SE - Sea Limited: Only At The Beginning Of The Recovery Story
2024-05-27 11:11:51 ET
Summary
- Sea Limited's revenue came in above consensus due to strength in e-commerce and credit segments.
- Total adjusted EBITDA for 1Q24 came in at $401 million, beating consensus by 85%, largely due to the beat in the e-commerce segment.
- The digital financial services segment is still in its early stages but is growing its user base and managing risk effectively.
- The digital entertainment segment returned to positive growth in the 1Q24 quarter.
- The priority for management continues to be to improve user acquisition, engagement and retention, and the end goal is to build Free Fire into an ever-growing franchise.
Sea Limited ( SE ) recently reported a strong 1Q24 qua rter, further supporting the thesis of a turnaround.
Specifically, we could be at the start of Free Fire returning to growth, helping drive profitable growth to Sea Limited.
Shopee's competitive dynamics are also stabilizing, with the company growing revenues strongly while also potentially reaching breakeven earlier than expected....
Sea Limited: Only At The Beginning Of The Recovery Story