- Modest +5% YoY revenue growth
- Significant reduction in sales and marketing cost from 26.3% of revenue to 21.3% of revenue
- Significant reduction in general and administrative cost from 11.5% of revenue to 8.7% of revenue
- Significant increase in interest income from US$116m (FY22) to US$331m (FY23) due to rising interest rates also partly helped
This article is a follow-up of my first article on Sea published slightly more than a year ago. While my previous article delved extensively into Sea's fundamentals, this follow-up piece aims to offer updates in light of Sea's recent FY23 Q4 earnings.
Key insights from 2023 Q4 earnings
#1: First full financial year of profitability at both adjusted EBITDA and GAAP net income levels 🡪 Demonstrates to investors that Sea’s business model is commercially viable.
Profitability at both adjusted EBITDA and GAAP net income levels...
US$0.2b net profit in FY2023 vs US$1.7b net loss in FY2022
US$1,179.2m adjusted EBITDA in FY2023 vs negative US$878.1m adjusted EBITDA in FY2022
...Driven by:
