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Sea Limited (SE) Q3 Earnings: Taking a Look at Key Metrics Versus Estimates

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Sea Limited Sponsored ADR (SE - Free Report) reported $4.27 billion in revenue for the quarter ended September 2024, representing a year-over-year increase of 23.6%. EPS of $0.54 for the same period compares to $0.06 a year ago.

The reported revenue represents a surprise of +3.59% over the Zacks Consensus Estimate of $4.12 billion. With the consensus EPS estimate being $0.59, the EPS surprise was -8.47%.

While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.

Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.

Here is how Sea Limited performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

  • Quarterly paying users: 50 compared to the 53 average estimate based on two analysts.
  • Quarterly active users: 629 compared to the 646 average estimate based on two analysts.
  • Revenue- Digital entertainment: $497.85 million compared to the $468.85 million average estimate based on three analysts. The reported number represents a change of -15.9% year over year.
  • Revenue- E-Commerce: $3.18 billion compared to the $3.02 billion average estimate based on three analysts. The reported number represents a change of +42.6% year over year.
  • Revenue- Digital Financial Services: $615.71 million versus the three-analyst average estimate of $535.47 million. The reported number represents a year-over-year change of +38%.
  • Revenue- Other Services: $31.12 million versus the two-analyst average estimate of $33.58 million. The reported number represents a year-over-year change of -21.8%.
  • Adjusted EBITDA- Digital Entertainment: $314.43 million compared to the $311.44 million average estimate based on two analysts.
  • Adjusted EBITDA- E-commerce: $34.45 million versus $41.55 million estimated by two analysts on average.
  • Adjusted EBITDA- Unallocated expenses: -$6.91 million versus -$60.83 million estimated by two analysts on average.
  • Adjusted EBITDA- Other Services: -$8.56 million compared to the -$10.01 million average estimate based on two analysts.
  • Adjusted EBITDA- Digital Financial Services: $187.93 million compared to the $170.10 million average estimate based on two analysts.
View all Key Company Metrics for Sea Limited here>>>

Shares of Sea Limited have returned -2.7% over the past month versus the Zacks S&P 500 composite's +3.3% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.

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