SE

Sea Limited

DOUBTFUL — SCREEN DOES NOT PASSstock

Is SE Halal?

Gaming, e-commerce, and fintech conglomerate — 2025 liquidity screen fails and business mix is materially mixed.

What You Should Know

Sea's 2025 Form 20-F reports debt/assets of 8.75%, cash plus interest-bearing securities/assets of 35.99%, and receivables plus cash/assets of 15.45%. Shopee, Garena, and SeaMoney require separate qualitative treatment because gaming content and conventional financial services are not isolated in a school-neutral prohibited-revenue numerator.

⚠️ Concerns

  • Liquidity/assets is 35.99%, above the examined 33% limits
  • SeaMoney lending, deposits and payments require riba and contract review
  • Garena gaming content and monetization are scholar-dependent
  • Shopee merchant categories, customer funds, data and labor require review

Current quantitative Sharia screen

Based on 20-F figures for the period ended 2025-12-31; calculated 2026-07-14.

USD · millions
Interest-bearing debt / assets
8.75%Within limit
Below 33.333% under FTSE Yasaar

2,571.214 / 29,370.979

Cash + interest-bearing securities / assets
36.00%Above limit
Below 33.333% under FTSE Yasaar

10,572.181 / 29,370.979

Receivables + cash / assets
15.45%Within limit
Below 50% under FTSE Yasaar

4,536.967 / 29,370.979

Non-compliant income / revenue (upper bound)
1.44%Within limit
No more than 5% under FTSE Yasaar

331.072 / 22,938.469

FTSE Yasaar
v4.6, February 2026
Financial
Fails
Overall
Fails

Debt/assets is 8.75%, liquidity/assets is 35.99%, receivables plus cash/assets is 15.45%, and the conservative income ratio is 1.44%; liquidity exceeds the examined FTSE limit.

MSCI Islamic (total-assets series)
October 2024 methodology
Financial
Fails
Overall
Fails

Debt and receivables-plus-cash are below the examined MSCI limits, but cash plus interest-bearing securities are 35.99%, above the 33.33% limit.

Malaysia SAC financial ratios
single 5% activity benchmark adopted November 2025
Financial
Fails
Overall
Fails

The calculated liquidity ratio is 35.99%, above the examined Malaysia 33% limit; this is not an official SAC classification.

Market-cap denominator methods
MSCI M-Series, S&P and Dow Jones methods differ
Financial
Not calculated
Overall
Not calculated

A licensed, reproducible 24- or 36-month market-cap series is not stored.

Business-activity disclosure

Sea combines Shopee e-commerce, Garena digital entertainment, and SeaMoney financial services; the activities have materially different Sharia treatment.

Limitation: The filing reports segment revenue but does not provide a school-neutral prohibited-revenue numerator for gaming content, interest-based financial products, merchant categories, or payment facilitation.

Purification

Sea reports investment income of USD 331.072 million, or 1.44% of 2025 revenue. This is disclosed as a conservative upper bound and not a universal purification prescription.

Inputs, assumptions and primary sources
  • Amounts are USD millions from Sea Limited's 2025 Form 20-F.
  • Debt includes convertible notes, secured borrowings, securitization borrowings, finance lease liabilities, and short-term bank loans identified in the filing.
  • Interest-bearing securities use short-term investments; marketable equity securities are not included.
  • Revenue and the conservative investment-income upper bound use the year ended December 31, 2025.

This is a reproducible financial screen, not a fatwa. A failed total-assets screen can coexist with a pass under a market-cap methodology. ZakatInvest keeps the qualitative assessment separate so numerical thresholds do not erase material context.

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