Sea(US:SE)2024-05-14 20:05Financial Performance - Total GAAP revenue for Q4 2023 was $3.6 billion, up 4.8% year-on-year[5] - Total net loss for Q4 2023 was $(111.6) million, compared to a net income of $422.8 million in Q4 2022[5] - Total GAAP revenue for the full year 2023 was $13.1 billion, up 4.9% year-on-year, with total net income of $162.7 million compared to a net loss of $(1.7) billion in 2022[10] - Total revenue for the full year 2023 was $13,063,560, an increase of 4.9% compared to $12,449,705 in 2022[58] - The company reported a net income of $162,682 for the year ended December 31, 2023, a turnaround from a net loss of $(1,657,772) in 2022[69] Cash and Assets - Cash position increased to $8.5 billion as of December 31, 2023, a net increase of $565.7 million from Q3 2023[6] - Cash and cash equivalents decreased to $2,811,056 as of December 31, 2023, down from $6,029,859 in 2022, a reduction of 53.4%[59] - Total assets increased to $18,883,232 as of December 31, 2023, compared to $17,002,796 in 2022, marking a growth of 11.1%[59] - Total liabilities increased from $11,191,972 in 2022 to $12,185,647 in 2023, representing a growth of approximately 8.9%[60] - Total shareholders' equity rose from $5,810,824 in 2022 to $6,697,585 in 2023, an increase of about 15.2%[61] Segment Performance - E-commerce segment GAAP revenue was $2.6 billion, up 23.2% year-on-year, with core marketplace revenue increasing by 40.6% to $1.6 billion[7] - Digital financial services revenue was $510.8 million, down from $592.2 million in the previous quarter, with adjusted EBITDA of $217.4 million[8] - Digital Entertainment GAAP revenue decreased to US$2.2 billion for the full year ended December 31, 2023, down from US$3.9 billion in 2022[30] - E-commerce and other services GAAP revenue rose by 30.9% to US$9.8 billion for the full year ended December 31, 2023, from US$7.5 billion in 2022[30] - Revenue for the digital entertainment segment decreased from $3,877,163 in 2022 to $2,172,009 in 2023, a decline of approximately 44%[69] - E-commerce revenue increased from $7,288,677 in 2022 to $9,000,848 in 2023, reflecting a growth of about 23.5%[69] - Digital financial services revenue rose from $1,221,996 in 2022 to $1,759,422 in 2023, marking an increase of approximately 44%[69] Expenses and Losses - Total cost of revenue was US$7.2 billion for the full year ended December 31, 2023, compared to US$7.3 billion in 2022[31] - Sales and marketing expenses decreased by 15.0% to US$2.8 billion for the full year ended December 31, 2023, from US$3.3 billion in 2022[33] - General and administrative expenses decreased by 21.1% to US$1.1 billion for the full year ended December 31, 2023, from US$1.4 billion in 2022[35] - Provision for credit losses increased by 23.4% to US$633.9 million for the full year ended December 31, 2023, from US$513.7 million in 2022[36] - The company incurred a net loss of $111,615 in Q4 2023, compared to a net income of $422,838 in Q4 2022, indicating a shift of 126.4%[58] Operational Metrics - GMV for Q4 2023 was $23.1 billion, increasing by 28.6% year-on-year[8] - Quarterly active users were 528.7 million, down from 544.1 million in the previous quarter, with a stable paying user ratio of 7.5%[10] - Free Fire achieved over 100 million peak daily active users in February 2024, with expectations for double-digit year-on-year growth in both user base and bookings for 2024[3] - Adjusted EBITDA for the full year 2023 was $1.2 billion, compared to an adjusted EBITDA loss of $(878.1) million in 2022[10] - Adjusted EBITDA for the consolidated segments in Q4 2023 was $126,705, a significant decline from $495,656 in Q4 2022, representing a decrease of 74.5%[54] Other Financial Metrics - Basic earnings per share attributable to ordinary shareholders was US$0.27 for the full year ended December 31, 2023, compared to a loss of US$(2.96) in 2022[42] - The company recorded a net non-operating income of US$207.6 million for the full year ended December 31, 2023, compared to a net non-operating loss of US$(13.0) million in 2022[39] - Operating income for the year ended December 31, 2023, was $224,778, compared to an operating loss of $(1,487,508) in 2022, indicating a significant improvement in operational performance[69] - Research and development expenses for the full year 2023 were $1,164,126, a decrease from $1,376,501 in 2022, reflecting a reduction of 15.4%[58] - The impairment of goodwill for the full year 2023 was $117,875, down from $354,943 in 2022, indicating a reduction of 66.8%[58] - Unallocated expenses primarily related to share-based compensation and impairment of goodwill totaled $836,104 for the year ended December 31, 2023[70]