Bilibili Inc., a leading video community platform in China, announced its financial results for the fourth quarter and the full fiscal year of 2023, demonstrating resilience and strategic progress in a competitive digital landscape.
For the fourth quarter, Bilibili reported total net revenues of RMB 6.3 billion ($894.3 million), a modest increase of 3% year-over-year.
This growth reflects the platform’s diversified revenue streams, with significant contributions from advertising and value-added services (VAS). Advertising revenues soared by 28% year-over-year to RMB 1.9 billion ($271.7 million), while VAS revenues increased by 22% to RMB 2.9 billion ($402.4 million).
However, mobile game revenues dipped by 12% year-over-year to RMB 1.0 billion ($141.8 million), primarily due to a high comparison base from the previous year.
The fiscal year 2023 painted a similar picture of resilience and growth, with total net revenues reaching RMB 22.5 billion ($3.2 billion), up by 3% from the previous year.
The growth in advertising and VAS revenues stood out, increasing by 27% and 14% respectively, highlighting Bilibili’s ability to monetize its content effectively. Despite challenges in the mobile gaming sector, which saw a 20% decline in revenues to RMB 4.0 billion ($566.4 million), the company’s broad portfolio of revenue sources helped offset impacts from specific segments.
Bilibili’s focus on cost management and operational efficiency became evident in its gross profit, which surged by 41% year-over-year to RMB 5.4 billion ($766.5 million), reflecting an improved gross profit margin of 24.2% for the fiscal year 2023, up from 17.6% in 2022.
The company also made strides toward profitability, with net loss narrowing by 36% to RMB 4.8 billion ($677.7 million) for the year, and adjusted net loss decreasing by 49% to RMB 3.4 billion ($480.9 million).
A key highlight of Bilibili’s performance is its robust user engagement, with average daily active users (DAUs) reaching 100.1 million in the fourth quarter, an 8% increase from the same period in 2022.
This user growth, coupled with an average daily time spent of over 95 minutes, underscores the platform’s strong appeal and user retention capabilities.
Looking ahead, Bilibili’s management expressed optimism about the company’s strategic direction, emphasizing continued investment in content and creator ecosystems to drive community growth and further monetization.
With a commitment to improving financials and achieving profitability, Bilibili is poised to navigate the evolving digital entertainment landscape with agility and strategic focus.
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