Singapore's Sea Limited Q3 revenue beats estimates on Shopee growth

Overview

• Singapore tech firm's Q3 revenue rose 43% yr/yr, beating analyst expectations

• Q3 net income rose 34% yr/yr

• Company approved additional $1 bln share repurchase authorization

Outlook

• Company did not provide specific guidance for future quarters or full-year results in the press release

Result Drivers

• SHOPEE GROWTH - Shopee revenue rose on higher gross merchandise value and improved monetization

• CREDIT EXPANSION - Monee revenue increased due to growth in consumer and SME lending

• GARENA USER ENGAGEMENT - Garena revenue rose on higher active users and increased paying user penetration

Company press release:

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 25 "strong buy" or "buy", 2 "hold" and no "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 $153.00, about 96.3% above its November 9 closing price of $77.96

• The stock recently traded at 20 times the next 12-month earnings vs. a P/E of 28 three months ago

Reuters Recommended Reads

• Nov 10 - Singapore to launch gold vault service for foreign central banks

• Nov 10 - Singapore's Canaan Q3 revenue drops sharply, posts profit on bitcoin gains

• Nov 10 - Singapore's Addvalue Technologies H1 profit doubles on strong demand

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(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.)