Bilibili Inc. Reports Second Quarter 2024 Results
Bilibili Inc. (NASDAQ: BILI and HKEX: 9626), an iconic brand and leading video community for young generations in China, announces its unaudited financial results for the second quarter.
Second Quarter 2024 Highlights
The second quarter of 2024 demonstrated significant growth and improved financial performance:
- Total net revenues: RMB6.13 billion (US$843.1 million), a year-over-year increase of 16%.
- Advertising revenues: RMB2.04 billion (US$280.4 million), up 30% from the previous year.
- Mobile games revenues: RMB1.01 billion (US$138.6 million), reflecting a 13% increase year-over-year.
- Gross profit: RMB1.83 billion (US$252.3 million), representing a 49% year-over-year increase, with a gross profit margin of 29.9%.
- Net loss: RMB608.1 million (US$83.7 million), a significant improvement narrowing by 61% year-over-year.
- Adjusted net loss: RMB271.0 million (US$37.3 million), narrowing by 72% year-over-year.
- Operating cash flow: RMB1.75 billion (US$240.9 million), compared to negative RMB21.2 million from the previous year.
- Average daily active users (DAUs): 102.3 million, an increase of 6% year-over-year.
Comments from Management
Mr. Rui Chen, chairman and CEO, remarked, "Our second quarter results highlight how we are accelerating our financial performance while cultivating a vibrant community. Over 102 million daily active users and 336 million monthly active users reflect strong engagement on our platform. We have also improved our monetization efficiency as demonstrated by our 30% growth in advertising revenues. The launch of our new strategy game, San Guo: Mou Ding Tian Xia, successfully attracted a large player base, showcasing our operational capabilities beyond anime, comics, and games (ACG). Our emphasis on community development and commercial offerings will continue to unlock value and pave the way for sustainable growth going forward."
Mr. Sam Fan, CFO, added, "We strengthened our commercialization capabilities during this quarter, achieving a 16% year-over-year revenue growth. We also achieved margin expansion for the eighth consecutive quarter as our gross profit rose by 49% year-over-year. Our operating cash flow indicates a stronger financial foundation, promising a path toward increased profitability in future periods."
Comprehensive Financial Overview
Total Net Revenues
Total net revenues in the second quarter of 2024 reached RMB6.13 billion (US$843.1 million), representing a 16% increase compared to the same quarter in 2023.
Value-Added Services
Value-added services revenues hit RMB2.57 billion (US$353.1 million), increasing 11% year-over-year due to a higher number of premium memberships and live broadcasts.
Advertising Insights
Advertising revenues surged to RMB2.04 billion (US$280.4 million), a 30% rise attributed to enhanced advertising efficiency and product offerings.
Mobile Gaming Performance
Revenue from mobile games reached RMB1.01 billion (US$138.6 million), mainly driven by new game launches, including the popular San Guo: Mou Ding Tian Xia.
Operating Cash Flow and Financial Health
The company generated RMB1.75 billion (US$240.9 million) in operating cash flow, significantly improving from negative RMB21.2 million a year earlier. As of June 30, 2024, cash, cash equivalents, and short-term investments totaled RMB13.91 billion (US$1.91 billion).
Future Outlook
Bilibili remains committed to its vision of enriching young lives through a diverse array of engaging content. The results from this quarter reflect the ongoing efforts to optimize operational efficiencies and create a sustainable environment for creators and users alike. The company anticipates continued growth in engagement and revenue, driving toward enhanced profitability in the coming quarters.
Frequently Asked Questions
What were the total net revenues for Bilibili in Q2 2024?
Total net revenues for Bilibili in Q2 2024 were RMB6.13 billion (US$843.1 million), a 16% increase from the same period in the previous year.
How much did advertising revenues increase?
Advertising revenues increased by 30% in Q2 2024, reaching RMB2.04 billion (US$280.4 million).
What was the adjusted net loss for Bilibili in Q2 2024?
Bilibili reported an adjusted net loss of RMB271.0 million (US$37.3 million), narrowing by 72% year-over-year.
How did the average daily active users change?
The average daily active users (DAUs) increased by 6% year-over-year, reaching 102.3 million in Q2 2024.
What are Bilibili's future growth expectations?
Bilibili expects to maintain strong growth by enhancing monetization and expanding its community impact while working toward profitability.
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