A：C Limited reported an adjusted EBITDA of over $917 million in the second quarter of 2026.

A：Shopee's GMV grew 28% year on year in the second quarter, marking eight consecutive quarters of sequential growth, and set a new record in gross volume and revenue.

A：Average monthly new buyers grew more than 35% year on year, while overall buyer engagement saw a purchase frequency increase of 8% year on year.

A：Shopee's net revenue was up more than 70% year on year, and the marketplace I rate improved by over 90 basis points.

A：The Shopee VIP program continued to scale strongly, with total membership exceeding 15 million, a 45% increase from the previous quarter. The program's retention remains strong at around 80% and members show higher engagement and spending.

A：Investments in the content ecosystem led to a 50% year-on-year growth in orders from live streaming and short videos, accounting for more than 35% of physical good orders in Southeast Asia. Unit economics also improved sequentially, and partnerships with YouTube, Meta, and Instagram are proving to be effective in driving purchases.

A：Money delivered another great quarter with strong growth in both revenue and adjusted EBITDA.

A：Credit remained the primary driver of growth, with the loan book reaching $11.1 billion at the end of June, up 62% year on year.

A：The company's credit risk capabilities were enhanced through the use of a new risk model incorporating behavioral and transactional data, and an ecosystem that captures customer interactions over time. Recent improvements to the underwriting model helped lift approval rates by around 10% while maintaining similar risk levels. External data sources were also utilized to better assess new users in its ecosystem.

A：The improvements in risk underwriting supported a push towards new user applications, resulting in many users generating more value through transaction installment conversion and adoption of other credit products. This led to the broadened rollout of loan options, promotional interest rates, and strong new user growth, adding around 3 million unique first-time borrowers and growing active credit users by 34% year on year.

A：The 'Shopee Pay Onlive' product allowed users to pay with their Shopee balance at any merchant that accepts card payments, further expanding Shopee Pay use cases.

A：The gaming segment, with Free Fire at the forefront, delivered another strong quarter with bookings growing 15% year on year and profitability remaining healthy. Free Fire experienced global engagement with over 100 million daily active users.

A：The campaigns in the company's games, such as Under Sea Mystery and transforming parts of the game into a football field, were well received, generating excitement and engagement among players. The campaigns also drove social media engagement, with the original song 'Bo Ya' achieving over 350 million views.

A：The company announced two new mobile games: 'I Power World Online', an open-world multiplayer survival adventure game, and 'Lords of Waterford', developed by Greco and published by Krafton.

A：For the second quarter of 2026, total revenue increased 48% year on year to $7.8 billion, driven by growth in shopping and money. Adjusted EBITDA was up 11% year on year to $917 million. Gross orders increased 27% year on year to 4.2 billion, and GMV grew by 28% year on year to $38.3 billion.

A：The net income for the second quarter of 2026 was $458 billion, which is up by 11% year on year compared to the second quarter of 2025.

A：The company indicates that they expect continued good growth in Q2 and anticipate the trend to persist in the coming quarters, with solid growth across markets such as South Asia, Taiwan, and Brazil. For the full year, they remain confident in achieving their growth outlook of around 25%. However, they also expect potential forex headwinds due to the performance of their markets against the US dollar and a higher GMV base in Q4.

A：The AI initiatives are showing positive trends with improvements in the economic profile. The company has made investments, particularly in procurement and logistics, and aims to achieve an adjusted EBITDA of 1 billion for these initiatives. On the platform, an AI shopping assistant for buyers has been launched, offering 24/7 support, while efforts on the seller side include the introduction of an AI-powered chatbot for shop management. For buyers, search recommendations have been enhanced with the rollout of a generative algorithm for recommendations and personalization of content through AI-generated bias to improve conversion rates.

A：Management notes a gradually good performance across markets with growth and profitability, although they do not provide a detailed breakdown by country. They mention that the competitive situation is relatively stable, and the company has maintained its market share in certain markets and gained share in others like South Asia, Taiwan, and Brazil. Growth in Brazil is above market levels, and the company believes it is outpacing competitors. The balance between growth and EBITDA is not straightforward and depends on internal optimization, market growth rates, and competitive landscape factors.

A：The company is still in the process of evaluating and wrapping up fulfillment sizes in South Asia, Brazil, and Taiwan. They believe there is room for further penetration in the fulfillment business in these regions and will continue to assess the best balance between growth and EBITDA based on market growth rates and internal efficiency improvements.

A：The benefits of fulfillment services offered by the company include reduced delivery speed, enhanced conversion rates, and reduced effort for sellers in selling through the platform. These services also contribute to cost savings and help in building a procurement business which in turn provides an advantage to the overall platform.

A：The increase in commission rates has led to discussions about the potential for further profit increases and has specifically driven an upgrade in the guidance for e-commerce revenue for the year.

A：The stabilization of monetization margins is not clearly defined but is suggested to be influenced by factors such as the expansion into new markets and the efficiency of sales and marketing expenses.

A：The speaker indicates that they are monitoring EBITDA growth closely and that it should return to a healthier level. However, specific timing is not provided, and the focus is on managing NPL provisioning and being mindful of it as new users are acquired.

A：The factors contributing to the company's ability to maintain a similar gap to the platform's take rate include pricing strategy, the health of the ecosystems with the increased commission rates, the efficiency of sellers operating online, competitive prices compared to other marketplaces and offline alternatives, and the opportunity to increase take rates through commission and other payouts.

A：The company is managing NPL risk by assessing each product, country, and segment separately. They aim to maintain stable NPLs for existing segments and countries while intentionally growing into new segments and products. The strategy includes balancing growth in the segment with a focus on positive return on assets to ensure profitability.

A：The advertising strategy for expanding into the Southeast Asian market in Brazil involves leveraging AI technologies to improve ad performance and return on investment. This includes shop GMV smart diagnostic tools, in-depth analytics for brand Ma, and the introduction of a robust algorithm-driven branding solution to capture buyers better across their life cycles with sellers. There are also fundamental improvements in the algorithm for ad management and the use of AI tools to create personalized content for users.

A：The expectations are that As rates will improve in the coming quarters and there is a meaningful potential to increase the F grade, as many of the tools and algorithms were still in progress and there is an opportunity for optimization.

A：The money business in Brazil has significant potential, evidenced by very good growth in lending in the past two quarters. The company has entered the market with a similar model to existing players and has identified Brazil as a big market for financial services businesses.

A：With the new ecosphere license and an improved credit scoring algorithm, the company is able to broaden its product offering in Brazil, leveraging data to better score users and compete effectively in the market.

A：The long-term aspiration for e-commerce margins is a range of 2 to 3%. This will be influenced by a balance between capturing market growth opportunities and improving profitability within the ecosystem, cost structure improvements, and fundamental cost reductions such as in logistics and fulfillment.

A：The company manages credit risk by optimizing the business model and taking into account country-specific factors, resulting in varying loan durations to manage credit risk effectively. In some markets, they reach out to new prime segments, which have natural credit characteristics.

A：The company has a goal to achieve over a billion in full year EBITDA, which implies higher EBITDA in the second half compared to the first half of the year, marking a deviation from the previous year where the second half was lower. This suggests improved profitability in the second half.

A：The outlook for profitability in Brazil is positive, with the company aiming to maintain strong price competitiveness. Despite changes in take rates and free shipping thresholds by competitors, the company's growth strategy is well above the market average and is expected to grow profitably with a growth rate outside of the market in the coming quarters.

A：The trend in delinquency rates and the increase in provisions for credit losses are influenced by the loan mix, with higher provisions on off-shop secured loans and Brazil long outstanding loans. The high interest and risk profile of the Brazilian market contribute to the higher provision, which in turn affects the company's future loan growth.

A：The company's strategy for global publishing includes publishing two games, 'Power Online' and 'Monster Hunter Outlander', with a market-by-market approach, starting with markets they are familiar with such as Southeast Asia, Latin America, Taiwan, and exploring potential launches in the Middle East and other markets. The target launch time for these games is this year.