Shopee's revenue, GMV and orders all soared despite competition
Musk 14 Nov 2024 12:26
Yesterday, Shopee's parent company Sea released its third-quarter financial report. Driven by steady growth in e-commerce, entertainment and financial services businesses, its revenue exceeded expectations and its pre-market share price rose nearly 10%.
It is worth noting that Shopee not only achieved adjusted core profits in Asia and Brazil, but its revenue accounted for two-thirds of the group's total revenue.
Data showed that this quarter, Shopee's total order amount reached 2.8 billion, a year-on-year increase of 24.2%; GMV was US$25.1 billion, a year-on-year increase of 25.2%; revenue was US$3.2 billion, a year-on-year increase of 42.6%.
Sea's total revenue was US$4.3 billion, a year-on-year increase of 30.8%.
This result eased some concerns about Shopee's prospects. After all, in addition to Lazada, it also faces competition from platforms such as TikTok Shop. The two platforms have been implementing artificial intelligence features for sellers on their platforms, including chatbots and other tools, in an attempt to weaken Shopee's dominance in the region's e-commerce sector.
"As we continue to focus on delivering growth, we expect Shopee to remain profitable in the future," Sea founder Forrest Li said in a statement.
Shopee has raised the commissions it charges merchants in many of its core markets by about a third since the beginning of the year despite fierce competition. The price hikes put Shopee's fees well above those of its rivals, a sign that Shopee is confident it can attract and retain merchants.
It is worth noting that Shopee not only achieved adjusted core profits in Asia and Brazil, but its revenue accounted for two-thirds of the group's total revenue.
Data showed that this quarter, Shopee's total order amount reached 2.8 billion, a year-on-year increase of 24.2%; GMV was US$25.1 billion, a year-on-year increase of 25.2%; revenue was US$3.2 billion, a year-on-year increase of 42.6%.
Sea's total revenue was US$4.3 billion, a year-on-year increase of 30.8%.
This result eased some concerns about Shopee's prospects. After all, in addition to Lazada, it also faces competition from platforms such as TikTok Shop. The two platforms have been implementing artificial intelligence features for sellers on their platforms, including chatbots and other tools, in an attempt to weaken Shopee's dominance in the region's e-commerce sector.
"As we continue to focus on delivering growth, we expect Shopee to remain profitable in the future," Sea founder Forrest Li said in a statement.
Shopee has raised the commissions it charges merchants in many of its core markets by about a third since the beginning of the year despite fierce competition. The price hikes put Shopee's fees well above those of its rivals, a sign that Shopee is confident it can attract and retain merchants.
