Sea Limited E-Commerce Revenue In Fourth Quarter Soars

Asian e-commerce and gaming company Sea Limited (SE) reported fourth-quarter results early Tuesday that well exceeded analyst revenue estimates as sales doubled. Sea stock jumped.


Sea reported fourth-quarter revenue of $1.56 billion, gaining 100.7% from the previous year. However, for clarification, Sea discontinued reporting revenue on an adjusted, non-GAAP basis in the third quarter. Had revenue been reported the way Sea previously did, then its fourth-quarter revenue would have been near $1.96 billion, above analyst views for $1.9 billion.

Also, Sea reported an adjusted loss of 87 cents per share, vs. estimates for a 76-cent loss.

Sea stock jumped 3.4%, near 257, during afternoon trading on the stock market today.

Based in Singapore, Sea says it has both the largest digital entertainment platform and the largest e-commerce operation in the Southeast Asia region, comprised of Indonesia, Taiwan, Vietnam, Thailand, the Philippines, Malaysia and Singapore. Its market reach extends to Latin America.

Sea Stock: E-commerce Estimate For 2021

The company said its e-commerce revenue in the fourth quarter jumped 178% to $842 million.

For the year, Sea expects revenue from its e-commerce operation to be in the range of $4.5 billion to $4.7 billion. That’s about double the year-ago figure. It expects bookings for digital entertainment to be between $4.3 billion and $4.5 billion, up about 38%.

Tencent Holdings (TCEHY) one of China’s largest internet companies, is a principal shareholder. A key competitor is China e-commerce giant Alibaba Group (BABA).

Sea held an initial public offering in October 2017 that raised $884 million, which was $238 million more than initially expected. In addition, the IPO priced at 15, above its estimated range. Sea stock is up more than 400% in the past 12 months.

Please follow Brian Deagon on Twitter at @IBD_BDeagon for more on tech stocks, analysis and financial markets.


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