BILIBILI(BILI) 东吴证券·2024-08-26 13:48Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Insights - The company reported Q2 2024 revenue of 6.127 billion yuan, a year-over-year increase of 16% and a quarter-over-quarter increase of 8%, exceeding Bloomberg consensus expectations of 6.093 billion yuan [3] - Non-GAAP net loss for Q2 2024 was 271 million yuan, better than the expected loss of 329 million yuan, and significantly improved from losses of 964 million yuan and 456 million yuan in Q2 2023 and Q1 2024 respectively [3] - The advertising business showed strong growth, with Q2 2024 revenue of 2.037 billion yuan, up 30% year-over-year and 22% quarter-over-quarter, benefiting from strong e-commerce platform spending during the 618 shopping festival [3] - The gaming business also exceeded expectations, with Q2 2024 revenue of 1.007 billion yuan, a 13% year-over-year increase, driven by the successful launch of the game "Three Kingdoms: Strategy" [3] - The company expects to turn adjusted operating profit positive in Q3 2024, supported by improved gross margin and effective cost control [3] Summary by Sections Revenue and Profit Forecast - Total revenue forecast for 2024-2026 is adjusted to 26.3 billion, 30.2 billion, and 32.1 billion yuan respectively, with Non-GAAP net profit forecasted at -1.07 billion, 1.899 billion, and 2.785 billion yuan [3] - The company anticipates a Non-GAAP PE of 24 and 16 times for 2025 and 2026 respectively based on current stock price [3] Financial Metrics - Q2 2024 gross margin was 29.9%, an increase of 6.8 percentage points year-over-year, marking the eighth consecutive quarter of improvement [3] - The company’s operating expenses as a percentage of revenue showed a decrease in management and R&D costs, while sales expenses increased due to promotional activities for new game launches [3] Market Data - The closing price of the stock is 6.294 billion [4] - The stock has a price-to-book ratio of 3.30 and a one-year price range of 18.19 [4]