Sea Ltd (SE) 2021 Q2 法說會逐字稿

Good morning and good evening. Welcome to the Sea Limited Second Quarter 2021 Results Conference Call. (Operator Instructions) After today's presentation, there will be an opportunity to ask questions. Please note this event is being recorded.

早安，晚上好。歡迎參加 Sea Limited 2021 年第二季業績電話會議。（操作員指示）今天的演示結束後，將有機會提問。請注意，該事件正在被記錄。

I'd now like to turn the conference over to Ms. Min Ju Song. Please go ahead.

現在我想將會議交給宋敏珠女士。請繼續。

Thank you. And hello, everyone, and welcome to Sea's 2021 Second Quarter Earnings Conference Call. I'm Min Ju Song from Sea's Group Chief Corporate Officer's office.

謝謝。大家好，歡迎參加 Sea 2021 年第二季財報電話會議。我是 Sea 集團首席公司長辦公室的宋敏珠 (Min Ju Song)。

Before we continue, I would like to remind you that we may make forward-looking statements, which are inherently subject to risks and uncertainties and may not be realized in the future for various reasons as stated in our press release.

在我們繼續之前，我想提醒您，我們可能會做出前瞻性的陳述，這些陳述本質上受風險和不確定性的影響，並且由於我們在新聞稿中所述的各種原因，可能不會在未來實現。

Also, this call includes the discussion of certain non-GAAP financial measures such as adjusted EBITDA and net loss excluding share-based compensation. We believe that these measures can enhance our investors' understanding of the actual cash flows of our major businesses when used as a complement to our GAAP disclosures. For a discussion of the use of non-GAAP financial measures and reconciliation with the closest GAAP measures, please refer to the section on non-GAAP financial measures in our press release.

此外，本次電話會議也討論了某些非公認會計準則財務指標，如調整後的 EBITDA 和不包括股權激勵的淨虧損。我們相信，這些指標作為我們 GAAP 揭露的補充，可以增強投資者對我們主要業務實際現金流的理解。有關非 GAAP 財務指標的使用以及與最接近的 GAAP 指標的調整的討論，請參閱我們新聞稿中有關非 GAAP 財務指標的部分。

I have with me Sea's Chairman and Group Chief Executive Officer, Forrest Li; Group Chief Financial Officer, Tony Hou; and Group Chief Corporate Officer, Yanjun Wang. Our management will share strategy and business updates, operating highlights and financial performance for the second quarter of 2021. This will be followed by a Q&A session, in which we welcome any questions you have.

和我一起的還有 Sea 董事長兼集團執行長 Forrest Li；集團財務長侯建軍；以及集團首席企業官王延軍。我們的管理層將分享 2021 年第二季的策略和業務更新、營運亮點和財務表現。接下來是問答環節，我們歡迎您提出任何問題。

With that, let me now turn it over to Forrest.

現在，讓我把話題交給福瑞斯特。

Hello, everyone, and thank you, as always, for joining today's call.

大家好，一如既往地感謝大家參加今天的電話會議。

I'm very pleased that we are reporting sustained outperformance in the second quarter of 2021. Our efforts to capture the long-term growth from the shift to digitalization across our markets continued to deliver clear and strong results. At the group level for the second quarter of 2021, we achieved GAAP revenue of $2.3 billion. This represents 159% year-on-year growth. Our gross profit was $931 million, up 364% year-on-year. Bookings for Garena reached $1.2 billion, growing 65% compared to last year. Shopee recorded 1.4 billion gross orders, a 127% year-on-year increase. And SeaMoney's mobile wallet services registered total payment volume of over $4.1 billion, up close to 150% from last year.

我很高興看到我們 2021 年第二季的業績持續優異。我們為抓住整個市場向數位化轉變所帶來的長期成長所做的努力繼續取得明顯而強勁的成果。2021 年第二季度，我們集團層級實現了 GAAP 收入 23 億美元。這比去年同期增長了159%。我們的毛利為9.31億美元，年增364%。Garena 的預訂金額達到 12 億美元，比去年成長 65%。Shopee 總訂單量達 14 億，較去年同期成長 127%。SeaMoney 的行動錢包服務的總支付額超過 41 億美元，比去年增長了近 150%。

We are very encouraged to see such strong year-on-year growth across our businesses. This is in comparison to our standout results for the second quarter of 2020, when most of our markets were under the strictest form of lockdowns.

我們非常高興看到我們的業務同比增長如此強勁。相較之下，2020 年第二季我們的業績表現突出，當時我們的大多數市場都處於最嚴格的封鎖狀態。

Considering the strong performance observed across our businesses in the first half of 2021, we are raising our full year 2021 guidance. Our digital entertainment portfolio has outperformed our expectations so far this year. As such, we now expect bookings of between $4.5 billion and $4.7 billion, representing over 44% growth from 2020 at the midpoint of the revised guidance.

考慮到我們各項業務在 2021 年上半年的強勁表現，我們上調了 2021 年全年業績預期。今年迄今為止，我們的數位娛樂投資組合的表現已經超出了我們的預期。因此，我們現在預計訂單額將在 45 億美元至 47 億美元之間，較修訂後的指引中期 2020 年將成長 44% 以上。

E-commerce results in the first half of 2021 also exceeded our expectations, and GAAP revenue is now expected to be between $4.7 billion and $4.9 billion, representing over 121% year-on-year growth at the midpoint of the revised guidance. While strict lockdowns have mostly been lifted in our region since the end of the second quarter last year, many of our markets continue to see a high volume of COVID cases. In this dynamic environment, we continue to demonstrate our ability to adapt quickly to fast-changing circumstances and to execute well to serve the evolving needs of our users. We are also working hard to help our communities navigate the near-term challenges brought by the pandemic. For example, we have donated medical supplies, supported vaccination programs and worked with local governments and partners on various initiatives to assist SMEs and the broader economy through this period. In addition, we are working with our government partners to use our platforms to distribute aid and information related to the pandemic quickly and efficiently.

2021年上半年的電子商務業績也超出了我們的預期，目前預計GAAP收入在47億美元至49億美元之間，以修訂後的指引中位數計算，年成長超過121%。雖然自去年第二季末以來，我們所在地區的嚴格封鎖措施已基本解除，但我們許多市場仍出現大量新冠肺炎病例。在這種動態的環境中，我們繼續展示我們快速適應快速變化的情況和良好執行的能力，以滿足用戶不斷變化的需求。我們也正在努力幫助我們的社區應對疫情帶來的短期挑戰。例如，我們捐贈了醫療用品、支持疫苗接種計劃，並與當地政府和合作夥伴開展了各種舉措，以幫助中小企業和更廣泛的經濟度過這段時期。此外，我們正在與政府合作夥伴合作，利用我們的平台快速有效地分發與疫情相關的援助和資訊。

Also, considering the ongoing challenges to our communities, we are doubling down on our mission to better lives through technology by promoting innovation and creating employment opportunities. An example of this is our partnership with the West Java province in Indonesia. Working with the local government, we plan to establish Shopee centers that will serve as local e-commerce hubs for more than 5,000 villages there. West Java is Indonesia's most populous region, home to close to 50 million people. We expect these Shopee centers to provide infrastructure, training and assistance to help villagers and small business there to accelerate their digitalization journey.

此外，考慮到我們社區面臨的持續挑戰，我們正在加倍努力，透過促進創新和創造就業機會，利用科技改善生活。我們與印尼西爪哇省的合作就是一個例子。我們計劃與當地政府合作，建立Shopee中心，為當地5,000多個村莊提供本地電子商務中心。西爪哇是印尼人口最多的地區，擁有近 5,000 萬人口。我們期望這些Shopee中心能夠提供基礎設施、培訓和援助，幫助那裡的村民和小型企業加速他們的數位化進程。

Besides the Shopee centers, we are also partnering with vocational schools across West Java to include syllabus and courses related to Shopee in their official curriculum.

除了 Shopee 中心，我們還與西爪哇各地的職業學校合作，將與 Shopee 相關的教學大綱和課程納入他們的官方課程。

In Vietnam, we have launched an initiative called ShopeeFarm to enable Vietnamese farmers to go digital. Together with government partners, Shopee works closely with agricultural cooperatives across Vietnam to onboard local farmers. Our teams organized training sessions to teach farmers the necessary skills to sell and promote their agricultural products on the Shopee platform. Many of these rural producers are coming online for the first time.

在越南，我們發起了一項名為ShopeeFarm的計劃，幫助越南農民數位化。Shopee 與政府合作夥伴一起與越南各地的農業合作社密切合作，以吸收當地農民。我們的團隊組織培訓課程，向農民傳授在 Shopee 平台上銷售和推廣農產品的必要技能。許多農村生產者都是首次上網。

In Malaysia, we have been working with the government to distribute aid and promote digital inclusion through participation in the eBelia program using our mobile wallet services. The eBelia program is an initiative under Malaysia's Budget 2021 to help ease the financial burden of and promote cashless spending by the young people. This is done through giving mobile wallet credit of MYR 150 to every qualified person through our mobile wallet and other mobile wallets selected for participation in the program.

在馬來西亞，我們一直與政府合作，透過使用我們的行動錢包服務參與 eBelia 計劃來分發援助並促進數位包容。eBelia 計畫是馬來西亞 2021 年預算案的一項舉措，旨在幫助減輕年輕人的經濟負擔並促進無現金消費。實現方式是，透過我們的行動錢包和其他選定參與該計劃的行動錢包，向每位符合條件的人員提供 150 馬來西亞林吉特的行動錢包信用額度。

These efforts reflect our commitment to serve the underserved in our markets through technology and to give back to our communities through social support. In the current environment, we see a greater urgency than ever for our communities to digitalize. We are working hard to support this process and to maximize the value we offer through our ecosystem. Indeed, we strongly believe that our business performance is closely linked with our ability to deliver on our mission of bettering lives through technology.

這些努力體現了我們致力於透過科技為市場上服務不足的群體提供服務並透過社會支持回饋社區的承諾。在當前環境下，我們認為社區數位化的迫切性比以往任何時候都更大。我們正在努力支持這一進程，並最大化我們透過生態系統提供的價值。事實上，我們堅信我們的業務表現與我們實現透過科技改善生活的使命的能力密切相關。

Let me now discuss each business segment in greater detail. Garena recorded strong results for the second quarter of 2021. Bookings were $1.2 billion, up 65% year-on-year. And adjusted EBITDA grew to $741 million, up 70% from last year. The results are mainly due to the continued strong growth of our active and paying user base globally. We recorded quarterly active users of 725 million, up 45% year-on-year; while our quarterly paying users grew 85% over the same period to reach 92 million. As a result, our paying user ratio improved to 12.7% from 10% last year.

現在讓我更詳細地討論一下每個業務部門。Garena 在 2021 年第二季取得了強勁的業績。預訂金額為12億美元，年增65%。調整後的 EBITDA 成長至 7.41 億美元，較去年同期成長 70%。這項業績主要得益於我們全球活躍用戶和付費用戶群的持續強勁成長。本季活躍用戶數達7.25億，年增45%；我們的季度付費用戶數量同期成長了85%，達到9,200萬人。因此，我們的付費用戶比例從去年的 10% 提高到 12.7%。

Free Fire delivered excellent results during the quarter, setting multiple new records. Building on its strong performance across global markets, the game recently exceeded 1 billion cumulative downloads on Google Play. We believe Free Fire is the first-ever mobile battle royale game to achieve this milestone. It was ranked third globally by average monthly active users on Google Play in the second quarter according to App Annie. Furthermore, Free Fire's peak daily active users hit more than 150 million during the quarter. This is a new record for us, and we believe that few online games globally have ever reached this scale.

《Free Fire》在本季取得了優異的成績，創下了多項新紀錄。憑藉在全球市場的強勁表現，該遊戲最近在 Google Play 上的累積下載量突破了 10 億次。我們相信《Free Fire》是有史以來第一款實現這一里程碑的手機大逃殺遊戲。根據 App Annie 的數據，第二季它在 Google Play 上的平均每月活躍用戶數量排名全球第三。此外，本季 Free Fire 的每日活躍用戶高峰已超過 1.5 億。這對我們來說是一個新紀錄，我們相信全球很少有網路遊戲能夠達到這樣的規模。

Meanwhile, Free Fire continued to be the highest grossing mobile game in Southeast Asia, Latin America and India in the second quarter according to App Annie. The game has now retained its leadership in Southeast Asia and Latin America for 8 straight quarters and in India for 3 straight quarters. We have also gained traction in certain developed markets like the U.S., where the game was ranked the highest-grossing mobile battle royale game for the past 2 quarters based on App Annie. Free Fire was the second highest grossing mobile game in the U.S. on Google Play across all games categories in the second quarter as well.

同時，根據 App Annie 的數據，《Free Fire》第二季繼續成為東南亞、拉丁美洲和印度最賺錢的手機遊戲。該運動現已連續 8 個季度在東南亞和拉丁美洲保持領先地位，並連續 3 個季度在印度保持領先地位。我們也在美國等某些已開發市場獲得了關注，根據 App Annie 的數據，該遊戲在過去兩個季度中被評為美國最賺錢的手機大逃殺遊戲。《Free Fire》也是美國 Google Play 在第二季所有遊戲類別中收入第二高的手機遊戲。

The exceptional global scale of its user base and the ecosystem has solidified Free Fire as one of the largest and most popular online game platforms worldwide. We also believe Free Fire is increasingly established as a long-lasting global platform with its massive and growing user base and deepening user engagement. Free Fire's continued success is built on our relentless focus on community engagement around high-quality content and immersive experiences. An increasing number of gamers join and stay on our platform to enjoy not just the core battle royale game play but also the new experiences we frequently introduce. For example, during the second quarter, we launched Pet Rumble. This is a social deduction game mode where players can use their in-game virtual pets to take part in the game of cooperation and infiltration. Many of our new game modes are designed to be highly social and to provide more ways for our gamers to interact with their friends and other members of the Free Fire community.

其用戶群和生態系統的出色全球規模使 Free Fire 成為全球最大和最受歡迎的線上遊戲平台之一。我們也相信，憑藉龐大且不斷成長的用戶群和不斷加深的用戶參與度，Free Fire 將日益成為一個持久的全球平台。Free Fire 的持續成功建立在我們對圍繞高品質內容和沈浸式體驗的社群參與的不懈關注之上。越來越多的遊戲玩家加入並留在我們的平台上，不僅享受核心的大逃殺遊戲玩法，還享受我們經常推出的新體驗。例如，在第二季度，我們推出了《寵物大戰》。這是一種社交推理遊戲模式，玩家可以使用遊戲中的虛擬寵物參與合作、滲透的遊戲。我們的許多新遊戲模式都具有高度社交性，並為我們的玩家提供更多與朋友和 Free Fire 社群其他成員互動的方式。

We are also setting new records in terms of esports engagement. In May, the finals of the Free Fire World Series 2021 Singapore hit a peak of 5.4 million concurrent online viewers according to Esports Charts. esports are a great way to connect and engage with our community as fans view and root for teams together while learning the best plays from professional players. With esports growing similarities to traditional sports, we expect large esports games to exhibit the same level of community engagement and appeal as physical sports and become more and more deeply ingrained in general communities and mass culture.

我們也在電競參與度方面創下了新的紀錄。根據 Esports Charts 的數據，5 月，2021 年 Free Fire 世界大賽新加坡總決賽的線上觀眾人數達到了 540 萬的峰值。電子競技是與我們的社群建立聯繫和互動的好方法，因為粉絲們可以一起觀看和支持隊伍，同時學習職業選手的最佳打法。隨著電子競技遊戲與傳統體育的相似性越來越高，我們預計大型電競遊戲將表現出與體育運動相同水平的社區參與度和吸引力，並越來越深入地植根於一般社區和大眾文化中。

In addition, we have been adding to our portfolio of published titles to further diversify our game offerings. In June, we launched Moonlight Blade Mobile in Taiwan. Moonlight Blade Mobile is a third-party massively multiplayer online role-playing game that combines fantasy and martial arts and is an example of our ongoing efforts towards growing our portfolio across a larger number of game genres. The game has received very positive reception from our users. We will continue to work closely with all our global partners to bring more new and exciting content to our markets.

此外，我們一直在增加已發布的遊戲產品組合，以進一步豐富我們的遊戲產品。6月，我們在台灣推出了月光劍移動版。《月光寶盒》手遊是一款融合了奇幻與武俠元素的第三方大型多人線上角色扮演遊戲，也是我們不斷努力拓展更多遊戲類型產品組合的一個例子。這款遊戲受到了我們用戶的一致好評。我們將繼續與所有全球合作夥伴密切合作，為我們的市場帶來更多新的、令人興奮的內容。

Looking ahead, we will leverage our local insights and know-how to keep delivering high-quality experiences to our fast-expanding global user base.

展望未來，我們將利用我們的本地洞察力和專業知識，繼續為快速擴張的全球用戶群提供高品質的體驗。

Now let's turn to e-commerce. Shopee continued to deliver superior retail experience to our consumers and merchants. During the quarter, our communities continued to face challenges with the surge in pandemic cases across the region. We remain focused on helping our merchants with their digital transformation to build a successful e-commerce business while providing our buyers with better experiences and wider choices.

現在我們來談談電子商務。Shopee 繼續為我們的消費者和商家提供卓越的零售體驗。本季度，隨著整個地區疫情病例激增，我們的社區繼續面臨挑戰。我們始終專注於幫助我們的商家進行數位轉型，建立成功的電子商務業務，同時為我們的買家提供更好的體驗和更廣泛的選擇。

We recorded 1.4 billion gross orders in the quarter, up 127% year-on-year. GMV grew 88% year-on-year to hit $15 billion. GAAP revenue reached $1.2 billion, growing 161% from last year. GAAP revenue as a percentage of total GMV improved year-on-year and sequentially to reach 7.7%.

本季我們錄得14億份總訂單量，較去年同期成長127%。GMV 年增 88%，達到 150 億美元。GAAP 營收達到 12 億美元，較去年成長 161%。GAAP 收入佔 GMV 總額的百分比年和季增，達到 7.7%。

This deepening monetization was driven mainly by growing merchant investments in marketing and advertisement on the Shopee platform to better attract and serve buyers. According to App Annie, Shopee was the most downloaded app on Google Play and the second most downloaded app across the Google Play and iOS App Stores combined for the shopping category globally in the second quarter. Shopee also ranked third by the total time spent in app in the shopping category globally. Shopee remained the top-ranked mobile app both across Southeast Asia and in Taiwan by average monthly active users and the total time spent in app in the shopping category for the quarter. In Shopee's largest market, Indonesia, it also ranked first across those same metrics. Shopee continued to extend its market leadership in Indonesia with consistent triple-digit year-on-year growth in order numbers.

這種不斷深化的貨幣化主要得益於商家在Shopee平台上對行銷和廣告的持續投資，以更好地吸引和服務買家。根據 App Annie 的數據，第二季 Shopee 是 Google Play 上下載次數最多的應用程序，也是 Google Play 和 iOS 應用商店購物類別全球下載次數第二多的應用程式。Shopee 在全球購物類別應用程式總使用時間排名中排名第三。本季度，Shopee 仍然是東南亞和台灣地區購物類別中平均每月活躍用戶數和應用程式購物總使用時間最多的行動應用程式。在 Shopee 最大的市場印度尼西亞，它在相同指標中也排名第一。Shopee 繼續擴大其在印尼的市場領導地位，訂單數量將比去年同期持續保持三位數的成長。

Shopee's adjusted EBITDA loss per order declined 20% year-on-year to $0.41. We are happy to share that Shopee Malaysia has become our second market after Taiwan to record a positive adjusted EBITDA before allocation of headquarters' common expenses. Given the highly attractive growth opportunities ahead of us, we continue to invest in sustainable growth with efficiency to maximize long-term value. While we may see period-to-period fluctuations with shopping seasons and events, we will continue to drive improving economics over the long run as we scale.

Shopee 調整後每筆訂單 EBITDA 損失年減 20% 至 0.41 美元。我們很高興地宣布，Shopee馬來西亞已成為我們繼台灣之後的第二個在分配總部共同費用之前錄得正調整後EBITDA的市場。鑑於我們面前極具吸引力的成長機會，我們將繼續有效率地投資於永續成長，以實現長期價值的最大化。雖然我們可能會看到購物季節和活動的不同時期的波動，但隨著規模的擴大，我們將在長期內繼續推動經濟改善。

Consistently delivering value to our merchants remain an important driver of our business. During the quarter, we launched a number of new features and programs to support our diverse seller base. For example, we recently deployed Shopee Mall brand memberships across Southeast Asia and Taiwan. It offers a new customer management and a retention tool for brands. This program allows brands to introduce their own loyalty programs within Shopee to drive more conversions and repeat purchases on our platform. Brands which were early adopters have reported strong results including material increase in repeat buyers and significantly higher spending by members.

持續為我們的商家提供價值仍然是我們業務的重要驅動力。在本季度，我們推出了許多新功能和新計劃來支援我們多樣化的賣家群體。例如，我們最近在東南亞和台灣部署了Shopee Mall品牌會員資格。它為品牌提供了新的客戶管理和保留工具。該計劃允許品牌在 Shopee 內推出自己的忠誠度計劃，以推動我們平台上的更多轉換和重複購買。早期採用的品牌已報告了強勁的業績，包括回頭客數量大幅增加和會員支出大幅增加。

I'm also encouraged to note that Shopee continued to see growing traction in Brazil. According to App Annie, Shopee ranked the first in Brazil by downloads and the total time spent in app and ranked the second most popular mobile app by average monthly active users in the shopping category for the second quarter.

我很高興地註意到，Shopee 在巴西的吸引力持續成長。根據 App Annie 的數據，第二季度，Shopee 在巴西的下載量和應用程式總使用時間方面排名第一，並按購物類別的平均月活躍用戶數量排名第二受歡迎的行動應用程式。

While the markets that Shopee operates in are highly diverse, the consistent trend we see is that the potential for future digitalization remains high in our market. Therefore, a substantial portion of the population in our markets is increasingly benefiting from our growing and improving platform services. With that in mind, we will continue to invest efficiently towards the long term and highly localized growth of the Shopee ecosystem.

儘管 Shopee 營運的市場高度多樣化，但我們看到的一致趨勢是，我們的市場未來數位化的潛力仍然很高。因此，我們市場中的相當一部分人口正越來越多地受益於我們不斷發展和完善的平台服務。考慮到這一點，我們將繼續有效投資，以實現 Shopee 生態系統的長期和高度在地化成長。

Finally, our digital financial services business, SeaMoney, continued to perform well in the second quarter as digital payment adoption deepened in our markets. Our mobile wallet services recorded total payment volume of over $4.1 billion, up close to 150% year-on-year. This was driven by both user growth with quarterly paying users increasing to over 32 million in the second quarter and more frequent usage of our mobile wallet services with growing use cases. In particular, we are quickly expanding off-platform digital payment use cases. For example, besides increasing our payment touch points at convenience stores, F&B chains and on the Google Play Store, our mobile wallet service recently expanded its partnership with Mastercard in Thailand. This will allow our users to pay at any of the 200,000-plus off-line outlets that accept Mastercard Contactless. We are also partnering with Puregold, one of the largest supermarket chains in the Philippines, to accept our mobile wallet payment in over 400 of its stores.

最後，隨著數位支付在我們市場的普及，我們的數位金融服務業務 SeaMoney 在第二季繼續表現良好。我們的行動錢包服務的總支付額超過41億美元，年增近150％。這是由於用戶成長（第二季季度付費用戶增加到 3,200 多萬）和行動錢包服務使用頻率更高、使用案例不斷增加所致。特別是，我們正在迅速擴展平台外部數位支付用例。例如，除了增加我們在便利商店、餐飲連鎖店和 Google Play Store 的支付接觸點之外，我們的行動錢包服務最近還擴大了與泰國萬事達卡的合作。這將允許我們的用戶在超過 20 萬個接受萬事達卡非接觸式支付的線下門市進行支付。我們還與菲律賓最大的連鎖超市之一 Puregold 合作，在其 400 多家商店接受我們的行動錢包付款。

Even though SeaMoney is still at an early stage of development, the long-term addressable opportunity is highly significant. Consumers and small businesses in our markets are moving more of their consumption and the commercial activities online, creating a greater need for the digital financial services that SeaMoney can offer. One example is the eBelia program in Malaysia, which was run by the government to distribute financial assistance to the young people, as mentioned earlier. Of the 1.7 million eBelia applicants recorded as of June 7, close to 1 million chose to claim their credit with our mobile wallet over other wallets participating in the program. The credit received in the mobile wallet can be used in any online and off-line transactions that accept such mobile wallet payments. Indeed, the strong adoption could be partly attributed to the fast-growing popularity of our mobile wallet with over 750,000 touch points nationwide in Malaysia.

儘管 SeaMoney 仍處於發展初期，但長期來看其潛在機會十分巨大。我們市場中的消費者和小型企業正在將越來越多的消費和商業活動轉移到線上，對 SeaMoney 所能提供的數位金融服務的需求也越來越大。其中一個例子是馬來西亞的 eBelia 計劃，如前所述，該計劃由政府運營，旨在向年輕人提供經濟援助。截至 6 月 7 日，在記錄的 170 萬名 eBelia 申請者中，有近 100 萬人選擇使用我們的行動錢包而不是參與該計劃的其他錢包來領取信用額度。在行動錢包中收到的信用額度可用於任何接受此類行動錢包支付的線上和線下交易。事實上，如此強勁的採用率部分歸因於我們的行動錢包快速增長的受歡迎程度，馬來西亞全國有超過 750,000 個接觸點。

Moreover, we are encouraged to see the strong network effects of our mobile wallet helping to drive its acceptance and adoption across the region. We are working closely with various local stakeholders to continue to [bring] more use cases, features and products to our users. By utilizing and expanding the existing relationships we have built with the growing consumer and merchant user base, we look to serve even more segments of our markets efficiently with technology.

此外，我們很高興看到我們的行動錢包強大的網路效應有助於推動其在整個地區的接受和採用。我們正在與當地各利益相關者密切合作，繼續為我們的用戶帶來更多的用例、功能和產品。透過利用和擴大我們與不斷增長的消費者和商家用戶群建立的現有關係，我們希望利用技術有效地服務更多的細分市場。

To conclude, our performance in the first half of the year has been strong across all our business segments. Our conviction in the size of the long-term opportunities we are addressing as well as the positive impact we are making in our communities has only grown. [Leveraging] the virtuous cycles and the network effects both within and across our core business, we believe we are very well positioned to capture these long-term growth opportunities.

總而言之，我們所有業務部門上半年的表現都很強勁。我們對於我們正在抓住的長期機會的規模以及我們為社區帶來的積極影響的信心日益增強。[利用] 我們核心業務內部和跨核心業務的良性循環和網絡效應，我們相信我們完全有能力抓住這些長期成長機會。

This is also reflected in our revised full year guidance for both Garena and Shopee. More importantly, as demonstrated by our consistent track record, we've continued to focus on prudence and efficiency in managing long-term sustainable growth.

這也反映在我們對 Garena 和 Shopee 的全年預期修訂中。更重要的是，正如我們一貫的業績記錄所表明的那樣，我們在管理長期可持續成長方面繼續專注於審慎和效率。

With that, I will invite Tony to discuss our financials.

因此，我將邀請托尼來討論我們的財務狀況。

Thank you, Forrest, and thanks to everyone for joining the call. We have included detailed financial schedules together with the corresponding management analysis in today's press release, and Forrest has discussed some of our financial highlights. So I will focus my comments on the other relevant metrics.

謝謝你，福雷斯特，也謝謝大家參加電話會議。我們在今天的新聞稿中提供了詳細的財務時間表以及相應的管理分析，Forrest 也討論了我們的一些財務亮點。因此，我將重點討論其他相關指標。

For Sea overall, total GAAP revenue increased 159% year-on-year to $2.3 billion. This was mainly driven by growth in the scale of our e-commerce business as we continue to better support our users' needs with new features and programs as well as growth of our digital entertainment business, especially our self-developed game, Free Fire.

對於 Sea 整體而言，其 GAAP 總營收年增 159%，達到 23 億美元。這主要得益於我們電子商務業務規模的成長，因為我們繼續透過新功能和新程式來更好地滿足用戶的需求，以及我們數位娛樂業務的成長，特別是我們自主開發的遊戲Free Fire。

Digital entertainment bookings grew 65% year-on-year to $1.2 billion. GAAP revenue was up 167% year-on-year to $1 billion. The growth was primarily driven by the increase of our active user base and deepened paying user penetration as we continue to engage the community through quality content and immersive experiences.

數位娛樂預訂額較去年同期成長65%，達到12億美元。GAAP 營收年增 167%，達到 10 億美元。隨著我們繼續透過優質內容和沈浸式體驗吸引社區，成長主要得益於我們活躍用戶群的增加和付費用戶滲透率的提高。

Digital entertainment adjusted EBITDA was $741 million. This represents year-on-year growth of 70%. This was mainly due to strong top line growth and an increased share of our self-developed game among our total bookings.

數位娛樂調整後的 EBITDA 為 7.41 億美元。這比去年同期增長了 70%。這主要歸功於強勁的營收成長以及我們自主研發的遊戲在總預訂量中的份額增加。

On e-commerce, our second quarter GAAP revenue of $1.2 billion included GAAP marketplace revenue of $905 million, up 191% year-on-year; and GAAP product revenue of $251 million, up 90% year-on-year. The strong result demonstrated the deepening penetration of e-commerce and our ability to capture these accelerated growth opportunities as we continuously enhance our offerings to create greater value for our platform users.

在電子商務方面，我們第二季的 GAAP 營收為 12 億美元，其中 GAAP 市場營收為 9.05 億美元，年增 191%； GAAP產品營收為2.51億美元，較去年成長90%。強勁的業績證明了電子商務的滲透率不斷提高，以及我們抓住這些加速成長機會的能力，我們不斷增強產品功能，為平台用戶創造更大的價值。

E-commerce adjusted EBITDA loss was $580 million as we continued our investments to fully capture the opportunities in our markets. We remain committed to efficiently investing in and growing the ecosystem to serve our users better.

由於我們繼續投資以充分抓住市場機遇，電子商務調整後的 EBITDA 損失為 5.8 億美元。我們始終致力於有效投資和發展生態系統，以便更好地服務我們的用戶。

Digital financial services GAAP revenue was $89 million, an increase of 659% year-on-year from $12 million in the second quarter of 2020. The growth was primarily due to increasing traction as we continue to expand our suite of service offerings.

數位金融服務 GAAP 營收為 8,900 萬美元，較 2020 年第二季的 1,200 萬美元年增 659%。成長主要歸因於我們不斷擴展服務產品組合所帶來的成長動力。

Adjusted EBITDA loss was $155 million compared to a loss of $97 million in the same period of 2020. This was primarily due to our continued efforts to drive mobile wallet adoption.

調整後 EBITDA 虧損為 1.55 億美元，而 2020 年同期的虧損為 9,700 萬美元。這主要歸功於我們不斷努力推動行動錢包的普及。

Returning to our consolidated numbers. We recognized a net nonoperating loss of $25 million in the second quarter of 2021 compared to a net nonoperating income of $8 million in the second quarter of 2020. Our nonoperating loss in the second quarter of 2021 was primarily due to interest expenses on our outstanding convertible notes.

回到我們的合併數字。我們確認 2021 年第二季的淨營業外虧損為 2,500 萬美元，而 2020 年第二季的淨營業外收入為 800 萬美元。我們 2021 年第二季的非營業虧損主要是由於未償還可轉換票據的利息支出。

We had a net income tax expense of $75 million in the second quarter of 2021, which was primarily due to corporate income tax and withholding tax recognized in our digital entertainment business. As a result, net loss excluding share-based compensation was $321 million in the second quarter of 2021 as compared to $318 million for the same period in 2020.

我們 2021 年第二季的淨所得稅支出為 7,500 萬美元，主要由於我們的數位娛樂業務確認的企業所得稅和預扣稅。因此，2021 年第二季不包括股權激勵費用的淨虧損為 3.21 億美元，而 2020 年同期為 3.18 億美元。

With that, let me turn the call to Min Ju.

說完這些，我把電話轉給 Min Ju。

Thank you, Forrest and Tony. And we are now ready to open the call for questions. Operator?

謝謝你，福雷斯特和托尼。現在我們可以開始回答問題了。操作員？

(Operator Instructions) Our first question comes from Thomas Chong from Jefferies.

（操作員指示）我們的第一個問題來自 Jefferies 的 Thomas Chong。

Congratulations on a very strong set of results. I have 2 questions. The first question is about Garena, our online gaming business. We have seen a very strong performance for Free Fire in Southeast Asia and Lat Am. I just want to get a sense about how we should think about potential competition for our peers developing similar game genre in the coming months. Would that affect Free Fire user as well as the revenue growth?

恭喜您取得了非常強勁的成績。我有兩個問題。第一個問題是關於我們的線上遊戲業務 Garena。我們看到《Free Fire》在東南亞和拉丁美洲的表現非常強勁。我只是想了解我們應該如何看待未來幾個月開發類似遊戲類型的同行所面臨的潛在競爭。這會影響 Free Fire 用戶和營收成長嗎？

And then regarding the new games contribution, just want to get a sense how much of the new games is factored into our revised guidance.

然後關於新遊戲的貢獻，只是想了解有多少新遊戲被考慮到了我們修訂的指導中。

And then my second question is about the Shopee business. We have seen very strong growth in Shopee. But given that COVID, the situation with the pandemic right now, how are we seeing the trend for different product categories in the second half? Are we going to see more people buy the online grocery? Or any color on the category trends, would be grateful.

我的第二個問題是關於Shopee業務。我們看到Shopee的成長非常強勁。但考慮到目前新冠疫情的情況，我們如何看待下半年不同產品類別的趨勢？我們會看到更多的人購買網路雜貨嗎？或任何關於類別趨勢的顏色，都將不勝感激。

Thank you, Thomas. Regarding the question on Free Fire and competition, I think as we discussed before, we believe that game is not a mainly competition-driven type of business. It is more content-driven. And it's in particular in the case of Free Fire, which has such a large DAU and quarterly active user base across -- all over the world and highly social type of game, it is even a lot more about engagement with our ever-growing user base. So in the past and currently, we also see other types of battle royale genres in the market. And so far, Free Fire has been growing robustly without being -- having any effect from any kind of similar type of games.

謝謝你，托馬斯。關於《Free Fire》和競爭的問題，我想正如我們之前討論過的，我們認為遊戲並不是主要由競爭驅動的業務類型。它更多是由內容驅動的。尤其是對於 Free Fire 來說，它擁有如此龐大的 DAU 和遍布全球的季度活躍用戶群，並且是一種高度社交的遊戲類型，它更關乎我們不斷增長的用戶群的參與度。所以在過去和現在，我們在市場上也看到其他類型的大逃殺遊戲。到目前為止，《Free Fire》一直保持著強勁成長，且沒有受到任何同類遊戲的影響。

Again, we see Free Fire to be increasingly a platform incorporating different types of game play, IP as well as social and casual elements with a lot of fantasy elements in our market, targeting best market users and we are very encouraged to see continued strong growth from its user base as well as pay user base quarter-on-quarter even against a very strong comp we have since last year. So we'll continue to focus on growing the platform and using that as a base for introducing more different types of game elements, IP, game play and other social elements into this game.

我們再次看到，Free Fire 日益成為一個融合了不同類型遊戲玩法、IP 以及社交和休閒元素的平台，其中包含大量幻想元素，我們的市場針對最佳市場用戶，我們非常高興地看到其用戶群以及付費用戶群繼續保持強勁增長，即使與去年以來非常強勁的競爭對手相比也是如此。因此，我們將繼續專注於發展平台，並以此為基礎將更多不同類型的遊戲元素、IP、遊戲玩法和其他社交元素引入該遊戲。

In terms of the new game contribution to the revised guidance, of course, our revised guidance is based on our current expectation of all games in our publishing pipeline as well as development pipeline. And as usual, we don't specifically discuss any pipeline games. But for the new games that are already published, they are built in.

就新遊戲對修訂後的指引的貢獻而言，當然，我們的修訂指引是基於我們目前對已發布和開發的所有遊戲的預期。像往常一樣，我們不會專門討論任何管道遊戲。但對於已經發布的新遊戲，它們是內建的。

In terms of the COVID and its effect on the category trends, so far, we see that our category trends have been quite stable. The top categories remain to be fashion, health and beauty, home and living and these long-tail, high-margin categories. During the COVID, we tend to see high growth in particular in the home and living category as people stay at home more and work from home more. And we also start to see FMCG, including grocery, to become a more popular category over time as people need convenience and delivery to their home. We've been working with our 3PLs as well as our users to efficiently provide the services they demand.

就 COVID 及其對品類趨勢的影響而言，到目前為止，我們看到我們的類別趨勢一直相當穩定。最熱門的類別仍然是時尚、健康和美容、家居和生活以及這些長尾、高利潤的類別。在疫情期間，由於人們更待在家裡、更多地在家工作，我們往往看到家居和生活類別的快速成長。而且我們也開始看到，隨著人們需要便利性和送貨上門服務，包括雜貨在內的快速消費品將隨著時間的推移成為一個更受歡迎的類別。我們一直與我們的第三方物流公司以及用戶合作，以有效地提供他們所需的服務。

In terms of the trends going forward, I think that as you probably know, there are still COVID cases and resurgence of cases in our regions. And it's not clear when this might be -- the cases might go down or lives can be back to normal. During this period of time and as COVID continues, as Forrest shared, we focus on continuing to manage our operations efficiently to make sure we meet our users' demand for our services. And at the same time, we focus on digital inclusion. That is evidenced in the accelerated rate of digitization across our markets, which, again, we see as opportunities for long-term growth and sustainable growth in our markets as we believe the step-up in digitization is going to stay.

就未來的趨勢而言，我認為正如你們可能知道的，我們地區仍然存在 COVID 病例，並且病例有所復發。目前還不清楚何時才會出現這種情況——病例數才會減少，或者生活才會恢復正常。正如 Forrest 所分享的，在這段時間以及 COVID 持續蔓延的情況下，我們專注於繼續有效地管理我們的運營，以確保滿足用戶對我們服務的需求。同時，我們也注重數位包容性。這體現在我們各個市場的數位化速度不斷加快，我們再次將此視為市場長期成長和永續成長的機會，因為我們相信數位化的步伐將會持續下去。

The next question comes from Ranjan Sharma from JPMorgan Singapore.

下一個問題來自摩根大通新加坡的 Ranjan Sharma。

Congratulations on the results. Two questions from my side. Firstly, can you also please talk about food delivery? We have seen ShopeeFood growing aggressively in Indonesia. What are your rollout plans in other parts of ASEAN as well?

恭喜你所取得的成果。我有兩個問題。首先，可以談談送餐的事情嗎？我們看到 ShopeeFood 在印尼蓬勃發展。您在東協其他地區有何推廣計畫？

And secondly, if I come back to the guidance, you had a pretty strong first half and especially the second quarter. But the guidance for the gaming is indicating gaming revenues softening in the second half. Are you seeing any softness in the gaming trends? Or should we think that there could be upside to the guidance?

其次，如果我回顧一下先前的預測，你們上半年的表現相當強勁，尤其是第二季。但博彩業指引表明，下半年博彩收入將會疲軟。您是否發現遊戲趨勢有所疲軟？或者我們應該認為該指引可能存在上行空間？

Thank you, Ranjan. In terms of ShopeeFood, we see very strong performance and positive reception by our users as well as driver communities in the markets both in Indonesia as well as Vietnam in the second quarter. And we'll continue to focus on the quality of our services to our users. Any -- if there's any new market, of course, it was -- anything, the developments, we will make announcement. But we don't have anything to report at this point.

謝謝你，Ranjan。就ShopeeFood而言，我們在第二季度看到其在印尼和越南市場的用戶和司機社群表現非常強勁，並且獲得了積極的反響。我們將繼續專注於為用戶提供優質服務。當然，如果有任何新市場，無論發生什麼，只要有進展，我們都會宣布。但目前我們還沒有任何可報告的消息。

In terms of the guidance regarding the game bookings, okay, again, we believe the overall guidance showed a more than 40% year-on-year growth compared to last year, which is also a record year for us with the commencement of lockdown. And I think this is a very strong performance already. And our focus, as you can tell from game and the metrics we have indicated as well as our views in terms of how to grow our gaming platform, is to continue to first and foremost to grow our user base and also pay user base across the various markets in the world as we continue to see strong potential growth. And our past track record has shown that we're generally good at commercialization in even markets that are known to be difficult for commercialization. So we don't really worry about not being able to commercialize the content down the road. But our focus continues to be growing the user base and making this an even larger platform that allows us to really tap on to it to build a stronger game ecosystem with very strong social elements in it.

就比賽預訂的指導而言，我們相信整體指導與去年相比同比增長超過 40％，而且由於封鎖開始，這也是我們創紀錄的一年。我認為這已經是十分出色的表現了。從遊戲和我們所指出的指標以及我們對如何發展遊戲平台的看法可以看出，我們的重點是繼續先擴大我們的用戶群以及世界各地各個市場的付費用戶群，因為我們繼續看到強勁的潛在成長。我們過去的業績記錄表明，即使在已知難以商業化的市場中，我們通常也擅長商業化。所以我們並不擔心將來無法將內容商業化。但我們的重點仍然是擴大用戶群，使其成為一個更大的平台，使我們能夠真正利用它來建立一個具有非常強大的社交元素的更強大的遊戲生態系統。

The next question comes from Piyush Choudhary from HSBC Singapore.

下一個問題來自新加坡匯豐銀行的 Piyush Choudhary。

Congratulations for a strong set of results. Two questions. Firstly, on the e-commerce, what factors and which countries are driving an increase in take rate? And could you give some color on which countries have the lowest take rate and the highest potential to increase?

恭喜您取得一系列強勁的成果。兩個問題。首先，在電子商務方面，哪些因素、哪些國家正在推動接受率的上升？您能否具體說明哪些國家的接受率最低且成長潛力最高？

Secondly, in e-commerce, we have seen a surge in sales and marketing expenses during the quarter. Can you give some color on how the competitive dynamics has changed? Has that led to increase in customer retention cost?

其次，在電子商務方面，我們看到本季銷售和行銷費用激增。您能否具體說明一下競爭態勢發生了什麼樣的變化？這是否導致客戶保留成本的增加？

Thank you, Piyush. In terms of the e-commerce take rate increase, the -- it is mostly -- mainly attributable to the adoption of advertisement and increased adoption by our sellers of advertisement and marketing tools on Shopee platform. And this is across the various markets across the board. It's not driven by any one particular market.

謝謝你，皮尤什。就電子商務接受率的成長而言，這主要歸因於Shopee平台上廣告的採用以及我們的賣家對廣告和行銷工具的採用增加。這涉及各個市場。它不是由任何一個特定市場所驅動的。

And in terms of sales and marketing and related to competitive dynamics, I think we are -- again, as we discussed it before, given our strong market leadership, we're in a good position now that our sales and marketing is more driven by our view about the efficiency of investment into various markets at various points of time, for example, any shopping event season, any particular opportunities to promote the brand, et cetera. And this is more of a managed outcome, depends on our view about the natural pace of growth in this market at any point in time. And our strategies in capturing, in an efficient manner, that growth. So it is not affected by competitive dynamics we're seeing in the market. And as you can tell from our growth rate, while we are multiple times larger than our competitors in the region, we are also growing at a faster rate.

在銷售、行銷和競爭動態方面，我認為正如我們之前討論的那樣，鑑於我們強大的市場領導地位，我們現在處於有利地位，因為我們的銷售和行銷更多地取決於我們對在不同時間點對不同市場進行投資效率的看法，例如任何購物活動季節、任何推廣品牌的特定機會等等。這更像是可控的結果，取決於我們對任何時候該市場自然成長速度的看法。我們的策略是以有效的方式抓住這一成長。因此它不會受到我們在市場上看到的競爭動態的影響。從我們的成長率就可以看出，雖然我們的規模比該地區的競爭對手大數倍，但我們的成長速度也更快。

Our next question comes from Piyush Mubayi from Goldman Sachs.

我們的下一個問題來自高盛的 Piyush Mubayi。

Your GMV grew very strongly. Would it be possible to shed some color on, in particular, the one new region you're moving into? And any light on the tactic you're embarking on? We understand that the app popularity has risen dramatically, but there are nuances of that market, and you are no novice to taking on a well-established competitor. So based on what you've done in the past, how would you rate your strength, weakness in that market, if at all possible, something you could comment on?

您的 GMV 成長非常強勁。能具體介紹一下您要遷入的新地區嗎？您對於所採取的策略有何見解？我們明白該應用程式的受歡迎程度已急劇上升，但該市場仍存在細微差別，而且您在與知名競爭對手的較量中絕非新手。那麼根據您過去的所作所為，您如何評價您在該市場的優勢和劣勢，如果可能的話，您能評論一下嗎？

And then the second area is on the cash burn side, where the cash burn is proceeding okay, just wanted to understand where that is. And when you look at that on a per order basis, that looks like it's rising. On the GMV, on a per order basis, also there's some trends that are interesting. If you could comment on that.

然後第二個領域是現金消耗方面，現金消耗進展順利，我只是想了解它在哪裡。如果以每張訂單來算，這個數字似乎還在上升。就 GMV 而言，以每個訂單計算，也存在一些有趣的趨勢。如果您可以對此發表評論。

Yes. Thank you, Piyush. In terms of new markets, I believe you're referring to the Lat Am markets. As shared before, this is still a very early stage for us as we continue to adapt to local market practices and finetune our operations and grow our business there. We did share in this quarter's earnings that even though it's -- we have very recently launched in those markets, in particular in Brazil, our performance so far has been strong with top ranking in download and also the #2 ranking MAU according to App Annie. And I think we will continue to focus on growth and -- in that market. Again, we're not looking at the competition per se because these markets are with still a very low level of e-commerce penetration. These are blue ocean market to us, and we see large opportunities and very long runway for these markets for the e-commerce players in their various -- based on their various strategy and focus and the market segments. So we will continue to grow and focus on efficient growth in those newer markets.

是的。謝謝你，皮尤什。就新市場而言，我相信您指的是拉丁美洲市場。正如之前所分享的，這對我們來說仍然是一個非常早期的階段，因為我們將繼續適應當地市場實踐、微調我們的營運並在那裡發展我們的業務。我們確實在本季度的收益中分享了這一點，儘管我們最近才在這些市場推出應用，特別是在巴西，但根據 App Annie 的數據，我們的表現迄今為止一直很強勁，在下載量中排名最高，並且 MAU 排名第二。我認為我們將繼續關注該市場的成長。再次強調，我們並不關注競爭本身，因為這些市場的電子商務滲透率仍然很低。對我們來說，這些都是藍海市場，我們看到，對於不同的電子商務參與者來說，這些市場有著巨大的機會和非常長的發展空間——基於他們的不同策略、重點和細分市場。因此，我們將繼續發展並專注於這些新市場的有效成長。

And in the business model, I think as some of you are familiar with the business model in our Southeast Asia markets, we continue to promote a mobile-native, social-focused marketplace model. It doesn't -- with a focus on the core categories, those long-tail and high-margin categories and helping the local small businesses and sellers primarily to promote their business in our marketplace. I think the approach and the thesis is the same for our newer markets as well as our current markets in Southeast Asia.

在商業模式方面，我想你們中的一些人熟悉我們東南亞市場的商業模式，我們繼續推廣以行動為原生、以社交為中心的市場模式。它不會——而是專注於核心類別、長尾和高利潤類別，並主要幫助當地小型企業和賣家在我們的市場上推廣他們的業務。我認為，我們對於新市場和東南亞現有市場所採取的方法和論點是相同的。

And in terms of the cash burn, just as I mentioned on the previous question, it is more of a managed outcome. As we look at the market opportunities, the timing of the market, for example, in Q2, we have Ramadan season in our several largest markets including Indonesia. And this is a time where investment into the growth and to promote e-commerce adoption is very efficient. We have increased our buy frequency overall to more than 6x a month. And in Indonesia, it has exceeded 7x per month, which we believe is very healthy for a marketplace platform. And as we continue to also recruit new buyers and new users and increase our active user base in the region, we believe that we continue to invest efficiently.

就現金消耗而言，正如我在上一個問題中提到的，這更像是一個可控的結果。當我們觀察市場機會和市場時機時，例如在第二季度，包括印尼在內的幾個最大的市場正值齋戒月。此時，對成長和促進電子商務應用的投資非常有效。我們的整體購買頻率已提高到每月 6 次以上。在印度尼西亞，每月的訪問量已超過 7 次，我們認為這對市場平台而言非常健康。隨著我們繼續招募新買家和新用戶並增加該地區的活躍用戶群，我們相信我們將繼續有效地投資。

However, that said, it is important to note that our big picture view of an e-commerce model being a highly profitable one in terms of the market-based model we are pursuing; and then second, we will continue to focus on growth efficiency and our view that long-term economics, unit economics should continue to improve long term, it doesn't change because this naturally happens with scale and continuing improvement on growth efficiency and our continued strengthening of our market leadership.

然而，話雖如此，值得注意的是，從我們所追求的市場模式來看，電子商務模式是一種高利潤模式；其次，我們將繼續關注增長效率，我們認為長期經濟、單位經濟應該會持續改善，這一點不會改變，因為隨著規模的擴大、增長效率的不斷提高和我們市場領導地位的不斷加強，這種情況自然會發生。

This thesis never changed. So on that, I think we are continuing to monitor the market trends, and we'll invest efficiently.

這論點從未改變。因此，我認為我們將繼續監測市場趨勢，並進行有效投資。

Our next question comes from Alicia Yap from Citigroup.

下一個問題來自花旗集團的 Alicia Yap。

Yes, can you hear me? Okay. Management, congrats on the strong results. My question is on Shopee in Brazil. Any color you could share in terms of the percentage of orders or the percentage of revenue contributed from Brazil currently? And if management could also remind us your goals and expectation for this market opportunity in Lat Am. And if you can elaborate the monetization rate contribution by ranking, will that actually coming more from the commission fee or the advertising? Or is it more from the cross-border, those logistics fee? And do you perceive the AOV for Brazil or Lat Am to be higher than those in the Southeast Asia?

是的，你聽得到我的聲音嗎？好的。管理層，對所取得的優異成績表示祝賀。我的問題是關於巴西的 Shopee。能分享一下目前來自巴西的訂單百分比或收入百分比嗎？管理階層是否也可以提醒我們您對拉美這個市場機會的目標和期望。如果您可以詳細說明排名對貨幣化率的貢獻，那麼這實際上更多是來自佣金還是廣告？還是更多是來自跨境，那些物流費用？您是否認為巴西或拉丁美洲的平均價值 (AOV) 高於東南亞？

And then second question very quickly on the positive EBITDA for Malaysia. Is that because of the better monetization rate? Or is it because of the better operating cost and efficiency?

然後第二個問題很快就關於馬來西亞的正 EBITDA。這是因為貨幣化率比較高嗎？還是因為運作成本及效率更佳？

Thank you, Alicia. In terms of Brazil, we don't break down the orders or revenue contribution by country. But as we shared, we see positive reception in the market by sellers and buyers, and we'll continue to focus on driving efficient growth there. And our growth and expectations for Lat Am, I think this is still very early stage for us, and it's an evolving operation for us. So we will continue to stay humble and continue to learn about the market and focus on continued improvement of our operations and service to the users there.

謝謝你，艾莉西亞。就巴西而言，我們沒有按國家細分訂單或收入貢獻。但正如我們所分享的，我們看到市場中賣家和買家的正面反應，我們將繼續專注於推動市場高效成長。至於我們對拉丁美洲市場的成長和期望，我認為這對我們來說仍處於非常早期的階段，而且這對我們來說是一個不斷發展的業務。因此，我們將繼續保持謙虛的態度，繼續了解市場，並專注於持續改善我們的營運和為用戶提供的服務。

In terms of the monetization contribution by ranking, so our -- as you know, most of our monetization came from the high-margin types of revenue, i.e., transaction-based fees, including commissions and various types of handling fees, et cetera, as well as advertisements. And more importantly, the increase in the take rate we're seeing quarter-on-quarter is attributable to these types. And in particular, for second quarter, attributable to advertisements adoption and mainly from increasing adoption, including number of sellers placing advertisements on our platform.

就排名帶來的貨幣化貢獻而言，如你所知，我們的大部分貨幣化收入來自高利潤類型的收入，即基於交易的費用，包括佣金和各種類型的手續費等，以及廣告。更重要的是，我們看到的季度環比接受率的成長歸因於這些類型。特別是第二季度，這主要歸功於廣告的採用，包括在我們平台上投放廣告的賣家數量不斷增加。

But still very early stage for us. I think our advertisement take rate is still low, and we have much more inventory to be rolled out and to be adopted. As we explained before, we believe our markets are still at early stage for the e-commerce ecosystem, and it takes time for our seller community to be trained and get familiar with various types of advertising and marketing tools we can leverage on our platform, and we focus on educating our seller communities on that. And at the same time, their increasing adoption shows the effectiveness of our advertising and marketing tools as well as the increasing returns, our platform is creating for our seller communities that allow them to voluntarily adopting more marketing on the Shopee platform.

但對我們來說這仍處於早期階段。我認為我們的廣告接受率仍然很低，我們還有更多的庫存有待推出和採用。正如我們之前所解釋的，我們相信我們的市場仍處於電子商務生態系統的早期階段，我們的賣家社群需要時間來接受培訓並熟悉我們可以在我們的平台上利用的各種類型的廣告和行銷工具，我們專注於對我們的賣家社群進行教育。同時，他們的不斷增加的採用表明了我們的廣告和行銷工具的有效性以及不斷增加的回報，我們的平台正在為我們的賣家社群創造，使他們能夠自願在Shopee平台上採用更多的行銷。

So in terms of the AOV for Brazil and Lat Am versus Southeast Asia, again, this is too early for us to tell given the early stage of our operations there. We will continue to observe and to see what will be the appropriate reach. As we noted before, the AOV is not a target KPI for us but really as a natural outcome of the category mix in terms of the relevant categories and types of goods that are right for each market. And it's more of an output than an input from our perspective. So we will focus on driving the right category mix that will generate the right AOV for the market. And so we might dynamically assess the market conditions as each market evolves over time to see whether the mix and category mix and product mix is the right mix for the market.

因此，就巴西、拉丁美洲與東南亞的平均價值而言，考慮到我們在這些地區的業務還處於早期階段，現在下結論還為時過早。我們將繼續觀察並確定適當的範圍。正如我們之前提到的，AOV 對我們來說並不是一個目標 KPI，而實際上是根據適合每個市場的相關類別和商品類型進行品類組合的自然結果。從我們的角度來看，它更多的是一種輸出而不是輸入。因此，我們將專注於推動正確的品類組合，為市場創造正確的 AOV。因此，我們可能會隨著每個市場隨時間的演變而動態地評估市場狀況，以判斷組合、類別組合和產品組合是否適合市場。

In terms of positive EBITDA from Malaysia, again, we're very happy to report that Malaysia has become the second market to achieve positive EBITDA after Taiwan for our Shopee business. And of course, it is followed by the results of better monetization over time as well as improving operational efficiency over time. As we stressed before that the marketplace e-commerce model in terms of profitability is highly proven and with scale and strong market leadership and ability to deliver a clear and increasing value to our seller communities, we will be able to make a strong profit down the road. And this is basically generating value to our communities and, by that, will generate value to our shareholders as well.

就馬來西亞的正 EBITDA 而言，我們再次非常高興地報告，馬來西亞已成為我們 Shopee 業務繼台灣之後實現正 EBITDA 的第二個市場。當然，隨著時間的推移，其結果是更好的貨幣化以及隨著時間的推移提高營運效率。正如我們之前所強調的那樣，市場電子商務模式在盈利能力方面已經得到充分驗證，並且憑藉規模和強大的市場領導力以及為我們的賣家社區提供明確且不斷增加的價值的能力，我們將能夠在未來獲得豐厚的利潤。這實際上是在為我們的社區創造價值，同時也為我們的股東創造價值。

The next question comes from Varun Ahuja from Credit Suisse.

下一個問題來自瑞士信貸的 Varun Ahuja。

Yes. So quick few questions. Number one, if you look at your user base for the Garena, again, this quarter, it grew very strongly. It's around 75 new quarterly active users you have added. It has accelerated from last 2 quarters. Just wanted to understand despite such a game being there in the market for so long, where are you still seeing growth in new markets? Is it the existing market, new markets? Any color additional would be very helpful.

是的。那麼快問幾個問題吧。首先，如果您看一下 Garena 的用戶群，您會發現本季其成長非常強勁。您增加了約 75 名新季度活躍用戶。從過去兩個季度開始，這一成長速度加快了。只是想了解一下，儘管這樣的遊戲在市場上已經存在很長時間了，但你仍然看到哪些新市場的成長？是現有市場還是新市場？添加任何顏色都會非常有幫助。

Secondly, on Brazil, let me try it a little bit differently. If you can give some color, obviously, you have seen sequential increase in investments in e-commerce. And you already mentioned that 2 of the markets are profitable in ASEAN. So how should we think about it as increased investments going into Brazil? Or any color on how much on a like-for-like basis on ASEAN? How much is -- some qualitative colors will be helpful.

其次，關於巴西，讓我嘗試一些不同的東西。如果你能給出一些具體訊息，顯然，你已經看到電子商務投資連續增加。您已經提到東協有兩個市場是有利可圖的。那我們該如何看待它成為巴西投資增加的現象呢？或是東協同類顏色有多少？多少——一些定性的顏色將會有所幫助。

Thirdly, on the logistics side, clearly, in Lat Am, the leader in e-commerce has made significant investments on the logistics side, and their third-party ecosystem isn't that great. So how does Shopee think about that part and bridge that gap with the market leader increasing over the next few years? Are you looking to make more investments in Lat Am? And even in ASEAN, we have seen increasing investments by Shopee on logistics. So any color on that one would be helpful.

第三，在物流方面，顯然，在拉丁美洲，電子商務的領導者已經在物流方面進行了大量投資，而他們的第三方生態系統並不是那麼好。那麼 Shopee 如何看待這一部分，並在未來幾年縮小與市場領導者的差距？您是否正在考慮在拉丁美洲進行更多投資？而在東盟，我們也看到Shopee在物流上的投資不斷增加。因此，任何顏色都會有幫助。

Yes. Thank you. In terms of the game user growth, we're also very happy to report that they actually came from all 3 regions of Southeast Asia and Lat Am as well as the rest of the world. And therefore, we believe the thing that -- the market diversification has been very strong for our games, especially Free Fire.

是的。謝謝。在遊戲用戶成長方面，我們也很高興地報告，他們實際上來自東南亞和拉丁美洲的所有三個地區以及世界其他地區。因此，我們相信，我們的遊戲，尤其是《Free Fire》的市場多樣化非常強勁。

And in terms of Brazil investments, again, I think we're still at a very early stage. Our investment into Brazil is commensurate with the growth of our operations as well as adoption of our services offerings there. And obviously, we continue to evaluate and we continue to see improving unit economics as well in Brazil as we scale rapidly there. And we'll continue to focus on efficiency growth. And as you know, we recently also raised take rates in Brazil to about 12% and 18% for certain sellers who adopt our free shipping programs. So we believe that the user receptions have been very strong, and we believe it's a good market for continued investment. But we will, again, continue to assess the growth potential there.

就巴西的投資而言，我認為我們仍處於非常早期的階段。我們對巴西的投資與我們在巴西的業務成長以及我們服務的採用一致。顯然，我們會繼續評估，隨著我們在巴西的快速擴張，我們也繼續看到單位經濟效益的改善。我們將繼續關注效率成長。如您所知，對於採用我們的免費送貨計劃的某些賣家，我們最近還將巴西的收費率提高到 12% 和 18% 左右。因此，我們相信用戶的接受度一直非常強勁，我們相信這是一個值得持續投資的好市場。但我們將繼續評估那裡的成長潛力。

In terms of the logistics environment in Lat Am, I think there could be some similarity drawn between Brazil or Lat Am markets and to the early days of the Southeast Asian market. Part of it is a little bit of a chicken and egg problem, it's when there is not much of a demand for third-party logistics services by e-commerce platforms either because most of the platforms are using their own services or there hasn't been a lot of volume or traffic broadly generated across different platforms, then probably there is also a lack of initial growth opportunity for logistics.

就拉丁美洲的物流環境而言，我認為巴西或拉丁美洲市場與東南亞市場早期可能有些相似之處。這在某種程度上有點像先有雞還是先有蛋的問題，即當電子商務平台對第三方物流服務的需求不大時，要么是因為大多數平台都在使用自己的服務，要么是不同平台上產生的交易量或流量並不大，那麼物流可能也缺乏最初的增長機會。

But on the one hand, we are also hopeful that with the growing e-commerce scene in the region and more focus of our global investors into the growth opportunities in the region, we may also see similar trends in those markets. And this is hopefully some contribution we can make to the market in terms of bringing more opportunities, bringing more digitization as well as e-commerce ecosystem that helps not just growth of Shopee but also growth of the surrounding services, including 3PLs within the region. And we've been partnering with 3PLs in our region very successfully in growing the e-commerce ecosystem. And at the same time, these third-party partners also enjoy the very strong growth on their end as well and the close partnership with Shopee. We are very happy to continue to adopt that model going forward in Brazil or the new markets as well.

但一方面，我們也希望，隨著該地區電子商務的不斷發展，以及我們的全球投資者更加關注該地區的成長機會，我們也可能會在這些市場看到類似的趨勢。希望我們能為市場做出一些貢獻，帶來更多機會，帶來更多數位化以及電子商務生態系統，這不僅有助於 Shopee 的發展，也有助於週邊服務的發展，包括該地區的 3PL。我們一直與我們地區的第三方物流公司合作，並取得了成功，推動了電子商務生態系統的發展。同時，這些第三方合作夥伴也享受了非常強勁的成長以及與Shopee的密切合作。我們非常高興在巴西或新市場繼續採用該模式。

But at the same time, we do have our Shopee Xpress services to complement the -- within each market as we see appropriate, 3PL capacity, especially during peak volume time in the holiday season or if there's any lockdown events, et cetera. So on that front, we will continue to observe what makes sense from an operation as well as user service perspective as well as the relevant stakeholders growth in connection with the ecosystem to adapt our model and operations accordingly. But again, we focus a lot on efficiency.

但同時，我們確實有 Shopee Xpress 服務來補充——在每個市場中，我們認為合適的是 3PL 容量，特別是在假期高峰期或發生任何封鎖事件時等等。因此在這方面，我們將繼續觀察從營運和用戶服務角度以及與生態系統相關的利害關係人的成長中什麼是有意義的，以相應地調整我們的模型和營運。但我們再次強調，非常注重效率。

This concludes our question-and-answer session. I'd like to turn the conference back over to Min Ju Song for any closing remarks.

我們的問答環節到此結束。我想將會議交還給宋敏珠 (Min Ju Song) 做結束語。

Thank you all for joining today's call. We look forward to speaking to all of you again next quarter. Thank you.

感謝大家參加今天的電話會議。我們期待下個季度再次與大家交談。謝謝。

The conference has now concluded. Thank you for attending today's presentation. You may now disconnect.

會議現已結束。感謝您參加今天的演講。您現在可以斷開連線。