Overview

• Singapore tech firm's Q4 revenue rose 38.4%, beating analyst expectations

• Net income for Q4 increased 72.9% year-on-year

• Adjusted EBITDA for Q4 grew 33.2% year-on-year

Outlook

• Sea aims to grow Shopee's annual GMV by 25% in 2026

• Company expects Shopee's adjusted EBITDA no lower than that of 2025 in absolute dollar terms

• Sea plans to focus on operational excellence for strong growth in 2026

Result Drivers

• SHOPEE GROWTH - Shopee's Q4 revenue increased by 35.8% due to higher GMV, driven by increased order volumes

• MONEE EXPANSION - Monee's Q4 revenue rose 54.3%, fueled by growth in its credit business

• GARENA USER GROWTH - Garena's Q4 revenue grew 35.1% due to a larger active user base and increased paying user penetration

Company press release: ID:nBw6tkjC4a

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 28 "strong buy" or "buy", 2 "hold" and 1 "sell" or "strong sell"

• The average consensus recommendation for the software peer group is "buy"

• Wall Street's median 12-month price target for Sea Ltd is $184.00, about 74.9% above its March 2 closing price of $105.21

• The stock recently traded at 26 times the next 12-month earnings vs. a P/E of 35 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)