign exchange gain (loss), and gain (loss) on debt extinguishment. We recorded a net non-operating income of US$295.6 million for the full year ended December 31, 2025, as compared to a net non-operating income of US$116.6 million for the full year ended December 31, 2024.
Income Tax Expense
We had a net income tax expense of US$651.1 million and US$321.2 million for the full year ended December 31, 2025 and 2024, respectively.
Net Income or Loss
As a result of the foregoing, we had net income of US$1.6 billion for the full year ended December 31, 2025, as compared to net income of US$447.8 million for the full year ended December 31, 2024.
Basic and Diluted Earnings or Loss Per Share Attributable to Sea Limited’s Ordinary Shareholders
Basic earnings per share attributable to Sea Limited’s ordinary shareholders was US$2.65 for the full year ended December 31, 2025, as compared to basic earnings per share attributable to Sea Limited’s ordinary shareholders of US$0.77 for the full year ended December 31, 2024.
Diluted earnings per share attributable to Sea Limited’s ordinary shareholders was US$2.52 for the full year ended December 31, 2025, as compared to diluted earnings per share attributable to Sea Limited’s ordinary shareholders of US$0.74 for the full year ended December 31, 2024.
Webcast and Conference Call Information
The Company’s management will host a conference call today to review Sea’s business and financial performance.
Details of the conference call and webcast are as follows:
Date and time:
7:30 AM U.S. Eastern Time on March 3, 2026
8:30 PM Singapore / Hong Kong Time on March 3, 2026
Webcast link:
https://events.q4inc.com/attendee/139022136
A replay of the conference call will be available at the Company’s investor relations website (www.sea.com/investor/home). An archived webcast will be available at the same link above.
About Sea Limited
Sea Limited (NYSE: SE) is a global technology company founded in Singapore in 2009. Its mission is to better the lives of consumers and small businesses with technology. Sea operates three core businesses across digital entertainment, e-commerce, as well as digital payments and financial services, known as Garena, Shopee and Monee, respectively. Garena is a leading global online games developer and publisher. Shopee is the largest pan-regional e-commerce platform in Southeast Asia, Taiwan, and Brazil. Monee is a leading digital payments and financial services provider in Southeast Asia, with a growing presence in Latin America.
Forward-Looking Statements
This announcement contains forward-looking statements. These statements are made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as “may,” “could,” “will,” “expect,” “anticipate,” “aim,” “future,” “intend,” “plan,” “believe,” “estimate,” “likely to,” “potential,” “confident,” “guidance,” and similar statements. Among other things, statements that are not historical facts, including statements about Sea’s beliefs and expectations, the business, financial and market outlook, and projections from its management in this announcement, as well as Sea’s strategic and operational plans, contain forward-looking statements. Sea may also make written or oral forward-looking statements in its periodic reports to the U.S. Securities and Exchange Commission (the “SEC”), in its annual report to shareholders, in press releases, and other written materials, and in oral statements made by its officers, directors, or employees to third parties. Forward-looking statements involve inherent risks and uncertainties. A number of factors could cause actual results to differ materially from those contained in any forward-looking statement, including but not limited to the following: Sea’s goals and strategies; its future business development, financial condition, financial results, and results of operations; the expected growth in, and market size of, the digital entertainment, e-commerce and digital financial services industries in the markets where it operates, including segments within those industries; expected changes or guidance in its revenue, costs or expenditures; its ability to continue to source, develop and offer new and attractive online games and to offer other engaging Garena content; the expected growth of its Garena, Shopee and Monee businesses; its expectations regarding growth in its user base, level of engagement, and monetization; its ability to continue to develop new technologies and/or upgrade its existing technologies; growth and trends of its markets and competition in its industries; government policies and regulations relating to its industries, including the effects of any government orders or actions on its businesses; general economic, political, social and business conditions in its markets; and the impact of widespread health developments. Further information regarding these and other risks is included in Sea’s filings with the SEC. All information provided in this press release and in the attachments is as of the date of this press release, and Sea undertakes no obligation to update any forward-looking statement, except as required under applicable law.
Non-GAAP Financial Measures
To supplement our consolidated financial statements, which are prepared and presented in accordance with U.S. GAAP, we use the following non-GAAP financial measures to help evaluate our operating performance:
“Adjusted EBITDA” for our Garena segment represents operating income (loss) plus (a) depreciation and amortization expenses, and (b) the net effect of changes in deferred revenue and its related cost for our Garena segment. We believe that the segment adjusted EBITDA helps to identify underlying trends in our operating results, enhancing their understanding of the past performance and future prospects.
“Adjusted EBITDA” for our Shopee segment, Monee segment and other services segment represents operating income (loss) plus depreciation and amortization expenses. We believe that the segment adjusted EBITDA helps to identify underlying trends in our operating results, enhancing their understanding of the past performance and future prospects.
“Total adjusted EBITDA” represents the sum of adjusted EBITDA of all our segments combined, plus unallocated expenses. We believe that the total adjusted EBITDA helps to identify underlying trends in our operating results, enhancing their understanding of the past performance and future prospects.
These non-GAAP financial measures have limitations as analytical tools. None of the above financial measures should be considered in isolation or construed as an alternative to revenue, net loss/income, or any other measure of performance or as an indicator of our operating performance. These non-GAAP financial measures presented here may not be comparable to similarly titled measures presented by other companies. Other companies may calculate similarly titled measures differently, limiting their usefulness as comparative measures to Sea’s data. We compensate for these limitations by reconciling the non-GAAP financial measures to their nearest U.S. GAAP financial measures, all of which should be considered when evaluating our performance. We encourage you to review our financial information in its entirety and not rely on any single financial measure.
The tables below present selected financial information of our reporting segments, the non-GAAP financial measures that are most directly comparable to GAAP financial measures, and the related reconciliations between the financial measures. Amounts are expressed in thousands of US dollars (“$”) except for number of shares & per share data.
For the Three Months ended December 31, 2025
Shopee
Monee
Garena
Other
Services(1)
Unallocated
expenses(2)
Consolidated
$
$
$
$
$
$
Operating income (loss)
121,082
252,778
378,764
(36,809)
(150,578)
565,237
Net effect of changes in deferred
revenue and its related cost
-
-
(19,022)
-
-
(19,022)
Depreciation and Amortization
81,375
10,292
4,049
4,078
-
99,794
Share-based compensation
-
-
-
-
141,129
141,129
Adjusted EBITDA
202,457
263,070
363,791
(32,731)
(9,449)
787,138
For the Three Months ended December 31, 2024
Shopee
Monee
Garena
Other
Services(1)
Unallocated
expenses(2)
Consolidated
$
$
$
$
$
$
Operating income (loss)
79,484
197,856
270,143
(10,112)
(231,620)
305,751
Net effect of changes in deferred
revenue and its related cost
-
-
14,257
-
-
14,257
Depreciation and Amortization
72,725
13,123
5,330
4,991
-
96,169
Share-based compensation
-
-
-
-
174,744
174,744
Adjusted EBITDA
152,209
210,979
289,730
(5,121)
(56,876)
590,921
(1) A combination of multiple business activities that do not meet the quantitative thresholds to qualify as reportable segments are grouped together as “Other Services”.
(2) Unallocated expenses are mainly related to share-based compensation, and general and corporate administrative costs such as professional fees and other miscellaneous items that are not allocated to segments. These expenses are excluded from segment results as they are not reviewed by the CODM as part of segment performance.
For the Full Year ended December 31, 2025
Shopee
Monee
Garena
Other
Services(1)
Unallocated
expenses(2)
Consolidated
$
$
$
$
$
$
Operating income (loss)
581,052
972,682
1,184,071
(90,537)
(661,962)
1,985,306
Net effect of changes in deferred
revenue and its related cost
-
-
454,673
-
-
454,673
Depreciation and Amortization
299,571
45,402
17,387
9,811
-
372,171
Share-based compensation
-
-
-
-
624,995
624,995
Adjusted EBITDA
880,623
1,018,084
1,656,131
(80,726)
(36,967)
3,437,145
For the Full Year ended December 31, 2024
Shopee
Monee
Garena
Other
Services(1)
Unallocated
expenses(2)
Consolidated
$
$
$
$
$
$
Operating (loss) income
(139,431)
657,502
978,821
(43,903)
(790,837)
662,152
Net effect of changes in deferred
revenue and its related cost
-
-
194,216
-
-
194,216
Depreciation and Amortization
295,206
54,740
26,129
13,598
-
389,673
Share-based compensation
-
-
-
-
715,839
715,839
Adjusted EBITDA
155,775
712,242
1,199,166
(30,305)
(74,998)
1,961,880
(1) A combination of multiple business activities that does not meet the quantitative thresholds to qualify as reportable segments are grouped together as “Other Services”.
(2) Unallocated expenses are mainly related to share-based compensation, impairment of goodwill of prior acquisitions that are not under our reportable segments, and general and corporate administrative costs such as professional fees and other miscellaneous items that are not allocated to segments. These expenses are excluded from segment results as they are not reviewed by the CODM as part of segment performance.
UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS
Amounts expressed in thousands of US dollars (“$”) except for number of shares & per share data
For the Three Months
ended December 31,
For the Year
ended December 31,
2024
2025
2024
2025
$
$
$
$
Revenue
Service revenue
4,478,639
6,211,237
15,261,263
20,913,061
Sales of goods
471,797
640,631
1,558,603
2,025,408
Total revenue
4,950,436
6,851,868
16,819,866
22,938,469
Cost of revenue
Cost of service
(2,305,709)
(3,268,483)
(8,164,387)
(10,812,039)
Cost of goods sold
(439,267)
(585,005)
(1,450,391)
(1,882,693)
Total cost of revenue
(2,744,976)
(3,853,488)
(9,614,778)
(12,694,732)
Gross profit
2,205,460
2,998,380
7,205,088
10,243,737
Operating income (expenses):
Other operating income
53,256
27,506
180,443
121,328
Sales and marketing expenses
(1,049,726)
(1,402,710)
(3,472,686)
(4,492,203)
General and administrative expenses
(366,259)
(387,233)
(1,267,706)
(1,357,791)
Provision for credit losses
(235,764)
(393,118)
(776,937)
(1,372,616)
Research and development expenses
(301,216)
(277,588)
(1,206,050)
(1,157,149)
Total operating expenses
(1,899,709)
(2,433,143)
(6,542,936)
(8,258,431)
Operating income
305,751
565,237
662,152
1,985,306
Interest income
93,970
70,200
365,817
331,072
Interest expense
(9,281)
(6,659)
(38,341)
(33,610)
Investment loss, net
(60,677)
(36,916)
(250,220)
(43,443)
Gain on debt extinguishment
8,206
3,728
42,621
21,017
Foreign exchange (loss) gain
(3,996)
31,523
(3,246)
20,517
Income before income tax and share of
results of equity investees
333,973
627,113
778,783
2,280,859
Income tax expense
(89,198)
(209,614)
(321,168)
(651,081)
Share of results of equity investees
(7,183)
(6,622)
(9,788)
(18,884)
Net income
237,592
410,877
447,827
1,610,894
Net income attributable to non-controlling
interests
(284)
(13,778)
(3,506)
(32,745)
Net income attributable to Sea Limited’s
ordinary shareholders
237,308
397,099
444,321
1,578,149
Earnings per share:
Basic
0.41
0.66
0.77
2.65
Diluted
0.39
0.63
0.74
2.52
Weighted average shares used in earnings per
share computation:
Basic
580,046,457
602,240,123
574,966,327
595,023,879
Diluted
610,136,776
639,526,914
604,713,980
638,227,141
UNAUDITED INTERIM CONDENSED CONSOLIDATED BALANCE SHEETS
Amounts expressed in thousands of US dollars (“$”)
As of
December 31,
As of
December 31,
2024
2025
$
$
ASSETS
Current assets
Cash and cash equivalents
2,405,153
4,158,920
Restricted cash
1,655,171
2,216,733
Accounts receivable, net of allowance for credit losses of
$5,089 and $3,354, as of December 31, 2024 and 2025
respectively
306,657
378,047
Prepaid expenses and other assets
1,661,373
1,979,004
Loans receivable, net of allowance for credit losses of
$443,555 and $812,760, as of December 31, 2024 and 2025
respectively
4,052,215
7,405,741
Inventories, net
143,246
222,578
Short-term investments
6,215,423
6,413,261
Amounts due from related parties
418,430
475,211
Total current assets
16,857,668
23,249,495
Non-current assets
Property and equipment, net
1,097,699
1,306,837
Operating lease right-of-use assets, net
1,054,785
1,425,198
Intangible assets, net
27,310
12,210
Long-term investments
2,694,305
1,888,829
Prepaid expenses and other assets
138,839
185,643
Loans receivable, net of allowance for credit losses of
$5,780 and $29,212, as of December 31, 2024 and 2025
respectively
108,594
558,336
Restricted cash
21,261
43,814
Deferred tax assets
517,383
596,155
Goodwill
107,625
104,462
Total non-current assets
5,767,801
6,121,484
Total assets
22,625,469
29,370,979
UNAUDITED INTERIM CONDENSED CONSOLIDATED BALANCE SHEETS
Amounts expressed in thousands of US dollars (“$”)
As of
December 31,
As of
December 31,
2024
2025
$
$
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities
Accounts payable
350,021
467,807
Accrued expenses and other payables
2,380,371
3,156,750
Deposits payable
2,711,693
3,798,250
Escrow payables and advances from customers
2,498,094
3,096,764
Amounts due to related parties
255,896
273,149
Borrowings
130,615
283,181
Operating lease liabilities
300,274
368,115
Convertible notes
1,147,984
1,050,071
Deferred revenue
1,405,785
1,967,678
Income tax payable
115,419
218,785
Total current liabilities
11,296,152
14,680,550
Non-current liabilities
Accrued expenses and other payables
71,678
108,300
Borrowings
249,474
510,396
Operating lease liabilities
803,502
1,118,682
Deferred revenue
109,895
129,513
Convertible notes
1,478,784
–
Deferred tax liabilities
408
39,510
Unrecognized tax benefits
138,000
135,700
Total non-current liabilities
2,851,741
2,042,101
Total liabilities
14,147,893
16,722,651
UNAUDITED INTERIM CONDENSED CONSOLIDATED BALANCE SHEETS
Amounts expressed in thousands of US dollars (“$”)
As of
December 31,
As of
December 31,
2024
2025
$
$
Shareholders’ equity
Class A Ordinary shares
272
283
Class B Ordinary shares
23
23
Treasury stock
–
(14,527
)
Additional paid-in capital
16,703,192
19,105,403
Accumulated other comprehensive loss
(193,148
)
(4,824
)
Statutory reserves
17,260
17,553
Accumulated deficit
(8,155,264
)
(6,577,408
)
Total Sea Limited shareholders’ equity
8,372,335
12,526,503
Non-controlling interests
105,241
121,825
Total shareholders’ equity
8,477,576
12,648,328
Total liabilities and shareholders’ equity
22,625,469
29,370,979
UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
Amounts expressed in thousands of US dollars (“$”)
For the Three Months ended
December 31,
For the Year ended
December 31,
2024
2025
2024
2025
$
$
$
$
Net cash generated from operating
activities
1,020,982
1,476,410
3,277,420
5,024,523
Net cash used in investing activities
(1,761,066)
(1,153,606)
(5,040,846)
(4,408,668)
Net cash generated from financing
activities
700,210
1,005,623
1,684,493
1,623,183
Effect of foreign exchange rate changes
on cash, cash equivalents and
restricted cash
(144,793)
24,211
(83,139)
98,844
Net (decrease) increase in cash, cash
equivalents and restricted cash
(184,667)
1,352,638
(162,072)
2,337,882
Cash, cash equivalents and restricted
cash at beginning of the period
4,266,252
5,066,829
4,243,657
4,081,585
Cash, cash equivalents and restricted
cash at end of the period
4,081,585
6,419,467
4,081,585
6,419,467
Net cash used in investing activities amounted to US$1,154 million for the three months ended December 31, 2025. This was primarily attributable to an increase in loans receivable of our credit business of US$1,352 million and purchase of property and equipment of US$163 million to support the existing operations, offset by net proceeds of US$376 million from securities purchased under agreements to resell, time deposits and liquid investment products. Net cash generated from financing activities amounted to US$1,006 million for the three months ended December 31, 2025. This was primarily attributable to settlement of capped call of US$582 million, an increase in bank deposits of US$298 million, as well as net proceeds from other funding sources related to credit business of US$262 million, offset by the cash used in repurchase of convertible notes of US$134 million.
Net cash used in investing activities amounted to US$4,409 million for the year ended December 31, 2025. This was primarily attributable to increase in loans receivable of our credit business of US$4,707 million and purchase of property and equipment of US$514 million to support the existing operations, offset by net proceeds of US$884 million from securities purchased under agreements to resell, time deposits and liquid investment products. Net cash generated from financing activities amounted to US$1,623 million for the year ended December 31, 2025. This was primarily attributable to an increase in bank deposits of US$1,051 million, settlement of capped call of US$582 million, as well as net proceeds from other funding sources related to credit business of US$385 million, offset by the cash used in repurchase of convertible notes of US$410 million.
UNAUDITED SEGMENT INFORMATION
The Company has three reportable segments, namely Shopee, Monee and Garena. The Chief Operating Decision Maker (“CODM”), comprising our senior management team, evaluates each segment's financial performance by reviewing revenue, significant operating expenses, and segment operating income or loss. To allocate resources for each segment, the CODM evaluates these results, along with certain key operating metrics of each segment. This assessment is done regularly by monitoring each segment's actual financial and operating performance against projections as part of the Company's business planning and budgeting process. Amounts are expressed in thousands of US dollars (“$”).
For the Three Months ended December 31, 2025
Shopee
Monee
Garena
Other
Services(1)
Total
$
$
$
$
$
Revenue
4,974,587
1,131,855
701,025
44,401
6,851,868
Less(2)
Cost of revenue
(3,496,429)
(127,023)
(214,227)
-
Sales and marketing expenses
(1,071,160)
(237,449)
(50,671)
-
Provision for credit losses
-
(400,101)
-
-
Other operating expenses(3)
(285,916)
(114,504)
(57,363)
(81,210)
Operating segment income (loss)
121,082
252,778
378,764
(36,809)
715,815
Unallocated expenses(4)
(150,578)
Operating income
565,237
Non-operating income, net
61,876
Income tax expense
(209,614)
Share of results of equity investees
(6,622)
Net income
410,877
For the Three Months ended December 31, 2024
Shopee
Monee
Garena
Other
Services(1)
Total
$
$
$
$
$
Revenue
3,662,636
733,326
519,064
35,410
4,950,436
Less(2)
Cost of revenue
(2,472,366)
(99,770)
(159,065)
-
Sales and marketing expenses
(853,919)
(121,036)
(44,528)
-
Provision for credit losses
-
(232,260)
-
-
Other operating expenses(3)
(256,867)
(82,404)
(45,328)
(45,522)
Operating segment income (loss)
79,484
197,856
270,143
(10,112)
537,371
Unallocated expenses(4)
(231,620)
Operating income
305,751
Non-operating income, net
28,222
Income tax expense
(89,198)
Share of results of equity investees
(7,183)
Net income
237,592
For the Full Year ended December 31, 2025
Shopee
Monee
Garena
Other
Services(1)
Total
$
$
$
$
$
Revenue
16,564,605
3,791,641
2,408,765
173,458
22,938,469
Less(2)
Cost of revenue
(11,380,266)
(475,024)
(791,378)
-
Sales and marketing expenses
(3,546,753)
(614,228)
(174,104)
-
Provision for credit losses
-
(1,365,556)
-
-
Other operating expenses(3)
(1,056,534)
(364,151)
(259,212)
(263,995)
Operating segment income (loss)
581,052
972,682
1,184,071
(90,537)
2,647,268
Unallocated expenses(4)
(661,962)
Operating income
1,985,306
Non-operating income, net
295,553
Income tax expense
(651,081)
Share of results of equity investees
(18,884)
Net income
1,610,894
For the Full Year ended December 31, 2024
Shopee
Monee
Garena
Other
Services(1)
Total
$
$
$
$
$
Revenue
12,415,231
2,367,739
1,910,589
126,307
16,819,866
Less(2)
Cost of revenue
(8,611,530)
(348,424)
(610,586)
-
Sales and marketing expenses
(2,966,084)
(298,386)
(117,556)
-
Provision for credit losses
-
(771,407)
-
-
Other operating expenses(3)
(977,048)
(292,020)
(203,626)
(170,210)
Operating segment (loss) income
(139,431)
657,502
978,821
(43,903)
1,452,989
Unallocated expenses(4)
(790,837)
Operating income
662,152
Non-operating income, net
116,631
Income tax expense
(321,168)
Share of results of equity investees
(9,788)
Net income
447,827
(1) A combination of multiple business activities that do not meet the quantitative thresholds to qualify as reportable segments are grouped together as “Other Services”.
(2) The significant expenses categories and other income amounts align with the segmental-level information that is regularly provided to the CODM.
(3) Other operating expenses for Shopee and Garena include general and administrative expenses, research and development expenses and provision for credit losses, net of other operating income. Other operating expenses for Monee include general and administrative expenses and research and development expenses, net of other operating income.
(4) Unallocated expenses are mainly related to share-based compensation, and general and corporate administrative costs such as professional fees and other miscellaneous items that are not allocated to segments. These expenses are excluded from segment results as they are not reviewed by the CODM as part of segment performance.
View source version on businesswire.com: https://www.businesswire.com/news/home/20260302039769/en/
For enquiries, please contact:
Investors / analysts: ir@sea.com
Media: media@sea.com
Original: Sea Limited Reports Fourth Quarter and Full Year 2025 Results
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