Sea’s Second Quarter 2023 Results

2023-8-15

Dear Sailors,

Earlier today we reported our results for the second quarter of 2023, a summary of which is attached.

I am pleased to share that this is our third profitable quarter in a row. This is a great achievement, Sailors! We have shown the world that, even in an uncertain environment, we can not only attain self-sufficiency, but turn a profit – and sustain it.

Shopee has become the first and only e-commerce marketplace in Southeast Asia with a proven profitability record at scale. In Garena, Free Fire showed improved user engagement and retention, and posted quarter-on-quarter growth in game bookings for the first time in seven quarters! SeaMoney showed impressive growth too, with both revenue and profit increasing, while managing its risk profile well.

I am glad to see how all three businesses made significant efforts to improve user experience, which underpins these good results. Over this quarter, Shopee managed to increase its buyer net promoter score by 10%. Garena refreshed Free Fire’s gameplay, and organised highly engaging community events to celebrate the game’s 6th anniversary. In SeaMoney, SeaBank Indonesia combined friendly UI and UX design with its expanding service offerings, earning it one of the best bank app ratings on both Apple and Google app stores.

The leadership team is happy with this quarter’s results. This success belongs to all of you. It is not easy for a sizeable company to pivot quickly when the market changes, but you did it. In just one year, we have fundamentally changed how we do things. Cost consciousness, frugality, a laser focus on efficiency, and a drive to constantly improve processes are now a part of our DNA. And we are a much stronger company for it.

Our established self-sufficiency has laid a good, strong foundation for us to think about future growth opportunities. Having demonstrated a solid track record of profitability, we are now able to consider how we want to invest that profit and take our company to the next level. It is an exciting moment for us, and I look forward to sharing more thoughts on what we can do in the quarters ahead.

In the meantime, I congratulate all Sailors for achieving another quarter of great results, and thank you, as always, for your unceasing efforts!

Sincerely,
Forrest