Sea to forgo leadership salaries amid cash flow struggles

Sea Group is forgoing the salaries of top management and revising company expense guidelines as it faces pressure to reach profitability, according to a Bloomberg report that cited an internal memo to staff sent by CEO Forrest Li.

In the memo, Li said the leadership team would not take any cash compensation until the tech giant reaches self-sufficiency.

This comes after Sea ended operations in four Latin American markets and trimmed staff across its divisions.

The Singapore-based company has lost nearly US$170 billion in market value since peaking in October. Its share trading fell 2.6% before US markets opened, and the stock has seen a downgrade of 72% this year.

Sea does not foresee another fundraising as investors have become wary of the economic slowdown, Li added.

For business travel, Sea staff will stick to economy class. It is also limiting travel meal and hotel stay expenses to US$30 and US$150 per day, respectively.

See also: Sea Group’s financial health in 9 charts