Bilibili (BILI) Q1 2025 earnings summary

Executive summary

• Total revenues grew 24% year-over-year to RMB 7 billion (US$965.1 million), driven by strong advertising, mobile games, and value-added services performance.

• Gross profit increased 58% year-over-year to RMB 2.54 billion, with margin expanding to 36.3% from 28.3%.

• Adjusted net profit reached RMB 362 million, while GAAP net loss narrowed by 99% year-over-year to RMB 11 million.

• User engagement hit record highs: DAUs at 107 million, MAUs at 368 million, and average daily time spent at 108 minutes.

• Monthly paying users reached 32 million, and premium memberships exceeded 23.5 million.

Financial highlights

• Advertising revenues rose 20% year-over-year to RMB 2 billion, with performance-based ads up over 30%.

• Game revenues surged 76% year-over-year to RMB 1.73 billion, led by the exclusive title San Mou/San Guo: Mou Ding Tian Xia.

• Value-added services revenue increased 11% year-over-year to RMB 2.81 billion, driven by live broadcasting and premium memberships.

• Cost of revenues increased 10% year-over-year to RMB 4.46 billion; gross profit margin improved from 28.3% to 36.3%.

• Operating cash flow exceeded RMB 1.3 billion; cash and equivalents stood at RMB 17.4 billion as of March 31, 2025.

Outlook and guidance

• Confident in maintaining above-industry-average advertising growth in the second half of 2025.

• Gross margin and net margin expected to improve gradually throughout the year; mid- to long-term gross profit margin target set at 40%-45%, and long-term operating margin target at 15%-20%.

• Management expects to continue scaling the business and community through efficient, sustainable operations, aiming for long-term value creation.

• R&D and G&A expenses to remain stable; marketing expenses to fluctuate with game promotions.

• Anticipates further expansion in the video and live commerce sector, leveraging AI and diversified content.