This article first appeared on GuruFocus.
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Total Revenue: $6 billion, up 38% year-on-year.
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Adjusted EBITDA: $874 million, up 68% year-on-year.
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Shopee GMV: $32.2 billion, up 28% year-on-year.
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Shopee Gross Orders: $3.6 billion, up 28% year-on-year.
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Digital Financial Services Revenue: $990 million, up 61% year-on-year.
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Consumer and SME Loans Principal Outstanding: $7.9 billion, up 70% year-on-year.
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Digital Entertainment Bookings: $841 million, up 51% year-on-year.
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Net Income: $375 million, compared to $153 million in the previous year.
Release Date: November 11, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
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Sea Ltd (NYSE:SE) reported a strong third quarter with total revenue of $6 billion and adjusted EBITDA of $874 million, representing 38% and 68% year-on-year growth, respectively.
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Shopee achieved record-setting performance with a 28% year-on-year growth in GMV, driven by increased active buyers and higher purchase frequency.
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Monee’s loan book expanded by 70% year-on-year, reaching $7.9 billion, while maintaining a stable risk profile with a 90-day NPL ratio of 1.1%.
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Garena delivered its best quarter since 2021, with bookings up 51% year-on-year, driven by successful campaigns like Squid Game and NARUTO SHIPPUDEN Chapter 2.
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Sea Ltd (NYSE:SE) continues to enhance its logistics capabilities, with SPX Express now handling more than half of Shopee’s orders, improving delivery speed and reducing costs.
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E-commerce margin trends showed a decline, with the margin coming down to 0.6% in the quarter despite higher take rates.
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The company is investing heavily in logistics and fulfillment capabilities, which may impact short-term profitability.
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There is increased competition in the Southeast Asian e-commerce market, with potential threats from live streaming peers shifting traffic to shelf-based models.
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The VIP membership program, while promising, requires upfront investment and may initially impact gross margins.
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Concerns about potential massive AI CapEx investments were raised, although Sea Ltd (NYSE:SE) clarified its focus on application rather than infrastructure development.
Q: On your growth guidance of more than 25% year on year for 2025, what do you bake in terms of the driver and competitive landscape? What will it mean for your margin trend? A: Hou Tianyu, CFO, explained that the growth assumption is based on current market momentum and competitive landscape. Despite quarter-to-quarter fluctuations due to seasonality and investment cycles, they expect to deliver a 2% to 3% EBITDA margin improvement year over year. Investments are focused on logistics and fulfillment capabilities, as well as deepening buyer engagement through programs like Shopee VIP.
