Sea Limited misses EPS but revenue beat pushes shares higher

Investing.com -- Sea Limited (NYSE: SE) reported second-quarter results that beat revenue expectations but fell short on earnings, with shares rising 5.9% premarket following the announcement.

The company posted adjusted earnings per share of $0.70, missing the analyst consensus of $0.86. Revenue came in at $7.8 billion, surpassing the $7.09 billion estimate and marking a 48.1% increase YoY from $5.3 billion in the second quarter of 2025. Net income reached $458.1 million, up 10.6% YoY.

Adjusted EBITDA increased 10.6% YoY to $917.2 million for the quarter.

"Our strong momentum from the first quarter has continued into the second," said Forrest Li, Sea's Chairman and Chief Executive Officer. "Our investments have enabled Shopee and Monee to continue to strengthen our market leadership while improving our user penetration."

Shopee, the company's e-commerce platform, generated revenue of $5.6 billion, up 48.2% YoY. Gross merchandise volume increased 28.4% YoY to $38.3 billion, while gross orders totaled 4.2 billion, up 27.5% YoY. The segment's adjusted EBITDA was $255.4 million, up 12.2% YoY.

Monee, Sea's digital financial services arm, posted revenue of $1.4 billion, up 58.9% YoY. Consumer and SME loans principal outstanding reached $11.1 billion, up 62.5% YoY. The segment's adjusted EBITDA was $288.0 million, up 12.8% YoY.

Garena, the digital entertainment division, reported bookings of $763.5 million, up 15.5% YoY, with revenue of $746.6 million, up 33.5% YoY. Adjusted EBITDA for the segment was $429.8 million, up 16.7% YoY. Quarterly active users remained relatively flat at 666.3 million, while quarterly paying users increased 10.2% YoY to 68.1 million.

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