Commentary: Keep your head down and just get shit done

Dear Readers,

How much do you know about Sea Group?

Based on my casual conversations with peers outside of tech, Sea Group isn’t as well known as other tech giants in the region (e.g. Gojek, Grab, Lazada, and Razer, among others). Of course, the Sea brand isn’t consumer-facing, so that could explain why it isn’t quite as popular as its contemporaries.

In the last five years or so, I’ve also observed that the company tends to shy away from the media spotlight. Tech in Asia, for instance, has only interviewed Forrest Li, Sea’s founder and group CEO twice. The first one was in 2009 and the next one was conducted a decade later in July 2019, at an off-the-record fireside chat at our SYNC Summit. In fact, most of Sea’s top executives don’t talk to the media – a trait that seems to part of the company’s DNA.

Talk only when necessary

The story behind the rise of Sea Group is pretty amazing, but it’s rarely told. So when the company does engage, the outcome – such as the one at SYNC – is usually interesting and insightful. And it was also highly appreciated by the decision-makers who attended the fireside chat.

In 2016, Sea Group was valued at nearly US$3.8 billion and was one of the most valuable tech firms in Southeast Asia at the time. Today, the company is listed on the New York Stock Exchange and has a market capitalization of over US$17 billion, delivering return on investment to its shareholders.

It’s particularly impressive, given that so many tech stocks have tanked this year.

The ability of Garena, Sea Group’s gaming division, to generate hit games and profits is also often overlooked. But in the era of “rhinoceros and profitability” more observers are likely to appreciate it better.

And Sea Group isn’t content to just coast along. It’s still taking risks and pushing boundaries: Shopee, its ecommerce platform, is burning massive capital to fuel growth. And that’s partly possible because Garena is generating profits – US$266 million in adjusted EBITA from last quarter alone.

Read more:

• Meet Forrest Li, Southeast Asia’s newest tech billionaire
• How a hit game helped make Singapore’s latest billionaire
• Can Shopee become profitable? Here’s an in-depth analysis

Just get shit done