Sea Holdings Ltd. · HKEX:251
Sea — Q1 2023 Earnings Presentation
14 slides from Sea's earnings presentation, May 16, 2023
Slide 1: First Quarter 2023 Results
First Quarter 2023 Results May 2023
Slide 2: Disclaimer
Disclaimer This presentation by Sea Limited (“Sea”) contains forward-looking statements. These statements are made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as “may,” “could,
Slide 3: Total GAAP Revenue
Total GAAP Revenue US$ Millions EC GAAP Revenue DFS GAAP Revenue DE GAAP Revenue Other Services GAAP Revenue1 +5% YoY 3,041.1 2,899.6 12.0 21.5 236.0 412.8 539.7 1,135.2 2,067.1 1,516.5 1Q 2022 1Q 2023 Note: Financial figures are unaudited. 1. A combination of multiple business activities that does
Slide 4: Total Adjusted EBITDA
Total Adjusted EBITDA US$ Millions EC Adjusted EBITDA Other Services Adjusted EBITDA DE Adjusted EBITDA Unallocated Expenses DFS Adjusted EBITDA 507.2 98.9 230.1 431.4 207.7 (21.9) (742.8) (7.6) (124.9) (64.6) (509.9) (8.9) 1Q 2022 1Q 2023 Note: Financial figures are unaudited. Please refer to the a
Slide 5: Cash, Cash Equivalents, STI & Other Treasury Investments
Cash, Cash Equivalents, STI1 & Other Treasury Investments2 US$ Billions 8.9 7.8 7.3 7.2 6.9 1Q 2022 2Q 2022 3Q 2022 4Q 2022 1Q 2023 Note: Financial figures are unaudited. 1. Short-term investments (“STI”). 2. Other treasury investments currently consist of available-for-sale sovereign and corporate
Slide 6: E-commerce
E-commerce GAAP Marketplace Revenue Adjusted EBITDA US$ Billions US$ Millions +46% YoY Core Marketplace Revenue Asia Markets Adjusted EBITDA 207.7 Value-added Services Revenue Other Markets Adjusted EBITDA 1.8 275.8 +33% YoY 0.7 (68.1) 1.3 (408.0) +54% YoY 1.2 (334.9) (742.8) 1Q 2022 1Q 2023 1Q 2022
Slide 7: Digital Entertainment
Digital Entertainment DE Bookings1 Quarterly Active Users Quarterly Paying User Ratio US$ Millions Millions % -15% QoQ +1% QoQ 826.2 615.9 619.3 10.0% 717.4 664.7 568.2 9.1% 9.1% 9.0% 485.5 491.6 7.7% 543.6 462.3 1Q 2022 2Q 2022 3Q 2022 4Q 2022 1Q 2023 1Q 2022 2Q 2022 3Q 2022 4Q 2022 1Q 2023 1Q 2022
Slide 8: Digital Financial Services
Digital Financial Services GAAP Revenue As of the end of 1Q 2023: US$ Millions Total loans receivable was US$2.0 billion, +75% YoY net of allowance for credit losses of US$281.1 million. 412.8 380.2 326.9 Non-performing loans past due by more 279.0 than 90 days as a percentage of our total 236.0 gro
Slide 9: Gross Profit
Gross Profit US$ Billions +21% YoY 1.4 1.2 1Q 2022 1Q 2023 Note: Financial figures are unaudited. Sea 1Q 2023 Results | 8
Slide 10: Costs and Expenses
Costs and Expenses Cost of Revenue Sales & Marketing Expenses General & Administrative Expenses US$ Millions US$ Millions US$ Millions -6% YoY -60% YoY +6% YoY 1,729.5 1,624.4 1,005.2 333.4 315.7 400.1 1Q 2022 1Q 2023 1Q 2022 1Q 2023 1Q 2022 1Q 2023 Provision for Credit Losses Research & Development
Slide 11: Net Income/(Loss)
Net Income/(Loss) US$ Millions 87.3 (580.1) 1Q 2022 1Q 2023 Total net income for 1Q 2023 was negatively impacted by US$117.9 million impairment of goodwill associated with our prior acquisition. Note: Financial figures are unaudited. Sea 1Q 2023 Results | 10
Slide 12: Appendix
Appendix Sea 1Q 2023 Results | 11
Slide 13: Reconciliation Between GAAP and Non-GAAP EBITDA
Reconciliation Between GAAP and Non-GAAP EBITDA US$ Thousands 1Q 2022 1Q 2023 Digital Entertainment Operating income / (loss) 657,488 274,594 Net effect of changes in deferred revenue & its related cost (236,514) (55,003) Depreciation and amortization 10,386 10,464 Digital Entertainment Adjusted EBI
Slide 14: Reconciliation Between GAAP and Non-GAAP EBITDA
Reconciliation Between GAAP and Non-GAAP EBITDA US$ Thousands 1Q 2022 1Q 2023 Other Services Operating income / (loss) (67,133) (25,432) Depreciation and amortization 2,506 3,491 Other Services Adjusted EBITDA (64,627) (21,941) Group Operating income / (loss) (498,032) 125,224 Net effect of changes