Compared to Estimates, Sea Limited (SE) Q4 Earnings: A Look at Key Metrics

Core Insights - Sea Limited reported a revenue of $4.97 billion for the quarter ended December 2024, marking a 39.7% increase year-over-year, with an EPS of $0.62 compared to -$0.01 in the same quarter last year [1] - The revenue exceeded the Zacks Consensus Estimate of $4.84 billion by 2.84%, while the EPS fell short of the consensus estimate of $0.76 by 18.42% [1] Financial Performance Metrics - Quarterly paying users remained stable at 50, matching the average estimate [4] - Quarterly active users reached 618, slightly above the average estimate of 608 [4] - Revenue from Digital Entertainment was $519.06 million, slightly above the average estimate of $513.88 million, reflecting a year-over-year increase of 1.6% [4] - E-Commerce revenue was reported at $3.66 billion, exceeding the average estimate of $3.59 billion, with a year-over-year growth of 41.4% [4] - Digital Financial Services revenue was $733.33 million, surpassing the estimated $640.43 million, representing a significant year-over-year increase of 55.2% [4] - Revenue from Other Services was $35.41 million, above the average estimate of $31.94 million, but showed a year-over-year decline of 16.1% [4] Adjusted EBITDA Analysis - Adjusted EBITDA for Digital Entertainment was $289.73 million, below the average estimate of $299.87 million [4] - E-commerce adjusted EBITDA was reported at $152.21 million, exceeding the average estimate of $110.53 million [4] - Unallocated expenses for adjusted EBITDA were -$56.88 million, significantly worse than the average estimate of -$0.85 million [4] - Other Services adjusted EBITDA was -$5.12 million, better than the average estimate of -$19.06 million [4] - Digital Financial Services adjusted EBITDA was $210.98 million, above the average estimate of $196.90 million [4] Stock Performance - Sea Limited's shares returned +1.3% over the past month, contrasting with the Zacks S&P 500 composite's -2.3% change [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating potential performance in line with the broader market in the near term [3]