Slide 1: Second Quarter 2022 Results
Second Quarter 2022 Results August 2022
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: Group: Strong Growth in GAAP Revenue
Group: Strong Growth in GAAP Revenue Total GAAP Revenue US$ Millions EC GAAP Revenue DE GAAP Revenue DFS GAAP Revenue +29% YoY Other Services GAAP Revenue 1 2,942.6 14.0 279.0 2,280.5 12.4 88.7 900.3 1,024.3 1,749.4 1,155.2 2Q 2021 2Q 2022 Note: Financial figures are unaudited. 1. A combination of m
Slide 4: Group: Topline Performance for Business Segments
Group: Topline Performance for Business Segments EC GAAP Revenue DE Bookings1 DFS GAAP Revenue US$ Billions US$ Millions US$ Millions +51% YoY -39% YoY +214% YoY +56% YoY FXN2 1.7 279.0 1.6 1,220.7 1,180.1 1.5 236.0 1.5 1,081.7 197.5 1.2 826.2 717.4 132.2 88.7 2Q 2021 3Q 2021 4Q 2021 1Q 2022 2Q 2022
Slide 5: E-commerce: Extending Our Leading Position
E-commerce: Extending Our Leading Position Gross Orders GMV Billions US$ Billions +27% YoY +42% YoY +31% YoY FXN1 19.0 18.2 17.4 2.0 16.8 2.0 1.9 15.0 1.7 1.4 2Q 2021 3Q 2021 4Q 2021 1Q 2022 2Q 2022 2Q 2021 3Q 2021 4Q 2021 1Q 2022 2Q 2022 1. Current and comparative prior period local currency amount
Slide 6: Digital Entertainment: Large Global User Base
Digital Entertainment: Large Global User Base Quarterly Active Users Quarterly Paying Users Millions Millions -15% YoY -39% YoY 92.2 93.2 725.2 729.0 654.0 77.2 615.9 619.3 61.4 56.1 2Q 2021 3Q 2021 4Q 2021 1Q 2022 2Q 2022 2Q 2021 3Q 2021 4Q 2021 1Q 2022 2Q 2022 Sea 2Q 2022 Results | 5
Slide 7: Digital Financial Services: Robust Growth Across Key Metrics
Digital Financial Services: Robust Growth Across Key Metrics Quarterly Active Users1 Total Payment Volume for Mobile Wallet Millions US$ Billions +53% YoY +36% YoY 5.7 52.7 5.0 5.1 4.6 4.2 34.4 2Q 2021 2Q 2022 2Q 2021 3Q 2021 4Q 2021 1Q 2022 2Q 2022 1. Quarterly active users for digital financial se
Slide 8: Gross Profit
Gross Profit Total Gross Profit US$ Billions +17% YoY 1.1 0.9 2Q 2021 2Q 2022 Note: Financial figures are unaudited. Sea 2Q 2022 Results | 7
Slide 9: Non-GAAP EBITDA
Non-GAAP EBITDA Total Adjusted EBITDA US$ Millions EC Adjusted EBITDA DE Adjusted EBITDA DFS Adjusted EBITDA Other Services Adjusted EBITDA Unallocated Expenses 740.9 333.6 (579.8) (155.0) (648.1) (111.5) (23.3) (72.6) (24.1) (7.0) (506.3) (7.7) 2Q 2021 2Q 2022 Note: Financial figures are unaudited.
Slide 10: Cost and Expense Trends
Cost and Expense Trends Cost of Revenue Sales & Marketing Expenses US$ Millions US$ Millions 1,852.4 973.8 921.4 1,349.7 2Q 2021 2Q 2022 2Q 2021 2Q 2022 General & Administrative Expenses Research & Development Expenses US$ Millions US$ Millions 476.0 370.9 243.0 172.6 2Q 2021 2Q 2022 2Q 2021 2Q 2022
Slide 11: Net Loss
Net Loss Net Loss Net Loss Excluding Share-based Compensation and Impairment of Goodwill US$ Millions US$ Millions 2Q 2021 2Q 2022 2Q 2021 2Q 2022 (433.7) (321.2) (569.8) (931.2) Note: Financial figures are unaudited. Please refer to the appendix for details on reconciliation between Net Loss, and N
Slide 12: Cash and Cash Equivalents and Short-term Investments
Cash and Cash Equivalents and Short-term Investments US$ Billions 11.8 10.2 8.8 7.8 5.6 2Q 2021 3Q 2021 4Q 2021 1Q 2022 2Q 2022 Note: Financial figures are unaudited. Sea 2Q 2022 Results | 11
Slide 13: Appendix
Appendix Sea 2Q 2022 Results | 12
Slide 14: Reconciliation Between GAAP and Non-GAAP EBITDA
Reconciliation Between GAAP and Non-GAAP EBITDA US$ Thousands 2Q 2021 2Q 2022 Digital Entertainment Operating income / (loss) 597,713 456,811 Net effect of changes in deferred revenue & its related cost 135,262 (134,100) Depreciation and amortization 7,969 10,908 Digital Entertainment Adjusted EBITD
Slide 15: Reconciliation Between GAAP and Non-GAAP EBITDA
Reconciliation Between GAAP and Non-GAAP EBITDA US$ Thousands 2Q 2021 2Q 2022 Other Services Operating income / (loss) (24,894) (75,604) Depreciation and amortization 1,619 3,049 Other Services Adjusted EBITDA (23,275) (72,555) Group Operating income / (loss) (334,016) (836,696) Net effect of change
Slide 16: Reconciliation Between Net Loss & Net Loss Ex. Share-based Compensation and Impairment of Goodwill
Reconciliation Between Net Loss & Net Loss Ex. Share-based Compensation and Impairment of Goodwill US$ Thousands 2Q 2021 2Q 2022 Group Net loss (433,669) (931,199) Share-based compensation 112,485 184,108 Impairment of goodwill - 177,280 Net loss excluding share-based compensation and impairment of