Bilibili will accelerate commercialization, improve profit margins and make steady progress toward its break-even goal in 2023, said Chen Rui, chairman and CEO of Bilibili.
Bilibili Inc. (hereinafter referred to as "Bilibili", Chinese: 哔哩哔哩, Nasdaq: BILI, HK: 09626), headquartered in Shanghai, recently released its 2023 first quarterly report. In Q1 2023, the company achieved net revenue of CNY 5.1 billion (USD 738.2 million), up 0.3% year-over-year. Net loss was CNY 629.6 million, a 72% decrease from the same period last year. On a non-GAAP basis, adjusted net loss was CNY 1.0 billion, a 38% decrease year-over-year.
In terms of business segments, in Q1 2023, Bilibili's value-added services (VAS) revenue was CNY 2.2 billion, an increase of 5% compared to the same period last year; advertising revenue was CNY 1.3 billion, up 22% year-on-year; mobile revenue was CNY 1.1 billion, down 17% year-over-year; IP derivatives and others revenue was CNY 510 million, a decline of 15% compared to the same period last year, mainly attributable to the decrease in sales of derivative merchandise of animation, comic and games (“ACG”) IPs on the company's e-commerce platform.
Founded in 2009, Bilibili is an iconic brand and a leading video community for the younger generation in China. Currently, Bilibili has developed into a comprehensive video community with PUGV as its core, including OGV, live streaming, short videos and other full scenes, building an ecosystem that continuously generates quality content. According to the financial report, the average daily active users of Bilibili reached 93.7 million in Q1 2023, an increase of 18% compared to the same period in 2022.
In overseas markets, Bilibili continues its domestic strategy of attracting users with ACGN content as a start and building a video community where young people gather. Southeast Asia was chosen as the first stop since users in this region are accustomed to viewing ACGN content, and there are currently no products on the market that are completely homogeneous with Bilibili. The Xingchen Project is the main international business department of Bilibili, and has facilitated Bilibili to land in Thailand, Malaysia, Vietnam and other Southeast Asian countries. In 2022, Bilibili also opened recruitment in Singapore, Indonesia and the Philippines. Furthermore, Bilibili's case in Southeast Asia has been awarded the Effie Globalization Awards in 2022.
The major competitors include Chinese companies such as Youku (Chinese: 优酷) and iQIYI (Chinese: 爱奇艺), as well as international players such as Youtube and Netflix from the US.
As of press time, Bilibili closed at USD 15.87 apiece, with a market cap of USD 6.52 billion.