$Sea Ltd(SE)$Sea(NYSE:SE) is a tech mobile game developer in Singapore. In the first quarter, Sea posted a loss of 80 cents a share. Revenue grew by64.4% year over year to $2.9 billion. It benefited from $1.5 billion in revenue from its e-commerce unit.
GAAP marketplace revenue was 7.2% of the gross merchandise value. Sea said that transaction-based fees and advertising income accelerated. This has a higher profit margin compared to its revenue from other value-added services.
It lost $509.9 million in total adjusted EBITDA. Still, CEO Forrest Li said that Shoppee will generate positive adjusted EBITDA by the end of nextyear in Southeast Asia and Taiwan.
Sea will deepen user engagement on its gaming platform. It will be adding developments in its game to achieve long-term platform revenue sustainability. For example, Free Fire will have healthy longevity when Sea introduces more diversified content and game modes. In addition, gamers will have user-generated content tools.
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