Sea’s Fourth Quarter and Full Year 2023 Results

2024-3-4

Dear Sailors,

Earlier today we reported our results for the fourth quarter and full year of 2023, a summary of which is attached.

Today, I am happy to share that we have posted our first profitable year as a public company. In fact, even though we began reinvesting in growth several months ago, we have ended 2023 with an even stronger cash position than 2022, a testament to the discipline and prudence we have applied to our investments.

We could not have done this without your commitment and hard work. Thank you, Sailors!

2023 was a year of intense execution across our businesses. Shopee delivered growth and market share gain despite heightened competition. SeaMoney posted very robust growth in both revenue and user base, posting strong financial results alongside a healthy risk profile. And Garena maintained solid user traction and Free Fire’s status as one of the most popular mobile games in the world.

In my last note to you in December, I shared that I was feeling proud that even when going through ups and downs, we continued to put our customers first. I believe this relentless user centricity has been key to our achievements. In 2023, Shopee drove improvements across the end-to-end experience for both buyers and sellers, making logistics excellence a strong competitive moat for us. SeaMoney was responsive to user needs in extending its product offerings, while remaining prudent on risk. And Garena continued to deliver fresh and highly localized content to delight and foster player communities.

This deep commitment to improving our users’ lives and experiences should continue to be at the core of our strategies going forward. This year, Shopee has begun work to improve service quality for buyers, enhance our product listings’ price competitiveness, and enrich our content ecosystem. SeaMoney is continuing to acquire users both on and off Shopee, and is building its digital banking and insurance services to capture new, exciting opportunities. And Garena is exploring new ways to drive better content production and user experience optimization, building on the improving user acquisition and retention trends we are seeing.

The progress we have made in both growth and profitability across all three of our businesses in 2023 has given us a strong foundation to build on in 2024. It looks to be an exciting and fulfilling year ahead. I look forward to us achieving new heights together!

Sincerely,
Forrest