Sea Limited (SE) To Report Earnings Tomorrow: Here Is What To Expect

Anthony Lee /
2023/08/14 7:13 am EDT

E-commerce and gaming company Sea Limited (NYSE:SE) will be announcing earnings results tomorrow before market hours. Here's what investors should know.

Last quarter Sea Limited reported revenues of $3.04 billion, up 4.88% year on year, in line with analyst expectations. It was a weak quarter for the company, with a decline in its user base and slow revenue growth. The company reported 37.6 million users, down 38.8% year on year.

Is Sea Limited buy or sell heading into the earnings? Read our full analysis here, it's free.

This quarter analysts are expecting Sea Limited's revenue to grow 10.4% year on year to $3.25 billion, slowing down from the 29% year-over-year increase in revenue the company had recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.71 per share.

Sea Limited Total Revenue

Majority of analysts covering the company have reconfirmed their estimates over the last thirty days, suggesting they are expecting the business to stay the course heading into the earnings. The company only missed Wall St's revenue estimates once over the last two years, and has on average exceeded top line expectations by 5.74%.

Looking at Sea Limited's peers in the online marketplace segment, some of them have already reported Q2 earnings results, giving us a hint of what we can expect. MercadoLibre delivered top-line growth of 31.5% year on year, beating analyst estimates by 4.4%, and Airbnb reported revenues up 18.1% year on year, exceeding estimates by 2.69%. MercadoLibre traded up 4.3% on the results, and Airbnb was down 4.9%.

Read our full analysis of MercadoLibre's results here and Airbnb's results here.

Tech stocks have had a rocky start in 2023 and while some of the online marketplace stocks have fared somewhat better, they have not been spared, with share price declining 5.88% over the last month. Sea Limited is down 8.59% during the same time, and is heading into the earnings with analyst price target of $95.05, compared to share price of $57.45.

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The author has no position in any of the stocks mentioned.