Sea Limited Q4 EPS Miss by $0.17 Sparks 23% Share Plunge
Sea Limited’s adjusted Q4 EPS of $0.63 fell short of the $0.80 estimate, triggering a 23% share plunge despite 38.4% revenue growth to $6.9 billion. The company projects 25% GMV expansion on its Shopee platform in fiscal 2026 and full-year adjusted EBITDA at no less than $880.6 million from 2025.
1. Q4 Financial Results
Sea Limited reported adjusted EPS of $0.63 for Q4 2025, below the $0.80 estimate, while revenue rose 38.4% year-over-year to $6.9 billion. Net income increased 72.9% to $410.9 million and adjusted EBITDA climbed 33.2% to $787.1 million.
2. Share Sell-Off
The earnings shortfall prompted a 23% share price drop, underscoring market sensitivity to EPS misses despite robust top-line growth.
3. Fiscal 2026 Guidance
Management forecast Shopee’s gross merchandise value to grow approximately 25% year-over-year and full-year adjusted EBITDA to be at least as high as the $880.6 million achieved in 2025, highlighting a focus on profitability.