Sea Limited's growth story might be back on track. In this video, I will go over Sea Limited's (SE 4.01%) earnings report, explain why the stock is up 66% this year, and make some predictions for investors. *Stock prices used were from the trading day of May 14, 2024. The video was published on May 15, 2024. ...

Sea Limited (SE) reported earnings of 21 cents per share in first-quarter 2024, missing the Zacks Consensus Estimate of 41.67%. The company posted earnings of 61 cents per share in the year-ago quarter. The company's shares have gained 63.6% year to date compared with the Zacks Computer & Technology sector's rise of 12.5%. Top-Line Details Digital entertainment revenues totaled $458 million, missing the Zacks Consensus Estimate by 15.31% and declining 15% year over year. In the first quarter, Garena experie ...

Shares of Sea Limited have returned +22.3% over the past month versus the Zacks S&P 500 composite's +2% change. The stock currently has a Zacks Rank #2 (Buy), indicating that it could outperform the broader market in the near term. Revenue- Digital entertainment: $458.12 million versus $540.94 million estimated by two analysts on average. Compared to the year-ago quarter, this number represents a -15.1% change. Revenue- Other Services: $29.08 million versus $40.43 million estimated by two analysts on averag ...

Financial Data and Key Metrics Changes - The company reported a total GAAP revenue increase of 23% year-on-year to $3.7 billion, driven primarily by GMV growth in e-commerce and the credit business [21][22] - Adjusted EBITDA for the first quarter was $401 million, down from $507 million in the same quarter of the previous year [21] - The net loss for the first quarter was $23 million, compared to a net income of $87 million in the first quarter of 2023 [22] Business Line Data and Key Metrics Changes - E-commerce segment saw gross orders increase by 57%, GMV up by 36%, and revenue up by 33% year-on-year [6] - Digital Financial Services (DFS) revenue grew by 21% year-on-year to $499 million, with adjusted EBITDA up by 50% to $149 million [10] - Digital entertainment bookings were $512 million, with GAAP revenue of $458 million and adjusted EBITDA of $292 million [10] Market Data and Key Metrics Changes - In Asia, adjusted EBITDA for e-commerce was $11 million, down from $276 million year-on-year, while losses in other markets narrowed from $68 million to $33 million [10] - The contribution margin loss per order in Brazil improved by nearly 88% year-on-year to reach $0.94 [10] Company Strategy and Development Direction - The company aims to enhance price competitiveness, strengthen its content ecosystem, and improve service quality for buyers in its e-commerce operations [47] - The credit business is a primary driver of revenue growth, with a focus on prudent risk management and gradual increases in credit limits for users [8][19] - The company is committed to building Free Fire into a long-term franchise by focusing on user experience and continuous product improvements [56] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the ability to navigate challenges and adapt to changing environments, emphasizing a strong start to 2024 [1] - The competitive landscape has been stable recently, with management prepared to evaluate responses to any aggressive moves by competitors [54] - The company anticipates further growth in digital financial services and is optimistic about sustaining user engagement in gaming [49][55] Other Important Information - Shopee's operational priorities for 2024 include enhancing price competitiveness and improving logistics capabilities, which are seen as key differentiators [47] - The company has implemented measures to improve operational efficiency, such as managing the return and refund process directly [7] Q&A Session Summary Question: How does the company ensure sustainable growth while managing competition? - Management emphasized focusing on long-term competitive advantages such as cost efficiency and service quality to outcompete rivals [30][54] Question: What are the drivers behind the strong GMV growth? - Management noted that seasonality, particularly due to Lunar New Year and Ramadan, contributed to GMV growth, alongside execution improvements [32] Question: What is the outlook for sales and marketing expenses? - A reduction in sales and marketing expenses was noted, attributed to improved performance in the marketplace and live streaming [34][43] Question: How does the company view its logistics strategy? - The company highlighted that over 50% of orders in Asia and 70% in Brazil are fulfilled through its own logistics, with plans to increase this percentage [72][98] Question: What is the outlook for the digital financial services segment? - Management indicated that customer acquisition costs are impacting margins, but funding costs are improving, suggesting a focus on optimizing user acquisition strategies [92][93]

Sea 1Q 2024 Results | US$ Billions YoY: +28.7% 2.5 3.1 3.3 1Q 2023 4Q 2023 1Q 2024 QoQ: +5.1% Note: Financial figures are unaudited. 1. Consumer and SME loans principal outstanding including both on-book and off-book loans. Off-book loans principal outstanding mainly refers to channeling arrangements, which is lending by other financial institutions on our platform. 2. GAAP revenue for the digital entertainment segment plus change in digital entertainment deferred revenue. This operating metric is used as a ...

Sea Limited (SE) is set to release its first-quarter 2024 results on May 14.The Zacks Consensus Estimate for earnings has been unchanged at 36 cents in the past 30 days. The figure declined 40.98% year over year.The consensus mark for revenues is currently pegged at $3.62 billion, indicating 22.02% growth from the year-ago quarter’s reported figure.SE’s earnings beat the Zacks Consensus Estimate in one of the trailing four quarters while missing the same in the remaining three, the negative earnings surpris ...

Investors often turn to recommendations made by Wall Street analysts before making a Buy, Sell, or Hold decision about a stock. While media reports about rating changes by these brokerage-firm employed (or sell-side) analysts often affect a stock's price, do they really matter?Let's take a look at what these Wall Street heavyweights have to say about Sea Limited Sponsored ADR (SE) before we discuss the reliability of brokerage recommendations and how to use them to your advantage.Sea Limited currently has a ...

Wall Street analysts forecast that Sea Limited Sponsored ADR (SE) will report quarterly earnings of $0.36 per share in its upcoming release, pointing to a year-over-year decline of 41%. It is anticipated that revenues will amount to $3.62 billion, exhibiting an increase of 22% compared to the year-ago quarter.The consensus EPS estimate for the quarter has undergone an upward revision of 6.4% in the past 30 days, bringing it to its present level. This represents how the covering analysts, as a whole, have re ...

Sea Limited Sponsored ADR (SE) closed the most recent trading day at $66.13, moving -0.8% from the previous trading session. This change lagged the S&P 500's daily gain of 1.03%. Elsewhere, the Dow gained 0.46%, while the tech-heavy Nasdaq added 1.19%.Heading into today, shares of the company had gained 20.59% over the past month, outpacing the Computer and Technology sector's loss of 0.68% and the S&P 500's loss of 1.57% in that time.Investors will be eagerly watching for the performance of Sea Limited Spo ...

The company has a lot riding on e-commerce.Shares of Sea Limited (SE -0.56%) rose 17.7% in April, according to data provided by S&P Global Market Intelligence. This was in sharp contrast to the 4% decline for the S&P 500 -- a large monthly decline for an index. The company was able to buck the market's downward trend thanks to improving optimism among the analyst community in the middle of the month.Investors have been preoccupied with competition for Sea's e-commerce platform, Shopee, from TikTok. In key m ...