Sea (SE) Q1 2025 earnings summary

Executive summary

• Achieved strong growth and improved profitability across all three business segments—e-commerce, digital financial services, and digital entertainment—in Q1 2025, with total GAAP revenue of $4.8B, up 29.6% year-over-year, and net income of $411M, reversing a net loss of $23M in Q1 2024.

• Adjusted EBITDA nearly doubled year-over-year to $947M, with all segments contributing positively.

• All businesses are now self-sufficient and cash-generating, supporting confidence in full-year guidance.

• Rebranded digital financial services from SeaMoney to Monee, expanding beyond Southeast Asia to Brazil and broadening product offerings.

Financial highlights

• Total GAAP revenue rose 30% year-on-year to $4.8B in Q1 2025, driven by e-commerce and digital financial services.

• Adjusted EBITDA reached $947M, up from $401M in Q1 2024.

• Net income was $411M, reversing a net loss of $23M in Q1 2024.

• Gross profit increased to $2.2B, up from $1.6B in Q1 2024.

• Operating income surged to $456.4M from $71.1M in Q1 2024.

Outlook and guidance

• Confident in achieving full-year GMV growth guidance of 20% for Shopee with improving profitability.

• Monee expected to continue strong loan book growth while maintaining sound credit quality.

• Garena guidance for double-digit growth in user base and bookings for 2025.

• Management expressed confidence in achieving full-year guidance, citing a strong start to 2025 and robust performance across all segments.