Third Quarter 2023 Highlights:
- Total net revenues were
RMB5.8 billion (US$795.7 million ), flat with the same period of 2022. Revenues from advertising wereRMB1.6 billion (US$224.5 million ), representing an increase of 21% from the same period of 2022. - Gross profit was
RMB1.5 billion (US$198.8 million ), representing an increase of 38% from the same period of 2022. Gross profit margin was 25.0%, compared with 18.2% in the same period of 2022. - Net loss was
RMB1.3 billion (US$183.3 million ), narrowing by 22% from the same period of 2022. - Adjusted net loss1 was
RMB863.5 million (US$118.3 million ), narrowing by 51% from the same period of 2022. - Average daily active users (DAUs) were 102.8 million, representing an increase of 14% from the same period of 2022.
“Our community growth and commercialization efforts have formed a virtuous cycle in the third quarter,” said Mr.
Mr.
Third Quarter 2023 Financial Results
Total net revenues. Total net revenues were
Value-added services (VAS). Revenues from VAS were
Advertising. Revenues from advertising were
Mobile games. Revenues from mobile games were
IP derivatives and others (formerly known as E-commerce and others). Revenues from IP derivatives and others were
Cost of revenues. Cost of revenues was
Gross profit. Gross profit was
Total operating expenses. Total operating expenses were
Sales and marketing expenses. Sales and marketing expenses were
General and administrative expenses. General and administrative expenses were
Research and development expenses. Research and development expenses were
Loss from operations. Loss from operations was
Adjusted loss from operations1. Adjusted loss from operations was
Investment income/(loss), net (including impairments). Total investment loss was
Income tax expense. Income tax expense was
Net loss. Net loss was
Adjusted net loss1. Adjusted net loss was
Basic and diluted EPS and adjusted basic and diluted EPS1. Basic and diluted net loss per share were
Cash and cash equivalents, time deposits and short-term investments. As of
Repurchase of Convertible Senior Notes
In the third quarter of 2023, the Company repurchased an aggregate principal amount of
Outlook
For the full year of 2023, due to lower-than-expected mobile game revenues, the Company currently expects total net revenues to be at the low-end of the
The outlook is based on the current market conditions and reflects the Company’s preliminary estimates, which are all subject to various uncertainties.
1 Adjusted loss from operations, adjusted net loss and adjusted basic and diluted EPS are non-GAAP financial measures. For more information on non-GAAP financial measures, please see the section of “Use of Non-GAAP Financial Measures” and the table captioned “Unaudited Reconciliations of GAAP and Non-GAAP Results.”
2 Total time spent represents the total time users spent on our mobile apps during a given period, which is the result of average daily time spent per active user on our mobile apps multiplied by DAUs and further multiplied by the number of days in such period.
Conference Call
The Company’s management will host an earnings conference call at
Event Title: | |
Registration Link: | https://register.vevent.com/register/BI1db4115406524e49ae627bb437ede6bc |
All participants must use the link provided above to complete the online registration process in advance of the conference call. Upon registering, each participant will receive a set of participant dial-in numbers and a personal PIN, which will be used to join the conference call.
Additionally, a live webcast of the conference call will be available on the Company’s investor relations website at https://ir.bilibili.com/, and a replay of the webcast will be available following the session.
About
For more information, please visit: https://ir.bilibili.com/.
Use of Non-GAAP Financial Measures
The Company uses non-GAAP measures, such as adjusted loss from operations, adjusted net loss and adjusted net loss per share and per ADS, basic and diluted, in evaluating its operating results and for financial and operational decision-making purposes. The Company believes that the non-GAAP financial measures help identify underlying trends in its business by excluding the impact of share-based compensation expenses, amortization expense related to intangible assets acquired through business acquisitions, income tax related to intangible assets acquired through business acquisitions, gain/loss on fair value change in investments in publicly traded companies, gain/loss on repurchase of convertible senior notes, expenses related to organizational optimization, and termination expenses of certain game projects. The Company believes that the non-GAAP financial measures provide useful information about the Company’s results of operations, enhance the overall understanding of the Company’s past performance and future prospects and allow for greater visibility with respect to key metrics used by the Company’s management in its financial and operational decision-making.
The non-GAAP financial measures are not defined under
The Company mitigates these limitations by reconciling the non-GAAP financial measures to the most comparable
For more information on the non-GAAP financial measures, please see the table captioned “Unaudited Reconciliations of GAAP and Non-GAAP Results.”
Exchange Rate Information
This announcement contains translations of certain RMB amounts into
Safe Harbor Statement
This announcement contains forward-looking statements. These statements are made under the “safe harbor” provisions of the
For investor and media inquiries, please contact:
In
Tel: +86-21-2509-9255 Ext. 8523
E-mail: ir@bilibili.com
Tel: +86-10-6508-0677
E-mail: bilibili@tpg-ir.com
In
Tel: +1-212-481-2050
E-mail: bilibili@tpg-ir.com
Unaudited Condensed Consolidated Statements of Operations (All amounts in thousands, except for share and per share data) | |||||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | ||||||||||||||||||
June 30, | September 30, | ||||||||||||||||||
2022 | 2023 | 2023 | 2022 | 2023 | |||||||||||||||
RMB | RMB | RMB | RMB | RMB | |||||||||||||||
Net revenues: | |||||||||||||||||||
Mobile games | 1,471,331 | 890,884 | 991,776 | 3,875,385 | 3,014,279 | ||||||||||||||
Value-added services (VAS) | 2,209,711 | 2,301,741 | 2,595,036 | 6,365,361 | 7,053,001 | ||||||||||||||
Advertising | 1,354,834 | 1,572,840 | 1,638,232 | 3,553,856 | 4,482,876 | ||||||||||||||
IP derivatives and others (formerly known as E-commerce and others) | 757,775 | 538,734 | 580,037 | 1,962,079 | 1,628,735 | ||||||||||||||
Total net revenues | 5,793,651 | 5,304,199 | 5,805,081 | 15,756,681 | 16,178,891 | ||||||||||||||
Cost of revenues | (4,739,435 | ) | (4,076,665 | ) | (4,354,664 | ) | (13,156,939 | ) | (12,397,008 | ) | |||||||||
Gross profit | 1,054,216 | 1,227,534 | 1,450,417 | 2,599,742 | 3,781,883 | ||||||||||||||
Operating expenses: | |||||||||||||||||||
Sales and marketing expenses | (1,228,708 | ) | (918,197 | ) | (992,303 | ) | (3,654,596 | ) | (2,790,686 | ) | |||||||||
General and administrative expenses | (543,366 | ) | (539,699 | ) | (499,132 | ) | (1,704,327 | ) | (1,610,526 | ) | |||||||||
Research and development expenses | (1,131,010 | ) | (1,047,321 | ) | (1,066,155 | ) | (3,271,561 | ) | (3,140,188 | ) | |||||||||
Total operating expenses | (2,903,084 | ) | (2,505,217 | ) | (2,557,590 | ) | (8,630,484 | ) | (7,541,400 | ) | |||||||||
Loss from operations | (1,848,868 | ) | (1,277,683 | ) | (1,107,173 | ) | (6,030,742 | ) | (3,759,517 | ) | |||||||||
Other income/(expenses): | |||||||||||||||||||
Investment income/(loss), net (including impairments) | 178,603 | (278,081 | ) | (244,961 | ) | (365,670 | ) | (236,640 | ) | ||||||||||
Interest income | 82,477 | 152,026 | 117,722 | 172,745 | 416,022 | ||||||||||||||
Interest expense | (63,753 | ) | (47,976 | ) | (30,064 | ) | (187,365 | ) | (135,746 | ) | |||||||||
Exchange losses | (62,867 | ) | (8,840 | ) | (23,871 | ) | (84,393 | ) | (40,423 | ) | |||||||||
Debt extinguishment (loss)/gain | - | (54,043 | ) | 9,771 | 475,790 | 292,213 | |||||||||||||
Others, net | 25,451 | (9,677 | ) | (40,695 | ) | 92,702 | 22,633 | ||||||||||||
Total other income/(expenses), net | 159,911 | (246,591 | ) | (212,098 | ) | 103,809 | 318,059 | ||||||||||||
Loss before income tax | (1,688,957 | ) | (1,524,274 | ) | (1,319,271 | ) | (5,926,933 | ) | (3,441,458 | ) | |||||||||
Income tax | (27,083 | ) | (23,858 | ) | (17,975 | ) | (83,684 | ) | (73,565 | ) | |||||||||
Net loss | (1,716,040 | ) | (1,548,132 | ) | (1,337,246 | ) | (6,010,617 | ) | (3,515,023 | ) | |||||||||
Net loss/(income) attributable to noncontrolling interests | 2,590 | 1,425 | (14,198 | ) | 8,258 | (10,814 | ) | ||||||||||||
Net loss attributable to the | (1,713,450 | ) | (1,546,707 | ) | (1,351,444 | ) | (6,002,359 | ) | (3,525,837 | ) | |||||||||
Net loss per share, basic | (4.34 | ) | (3.74 | ) | (3.26 | ) | (15.22 | ) | (8.54 | ) | |||||||||
Net loss per ADS, basic | (4.34 | ) | (3.74 | ) | (3.26 | ) | (15.22 | ) | (8.54 | ) | |||||||||
Net loss per share, diluted | (4.34 | ) | (3.74 | ) | (3.26 | ) | (15.22 | ) | (8.54 | ) | |||||||||
Net loss per ADS, diluted | (4.34 | ) | (3.74 | ) | (3.26 | ) | (15.22 | ) | (8.54 | ) | |||||||||
Weighted average number of ordinary shares, basic | 395,062,497 | 413,446,005 | 413,983,020 | 394,452,475 | 412,676,893 | ||||||||||||||
Weighted average number of ADS, basic | 395,062,497 | 413,446,005 | 413,983,020 | 394,452,475 | 412,676,893 | ||||||||||||||
Weighted average number of ordinary shares, diluted | 395,062,497 | 413,446,005 | 413,983,020 | 394,452,475 | 412,676,893 | ||||||||||||||
Weighted average number of ADS, diluted | 395,062,497 | 413,446,005 | 413,983,020 | 394,452,475 | 412,676,893 | ||||||||||||||
The accompanying notes are an integral part of this press release.
Notes to Unaudited Financial Information (All amounts in thousands, except for share and per share data) | ||||||||||||
For the Three Months Ended | For the Nine Months Ended | |||||||||||
June 30, | ||||||||||||
2022 | 2023 | 2023 | 2022 | 2023 | ||||||||
RMB | RMB | RMB | RMB | RMB | ||||||||
Share-based compensation expenses included in: | ||||||||||||
Cost of revenues | 16,076 | 17,440 | 18,808 | 54,188 | 48,710 | |||||||
Sales and marketing expenses | 15,295 | 14,662 | 13,523 | 41,226 | 42,689 | |||||||
General and administrative expenses | 135,420 | 153,597 | 155,511 | 418,295 | 446,724 | |||||||
Research and development expenses | 84,537 | 115,115 | 116,195 | 272,179 | 327,462 | |||||||
Total | 251,328 | 300,814 | 304,037 | 785,888 | 865,585 |
Unaudited Condensed Consolidated Balance Sheets (All amounts in thousands, except for share and per share data) | |||||
December 31, | |||||
2022 | 2023 | ||||
RMB | RMB | ||||
Assets | |||||
Current assets: | |||||
Cash and cash equivalents | 10,172,584 | 7,639,889 | |||
Time deposits | 4,767,972 | 4,404,608 | |||
Restricted cash | 14,803 | 167,810 | |||
Accounts receivable, net | 1,328,584 | 1,649,961 | |||
Prepayments and other current assets | 3,545,493 | 2,419,519 | |||
Short-term investments | 4,623,452 | 2,469,203 | |||
Total current assets | 24,452,888 | 18,750,990 | |||
Non-current assets: | |||||
Property and equipment, net | 1,227,163 | 796,644 | |||
Production cost, net | 1,929,622 | 1,997,550 | |||
Intangible assets, net | 4,326,790 | 3,881,654 | |||
2,725,130 | 2,725,130 | ||||
Long-term investments, net | 5,651,018 | 4,597,966 | |||
Other long-term assets | 1,517,959 | 1,145,299 | |||
Total non-current assets | 17,377,682 | 15,144,243 | |||
Total assets | 41,830,570 | 33,895,233 | |||
Liabilities | |||||
Current liabilities: | |||||
Accounts payable | 4,291,656 | 4,122,334 | |||
Salary and welfare payables | 1,401,526 | 1,070,015 | |||
Taxes payable | 316,244 | 275,018 | |||
Short-term loan and current portion of long-term debt | 6,621,386 | 4,482,382 | |||
Deferred revenue | 2,819,323 | 2,837,780 | |||
Accrued liabilities and other payables | 1,643,269 | 1,905,498 | |||
Total current liabilities | 17,093,404 | 14,693,027 | |||
Non-current liabilities: | |||||
Long-term debt | 8,683,150 | 3,076,494 | |||
Other long-term liabilities | 814,429 | 650,689 | |||
Total non-current liabilities | 9,497,579 | 3,727,183 | |||
Total liabilities | 26,590,983 | 18,420,210 | |||
Total Bilibili Inc.’s shareholders’ equity | 15,237,828 | 15,462,450 | |||
Noncontrolling interests | 1,759 | 12,573 | |||
Total shareholders’ equity | 15,239,587 | 15,475,023 | |||
Total liabilities and shareholders’ equity | 41,830,570 | 33,895,233 | |||
Unaudited Reconciliations of GAAP and Non-GAAP Results (All amounts in thousands, except for share and per share data) | |||||||||||||||
For the Three Months Ended | For the Nine Months Ended | ||||||||||||||
June 30, | |||||||||||||||
2022 | 2023 | 2023 | 2022 | 2023 | |||||||||||
RMB | RMB | RMB | RMB | RMB | |||||||||||
Loss from operations | (1,848,868 | ) | (1,277,683 | ) | (1,107,173 | ) | (6,030,742 | ) | (3,759,517 | ) | |||||
Add: | |||||||||||||||
Share-based compensation expenses | 251,328 | 300,814 | 304,037 | 785,888 | 865,585 | ||||||||||
Amortization expense related to intangible assets acquired through business acquisitions | 48,151 | 48,151 | 47,734 | 144,486 | 144,036 | ||||||||||
Expenses related to organizational optimization | - | - | - | 89,650 | - | ||||||||||
Termination expenses of certain game projects | - | - | - | 109,054 | - | ||||||||||
Adjusted loss from operations | (1,549,389 | ) | (928,718 | ) | (755,402 | ) | (4,901,664 | ) | (2,749,896 | ) | |||||
Net loss | (1,716,040 | ) | (1,548,132 | ) | (1,337,246 | ) | (6,010,617 | ) | (3,515,023 | ) | |||||
Add: | |||||||||||||||
Share-based compensation expenses | 251,328 | 300,814 | 304,037 | 785,888 | 865,585 | ||||||||||
Amortization expense related to intangible assets acquired through business acquisitions | 48,151 | 48,151 | 47,734 | 144,486 | 144,036 | ||||||||||
Income tax related to intangible assets acquired through business acquisitions | (5,625 | ) | (5,625 | ) | (5,563 | ) | (23,634 | ) | (16,813 | ) | |||||
(Gain)/Loss on fair value change in investments in publicly traded companies | (342,952 | ) | 186,687 | 137,358 | (7,023 | ) | (43,875 | ) | |||||||
Loss/(Gain) on repurchase of convertible senior notes | - | 54,043 | (9,771 | ) | (475,790 | ) | (292,213 | ) | |||||||
Expenses related to organizational optimization | - | - | - | 89,650 | - | ||||||||||
Termination expenses of certain game projects | - | - | - | 109,054 | - | ||||||||||
Adjusted net loss | (1,765,138 | ) | (964,062 | ) | (863,451 | ) | (5,387,986 | ) | (2,858,303 | ) | |||||
Net loss/(income) attributable to noncontrolling interests | 2,590 | 1,425 | (14,198 | ) | 8,258 | (10,814 | ) | ||||||||
Adjusted net loss attributable to the | (1,762,548 | ) | (962,637 | ) | (877,649 | ) | (5,379,728 | ) | (2,869,117 | ) | |||||
Unaudited Reconciliations of GAAP and Non-GAAP Results (Continued) (All amounts in thousands, except for share and per share data) | |||||||||||||||
For the Three Months Ended | For the Nine Months Ended | ||||||||||||||
June 30, | |||||||||||||||
2022 | 2023 | 2023 | 2022 | 2023 | |||||||||||
RMB | RMB | RMB | RMB | RMB | |||||||||||
Adjusted net loss per share, basic | (4.46 | ) | (2.33 | ) | (2.12 | ) | (13.64 | ) | (6.95 | ) | |||||
Adjusted net loss per ADS, basic | (4.46 | ) | (2.33 | ) | (2.12 | ) | (13.64 | ) | (6.95 | ) | |||||
Adjusted net loss per share, diluted | (4.46 | ) | (2.33 | ) | (2.12 | ) | (13.64 | ) | (6.95 | ) | |||||
Adjusted net loss per ADS, diluted | (4.46 | ) | (2.33 | ) | (2.12 | ) | (13.64 | ) | (6.95 | ) | |||||
Weighted average number of ordinary shares, basic | 395,062,497 | 413,446,005 | 413,983,020 | 394,452,475 | 412,676,893 | ||||||||||
Weighted average number of ADS, basic | 395,062,497 | 413,446,005 | 413,983,020 | 394,452,475 | 412,676,893 | ||||||||||
Weighted average number of ordinary shares, diluted | 395,062,497 | 413,446,005 | 413,983,020 | 394,452,475 | 412,676,893 | ||||||||||
Weighted average number of ADS, diluted | 395,062,497 | 413,446,005 | 413,983,020 | 394,452,475 | 412,676,893 |
Source:
2023 GlobeNewswire, Inc., source